Goods for the masses
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Take your experience further with Premium access. Thought-provoking Opinions, Expert Analysis, In-depth Insights and other Member Only BenefitsThe simple remedy for the shortages of essential commodities is more production. This would ‘checkmate’ the prices. To the common man, it makes all the difference whether he has to pay less or more for his daily necessities. Viewed in this context, the Government’s intention of “entering the manufacturing and processing fields” of certain essential items needs to be welcomed. Union Minister of Industry and Civil Supplies AC George said at Visakhapatnam on Monday that the Central Government was considering the manufacture of at least eight more essential commodities like soaps, toothpaste and razor blades in the cooperative sector to end the “exploitation of brand names.” Household utensils, kerosene and cooking stoves, woollen and readymade garments are also on the cooperative card. At present, a sort of jungle law prevails in the production and sale of some popular items. Some manufacturers overplay the brand names by exaggerated claims and thus hoodwink the masses. As the minister himself pointed out, a popular brand of toothpaste costs only 20 per cent of its selling price. Where does all the profit go? It goes either to feed the fat executives or the intermediaries, or in sales campaigns and other administrative overheads. The expenses on these counts can be cut by about one-half without harming the basic interest of the companies. The companies are certainly entitled to reasonable profits, but no responsible government can allow a situation whereby the consumer is made to pay heavily for a product and is then left guessing about its availability.