india

Updated: Apr 08, 2020 13:51 IST

The Centre on Wednesday asked states to maintain smooth supply of essential items during the national lockdown, saying hoarding and black marketing cannot be ruled out during the period amid reports of loss of production.

Union home secretary Ajay Kumar Bhalla wrote to all state chief secretaries asking them to invoke provisions of the Essential Commodities Act 1955.

Bhalla said the Centre has allowed manufacture, production, transport and other related activities in the chain of supply of food, medicine and medical equipment.

“State/Union Territory governments are advised to take urgent steps to ensure the availability of essential goods, by invoking provisions of the Essential Commodities (EC) Act 1955. These measures include fixing of stock limits, capping of prices, enhancing production, an inspection of accounts of dealers and other such actions,” Bhalla said in his letter.

He pointed out that offences under the essential commodities act may result in imprisonment of seven years or fine or both. The state governments and Union territory administrations may also consider detaining people under the Prevention of Black Marketing & Maintenance of Supplies of Essential Commodities Act, 1980.

The Centre also said that there are reports of loss of production due to various factors, especially reduction in labour supply.

“In this situation, there is a possibility of inventory building/hoarding and black marketing, profiteering, and speculative trading and the resulting price rise of essential goods cannot be ruled out,” he said.

India is currently in the last week of a 21-day lockdown announced by Prime Minister Narendra Modi on March 24 to contain the spread of the coronavirus disease in the country.

The Centre is likely to consider an extension of lockdown by the end of the week with several states requesting it not to withdraw the restrictions immediately.

The number of Covid-19 cases in India crossed the 5000 mark with nearly 150 deaths, according to the Union health ministry data.