Kerala govt allocates ₹100 crore to Supplyco to curb price rise

Thiruvananthapuram: The Kerala government on Sunday sanctioned ₹100 crore to the State Civil Supplies Corporation (Supplyco) as part of its ongoing market intervention strategy aimed at curbing the sharp rise in prices of essential commodities.

Finance Minister K N Balagopal, in a statement, said the newly released funds would support Supplyco’s efforts to stabilise the prices of daily necessities across the state. This move comes in addition to the ₹250 crore already earmarked in the current fiscal year’s state budget for market intervention.

“By allocating ₹100 crore now, it will be possible to ensure the procurement of essential commodities, including for the upcoming Onam season, in advance,” the minister said.

Balagopal provided comparative figures to highlight the government’s sustained support for price control measures. He said a total of ₹250 crore was also earmarked for Supplyco in the previous year’s budget. However, the actual allocation during that period rose to ₹489 crore after additional support of ₹284 crore was granted.

Over the past 15 years, from 2011-12 to 2024-25, the state government has extended a cumulative ₹7,630 crore in assistance to Supplyco for direct market intervention. Of this, only ₹410 crore was allocated during the five-year tenure of the previous United Democratic Front (UDF) government, while the remaining ₹7,220 crore was provided by successive Left Democratic Front (LDF) administrations.

The additional allocation is expected to strengthen procurement operations and ensure price stability during the high-demand festive season, particularly Onam, when inflationary pressures tend to spike.

With PTI inputs