THIRUVANANTHAPURAM: Supplyco is raising prices on subsidized goods impacting those already struggling with market price hikes. In a recent LDF meeting, it was decided to increase prices for 13 essential items distributed by Supplyco with the food minister given authority to determine the extent of the increase. This marks the first price hike in seven years for subsidized commodities like chickpeas, beans, tillage, coconut oil, jaya rice, dal, peanuts, coriander, sugar, chillies and vegetables.

The LDF meeting held today approved the price hike at the request of Supplyco. The food minister can now decide the magnitude of the increase. The move stems from Supplyco's assertion that subsidizing essential commodities will create a liability exceeding Rs 500 crore. Supplyco proposed that the government either covers the cost or allow seasonal price adjustments.

To address the crisis, the LDF had previously pledged in its 2016 manifesto to avoid essential goods' price hikes. While the government kept this promise for seven years, recent circumstances have compelled the LDF government to reconsider highlighting the complex challenges facing subsidized goods distribution.