The government has powers under the Essential Commodities Act, 1955 (EC Act) to declare a commodity as an essential commodity to ensure its availability to people at fair price. The commodities covered under the Act include: 1. Paper 2. Hank yarn made wholly from cotton 3. Fertilizers 4. Petroleum and petroleum products 5. Cotton and jute seeds Select the correct answer using the code given below :
The government has powers under the Essential Commodities Act, 1955 (EC Act) to declare a commodity as an essential commodity to ensure its availability to people at fair price. The commodities covered under the Act include: 1. Paper 2. Hank yarn made wholly from cotton 3. Fertilizers 4. Petroleum and petroleum products 5. Cotton and jute seeds Select the correct answer using the code given below : Correct Answer 1, 2, 3, 4 and 5
The correct answer is 1, 2, 3, 4 and 5.
Key Points
- The ECA was enacted in 1955.
- The act provides for the control of production, supply, distribution, trade, and commerce in any farm good deemed “essential” and “in the interest of the general public”.
- The list of items under the Act includes drugs, fertilizers, pulses, and edible oils, and petroleum and petroleum products.
Important Points
- If the Centre finds that a certain commodity is in short supply and its price is spiking, it can notify stock-holding limits on it for a specified period.
- The States act on this notification to specify limits and take steps to ensure that these are adhered to.
- Anybody trading or dealing in a commodity, be it wholesalers, retailers, or even importers are prevented from stockpiling it beyond a certain quantity.
Additional Information
- The Essential Commodities (Amendment) Bill, 2020 is aimed at deregulating commodities such as cereals, pulses, oilseeds, edible oils, onion, and potatoes.
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Feb 20, 2025