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BG freight train service to stabilize the goods supply in state, inflation likely to meet an end
TIWN
BG freight train service to stabilize the goods supply in state, inflation likely to meet an end
PHOTO : First commercial BG freight train arrives at Jirania station. TIWN Pic Dec 22

AGARTALA, Feb 25 (TIWN): Commencement of BG freight train in Tripura on regular basis to stabilise the flow of goods into the state and will also meet an end to the rise in price of the goods. If such goods trains are operated on a regular basis by the NFR, the availability of food grains, transport fuels, essentials and other commodities would increase and prices would be reasonable. Once the train starts operating its service in the state the state will get relief from the price hike and there will be balanced supply of goods into the state. The much awaited first commercial freight train arrived in Tripura on Monday from Assam amid rousing welcome, ending an old demand for broad gauge railway connectivity between Tripura and the rest of India. The first freight train with 21 wagons arrived at the Jirania railway station, 12 km from here.If such goods trains are operated on a regular basis by the NFR, the availability of food grains, transport fuels, essentials and other commodities would increase and prices would be reasonable."With the commencement of the BG freight train service into Tripura, the buffer stock of the state will be immensely developed.It is to be mentioned here that the transportation of essential commodities from outside to the landlocked state during past few months was halted as mega block of train services along the Lumding-Agartala was underway for conversion works.

It is expected that the beginning of cargo train service will also give relief to the travellers who usually choose NH44 for travelling to different spots.

The Assam-Agartala National Highway-44 is not in good shape for carriage of essential commodities. So, railway is the best way to carry the goods and commodities to maintain the stability of the buffer stock of the state.

The prices of agricultural products such as wheat, cotton, tea and coffee tend to fluctuate more than prices of manufactured products and services. This is largely due to the volatility in the market supply of agricultural products coupled with the fact that demand and supply are price inelastic.

One way to smooth out the fluctuations in prices is to operate price support schemes through the use of buffer stocks. Buffer stock schemes seek to stabilize the market price of agricultural products by buying up supplies of the product when harvests are plentiful and selling stocks of the product onto the market when supplies are low.

 

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