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Commencement of BG train to bring revolution in the state, likely to stabilise the market price of commodities
TIWN
Commencement of BG train to bring revolution in the state, likely to stabilise the market price of commodities
PHOTO : A view of Agartala Railway Station. TIWN File Photo.

AGARTALA, April 14 (TIWN): Commencement of BG 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.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. 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 halt as mega block of train services along the Lumding-Agartala was underway for conversion works. 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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