By K. Ganeshan
Port Blair, July 29: Air freight rates are skyrocketing as all airlines are making up their passenger loss from cargo transportation. Since airlines are asked to follow social distancing guidelines, most of the private airlines are focusing more on cargo business. Due to limited intake of passengers, the price of air freight is on the rise and commercial passenger airlines are trying to keep up with the demand for air freight. Ever since the government announced Unlock 1.0, vegetables’ supply and demand along with their prices has increased. The wholesale prices of vegetables have increased by two and a half times which has also resulted in increase in the retail prices. Vegetable traders argue that after opening of restaurants and eateries, the demand for vegetables has increased manifold and due to the increase in the wholesale demand for vegetables, their retail prices have gone up. The main reason for increase in the prices of vegetables is the exorbitant cargo rates charged by airlines. Since most of the vegetables in the islands are imported from mainland, the islanders are heavily dependent on import of vegetables from mainland which the airlines are exploiting. For example, radish is available in Chennai at Rs 15 per kg. However, the same radish is sold in Port Blair at Rs 150 per kg. This is because traders after purchasing vegetables at low rates from the mainland add up the freight charges and profit and sell the vegetables at high rates in retail markets here. Another factor is different freight rates charged by different airlines. For example, Indigo airlines are charging Rs 90 for per kg of cargo whereas Indian Airlines is charging Rs 125 per kg of cargo. Traders add up freight rates and profit to sell the vegetables to the local consumers. The best solution to check the increasing prices of vegetables is the administration should take up the matter with the airlines company and compel them to lower the freight charges for the benefit of the people of the islands.
Courtesy: Andaman Express
