Consider the following statements with respect to the Essential Commodities Act, 1955 -
- The Act empowers both the Union and State governments to regulate the production, supply, and distribution of essential goods.
- Section 3 of the Act provides for the imposition of stock limits and price controls to prevent hoarding and black marketing.
- The Act was invoked during the COVID-19 pandemic to ensure the availability of essential goods.
Which of the statements given above is/are correct?
Explanation - The Essential Commodities Act, 1955 empowers the Union government to regulate the production, supply, and distribution of essential goods such as foodstuffs, edible oils, fertilisers, drugs, fuels, and seeds. Under Section 3 of the Act, the government can take measures to ensure adequate supply and fair prices of essential commodities. These include setting price controls and stock limits, regulating storage, transport, and distribution, prioritising production, and preventing hoarding and black marketing. The Act has been used in the past to address shortages of commodities such as wheat, sugar, and pulses, and was also invoked during the COVID-19 lockdown to curb hoarding, black marketing, and profiteering of essential goods.
Explanation - The Essential Commodities Act, 1955 empowers the Union government to regulate the production, supply, and distribution of essential goods such as foodstuffs, edible oils, fertilisers, drugs, fuels, and seeds. Under Section 3 of the Act, the government can take measures to ensure adequate supply and fair prices of essential commodities. These include setting price controls and stock limits, regulating storage, transport, and distribution, prioritising production, and preventing hoarding and black marketing. The Act has been used in the past to address shortages of commodities such as wheat, sugar, and pulses, and was also invoked during the COVID-19 lockdown to curb hoarding, black marketing, and profiteering of essential goods.