Cabinet to amend ECA, make it trader-friendly

NEW DELHI, April 25: The Cabinet today decided to amend the Essential Commodities Act (ECA) 1955 and repeal most of the sections of the Spec...

NEW DELHI, April 25: The Cabinet today decided to amend the Essential Commodities Act (ECA) 1955 and repeal most of the sections of the Special Provisions (1981) to the Act. The special provisions were introduced to impose stock limits to check hoarding as well as to prescribe stringent punishment for erring traders.

In a move to check harassment of traders, the government decided to allow certain variations in the stock holdings of traders within limits. This means that during inspections, traders will be allowed a certain leeway in the commodities in store. The variation limits for all listed commodities will be specified in a separate order.

The Cabinet also delisted auto components and accessories from the commodities specified under the Act bring the number of specified commodities down to 30. Last August, the previous United Front government had delisted another 11 items.

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Union food and civil supplies minister Surjit Singh Barnala told reporters that the amendments would brought in the budgetsession of Parliament to make the Act more stringent and remove any scope for harassment of traders. The budget session is likely to begin on May 27.

A significant aspect of the proposed amendments is that no authority below a first class magistrate or officer below tehsildar would have the power to authorise search and seizure of essential commodities. The amendments are to be based recommendations made by an expert group constituted some time ago. It included representatives from consumer bodies and traders associations.