The onslaught of Covid-19 pandemic triggered a panic buying of facemasks and hand-sanitisers. The media focussed on the shortage of these commodities; a sudden, sharp spike in their prices and alleged hoarding of stocks by manufacturers and traders. Hence, the Government of India brought face masks and hand-sanitizers under the Essential Commodities Act, 1955 (TECA-1955) and declared them essential commodities with effect from 13 March 2020 till 30 June 2020 to boost their supply and prevent hoarding. On 08 July 2020, the Consumer Affairs Ministry said that they are no longer essential commodities as their supply is sufficient in the country. This article explains the meaning and implications of this Act.
Origin of the Law:
During the first decade of its independence, India was facing a scarcity of food-grains. The matter further worsened because of hoarding and black marketing. The country had to import food to feed its population. Hence, TECA-1955 was legislated in order to regulate the production, supply and distribution of essential commodities. As per the provisions of this law, the Central Government (CG) declares certain commodities ‘essential’ in order to make them available to the general public at fair prices.
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Ravi Sagar
