Kerala imposes ₹13 price cap on bottled water. Bottled drinking water has come under a price cap in Kerala, with the State making it an essential commodity and fixing a selling at ₹13 per litre. The current retailed price is ₹20 per litre. The State Government on Wednesday had announced the price reduction after Chief Minister, Pinarayi Vijayan signed the Food Department proposal. Including bottled water in the list of essential commodities enables price control. Food Minister, P. Thilothaman told that the notifications on the new price would be issued soon. He said that the government had also decided to make BIS standards mandatory for all brands of bottled water. This would force unauthorized manufactures to shut shops.

In 2018, the Government convened a meeting if bottled water manufacturers at which it was decided to bring down the price to ₹12. But the decision was not implemented in the face of opposition from traders and some manufacturers.

The minister said some companies had insisted on a minimum price of ₹15. “We understood that manufacturers could afford to sell bottled water at much less. Traders were also fleecing buyers extracting a huge margin.  The Government cannot close its eyes to such exploitations, he said.”

The Kerala Bottled Water Manufacturers’ Association welcomed the decision to reduce the price. It’s President, M. E. Mohammed, said the Association had taken the initiative to cut the retailed price after multinational brands hiked their prices to ₹20 a litre in 2012. There was, however, some oppositions from industry players, over commercial concerns.

The State Government a litre of bottled water at ₹10, through a subsidiary of the Kerala Water Authority, he said. The move by the State Government would help the industry in long terms. The public felt that bottled water manufacturers were fleecing customers. There are around 200 bottled water manufacturers in Kerala, as per a rough estimate. But the Association has less than a hundred members. Most manufacturers sell around 300 to 500 cases of bottled water a day., a case consisting of 12 one-litre bottles.

Read the passage and answer the following questions:

1. Which State has imposed a price cap on bottled water?

a)Karnataka

b)Kerala

c)Kashmir

d)Tamil Nadu

2.The State has imposed cap on bottled water for __________ price.

a)₹13

b)₹15

c)₹20

d)₹10

3. What is the current retailer price?

a)₹10

b)₹12

c)₹15

d)₹20

4. When did the State Government announce the news of the price reduction?

a)on Tuesday

b)on Wednesday

c)on Thursday

d)on Friday

5. What is the aim behind the decision of making BIS standards mandatory for all brands of bottled water?

a)to reduce the price of bottled water

b)to reduce the income of manufactures

c)this would force unauthorized manufacturers to shut shop

d) this would force authorized manufacturers to shut shop

6. When did the Government convene a meeting of bottled water manufacturers?

a)in 2012

b)in 2014

c)in 2016

d)in 2018

7. What was being divided in the Government meeting of bottled water manufacturers in 2018?

a)to keep the price same of bottled water

b)to change the price of bottled water

c)to bring down the price to ₹12

d) to bring down the price to ₹15

8. What is the minimum price insisted by some companies, according to the Minister?

a) ₹15

b) ₹12

c) ₹10

d) ₹20

9. Who said that Association had taken the initiative to cut the retailer price?

a)Pinarayi Vijayan

b) P. Thilothaman

c)Pinarayi Mohammed

d)M.E.Mohammed

10. How many bottled water manufacturers are there in Kerala, as per as rough estimation?

a) 300

b)500

c) 200

d) 100

ANSWERS

1. b)Kerala

2. a)₹13

3. d)₹20

4. b)on Wednesday

5. c)this would force unauthorized manufacturers to shut shop

6. d)in 2018

7. c)to bring down the price to ₹12

8. a) ₹15

9. d)M.E.Mohammed

10. c) 200