Govt Revokes Mutton (Licensing and Control) Order After 50 Years
Srinagar- The Union Territory administration on Thursday directed the Food Civil Supplies & Consumer Affairs Department to refrain from regulating prices of mutton and other livestock products, even as the tussle over mutton prices continues to rage on.
According to an order, a copy of which lies with Kashmir Observer, the Union Ministry of Consumer Affairs, Food and Public Distribution communicated to the J&K government that any order issued by quoting S.O 145(E) dated 15.02.1990 is based on an order that is no longer valid and applicable.
Notably, the government took up the matter with the Centre after the Agriculture Production Department sought clarification regarding the validity of notification S.O 145 (E) dated 15.02.1990 under which the powers were delegated to the Government of Jammu and Kashmir for regulating the commodities specified in the schedule (s).
“..Whereas, the Agriculture Production Department. Government of J&K vide its communication No. ASHF-PLG/54/2021-10 dated 18/01/2023 took the matter with the Department of Consumer Affairs, Food & Public Distribution, Government of India, seeking clarification therein regarding the validity of notification S.O 145 (E) dated 15.02.1990 under which the powers were delegated to Government of Jammu and Kashmir for regulating the commodities specified in the schedule (s) annexed to the said notification,” reads the order.
It further says that the Ministry of Consumer Affairs. Food and Public Distribution clarified that any order issued by quoting S.O 145(E) is based on a order that is no longer valid and applicable, as such, the Ministry advised the Food Civil Supplies & Consumer Affairs Department, J&K to issue necessary directions to all concerned authorities to refrain from issuing or enforcing any order.
Now, the department while taking opinion from the central government has directed the authorities to refrain from regulating prices of mutton and other livestock products.
The government also revoked the Jammu and Kashmir Mutton (Licensing and Control) Order, 1973 issued vide SRO-646 issued on December 12, 1973 with immediate effect, saying it was done on the clarification from Government of India and inter-departmental consultations on the matter.
However, the order has created a lot of confusion in the public who maintain that the unregulated price of mutton will hit their pocket.
“Who will regulate and check the price now,” said Bilal Ahamd, a shopkeeper from Karan Nagar area of Srinagar city.
He further said the butchers will increase the rates as much as they like, since there is no one to regulate the price of mutton.
However, Khazir Mohammad Regoo, the President of Mutton Dealers Association Kashmir told Kashmir Observer that this will benefit both consumers and the dealers.
“Earlier under the Act, there used to be few people who would do the trade and the dealer would only have to buy the livestock from them, now we have the choice, and every butcher can go to other states and buy the livestock on his choice,” Regoo said.
While responding to a question, he said it was due to the monopoly of a few dollars that the rates would be high from their end—thus impacting the pocket of the common public.
“Now that will not be the case, the issue stands resolved once for all as the buyer would get the livestock at lower rates from the other states,” he added.
It may be noted, the butchers usually defy the government orders and sell the mutton at 650-700 rupees per kg against the government notified price of 535 rupees.
The authorities in this year launched a massive crackdown against the butchers and more than 140 mutton shops were sealed.
Jammu and Kashmir imports mutton worth Rs 1400 crores from different parts of India annually to fulfil the market demand.
On an average, the J&K consumes 600 lakh kilograms of mutton annually; over 800 truckloads of sheep were consumed during the holy month of Ramazan this year.
Kashmir bestowed by nature with lush green pastures and grazing lands remains a mutton deficit region. Despite having the competitive advantage and potential to become self-reliant in the mutton sector, there is a shortfall of 41 percent leading to an import bill of Rs1400 crore every year, according to official estimates.
The majority of the livestock population is held by nomadic Bakerwal tribe who follow traditional methods of farming, resulting in low productivity and profits.
Jammu and Kashmir has five breeds of sheep with the majority being dual purpose breeds such as Kashmir Merino, Rambouillet, and Corriedale. However, there is increasing demand for fast-growing mutton breeds like Dorper, Romnov, South Down and others.
In February 2023, J&K government approved a Rs 329 crore project for the next five years to achieve self reliance in mutton sector.
“In view of huge mutton usage in Jammu and Kashmir, especially in the Kashmiri cuisine and in order to reduce meat import, the government has approved an ambitious Rs 329 crore project for next five years to achieve self reliance in mutton sector”, Additional Chief Secretary, Agriculture Production Department (APD), Atal Dulloo said.
KO Analysis
Mutton has been an essential part of the Kashmiri cuisine for generations and Kashmir, with its rich cultural heritage and diverse geography, has a significant demand for mutton.
The decision by the Jammu and Kashmir government to withdraw control of mutton and chicken prices has sparked concerns and uncertainty among residents and stakeholders. This move comes in response to the central government’s opinion that the previous directive, the Jammu and Kashmir Mutton (Licensing and Control) Order, 1973, is no longer valid and applicable. Does this mean that the government wants market forces to determine prices? If so, it is unlikely that the mutton prices can ever be hoped to reduce. This is why the absence of price controls raises several questions and potential challenges.
The issue of controlling mutton and chicken prices in J&K has long been a contentious matter. As is clear from the media reports, over the past four years, the cost of mutton has risen by over 50 percent. The government’s approved price of Rs 535 per kg seems to have little impact on the actual market prices, with mutton currently being sold for Rs 650 per kg. With the withdrawal of price controls, consumers fear that prices may skyrocket further, making mutton unaffordable for many.
With the government not deciding the mutton price, it will be determined by market supply and demand. While this approach may seem logical, it fails to address the concerns of consumers who rely on mutton as a staple in their daily diets and for special occasions. The absence of government regulation raises questions about who will now be responsible for ensuring fair pricing and preventing exploitative practices in the market.
The decision to allow mutton retailers to import sheep, a privilege previously limited to licensed agents, may bring some competition and potentially moderate prices. However, it remains to be seen how this will play out in practice and whether it will have a significant impact on affordability.
J&K, heavily reliant on mutton imports, consumes over 600 lakh kg of mutton annually. Prior to the withdrawal of price controls, mutton prices in the region were relatively lower compared to other states. However, it remains to be seen how the new regulations will impact the prices and availability of mutton, especially given the demand in the union territory, especially in the Valley.
As the government’s decision takes effect, it is crucial for the administration to provide further clarification on the pricing mechanism and address the concerns raised by people. While market forces can play a role in determining prices, it is crucial for the government to maintain a balance between free-market principles and ensuring fair pricing for the benefit of its citizens.
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