Price control in Guwahati has always been reactionary rather than preventive. There is no long-term vision, and the burden inevitably falls on consumers
-- Former economist at Gauhati University
Residents of Guwahati are reeling under the weight of skyrocketing prices of essential commodities, with many questioning the government’s ability to address inflation effectively. As the city struggles with an unrelenting rise in the cost of food items and fuel, citizens have expressed frustration over dwindling purchasing power, accusing authorities of neglecting their plight.
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A survey conducted across local markets, supported by word-of-mouth evidence, paints a grim picture. Prices of staple vegetables such as brinjal and cauliflower have surged to ₹60-100 per kilogram, while ginger is retailing at an eye-watering ₹260 per kilogram. Green chillies, a staple in Assamese households, are priced at an astronomical ₹220 per kilogram. The situation is further aggravated by seasonal vegetables like French beans and carrots, which cost ₹160 and ₹140 per kilogram, respectively. Even basic items like pumpkin, once an affordable option, now cost ₹50-60 per kilogram.
The escalating prices have drawn sharp criticism from residents, many of whom blame intermediaries and a lack of effective market regulation for the crisis. A local vendor, speaking anonymously, stated, “The cost of transporting goods has risen due to high diesel prices. It’s not just inflation; the government’s failure to cap transport costs is directly hitting both us and consumers.”
This is not the first time Guwahati has faced such a crisis. In recent years, prices of vegetables and other commodities have shown an alarming upward trend, especially during festive seasons. In 2022, media reports highlighted a similar outcry when the prices of potatoes, onions, and even cooking oils hit unprecedented levels. Despite temporary measures by authorities, including the setting up of subsidised outlets and crackdowns on hoarders, the impact has been short-lived.
Fuel prices, a major contributor to inflation, have also been a recurring issue in Assam’s capital. Reports from 2023 revealed that high transport costs due to surging diesel rates often trickled down to the consumer, magnifying the problem. Although high-octane fuel options are increasingly promoted, the absence of subsidies and rising crude oil prices globally have ensured that these initiatives fail to provide meaningful relief.
The soaring prices have dealt a severe blow to household budgets. With a significant percentage of Guwahati’s population earning a modest income, many are struggling to afford basic necessities. Homemakers, a group traditionally responsible for household budgeting, have expressed dismay at the current situation.
“I used to buy green chillies for ₹80 per kilogram last year; now it’s more than ₹200. Vegetables like beans and carrots have become luxuries,” said a resident of Beltola. “Our salaries haven’t increased, but our expenses have doubled. We are being forced to cut down on nutritious meals just to make ends meet.”
According to a recent study by the Assam Chamber of Commerce, the average expenditure on groceries for middle-class families in Guwahati has increased by 35% over the past year. The report also notes that families are opting for less nutritious diets due to unaffordable prices, potentially leading to long-term health consequences.
While residents vent their anger, government authorities have cited a mix of external and internal factors for the crisis. Officials from the Food and Civil Supplies Department pointed to supply chain disruptions, adverse weather conditions, and the rising cost of transportation as key reasons behind the price surge.
“There is limited scope for intervention at the state level when inflation is being driven by global factors, including fuel price hikes,” an official stated on condition of anonymity. However, critics argue that these explanations offer little comfort to the common man, who continues to bear the brunt of ineffective policymaking.
Adding to the crisis, the Assam Agricultural Marketing Board’s inability to regulate the prices of locally grown vegetables has drawn severe backlash. Several opposition leaders have demanded immediate action, including subsidies for essential items and the establishment of farmer-centric policies to control market volatility.
The lack of effective monitoring mechanisms has also been highlighted as a major cause of the crisis. Market watchdogs tasked with preventing price gouging have been accused of either inaction or collusion with traders. Previous media reports suggest that while inspections are carried out sporadically, they fail to address the root causes of inflation.
For example, during the 2020 lockdown, raids conducted in Guwahati’s Fancy Bazar revealed hoarding of essential items, driving up prices artificially. Despite assurances of stricter oversight, such practices continue to plague the city’s markets.
A former economist at Gauhati University, stated, “Price control in Guwahati has always been reactionary rather than preventive. There is no long-term vision, and the burden inevitably falls on consumers.”
Compounding the crisis is the unrelenting rise in fuel prices, which has a cascading effect on transportation costs and, subsequently, commodity prices. Diesel, the lifeblood of the transport sector, has seen a consistent rise over the past year. According to data from the Indian Oil Corporation, diesel prices in Guwahati have increased by 18% since January 2024, pushing transportation costs to unsustainable levels.
Auto drivers, delivery agents, and small business owners have been particularly vocal about their struggles. “We can’t pass on the rising fuel costs to customers all the time. Many of us are running at a loss,” said a delivery executive.
The Assam State Transport Corporation (ASTC) has also come under fire for failing to subsidise public transport adequately. Critics argue that affordable and efficient public transport could help mitigate some of the economic strain on residents.
When Guwahati gears up for the festive season, the price surge further worsens. During Durga Puja last year, prices of essential commodities rose by 20%-30%, according to a report by the All Assam Traders’ Association. A similar trend is anticipated this year, further straining household budgets.
Street vendors, who relied on the festive season for a significant portion of their annual income, faced reduced sales due to the ongoing crisis. “Fewer people bought sweets and snacks this year. Everyone was cutting corners,” said a vendor near Ulubari.
Amidst growing public unrest, experts have called for immediate intervention to address the crisis. Suggested measures include cracking down on hoarding, reducing transport costs through subsidies, and creating a transparent pricing mechanism.
The government has also been urged to strengthen the public distribution system (PDS) to ensure affordable access to essential items. However, with a history of delayed responses and ineffective implementation, citizens remain sceptical.
For now, Guwahati residents see little relief on the horizon. With inflation showing no signs of abating and government interventions failing to make a tangible impact, the city’s economic woes are set to continue. As one frustrated resident aptly put it, “We are surviving, not living. The government has to step up before it’s too late.”
In a city that has long prided itself on resilience, the soaring prices have exposed vulnerabilities that demand immediate and sustained attention. Until then, the struggle for affordability remains a harsh reality for Guwahati’s citizens.
