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Gujarat Fishermen Get Relief as Centre Rolls Back Diesel Price Hike

The Central government has directed the rollback of a significant diesel price hike for fishing boats in Gujarat. The hike, introduced by BPCL, had raised concerns about the economic viability of fishing operations and the livelihoods of coastal communities. Gujarat's Fisheries Minister Jitu Vaghani had written to the Union Petroleum Minister, arguing fishermen should not be classified under a 'consumer segment' leading to higher costs. Following the state's representation, the Centre instructed BPCL to withdraw the increase, ensuring fishermen continue to receive diesel at concessional rates.

Key Points: Centre Rolls Back Diesel Price Hike for Gujarat Fishermen

  • Diesel price hike of Rs 22.43/litre rolled back
  • Hike imposed by BPCL under contract with fisheries federation
  • State warned of impact on incomes and fish prices
  • Central government accepted state's request for relief
  • Fishermen to continue getting concessional diesel rates
3 min read

Gujarat fishermen get relief as Centre rolls back diesel price hike

Central government withdraws Rs 22.43/litre diesel price hike for Gujarat fishermen after state's intervention, providing relief to coastal communities.

"Fishermen... are presently being categorised under the consumer segment rather than being treated at par with retail consumers - Jitu Vaghani"

Gandhinagar/New Delhi, March 21 The Central government, on Saturday, directed the rollback of a Rs 22.43 per litre increase in diesel price for fishing boats in Gujarat, following representations by the state government over the impact on fishermen.

The price hike had been introduced by the Bharat Petroleum Corporation Limited (BPCL) under a contracted arrangement with the Gujarat Fisheries Federation (GFCCA), which facilitates discounted diesel supply to fishermen.

The move had triggered concerns among fishing communities along the Gujarat coast, with representations made by Ministers, legislators, local leaders and fishing organisations.

In a letter to the Union Petroleum and Natural Gas Minister Hardeep Singh Puri on Saturday, state Fisheries Minister Jitu Vaghani termed the hike a "serious concern", saying it imposed "an additional burden of Rs 22.43 per litre on fishermen".

Minister Vaghani wrote that fishermen were being classified under the 'consumer segment' instead of being treated at par with retail customers or other essential sectors, leading to higher operational costs.

"Fishermen, who are integral to ensuring food security and livelihood generation in coastal regions, are presently being categorised under the consumer segment rather than being treated at par with retail consumers or other essential sectors," he said, adding that fuel expenses form a major component of fishing activity.

The letter noted that the fisheries sector is highly sensitive to input costs and warned that the increase would "adversely impact the economic viability of fishing operations", affecting incomes as well as fish prices, export competitiveness and overall sectoral growth.

Referring to discussions with BPCL, Minister Vaghani said that exceptions had been granted in other cases, including for state road transport corporation, to minimise hardship for the public.

He urged that "in the same spirit" the fisheries sector be granted a 'special exception', and requested a review of the pricing mechanism along with reclassification of fishermen to ensure parity with retail and other essential segments.

Acting on the representation, the Central government accepted the request and instructed BPCL to withdraw the price hike.

According to the state government, the decision ensures that fishermen across Gujarat will continue to receive diesel at the previously fixed concessional rates, providing relief to coastal communities dependent on fishing for their livelihoods.

Following the development, Minister Vaghani expressed gratitude to the Prime Minister Narendra Modi, Chief Minister Bhupendra Patel and Union Minister Hardeep singh Puri for the decision taken in the interest of fishermen.

"The state government is always committed to the welfare of fishermen and will continue to remain so," the Minister said.

- IANS

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Reader Comments

S
Sarah B
Sensible decision. Why were they classified under 'consumer segment' in the first place? Fishermen provide essential food security. Their fuel should be subsidized, not taxed more. Glad the correction happened quickly.
M
Meera T
As someone from Porbandar, I can tell you the relief in our village is palpable. My father and uncles are fishermen. This hike would have meant fewer trips to sea and less income. Thank you to Minister Vaghani for raising the issue effectively. 🙏
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Aman W
Good step, but this is reactive governance. BPCL should have done proper impact assessment before proposing such a steep hike. These decisions affect lakhs of livelihoods. Need more foresight from PSUs.
K
Karthik V
This shows the system works when state and centre coordinate. The fisheries sector is the backbone of our coastal economy. Hope they now get a permanent reclassification to avoid such issues in future. Well done to all involved.
P
Priyanka N
Relief for now, but what about long-term policy? Fuel prices are volatile. We need a stable mechanism for essential sectors like fishing and farming, not last-minute rollbacks after protests. The letter by the minister made very valid points about parity.

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