- Definition: ECA empowers the Central Government to intervene in the market.
- It protects consumer interests.
- Key Provisions:
- Empowers Central Govt. (and State Govts) to regulate production, distribution, pricing.
- For commodities declared as essential.
- Aims to make commodities available to consumers at fair prices.
- List includes drugs, fertilizers, foodstuffs, petroleum, raw jute, seeds.
- If a commodity is in short supply and price is spiking, Centre can notify stock-holding limits.
- States specify limits and ensure adherence.
- Traders are prevented from stockpiling beyond a certain quantity.