financetom
Economy
financetom
/
Economy
/
India’s COVID crisis pushes up the cost of living and dying
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
India’s COVID crisis pushes up the cost of living and dying
May 14, 2021 8:27 AM

Ashok Khondare, a 39-year-old vegetable seller in the western Indian city of Pune, had already borrowed money to pay for his sister's treatment when she died in a private hospital two weeks after contacting COVID-19.

While trying to overcome the tragedy, he also had to deal with money problems that increased with his sister's death.

The only available hearse driver charged 5,000 Indian rupees ($68) for a 6-km (four-mile) journey to the nearest crematorium – five times the going rate. When Khondare reached there, there was a long queue of dead bodies and waits of more than a day. He agreed to pay another 7,000 rupees to jump the queue.

"I had been experiencing a terrible situation for a fortnight," he said. "I couldn't sleep or eat properly. I wanted to end this as early as possible and didn't mind paying an irrational amount."

India’s second wave of the coronavirus has not only created shortages of oxygen, medicines and hospital beds, but also of wood for funeral pyres, hearses and crematorium slots, forcing people like Khondare to pay exorbitant amounts to perform the last rites of loved ones.

India is reporting by far the highest number of new daily cases globally, and over 4,000 deaths per day – figures that are almost certainly under-reported, according to experts.

India’s Hindu majority cremates its dead, and the huge numbers of deaths are creating backlogs at cremation grounds and shortages of manpower and raw materials.

"There is huge demand for firewood used for funeral pyres at crematoria, but supplies are not sufficient," said Rohit Pardeshi, a firewood merchant in Satara, a city in the western Indian state of Maharashtra.

Due to a local lockdown designed to curb the pandemic, there is a shortage of people to cut trees and those workers who are available are asking for higher wages.

"This has created a shortage of firewood and lifted prices," Pardeshi said.

Retail prices for firewood are up by at least 30 percent, and have more than doubled in some areas, said a second firewood seller in the same city.

In the north Indian state of Uttar Pradesh, 24-year-old Mukul Chaudhary faced similar problems after his mother died in the state capital Lucknow.

The ambulance driver who dropped his mother off at the hospital for 5,000 rupees charged even more to take her body to the crematorium.

"We had to beg him not to overcharge us further," Chaudhary said.

Firewood for the cremation cost double the normal rate, while the priest who performed the last rites charged the family 5,000 rupees – two to five times the usual amount.

Rohit Jangam, a Hindu priest in Satara, said many priests there were refusing to enter crematoriums out of fear, and those who were willing were charging higher prices.

"It is too risky to perform the last rites of those died because of coronavirus," he said. "If someone asks, I do, but I charge more since I am taking the risk."

He declined to disclose how much more he was charging.

OXYGEN RACKET

For COVID patients who manage to survive, black marketing of medical supplies is rampant, with desperate relatives paying huge sums in what is still a low-income country.

In the capital New Delhi, oxygen cylinders have changed hands for as much as 70,000 rupees, according to interviews with relatives – twenty times the usual price and many times the monthly salary of the average Indian.

Police there have made more than 100 arrests in cases connected with overcharging, including for drugs, ambulance services and hospital beds.

Arveena Sharma, a 28-year-old lawyer from Noida, a satellite city of New Delhi, has helped more than a dozen COVID patients who are friends and relatives get oxygen and medical supplies in the last month. Almost all of them have overpaid significantly.

"They're like vultures," she said of those selling black market drugs.

"You are standing in front of me with something which might save me and you’re looking at my pocket."

($1 = 73.3130 Indian rupees)

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Fed Skips Rate Cut Again—But Reveals Something We Haven't Seen Since 1993
Fed Skips Rate Cut Again—But Reveals Something We Haven't Seen Since 1993
Jul 30, 2025
Anticipation was sky-high heading into a politically charged Federal Reserve meeting, after months of relentless pressure from President Donald Trump to deliver rate cuts, but the central bank didn't budge. Yet what unfolded behind closed doors revealed one of the most profound internal cracks in decades. The Federal Open Market Committee held interest rates steady at 4.25%-4.50% in its July...
Fed holds rates steady despite Trump's pressure, with two governors dissenting
Fed holds rates steady despite Trump's pressure, with two governors dissenting
Jul 30, 2025
WASHINGTON (Reuters) - The Federal Reserve held interest rates steady on Wednesday in a split decision that gave little indication of when borrowing costs might be lowered and drew dissents from two of the U.S. central bank's governors, both appointees of President Donald Trump who agree with him that monetary policy is too tight. The unemployment rate remains low, and...
FOMC Maintains Federal Funds Rate; Two Governors Wanted Rate Cuts
FOMC Maintains Federal Funds Rate; Two Governors Wanted Rate Cuts
Jul 30, 2025
02:15 PM EDT, 07/30/2025 (MT Newswires) -- The Federal Open Market Committee maintained the target range for the federal funds rate at 4.25% to 4.5%, but there were two dissenting votes by Federal Reserve governors for the first time since 1993, both looking for a 25-basis point rate reduction. Federal Reserve Vice Chair for Supervision Michelle Bowman and Fed Governor...
Fed policy decision generates most governor dissents since 1993
Fed policy decision generates most governor dissents since 1993
Jul 30, 2025
(Reuters) -The Federal Reserve's decision to hold interest rates steady following the end of a two-day policy meeting on Wednesday generated the largest number of dissenting votes by governors at the U.S. central bank in just over three decades. Governor Christopher Waller and Fed Vice Chair for Supervision Michelle Bowman cast votes against the decision to hold the central bank's...
Copyright 2023-2026 - www.financetom.com All Rights Reserved