Welcome to a country where candies are replacing coins



This post has won the H.U.M. contest conducted by the Blogger's Park Magazine (World's first blogazine) at scratchmysoul.com under the category "THE NEW INDIAN CURRENCY - CANDY"

Last month, when I was travelling from Indore to Bhopal and as my cab crossed the first toll booth on the highway, the cabbie handed me a ten rupees note and 3 eclairs (Cadbury was not written on those fake éclairs). As i was doing a post mortem of those counterfeit eclairs, which is my habit, the driver adviced not to gulp them as the same could be handed over at the very next toll booth. I resisted the temptation and utilized those eclairs. This cycle continued until we crossed all the four toll booths. The éclairs received at one toll booth were readily acceptable at the other in place of coins. I had been receiving such chocolates instead of coins at the provision stores, but never knew that the same would be even acceptable to them. Even swanky hyper markets spread over thousands of square feet, have a separate box at their cash counters for these 1 rupee candies along with the coins. Welcome to a country where candy is replacing coins.

New Indian Currency
This, “a candy for a coin” trend reminds me of a lesson from my school days where I was taught the concept of barter system. Certain commodities where assigned a specific value and were traded in exchange of certain other commodities : Goats for a sack of rice, horses for a sack of wheat. Due to the difficulties faced in carrying and valuing the goats and the horses, metallic coins were introduced even before Christ was born. Some wise man said that history repeats itself, and now because of the shortage of metallic coins, we have found a new substitute for it in the form of candy. Looking at the ease at which these candies are getting acceptable at all places, I wonder if the RBI or the Government of India is having some secret plans to introduce an official 1 rupee chocolate candy promising to provide the bearer a sum equivalent to rupee one. Who knows, it can even introduce 10 rupees official chocolate bars in place of currency notes. In case the chocolate bar is ina melted state, it may be treated at par with a soiled note. Welcome to a country where currency is wrapped up in a shining wrapper.

Jokes apart, this phenomenon of giving “a candy for a coin” is not as simple as it prima facie appears to be. Its roots are deeper than they appear. The prices of steel, which is the raw material for coins in India, have been zooming northwards for quite some time now. As a result of which, the intrinsic value of an Indian coin far exceeds the legal or face value of such coin. The coins which are in circulation in the market are being collected from the market at a premium, melted and then supplied for manufacturing razor blades and other petty steel articles. It has actually become a lucrative business in some parts of the country. This has lead to a shortage of coins in the Indian market. But a person’s bane may be another person’s boon. Shortage of coins has led to the flooding of markets with 1 rupee candies, which the shopkeepers are using instead of coins. I am sure that one day some political party will take this issue to the Parliament that blah blah MNC is sucking the Indian coins to boost the sales of its candies.

Candy, the new Indian currency comes with unique features, thus covering up the shortcomings of the metallic Indian coins. Its intrinsic value is far less than its face value. A candy, worth a few paisas is actually worth a rupee in the market. Buying it at a premium and melting it would be of no use as it would again remain a candy only, though in a different shape. In case you feel hungry and even if u have a coin, you cannot eat it. But this new currency can immediately satisfy your hunger. Welcome to a country where cocoa is replacing metal.

The factors of Demand and Supply drive an economy. From cows to coins and then from coins to candies, these factors will keep evolving the exchange system. Paying the toll tax made me realize that its not only the state of highways which is changing in India, but also its currency. Candy has become India’s new legal tender, its new currency.

Please feel free to leave your comment on this article.




Share your views...

50 Respones to "Welcome to a country where candies are replacing coins"

Maun Vision said...

excellent work. keep it up.


September 15, 2010 at 7:57 AM
Nandan Narula said...

Thanks a lot Mr. Pramod

SARAVANA BALAAJI said...

good work


September 16, 2010 at 12:31 AM
Nandan Narula said...

Thanks for your feedback Mr. Balaaji.. welcome to MONEY MATTERS.

Raghav said...

nice post...even i remember utilising the eclairs at the toll booths...


September 16, 2010 at 10:03 AM
Nandan Narula said...

Very True. . this new currency is becoming acceptable over the counter across the country

Nalini Hebbar said...

All coins go into hundis in temples, LOL


September 16, 2010 at 9:44 PM
Nandan Narula said...

. . . leaving us with no choice but to accept chocolates. .

Sanjog said...

Very true, we have not choice but to accept chocolates or forget the change..


September 17, 2010 at 5:59 AM
Nandan Narula said...

. . . better enjoy the chocolate than to leave empty handed. .

Vinay said...

But, do you realise that the toll-booth operator or the hyper-market gets those candies for less than a rupee? Since they buy in bulk, they would be getting atleast 10-15 paise rebate. And if they give away 3000 candies a day instead of actual change, they are raking a profit of Rs. 300-450 (atleast) per day. That turns out to anywhere between 9000-14000 per month. Now, you can do the math yourself and see who is losing!


September 17, 2010 at 8:24 AM
Nandan Narula said...

Very true Mr. Vinay. It was an attempt by me to deal with this phenomenon in a sarcastic way. I raised the same point in my article also that the intrinsic value of a candy ( i.e. the cost price here) is far less than the intrinsic value of a rupee coin, so definitely the person giving it is at an advantageous position. But for the receiver the price of a candy as well as a coin remains the same. It is for this reason only that some shopkeepers will never accept the candies even though they themselves are giving it in place of coins.

era said...

superb... d satire couldn't have been better...


September 18, 2010 at 12:36 PM
Nandan Narula said...

Thanks a lot for your feedback Era and welcome to MONEY MATTERS

zephyr said...

That was a post on economics that even aam janta like me can understand! It was put in a funny vein to make it more enjoyable!

Thanks for promoting my post. Do visit the blog too!


September 18, 2010 at 8:39 PM
Nandan Narula said...

Welcome to MONEY MATTERS zephyr and thanks for ur appreciation.

Arjun Chauhan said...

You really have a talent to write good post's...


KEEP BLOGIN.....


September 20, 2010 at 8:09 PM
Nandan Narula said...

Thanks a lot Arjun for your appreciation. Hope you find the contents of MONEY MATTERS interesting and useful.

Aashish Sood said...

A nicely written article... at the first glance, I could not decide whether it was a satire or not... but when I started reading in detail, I realised it provided more material in depth... I have had candy at the stores as well but did not know about the toll booth concept... but some technical glitched say a 100 eclairs pack comes for 80-85 rs in wholesale market (which is where these people would be buying) which means they give a Rs 0.85 candy in exchange for Rs. 1 coin. Hence per 100 such transactions, 15 rs are gained in transaction and even then, the candy is traded for rs 1 between tolls... but interesting insight :D


September 21, 2010 at 1:10 AM
Nandan Narula said...

Welcome to MONEY MATTERS Mr. Ashish and thanks for your feedback. It is for the this reason only that i compared the intrinsic value of a coin with that of a candy. Many a times you will find that the vendor may not accept such candies coz he knows that the cost of such a candy is less than a rupee, its face value

niharika said...

It was fun reading it. Really enjoyable.


September 22, 2010 at 9:08 AM
sanjay kapoor said...

good write up... keep it up..


September 22, 2010 at 9:50 AM
Nandan Narula said...

@ Niharika : Thanks a lot. . even i enjoyed writing it.:-)
@ Sanjay : Welcome to MONEY MATTERS and thanks for your appreciation

Ratnadeep said...

Excellent post. Liked so much.


September 25, 2010 at 5:07 AM
Nandan Narula said...

@ Ratnadeep : Welcome to MONEY MATTERS and thanks a lot for your valuable feedback

Juzar Noorani said...

Great Post. Its not only steel or metal that is being replaced by these candies. The 1 Rupee notes have long vanished. It has been years since I have seen one. Seems the printing cost on the paper is far more then its face value.


September 27, 2010 at 11:39 AM
Nandan Narula said...

@ Juzer Noorani : Thanks a lot for your valuable feedback. You have very rightly pointed out that 1 rupee note is history now. The main reason behind it is that a rupee note, being made of paper, has a very short life and being a note of a less value, it keeps changing hands very often, thus further reducing its life and making its circulation and maintenance a costly affair.

Vanathi said...

One rupee notes to coins to candies. Candies are indeed becoming the new medium of the exchange system. Can't wait to see what's next! :)

Nice post Mr. Nandan.


September 29, 2010 at 12:38 AM
Nandan Narula said...

@ Vanathi : Welcome to Money Matters and thanks for your feedback. Who knows, candies may get replaced by cucumbers. . !!!!!

Anonymous said...

Nice one bro!


October 1, 2010 at 8:11 AM
Zainab Urooj said...

Good One Nandan!! And ya..Thanks for accepting the awards.


October 3, 2010 at 6:02 AM
Nandan Narula said...

@ Zainab : Thanks and thanks. First one for your feedback and second one for those lovely awards.

Sundari Venkatraman said...

What you are saying is so true. But it never struck me that the value of the steel in the coins could be more than the intrinsic value. That's a damned good observation. Liked your article. :)


October 9, 2010 at 4:20 AM
Nandan Narula said...

@ Sundari Venkatraman : Thanks a lot for your feedback. Hope to see you again at MONEY MATTERS

vyasa said...

Thanks for telling us the real reason behind the disappearance of metallic coins. Candy manufacturers will come out with cheaper (low quality, non edible, look alike almost plastic in content, candies - after they are just to be swapped again! Same guys who collect metallic coins for sale to razor blade manufacturers will also trade in Nakli candies!


October 13, 2010 at 8:53 AM
Nandan Narula said...

@ Vyasa : Welcome to MONEY MATTERS and thanks a lot for your feedback. India is a nation where loopholes are discovered even before the law is implemented. Hoarders and smugglers will never sit idle, if not coins,they will start trading in 'Nakli'candies

MAUSUMI said...

Hey loved reading this.
I also have come across this very new barter system of a candy against a rupee. Initially I was happy for it till i discovered the candy to be 'nakli'.
Now waiting for the day, as per u when candies become India's new legal currency.


October 18, 2010 at 11:49 AM
Nandan Narula said...

@ Mausami : Welcome to Money Matters. Lets see when does the new currency gets a legal recognition. . :-)

We Cognize said...

I did not know about this at all, thanks for the knowledge ! Also, very well presented.


October 24, 2010 at 9:02 PM
Nandan Narula said...

Thanks "We Cognize" for following MONEY MATTERS. Hope to see you here again

iti said...

very true and the satire over here is very interesting reflecting one of the problem of the country..we all had come across these candies at the provision stores or at medical stores...


October 25, 2010 at 12:23 AM
Nandan Narula said...

@ Iti : welcome to MONEY MATTERS and thanks a lot for your valuable feedback.

shenoyjoseph said...

i really involved by reading this post

thanks for sharing excellent information


October 29, 2010 at 7:02 AM
Nandan Narula said...

@ Shenoy : Thank you so much for your appreciation. Hope to see you at MONEY MATTERS soon

Sandeep Motwani said...

loved da article bro
its really exciting to enter this blog world and know things i'd never have known....

hope i'll get some readers as well :)


December 26, 2010 at 1:59 AM
Nandan Narula said...

@ Sandeep : Welcome to MONEY MATTERS. All the very best for all your blogging endeavors. Hope to see you here again.

Sandeep Motwani said...

am always reading urs :)


December 28, 2010 at 2:16 AM
dguide said...

I believe if you are accepting 1 rupee eclair, than you are discount 30 np dealer margin, if it is duplicate that it is 50np...I believe this barter system was introduced when acute shortage was prevalent. People started making premium by selling coins, now each establishment would do good to give a voucher I OWE YOU or credit notes for the change or credit it into your loyalty cards.


January 29, 2011 at 6:36 AM
yash1229 said...

Hahaha, really nice observation, Nandan.
The next time I receive chocolates instead of coins, I'm gonna give them a link to this post. And, trust me, you're gonna get a lot of traffic. :D
Promoted! :D

Please read & promote my post on IndiVine-

The Tablet Revolutionary


August 31, 2011 at 8:51 AM
Rajendra Raikwar said...

good one


November 17, 2011 at 1:19 AM

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