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The Magazine

December 14, 2003




Consumers butchered



By Aamir Shafaat Khan


The city government’s enthusiastic assault on Karachi’s meat merchants seems to have brought little relief to the people

THE City government’s crusade against the meat merchants to sell meat at reduced rates during Ramazan had started with a bang. However, as things turned out, it soon fizzled out.

Consumers are still buying mutton and beef (bachia) at Rs170-200 per kg and Rs90 per kg with bones and Rs120-130 per kg without bones.

The zealous campaign against the clever meat merchants may have proved to be a sheer experience of “lost and found” for the price regulators. They may have equiped themselves for the next year’s Ramazan, but ultimately, it were the consumers who turned out to be the real losers.

Many market pundits think that the City government plunged into the meat-affairs without carrying out any spadework, like counter checking the claims of meat merchants regarding heavy exports of meat, rising smuggling of live animals to Afghanistan and other bordering countries, shortage of animals in the markets and sky-rocketing prices at wholesale levels.

The City government should have collected these vital stats ahead of Ramazan before embarking upon price controlling exercise and arbitrary fixing mutton and beef prices. If they had the relevant information, then things would not have gone so much out of control. But the fact is, price regulators conducted market surveys and collected data regarding exports, when Ramazan was half-way through.

Still, the battle of egos, between City government and Meat Merchants Welfare Association (MMWA) give birth to a rival group of the MMWA. Haji Saleemuddin Quereishi, a former vice-president of MMWA, joined hands with City Nazim Naimatullah Khan for the rescue of the general public. Unfortunately, it is alleged, that the rivals of MMWA, who had called off their strike as well as the Haji Saleemuddin members, made full of the situation, especially two days before the Eid, charging Rs200 for mutton and Rs90 per kg for bachia meat with bones and Rs120-130 per kg without bones.

During Ramazan, various outlets were opened for the benefit of the public and the City government, in collaboration with two meat exporters, made available mutton at Rs150 per kg. However, only a handful of consumers could utilise this service.

Many consumers think that when the City government was not fully equipped to deal the well-organized meat merchants mafia, then why did it create such a hype in which neither the people nor the price regulators were the benefactors?

Executive District Officer, Enterprise and Investment Promotion, City Government, M. Raeesuddin Paracha, however, tries to defend the City government’s move of price checking. “Our efforts were basically aimed at containing the price hike of meat during Ramazan. We have definitely succeeded in our efforts in restricting further flare up of meat prices.”

But MMWA members had threatened the City government of selling mutton at Rs200 per kg during Ramazan and not giving any guarantee for the prices after the Ramazan. Keeping in view the price of mutton at Rs170-180 per kg, prevailing ahead of Ramazan, the City government came to the rescue of consumers.

“I can say that we have achieved at least 50 per cent success in terms of maintaining the prices,” Raeesuddin claims adding that the price cut in mutton and beef was not the aim of the government. “I think maintaining the rates under such circumstances can be termed as a success,” he adds.

He says that City government’s efforts, irrespective of its results, have somehow succeeded in creating awareness and resistance among the meat lovers. He claims mutton was sold at Rs150 per kg in majority of city’s markets except in posh areas during Ramazan.

The price checking exercise was very hectic especially considering the non-availability of infrastructure and work force available to the government, he says.

Many consumers offer mixed reaction over the success and failure of price control exercise and now pose a vital question about the continuity of this exercise after Ramazan.

“We have received offers from two companies for selling meat at prescribed rates provided the government offers them retail outlets,” Paracha says adding that each company is asking to run at least 10 outlets in various areas. “I have sent their proposals to the Nazim and work is being done,” he says.

Though late, the City government, after an extensive market survey and assessment during Ramazan, has finally come out with some startling truth about the meat merchants mafia which definitely nullifies the stance of the MMWA regarding shortage of animals, smuggling and meat exports.

The City government says that there is no shortage of animals and there is no price escalation of livestock. The total population of buffalo stands at 48.1 million and that of goat and sheep at 77.4 million, which are rising at the rate of average 25 per cent per annum. Similarly meat production of the country for beef is 1,060 million tons, and for mutton, 702 million tons.

As far as the price hike of goat is concerned, price regulators also term it a false propaganda of the MMWA. The average goat weighing 10kg is available in open market for Rs1,600 instead of Rs2,500-3,200 as claimed by the MMWA. After deducting all expenses and considering the sale of skin, head and toddlers and stomach, the price at home of mutton comes at Rs127 per kg which can be easily sold at retail price of Rs140 per kg.

Similarly, the landing price of buffalo comes around Rs47.24 per kg, which could be sold at Rs60 per kg. The landing cost of Heifer (Bachia) meat is Rs64.83 per kg which can be sold at Rs77 per kg after retaining a sizable profit margin.

The buffalo meat at wholesale level ranged between Rs2,000-2,200 per 40 kg on which the City government had fixed the prices at Rs60-70 per kg. The price of bachia meat had been fixed at Rs75-80 per kg keeping in view of wholesale rates of Rs2,400-2,500 per 40 kg.

The government’s findings also claim that it had held a series of meetings with MMWA. In the first meeting on October 13, MMWA presented certain demands to redress their problems, including ban on transportation of live animals from the cattle market of Karachi. The MMWA representatives assured that prices would decline if ban is imposed. The City government imposed the ban on transportation of live animals outside the limits of City District, Karachi. But when such order under Section 144 Cr.PC was issued, MMWA backed out from their promise and refused to comply the prices fixed by the government vide notification on October 24.

After two more meetings with MMWA, the City government fixed the prices of beef quality No1 and No2 at Rs70 and Rs60 per kg. Beef (boneless) at Rs90 per kg. Calf bachia No1 and No2 quality at Rs80 and Rs75 per kg. Mutton A-1, No2 and No3 quality at Rs150, 140 and Rs120 per kg. However, in real sense these prescribed prices remained a dream of the consumers to buy it.

MMWA, instead of selling meat at notified prices, announced strike and closed their shops, causing a great deal of inconvience to the general public in Ramazan. It was their design and practice to force the government by blackmailing tactics to come to comprise with them and allow them to sell the commodity at the arbitrary rates of MMWA.

City Nazim, Naimatullah Khan decided not to succumb to the unjust demands of the MMWA and decided to provide export quality meat to the citizens in collaboration with P.K. Livestock and Pakistan Traders. Stalls were set up all over Karachi under the supervision of Town and Union Nazims where mutton was provided at Rs150 per kg. In fact, according to Tariq Mehmood Butt, owner of P.K. Livestock, the strike has led to a build up of livestock. “Karachi consumes 50,000 goats and sheep everyday. Due to the strike, there are no over 150,000 animals which could not be slaughtered because of the strike. So there is no case on the meat-merchants part to raise the prices and pretend that there is an animal shortage.”

Still, the MMWA filed a case in the Sindh High Court (SHC) against the City government, challenging the arbitrary fixation of prices by the government.

However, City government feels that the MMWA’s Iqbal Qureishi, the petitioner, is not a genuine representative of the butchers community and a jeweller by profession. Iqbal sensed that if the government succeeded in establishing a writ over the issue, he would be ousted from the so-called leadership of the association, which otherwise brought fringe benefits to him and associates in the form of contract for blood collection at Slaughter House, Karachi, fetching more than Rs10 million every year and other source of income. MMWA hurled threats to those butchers who had called off the strike and had resumed their business. It also threatened animal traders and arthis (middlemen) of dire consequences in order to disturb peaceful operation of the Cattle Market (piri).

City government also contends that the MMWA is a welfare organization and is required to work for the welfare and betterment of the members and community. Contrary to this, MMWA had indulged in hooliganism, black-marketing, holding illegal strikes and other criminal activities.

As far as blaming meat export for shortage — export of beef and mutton during July-June 2002-2003 stood at 1.51 million and 3.32 million kgs out of total beef and mutton production of 1,060 kgs and 702 million kgs, City government officials say.

To stabilize prices of mutton, it is essential to eradicate the system of Aarthis (middlemen) as they purchase a large number of live animals from traders who come from interior Sindh and Punjab and thereafter sell it to butchers on credit at an increased price. It is estimated that this process causes a rise of Rs200-300 in the price of an average goat which ultimately results in increase of retail price of mutton. Traders of livestock should bring their animals in Cattle Piri and sale directly to the butchers/buyers.

Mr Qureishi too supports this view. “Issues such as smuggling of live animals and even meat to neighbouring countries, non-implementation on ban on transportation of live animals from the cattle markets of Karachi under Section 144, existence of the arthis system and non-election of MMWA genuine new members need to be addressed immediately.”

Another fact, that he says is a hurdle is the MMWA. “Election of MMWA should be held and things could turn in favour of consumers if only genuine shopkeepers participate in the polls. The current top slots of the MMWA includes a jeweller, a hotel owner and an aarthy who is involved in the racket of blood sales worth millions of rupees every year. How can these people justify with the community when their source of income is based on a dirty game of blood collection?

Consumers’ grievances do not end here. They had to take costly ride of paying high prices of vegetables and fruits throughout Ramazan. Two days before Eid, consumers were paying Rs 80-100 per kg for tomatoes and Rs20 per kg for onions besides paying high meat prices. Melons were sold at Rs25-30 per kg instead of notified rate of Rs15 per kg.

A total of 54 complaint centres had been set up all over Karachi in collaboration with Town Administration. All the Deputy District Officers (Revenue) had been conferred powers of special judicial magistrates.

To gauge the City government’s success during Ramazan, a total of 3,500 cases had been decided and a fine of Rs1.9 million had been imposed and recovered from profiteers of all essential commodities. In addition, some of the profiteers have been sentenced for imprisonment.

Definitely this so called achievement of the City government does speak volumes in view of the size of the megacity and its population where majority of vendors and profiteers enjoyed a field day during Ramazan.

“I know, it is not a substantial amount. The fines should have been more than Rs 10million,” EDO Raeesuddin Paracha says attributing low cases and small amount of challans to non-availability of work force and infrastructure.

He thinks that the government has learned a lot from this Ramazan, specially from the meat crisis, and as an experience, it will help a lot in chalking out price checking strategies in a more effective way for the next year’s Ramazan.

 

The suffering continues


CONSUMERS had started feeling the difference in the behaviour of butchers, especially during Ramazan, who were selling the low quality meat as grade one quality.

A war of words between the butchers and consumers, especially looking for beef (bachia), had become a regular feature in the past month and even till today. Butchers have put on display quite a bulky calf (bachia) thus bewildering the consumers who are out to procure meat at any cost. They usually complain about the reddishness of calf meat which is usually pinkish in colour.

Butchers keep on appeasing buyers about the goodness of meat and ultimately the consumers fall prey of the slippery tongue of clever meat merchants. If buyers complain about the heaviness of calf, during the cumbersome purchasing exercise, butchers plainly ask the buyers to bring the cooked meal back to them in case of any problems!

Butchers already know that people, at a time when values are falling, will not dare to devalue their personalities again in front of many people.

Usually it is observed that the calf meat tenders quickly while cooking and does not change its colour to black as compared to red meat of an old cow which changes its colour during cooking and also takes time for tender.

Another tactic that the butchers have adopted in order to sell the bachia meat these days, is that they deliberately add fat while weighing meat despite stiff opposition from the consumers. By doing this, they offer Rs10 per kg discount to the buyers for putting aside the fat. If buyers demand to exclude fat from meat, then they have to pay Rs10 per kg more for the so-called fat-free meat.

However, consumers still look unsatisfied even paying Rs10 kg more for excluding fat contents as clever butchers apply other manoeuvring tactics to foul the consumers by adding more bones.— ASK

 

Govt claims are false, says Qureishi


SECRETARY General, Meat Merchants Welfare Association (MMWA), Iqbal Qureishi, still stands his ground and says that the markets are still facing animal shortage owing to export and smuggling of live animals and meat. These were the main reasons that played havoc with the prices during Ramazan.

He says that the situation is the same, even today, and claims that approximately 10 tons each of mutton and beef are being exported, every week from Karachi. This is leading to an acute shortage of slaughter animals. In view of animal shortage, there is no control over the prices of slaughtering animals by the government — the prices of such animals are rising day by day.

He recalls that since 1973, the government has in place a two day ban on the slaughtering of animals. This step was taken to ease the meat shortage problem. But as Qureshi says, “The two day restriction justifies our stance that animal shortage has been looming for many years that is why the government reacted the way it did.”

In fact, as Qureishi observes, the butchers are currently observing three day restrictions on slaughtering instead of two days in view of rising animal shortage. He says that an average goat weighing of about 12kgs is available in the market at price ranging between Rs2,200-2,400 subject to demand and supply. At wholesale, mutton is sold at Rs3,200-3,400 per 40kgs. “The government has no policy to the pricing of the slaughtering animals on which the wholesalers should sell to the retailers,” he adds.

“Even a 10-kg goat is selling for Rs1,900-2,000 in the mandi instead of government’s claim of Rs1,600.”

The MMWA SG then claims that under such circumstances, it was impossible to sell the meat and beef at government’s notified prices.

Qureishi says that the government had fixed the prices which were neither fair nor practical and were fixed without ensuring first the supply and distribution of this commodity and fixing wholesale price of beef and mutton with a reasonable margin of profit for the retailers. He claims that even pregnant animals like cows, goats, sheep etc are also being smuggled to Afghanistan, Iran and other bordering countries.

The General Secretary says that a sizable quantity of animals, which used to arrive from India-Pakistan border through smuggling, is currently not finding the way into the markets due to unfavourable relations. But he hopes that when the political and border tensions between the two countries ease in coming weeks, arrivals of animals will resume. Till then, he says, the markets will continue to face a shortage of meat.— ASK



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