KARACHI: Wholesalers have increased prices of essential items on rising demand and extra buying by industrialists and charitable organisations for providing ration to unemployed persons and daily wage earners due to the 15-day lockdown to control the spread of coronavirus.

Many wholesalers are avoiding quoting rates, blaming looming shortage of some pulses and sugar.

Industrialists and charities have been buying pulses, flour, sugar, rice, etc, for making six to seven kg bags containing essential items for distribution among deserving people.

The rising buying activity in the markets from people belonging to various walks of life looks more aggressive than the pre-Ramazan buying.

Previously, mainly retailers had made extensive buying during Ramazan.

Recent cuts in diesel prices have reduced the transportation cost and this benefit should be passed on to consumers

But a hike in wholesale prices is alarming since wholesalers had already claimed that there was “no shortage of any food items” in the country. Besides, the latest cut in diesel prices should have brought down the transportation cost and the benefit should have been passed on to the general public.

The general secretary of the Karachi Retail Grocers Group (KRGG), Farid Qureishi, said the wholesale price of gram pulse was now Rs145 as against Rs125 four days back while the rate of moong, masoor, maash, Kabuli channa and sugar was Rs 225, Rs116, Rs185, Rs135 and Rs80 as compared to Rs220, Rs104, Rs165, Rs125 and Rs78 per kilo.

He said rich people were either placing advance orders or purchasing items on the spot for making a bag containing five kg of rice, 10kg flour, two kg/litre bags of ghee or cooking oil and two kg of different pulses. The price of such a bag ranges between Rs5,000 and Rs7,000.

Many people were buying food stocks for making a relatively small bag, ranging between Rs2,000 and Rs4,000, containing essential items, he added.

Mr Qureishi said some people, after buying essential items in bulk, were making packets on their own, while some were asking major retailers to do it for them.

 Sales increased by 60-70pc

The patron-in-chief of the Karachi Wholesalers Grocers Association (KWGA), Anis Majeed, said that the buying by retailers, rich people, industries, welfare organisation had injected a new life in the wholesale market and made it “active”.

He said the sale of flour, rice, sugar, pulses, etc, had increased by 60-70 per cent compared to the pre-lockdown market sales.

While agreeing over an upward trend in the wholesale prices triggered by rising demand, he feared shortage of food items in the wholesale markets in case detention of vehicles loaded with essential items at Karachi’s entry points by law enforcement agencies was not stopped.

Sindh Minister for Information Syed Nasir Hussain Shah has said that the provincial government in collaboration with

welfare organisations would distribute essential food items amongst the needy during the period of lockdown.

  Poultry shortage feared

Former Pakistan Poultry Association (PPA) chairman Khalil Sattar said the poultry industry was facing hurdles in supply as the law enforcement agencies are not allowing movement of trucks in the province.

“Our dedicated transport — for pick and drop of employees working in food processing items — is also stopped and restricted which is another big problem.

“Detention of vehicles carrying day-old chicks, poultry feed/feed ingredients, live poultry birds, frozen chicken meat, poultry meat, eggs, vaccines/medicines and other farm equipment/items would create shortage of poultry birds,” he added.

He feared that this might result in shortage of food items and urged the Sindh government to ensure a smooth supply in the city during the lockdown.

Published in Dawn, March 27th, 2020