KARACHI, Nov 27: Consumers will have to bear a second increase in prices of branded ghee and cooking oil within a short span of six months. Packers have planed to introduce new price tags increasing rates by five to six rupees per kg/litre by the second week of December.

An executive in a leading ghee company said that the firm would increase rates by five rupees per kg which meant that a five-kg/litre tin will cost Rs440 and a 2.5-liter/kg tin will carry a price tag of Rs228 from Rs215.

Any increase in price by one packer is followed by others in the sector. “We have taken a decision and our new prices are now in the printing stage and consumers will see new tags by the second week of December,” he said.

Ghee packers had increased the rates ahead of Ramazan by five rupees per kg. Before the holy month, five and 2.5 kg tins were selling at Rs395 and Rs205.

“We have not increased the price for the last three years before Ramazan. Prices are being increased in phases and they are not fully passed on to the consumers in view of rising trend of edible oil in the world markets,” he added.

Prior to any increase by packers, the consumers had already seen a jump in 16-kg tin to Rs945 from Rs900 last week. Now the rates are being quoted at Rs950. It was Rs880 on November 1.

The executive said that impact of rising edible oil prices was being passed on to the consumers of costly December shipments, and in case world prices continue to rise then companies would consider another increase.

“Our sales may feel a little bit turbulence due to price hike but in the long run it will sustain on the demand coming up in view of rising population. Besides, many people whose financial positions improve change from lower grade oil to higher grade irrespective of its price.

Members of the PVMA will meet the secretary general, revenue division, on November 29.