KARACHI, July 16: With only seven weeks remaining in the Ramazan, consumers have already started facing the brunt of fresh increase in the price of pulses, especially gram, followed by a Rs2 per litre increase in fresh milk prices.
Almost all retailers of fresh milk are now charging Rs34 a litre as against Rs32 despite the fact that the city government and the retailers are fighting a legal battle in the Sindh High Court (SHC) on price fixation.
On other items, biscuit makers have increased the price by Re1 to Rs2. A small packet now costs Rs4 instead of Rs3, while Rs10 packet is now available at Rs12.
The increase in biscuit prices has surprised many as the government has already reversed its decision of increase in sales tax from 20 per cent to 15 from July 1.
However, federal excise duty of one per cent on import of goods still exists. Only sugar prices in wholesale surged to Rs27.80 on July 9 from Rs25.50 per kg in the first week of July.
However, its wholesale price has declined to Rs27.50 while the retail prices are still at Rs29 to 30 per kg in various markets.
Paper merchants had increased the prices of imported paper and packaging material by seven to eight per cent in the third week of June, but after a five per cent cut in the sales tax, the prices have resumed to the pre-budged level.
In wheat flour, the price of atta (2.5), which had increased to Rs16 from Rs15 per kg, there was no decline although an 80 kg bag of atta is now priced at Rs 1,140, as against Rs1,190 in the first week of July.
Similarly, wheat prices have fallen to Rs1,240 per 100 kg bag from Rs1,270 to Rs1,280.
Market sources said prices of wheat had come down because of sentimental impact of government’s decision to check wheat stocking and hoarding.
Hotel and restaurant owners, who had already pushed up the price of bread (roti, nan and sheermal), are not ready to reverse the prices.
In pulses, there is a big disparity in wholesale rates quoted by retailers’ body representatives and wholesalers. On the basis of this, it is hard to ascertain the real retail prices prevailing in the market.
According to General Secretary, Karachi Retail Grocers Group (KRGG), the wholesale price of gram pulse is now Rs42 per kg while Chairman, Karachi Wholesales Grocers Association (KWGA), Anis Majeed, quotes the rate of Rs34 to 35 per kg. The retail price is now being quoted at Rs46 as compared to Rs36 per kg on July 1.
The retail price of masoor is now being quoted at Rs52 per kg as compared to Rs48. Retailers quote the wholesale price at Rs47 while wholesalers reveal the price of Rs38 to 40 per kg. Its wholesale price some 15 days back was Rs32 to 34 per kg. Moong is selling at Rs52 per kg at wholesale as quoted by retailers while wholesalers differ on it that moong is available at Rs40 per kg. However, moong is now being quoted at Rs55 per kg at retail stage as compared to Rs60 per kg on July 1.
Retailers quote the wholesale price of arhar at Rs48 per kg as compared to Rs52 per kg on July 1, but the wholesalers said arhar’s wholesale rate has surged to Rs52 from Rs50 per kg.
The retail mash price is being quoted at Rs60 per kg almost same as on July 1. However, retailers quote its wholesale rate at Rs56 per kg while wholesalers quote the rate at Rs48 per kg.
Consumers appear in a fix as they find a big difference in the retail prices.
Despite issuance of price lists by the city government after the Ramazan, the officials have not yet conducted a market survey for implementation of prices at retail stores.
Even a majority of shopkeepers have not displayed price lists in the absence of any price checking campaign.
The government had started issuing price lists every month after 2006 Ramazan on the instructions of the federal government to maintain prices, but it seems that the government had only been doing a face-saving exercise to fulfill a formality rather than serving the interests of the common man.
Farid Quresihi said wholesalers and retailers always have differences over actual wholesale rates of pulses. He attributed the increase in pulses prices to huge lifting by private and public sector bodies for rain and flood affected people.
He said as Ramazan is approaching fast, market players have become active in hoarding gram pulse, which is a hot selling item in the holy month.
However, KWGA president Anis Majeed said the increase in gram pulse price was due to issuance of purchase tender by the Passco for 100,000 tons in June which has made an impact on prices. Prices of other pulses have increased because of rising international prices.
He said despite a 35 per cent regulatory duty on export, some people are busy in exporting pulses to Gulf, Malaysia and Indonesia because the Indian government had imposed a ban on export of pulses.
He said higher international prices have offset the impact of 35 per cent export duty by Pakistani government.
