Consumers angry over increases in prices
Thursday, June 10, 2010
By Rabia Ali
Karachi
The Utility Stores Corporation (USC) of Pakistan has drastically increased the price of around 98 branded commodities as well as the cost of pulses available at its outlets — burdening the common people whose backs have already been broken by the rampant inflation.
The Amendment List No 3 in accordance with Price List of 13th March was issued by the distribution manager on 4 June 2010. Meanwhile, there has also been a reduction in the prices of 41 items.
The swelled-up prices of edibles and food items which are highly consumed includes pulses, ghee, cooking oil, jams, jelly, mineral water, biscuits, juices, milk and creams and other commodities.
According to the new list, the price of one kg packet of Moong Daal has shot up from Rs102 to 130 with an increase of Rs28. The price of Maash daal has increased from 136 to 149. A Rs74 increase on a 5 kg tin of a popular cooking oil brand from Rs600 to 674, a Rs43 increase in 10 liters of cooking oil, a Rs35 increase in the price of red sherbet taking it from Rs168 to 203, powdered milk from Rs338 to 378.
Meanwhile, there has been a Rs15 increase on bottles of shampoos and a Rs5 increase on mineral water and fruit juices, along with increase on other commodities.
Bashir Babar, the Zonal Manager (Karachi) of the USC, told The News that most of the items whose prices had been increased were in fact not available at the state-run stores, and that only a handful of the commodities had been increased.
The rates of the utility-packed flour, ghee and cooking oil remain unchanged at 260 per 10 kg, 112 per kg and 112 per liter respectively
A consumer, Niaz Aslam, present at a Utility Store in Saddar, expressed his anger when he learnt about the recent price hike.
“Due to the skyrocketing inflation, my family has stopped consuming poultry and was consuming vegetables and pulses only. But now it seems that I won’t be able to afford that for myself and my family since the price has increased. It seems that the government is trying its best to starve the poor people to death,” he said.
Retailers and utility stores: The General Secretary of Karachi Retailers and Grocers Group, Mr Fareed Qurieshi, told The News that with the latest increase in prices, there was not much difference between the cost of commodities sold at the retail shops and the ones at the utility stores.
“The Utility Stores were opened to provide relief to the poverty-stricken people. However, the inflation has engulfed the state-run stores. Take the example of the increase of Rs38 in the price of a 2.5 kg ghee tin of a renowned brand taking it to Rs348. In retail shops, the same tin is being sold for Rs350, which shows that there is only a meager difference between the prices of the two.” An official of the USC admitted that the prices were coming close to the retail prices, but defended the price increase by saying that the products available at the stores had been bought directly from the manufacturers and there was no question of second-grade or poor quality commodities being sold.
Confusion persists: During a survey of the Utility Stores, it was found that there had been some confusion regarding the notification of the amended price list. A storekeeper at the Punjab Colony utility store told The News that he had received no list regarding the change in prices.
“There has been no notification regarding the change in items except for the increase in pulses,” he said.
However, a shopkeeper of a Utility Store near the passport office in Saddar, showcasing his price list, said that the new list would be implemented from today.
Consumers: Reacting to the announcement of the removal of a subsidy on flour, rice and pulses and tea in the budget session, some consumers have stopped going to the shops. A shop assistant of a utility store in Phase 5 of DHA told The News that for the last two days, the shop had seen a decline in the number of consumers visiting the store.
“People now fear that since the prices of commodities are touching the skies, hence they are not making their way to the stores,” said the shop assistant.
Sajid, an official at the Saddar Utility Store, corroborated and said that apart from sugar and flour, consumers have stopped buying anything else due to the increase in prices.
