The Economic Coordination Committee (ECC) of the cabinet approved on Wednesday a relief package of Rs 2 billion for Ramadan at state-operated utility stores.
Finance Minister Dr Abdul Hafeez Sheikh chaired the meeting of the ECC that approved the package. Sugar, the main item of use in Ramadan, was conspicuously absent from the list of relief goods, however. Its price has already started rising at the wholesale markets and have risen by Rs 10 per kilogram during the last 20 days.
In total, relief of Rs 4 to Rs 40 per kg will be provided to consumers. The main relief of Rs 40 per kg is for tea and Rs 15 per kg on ghee and edible oil, while Rs 10 per kg is given on gram-flour, dates, various pulses and lentils, white gram, basmati rice, broken rice, sella rice and sweet drinks. The price of flour decreased by Rs 4 per kg and packaged milk by Rs 5 per litre, while the prices of all brands of utility store spices would be reduced by 10 percent.
According to an official statement, the meeting turned down a request to buy 50,000 tonnes of sugar from the Pakistan Sugar Mills Association. The ECC was of the opinion that because of satisfactory situation of the strategic reserves, procurement was not required until December. However, the meeting decided to form a smaller committee to discuss the issue of procurement of more sugar within the next two days. The finance minister will be meeting the authorities concerned to decide the issue.
On the summary moved by the Industries Ministry, the ECC formed a committee headed by the finance minister to have further deliberations on the import of urea for kharif 2011 and rabi 2011-12. The ECC included the water and power minister, Planning Commission deputy chairman, petroleum minister and the industries secretary in the committee, all of whom will discuss the matter further.
DEMURRAGE CHARGES: The ECC approved the Water and Power Ministry’s request for a waiver of demurrage and detention charges for the 425-megawatt Combined Cycle Power Project in Nandipur being implemented by the Northern Power Generation Company, provided the Law Division also approved it. In case the Law Division raised objections, the matter would be referred to the cabinet for further discussion, the ECC decided.
