The poverty stricken consumers of essential commodities in Karachi have been overburdened by sky rocketing prices of domestic items during last year owing to surges ranging from 12 to more than 126 per cent. Almost 39 selected commodities in Karachi have shown escalation in prices ranging from 12 to 126 per cent during the outgoing year 2011. Besides, almost 27 items have shown an average negative growth ranging from 2 to 47 per cent.
According to a report prepared by Karachi Retailer and Grocer Group (KRGG) prices of various kinds of pulses remained at an all time high as prices of the highly consumed commodity were recorded at an average increase from 5 to 47 per cent during January to December 2011. While the average price of Kably Chana, (white-1), Kala Chana (quality 1 and 2) have shown an average increase of 12 to 47.2 per cent during last 12 months. Various kinds of chilies and masalas have also registered surge in price ranging between 14 to 126 per cent, which made it difficult for the helpless consumers to make their smooth purchasing.
A massive surge was also witnessed in the tetra packed milk rates of 1.5 litre, 1 litre and 0.5 litre as they have registered an average increase of 14, 14.25 and 18.42 per cent respectively. Besides, Nido Packet of 100 gram and 400 gram has also been soled at 19 to 25 per cent high prices respectively during the 12 months. Every Day 1000g and 400g was also sold with 19.51 per cent and 14.28 per cent higher prices respectively.
Interestingly, the price of Olpers has been jumped from Rs98 in January to Rs116 per 1.5 litre in December 2011 in the absence of any check on the part of concerned authorities in the government. Fresh milk prices also went up to Rs60 to Rs70 per kg during the past 12 months. Prices of branded ghee and cooking oil have registered the growth in average prices ranging from 1.05 to 5.2 per cent putting enormous load on buying capacity of majority of consumers in the city. Tea prices also surged sharply during the current year which was attributed by the importers on account of never ending cycle of declining value of our local currency. The increase in tea prices in the international market and upsurge in demand after improvements in border controlling system had also affected prices of the commodity in domestic market.
Interestingly, sugar, which was sold in retail markets of Karachi at Rs75 per kg in January, was currently being sold at Rs55 with the average decline of a massive 36.36 per cent, as the commodity has a huge stock in the country besides the crushing season that has already started.
Various qualities of flour were also reduced by up to 2.94 per cent during the 12 month period as enough stock of the commodity was also available in the country due to the stiff competition outside the country. According to sources price of essential commodities including sugar, cooking oil and ghee, tea, wheat, beef, mutton, chicken, eggs, red chilies, haldi, all kinds of pulses, onion, potato, ginger, sugar, milk, packed milk, fresh and packed yoghurt, dry milk, washing soap, all varieties of washing and bath soaps during the year 2011 increased and in turn had a devastating impact on buying capacity of majority of general consumers.
Talking to Profit, Muhammad Fareed Qureshi, KRGG, said jump in commodity prices have affected budgets of the already crisis stricken people who have now have forced to reduce their expenditures while purchasing only the much needed necessity items from the market. Under the lack of any price controlling system and failure of government’s existing set up to have check on commodity prices, the manufactures of packet items specially the tetra packets have increased the price of their products manifolds. The skyrocketing prices of some selected items have also limited impacts of decreased prices of other items on the consumers, he said adding that under the present situation the inflation rate was expected to face further jump next year. He said big manufacturers had again enjoyed benefit of huge price rises this year besides the market forces and mafias were emerged in larger numbers. The price lists issued by local government had also left no more than a piece of paper as the mentioned prices were never implemented in the city. Concerned departments were doing a routine job of fixing fortnightly prices of essential items which penetrated into the unrealistic realm.
Commodity prices surge by 12 to 126pc in 2011
