The National Price Monitoring Committee expresses satisfaction over containing the inflation to single digit for consecutive three months.
Food and Non-Food inflation is recorded at 7.6 percent and 9.7 percent respectively. Similarly SPI and WPI also registered at 7.5 percent and 7.8 percent respectively. The first quarter of the current fiscal year CFY13 posted a single digit inflation at 9.1 percent as compared to 11.5 percent in the corresponding period of last year. All indicators of the inflation reported single digit during July-Sept. CFY13.
The meeting reviewed the Consumer Price Index (CPI), Food, Non-Food, Core, Wholesale Price index (WPI) and Sensitive Price Index (SPI). It was noted that as a result of continuous efforts of the government the CPI reduced to 8.8 percent during September 2012 and government has succeeded in containing inflation to single digit, which shows government commitment in controlling the headline inflation.
The SPI trend suggest that week ended on 27th September 2012 recorded a decrease of -0.37 percent due to decline in the prices of Onion, Potatoes, Tomatoes, Sugar and pulses etc. However, out of 53 items, prices of 09 items registered increase while prices of 16 items decreased and prices of 28 items remain unchanged as compared to last week ended on 20-09-2012, where prices of 20 items increased, prices of 09 items decreased and prices of 24 items remained unchanged. The Food and Non food items which registered nominal increase in their prices were Rice Basmati 0.43%, Red Chilies 0.31%, Beef 0.17%, Wheat 0.09% while Petrol and Eggs increased by 1.72% and 1.28%. However, with better weather condition the arrival has started resultantly easing out the prices of essential commodities.
The other items which registered decrease in their prices are Garlic 1.75%, Sugar 1.31%, Kerosene Oil 1.24% , Chicken 1.05%, Vegetable ghee 1.04%, Gram Pulse 0.46%, Diesel 0.37%, LPG 0.37%, Masoor Pulse 0.15%, Mash Pulse 0.13% and Moong Pulse 0.08%. It was also observed that in comparison with the regional countries, Pakistan is the lowest in prices of Wheat, Wheat Flour, Rice, Sugar, Red Chillies, Chicken Farm and 2nd lowest in Moong Pulse, Masoor Pulse and Beef while prices of Mash Pulses, Onion, Tomato, Potato, Diesel, Tea, Edible Oil, DAP and Urea are higher in Pakistan.
The committee reviewed the price trend of selected items among the Provinces. Some variations in the prices of Wheat Flour, Rice Basmati Broken, Pulses, Beef, Mutton, Milk Fresh, Milk Powdered, Ghee, and Garlic were observed. It was noted that in most items prices in Balochistan are higher as compared to other Provinces. It was also noted that prices of Beef and mutton are much higher in Islamabad as compare to Rawalpindi.
The concerned representative was advised to look into this and take necessary steps to ensure that supply of mutton and beef be available at reasonable prices. The chair also emphasized for market intelligence among the provinces and ICT. It was informed in the meeting that Food Security Division is consulting the provincial governments to overcome the shortcoming of market intelligence and the demand supply gap.
The chair also took note of increase in prices of beef and mutton and to this aspect emphasized the control of livestock smuggling to neighboring countries. It was informed to the meeting that our population growth rate is 2.03 percent whereas animal growth rate is 3.7 percent, so we have surplus animals for export.
A subcommittee was proposed in Food Security and Research Division to analyze the situation of demand and supply position of livestock and come up with findings and measures to control the prices of livestock and its products. The meeting also discussed disease surveillance system to take care of livestock. The chair appreciated the initiated programs of PARC for poultry and animal disease surveillance and instructed that all efforts should be geared up to keep the system in place by taking all provinces on board.
The meeting was informed that Khyber Pakhthunkhwa government has assigned the first class magistrate power to all district food controllers to maintain price stability in the province. Punjab Government has appointed 352 magistrates in the province to control the price situation and they have collected approximately Rs. 6 lakh fine from the shopkeepers who were violating the price list.
Balochistan Government is also making efforts on multi directions for consumer protection and consumer courts are working in the province and in Sindh special magistrates are appointed to check the price and supply position of the consumer items. In order to further streamline the system the meeting emphasized for necessary measures with regard to revival of Executive Magistracy System and advised the concerned quarters to expedite the process.
It was also noted that prices of the Palm Oil are decreasing in international market but its impact is not being transferred to consumer. M/o Industries was advised to check the price movement and ensure that relief be transferred to consumer. The rising trend in prices of tea was also noted and concerned quarter was advised to take necessary measure to control the prices.
