Food items: Study to be conducted to see ‘actual demand’
Move meant to control prices in Ramazan
Move meant to control prices in Ramazan. PHOTO: AFP
ISLAMABAD:
In a bid to curb the unauthorised increase in food prices during Ramazan, the Economic Coordination Committee (ECC) has decided to conduct a study regarding cost of food items to stop the misuse of subsidies.
Minister for Planning, Development and Reform Ahsan Iqbal pointed out that price stabilisation of basic food items was essential to help consumers. “In developed economies prices of food items remain unchanged, however, in Pakistan, especially during Ramazan, prices of all food items including fruits increase manifold,” said Iqbal.
He termed this price escalation as a seasonal jerk and emphasised the need for a study to observe the demand patterns of essential food items so that efforts could be made for price stabilisation.
ECC Chairman Ishaq Dar endorsed the proposal and said that the Ramazan relief package is reviewed in the middle of the month; therefore a summary of the study’s findings should be shared so that a revision could be made.
Dar also advised that the quantity of flour proposed in the Ramazan relief package should remain unchanged.
Meanwhile, the industries ministry informed the meeting that in addition to the proposed subsidy, the Utility Stores Corporation (USC) will also reduce prices of more than 1,000 food items and non-food items in the range of 5 to 10%.
It was further stated that subsidy claims for 2014 and 2015 worth Rs2622.146 million were duly verified and audited by a firm of chartered accountants, which have been submitted to the finance ministry.
Published in The Express Tribune, June 2nd, 2016.
In a bid to curb the unauthorised increase in food prices during Ramazan, the Economic Coordination Committee (ECC) has decided to conduct a study regarding cost of food items to stop the misuse of subsidies.
Minister for Planning, Development and Reform Ahsan Iqbal pointed out that price stabilisation of basic food items was essential to help consumers. “In developed economies prices of food items remain unchanged, however, in Pakistan, especially during Ramazan, prices of all food items including fruits increase manifold,” said Iqbal.
He termed this price escalation as a seasonal jerk and emphasised the need for a study to observe the demand patterns of essential food items so that efforts could be made for price stabilisation.
ECC Chairman Ishaq Dar endorsed the proposal and said that the Ramazan relief package is reviewed in the middle of the month; therefore a summary of the study’s findings should be shared so that a revision could be made.
Dar also advised that the quantity of flour proposed in the Ramazan relief package should remain unchanged.
Meanwhile, the industries ministry informed the meeting that in addition to the proposed subsidy, the Utility Stores Corporation (USC) will also reduce prices of more than 1,000 food items and non-food items in the range of 5 to 10%.
It was further stated that subsidy claims for 2014 and 2015 worth Rs2622.146 million were duly verified and audited by a firm of chartered accountants, which have been submitted to the finance ministry.
Published in The Express Tribune, June 2nd, 2016.