Drop in POL prices fail to cut food costs
Experts, on the occasion, said that safe food contributes to a healthy life, a healthy economy, a healthy planet and a healthy future. PHOTO: FILE
Despite a recent decrease in the prices of petroleum products, essential commodities in Peshawar have still not seen a decrease in prices, leaving local citizens frustrated.
Meanwhile, the district administration’s efforts to tackle hoarders and stabilise prices have been lacklustre.
According to details, tomatoes are currently being sold at an exorbitant price range of Rs100 to Rs120 per kg, while onions are also being sold at the same steep rate.
The cost of ginger has skyrocketed to Rs1,600 per kilogram, making it a luxury for many households. Furthermore, peas are being sold at an inflated rate of Rs300 to Rs500 per kg.
Read More: Food items go dearer
Other staple food items such as red beans are priced at Rs450 to Rs550 per kg, dal mash at Rs500 to Rs600 per kg, white gram at Rs400 to Rs450 per kg, and moong dal at Rs300 to Rs350 per kilogram. The cost of bananas has also surged to Rs200 per dozen.
Swat persimmons, known for their quality, are being sold for Rs150 per kg. Eggs, another essential food item, are being sold at an inflated rate of Rs300 per dozen.
As a result, frustrated citizens are demanding that the district administration promptly address the issue and take action against those responsible for hoarding.
The situation has left many questioning as to why, despite the decrease in petroleum prices, the cost of food items still remains unreasonably high.
The middle class in Khyber-Pakhtunkhwa (K-P) is grappling with the severe impact of surging inflation, skyrocketing fuel prices, and soaring electricity costs, mirroring the struggles faced by citizens across the country.
The consequences of this economic turmoil are painfully evident, with marketplaces appearing deserted, devoid of the usual throngs of shoppers.
Experts have expressed concerns that inflation may remain elevated in the short to medium term. The government is reportedly considering a significant increase in pipelined gas prices to fulfil its commitments to the International Monetary Fund (IMF) and continue its participation in the $3 billion nine-month loan programme initiated in July 2023. The aim is to address the mounting gas circular debt, which has surpassed Rs2.5 billion. However, this price hike may contribute to sustained high inflation rates.
Read More: JI stages sit-in outside K-P Governor House against electricity, petrol tariffs hike
Simultaneously, the government is contemplating significant reductions in petroleum product prices, as the import of fuel has become more affordable due to a recent nearly 9% recovery in the rupee against the US dollar over the past month. These potential reductions in petroleum prices could help control inflation and create a path for the government to increase gas prices in compliance with IMF conditions.
The monthly inflation rate reached a four-month high at 31.4% in September. International financial institutions have projected that the average monthly inflation rate will be approximately 29% in FY24, contrasting with the central bank’s assumption of 21-22% for the year.
Published in The Express Tribune, October 10th, 2023.