Oil prices slump: People demand matching cut in food, transport costs

Call for action against transporters, companies taking undue benefit of situation


Shahzad Anwar January 03, 2015
Call for action against transporters, companies taking undue benefit of situation. STOCK IMAGE

ISLAMABAD: Residents of the twin cities have called for government’s action against transporters, wholesalers, retailers and national as well as multinational companies dealing in essential food items blaming them of taking undue advantage of the decrease in fuel prices.

They blamed the transporters and companies of failing to passing on the benefit of reduction in petroleum prices to the customers.

Though a large number of residents lauded the government for the recent decrease in petroleum prices, they criticised it for not bringing about any change in the prices of food commodities.

Zaman Khan, resident of the federal capital expressed his concern at the government’s decision to impose a five per cent GST, terming it ‘unjustified’.

He said that the government’s regulatory bodies had failed to keep a check on the undue increase in the prices of necessary commodities by various companies and businessmen.

Appreciating the government’s decision to reduce petroleum prices, Qasim Majeed, a retailer at Aabpara Market, lashed out at national as well as multinational companies for increasing prices of food items instead of lowering them. He praised Dalda and Habib for reducing prices of oil and ghee products.

Majeed, on the other hand, lamented Nestle for increasing the price of one litre packaged milk from Rs95 to Rs110 and what he called stopping the supply of the quarter pack.

Nasir Mehmood and Fauzia Bibi welcomed the reduction in petroleum prices on New Year’s Eve. They, however, said that shortage of gas, high transport fares and prices of essential food commodities did not offer consumers much respite to enjoy the recent announcement. They also criticised some of the multinational companies for increasing prices of essential commodities.

Niaz Ahmed, a retired professor criticised the government for imposing five per cent GST adding that the government could not be credited for the decrease in petroleum prices since the reduction was connected to the slump in the international oil market.

Naveed Khan, a meat shop owner demanded decrease in the prices of meat. He said that mutton should be available at Rs450 per kilograme and veal at Rs300 per kilogramme, which were currently being sold at Rs650 and Rs450 per kilogramme respectively.

Shahid Khan, a government servant who frequently commutes using public transport lamented that majority of transporters had failed to lower fares in spite of a significant decrease in fuel prices.

Though, the Punjab government has notified reduction in transport fares, but in the twin cities the new transport fares have yet to be implemented.

Regional Transport Authority (RTA), Rawalpindi had notified the transport fares in line with announcement made by Punjab government, but RTA Islamabad has yet to notify new fares for inter and intra-city transport.

A number of commuters in the twin cities complained against transporters and said they were still charging high rates and transport authorities had failed to implement the notification.

The transporters on the other hand, showed The Express Tribune the official lists issued by the regional transport authorities two months ago and said that they were charging Rs3 less than the official rates. They said that they decreased the fare on their own.

Commuters and transporters were both of the view that it was the responsibility of the authorities concerned to issue a fresh list of transport fares matching reduction in the fuel prices.

Published in The Express Tribune, January 3rd, 2015.

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