Price hike in ghee, cooking oil irks consumers
26 June, 2012
KARACHI: Resurgence in ghee and cooking oil prices have agitated large number of consumers in the wholesale and retail markets of Karachi.
KARACHI: Resurgence in ghee and cooking oil prices have agitated large number of consumers in the wholesale and retail markets of Karachi.
During the last two to three weeks a declining trend had been witnessed in the rates of ghee and cooking oil in Karachi markets like elsewhere across the country following downward revision in prices of crude palm oil used for making ghee and cooking oil in the international market.
As a consequence an across the board decline was witnessed in the rates of ghee and cooking oil in almost all brands available in the market.
Wholesalers and retailers decided to make upward revision in rates of both commodities thus deflating all relief and glee of consumers of ghee and cooking oil, which had pinned high hopes of further reduction in their prices.
The increase is likely to squeeze further purchasing power of large number of consumers, especially those hailing from lower segment of the population.
Before the advent of Ramzan which is hardly three weeks away from now, increase in prices of ghee and cooking oil may multiply financial hardship of helpless consumers of Karachi.
Traders and wholesalers blamed the situation on account of $25 per metric tonne increase in the international market previous week, which currently stand at $995 per metric tonne compared to old rates of $970.
This latest increase is likely to cause sharp decline in demand of both the commodities as claimed by the General Secretary, Karachi Retailers and Grocer Group.
“An overwhelming majority of the consumers, can hardly withstand increase in prices of ghee and cooking oil and the latest increase amounts to gross injustice to them” he contended.
He said all leading ghee and oil manufacturing and importing companies, in the garb of increase in palm oil prices in the international market keep increasing rates of their products without taking pros and cons of their decision.
Majority of the importers and manufacturers have one to two months of stock in their warehouses but they never miss an opportunity to reap maximum financial benefits in case of any increase in international market.
Fareed Qureshi said one kg tin of Dalda brand of ghee and cooking oil, which was previously available in the retail markets at Rs 170 per kg would now be available at Rs 175 per kg manifesting an increase of Rs 5 per kg.
He acknowledged purchasing power of large number of consumers as a consequence of regular increase in prices of ghee and cooking oil related products, would sharply decline and now majority of them would be compelled to cut their daily needs in view of burgeoning prices of the commodity.
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