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Despite repeated promises from successive governments, Punjab's efforts to combat artificial price hikes, self-imposed shortages, and profiteering have proven ineffective as inflation continues to soar.
A gap of up to 100 per cent between market and retail prices persists, highlighting the shortcomings of the province's outdated district-level price control system, which has failed under the oversight of the Punjab Food Department, Agriculture Department, and the Departments of Industries, Commerce, Investment, and Skills Development, The Express Tribune reported. Recently, Punjab Chief Minister Maryam Nawaz responded by establishing the Department of Price Control and Commodities Management to manage the supply of essential food items, oversee prices, and regulate industries in the province. This department is tasked with the procurement, sale, storage, and transport of flour, as well as monitoring supply and demand for food grains. Within two days of its formation, the government issued a notification in Lahore granting price magistrate powers to 73 officers from various departments. However, the general public remains affected, forced to buy essential items at inflated prices. Salman Khalid, a customer at a local shop, shared his frustration, telling the Express Tribune, "The highest inflation is observed in the prices of vegetables and fruits. If one shop is selling a vegetable for PKR 50 per kilogram, the same vegetable will be priced at PKR 70 a few meters away at another shop. However, if you visit the wholesale market, that vegetable would be available for just PKR 30." Another customer, Tasleem Arshad, echoed Khalid's sentiments, criticising the market committee's rate list as "nothing more than a meaningless piece of paper." He added, "Shopkeepers justify charging high prices by claiming they bought the goods at elevated rates from the market. The government should either eliminate the rate list or ensure it is fully enforced." Efforts to monitor and control prices in Punjab are not new, with several price control committees and magistrates established over the past two decades. However, these initiatives have largely failed to make a meaningful impact. Economists point to the executive district magistrate system, which was dissolved in the 1990s, as the most effective inflation control mechanism. With its dissolution, price magistrates were introduced, but these officers face constraints, with limited time to conduct field visits despite their special powers. Salman Shah, a former Finance Minister, highlighted the limitations of the current system in an interview with the Express Tribune, explaining that inflation cannot be addressed with "artificial and superficial measures." He criticised government rate lists as unrealistic and the wholesale auction system as ineffective. According to Shah, an ideal price difference of 15 to 20 per cent between wholesale auction and retail consumer prices has widened, placing a greater burden on consumers. Shah suggested that instead of distributing magisterial powers across multiple departments, the new Department of Price Control and Commodities Management should have specialised officials focused on price regulation. "In today's era of free trade, the government should allow the market to function based on supply and demand, supported by strong and effective monitoring," he stated, adding that issues of "cartels, artificial inflation, and shortages must be addressed through effective and modern legislation." (ANI)
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