Pakistan Govt's Failure To Enforce Flour Price Cuts In Karachi Sparks Consumer Outrage

Despite a reduction in flour prices announced by the Karachi commissioner, retailers in the city are continuing to overcharge consumers, sparking frustration and exposing the government's inability to enforce price controls, according to a report by Dawn.

The price cuts, which were aimed at providing relief to residents, have largely gone unimplemented at the retail level. The new official prices lowered the cost of flour No 2.5 from Pakistani Rupees (PKR) 90 and PKR 94 per kg (wholesale and retail, respectively) to PKR 85 and PKR 89 per kg, as per the Dawn report.

This variety, commonly used by tandoor operators, saw a PKR 5 per kg reduction. Similarly, the wholesale and retail prices for fine flour were reduced from PKR 95 and PKR 99 per kg to PKR 92 and PKR 96 per kg. Additionally, retail chakki flour prices were slashed by PKR 10, bringing the price down to PKR 105 per kg.

However, a recent market survey revealed that consumers are still paying up to PKR 110-120 per kg for flour No2.5 and fine flour, significantly higher than the official rates.
The Karachi Wholesalers Grocers Association (KWGA) chairman, Rauf Ibrahim, attributed this disparity to the lack of visible price lists at retail shops and inadequate enforcement by local authorities, Dawn reported. He stressed that it was the government's responsibility to ensure price lists were prominently displayed and regularly monitored.

Ibrahim also pointed out that the absence of ex-mill prices for flour No 2.5 and fine flour in the latest notification, unlike previous lists, raised further concerns. Without this critical information, consumers and retailers are left confused about the actual cost of flour. He also criticized the city government's failure to regularly inspect markets and fine overcharging shopkeepers.

Despite the price cuts, flour prices are still above what they should be, given the current rates of local and imported wheat, which are PKR 74 and PKR 70 per kg, respectively.

Ibrahim suggested that further price reductions of PKR 2 per kg could be implemented, but only if the government took stronger action to control prices. The government's failure to enforce these price cuts has left many residents frustrated and questioning the efficacy of the city's economic policies.