Prices of essentials
The prices of commodities increase higher and higher day by day. If the price of a particular commodity increases by a certain percentage, then it never gets back to its previous position, regardless of what is happening in the market. The price of a particular product will be estimated at the equilibrium level where the supply and demand intersects. But the prices in our country fly much higher than the equilibrium level. Greater demand and lower supply is one of the major reasons of price increase. There are also some natural and man-made causes which play their due role in price increase. Natural causes like floods and droughts are unpredictable and we need to be prepared for that. Apart from natural causes, man made causes increase the prices and a particular group of people take advantage of increasing price level. It is quite common that the prices of essentials increase in the holy month of Ramadan. Certain commodities are used mostly in Ramadan for preparing Iftar, but what's the reason behind increasing the prices of other commodities? The government has asked TCB to import several essentials which are consumed mostly in Ramadan to ensure smooth supply.
The attitude of retailers also affects the price level, as we often see that there exists a huge difference between the prices in retail and wholesale markets which is not expected.
The govt has to play the key role in stabilising the market and eliminate the disruptive forces.
For all latest news, follow The Daily Star's Google News channel.
Comments