Essential goods prices slashed

Price stability pact comes into effect:

Irangika Range

COLOMBO: Prices of essential commodities have decreased substantially with the signing of the price stability agreement between the Government and essential commodity importers in the Pettah Market for the first time.

The Pettah Wholesale Importers Association’s Vice President A. Devapiran said most essential items are now priced around 15 per cent lower.

Some commodities have seen a 100 per cent price reduction - one kilo of dried chilies is priced at Rs.130, down from Rs.260. He said prices of big onions will be reduced with imports from India where the onion season has started.

He said that prices of at least nine essential commodities have shown a significant reduction in the Pettah market. He said the wholesale prices for dhal has decreased from Rs.68 to Rs.63 yesterday while the prices for red onions have been reduced from Rs.48 to Rs.38.

Big onions are priced at Rs.41.50 while sprats are sold at Rs.135 a kilo. Potatoes were being sold for Rs.49 yesterday while canned fish weighing 425g went for Rs.95, down from Rs.120.

Sugar prices too have decreased from Rs.51 to Rs.48. Kadala also saw a reduction from Rs.140 to Rs.130.

Trade, Marketing Development, Co-operative and Consumer Services Secretary Dr. R.M.K.Ratnayaka told the Daily News that under the new stable pricing system, the maximum wholesale prices of nine essential commodities’ have been gazetted. If merchants violate this price stabilisation, legal action would be taken against them under the Consumer Protection Act.

“Duty concessions have been given to importers and it is unfair if they increase the prices,” he added. He said that the Government has been able to introduce this new stable pricing system within two weeks and commodities would be imported for utilisation in March and April. This will ensure that prices would not be increased in these two months.

He said 176 essential commodities importers have been involved in implementing the stable pricing system. The Cabinet has granted approval for the stable prices of nine essential commodities and stable whole sale prices will be Rs.75 for dhal, Rs.140 for chilies (super variety), Rs.132 Chilies (normal variety), Rs.42 for red onions, Rs.41.50 for big onions, Rs.51 for potatoes, Rs.50 for sugar, Rs.135 for sprats and Rs.95 for a tin of the canned fish weighing 425g.

The stable wholesale prices are being ensured at the Pettah market, Meegoda and Welisara Economic Centres.

Since this is the potato season and a good harvest is being received from Welimada, Uva Paranagama and Nuwara Eliya, the Government has endorsed the import duty on potatoes to protect local farmers.

Retail prices are expected to be reduced with the implementation of this system and consumers can purchase their requirements through 9,000 regional cooperatives and all Laksathosa branches islandwide at wholesale prises.

The Government expects to see a decline in inflation on the implementation of this agreement within three months and according to further requirements, it will be renewed.