Curbing Ramazan price hikes: lessons from global practices

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LAHORE: During Ramadan in Pakistan, necessary commodities, especially food prices, demand for hike, storage and market manipulation have increased. Although this trend is found in many Muslim -majority countries, its severity and the basic causes are different.

Pakistan is worse in this regard compared to other Muslim countries. In countries like Saudi Arabia, the United Arab Emirates, Qatar and other Gulf states, prices are relatively stable due to the government’s control over prices and strict market surveillance. Some essential items also see exemptions due to Ramadan promotions in the supermarkets.

In Turkey and Malaysia, prices may rise slightly due to excessive demand, but governments actively interfere with subsidy and regulatory supervision. In Bangladesh and Indonesia, prices also increase, as in Pakistan, but it helps to reduce the growing cases of prices caps and government -stored food programs. In Egypt and North Africa, storage and speculation can cause temporary prices to rise, yet there are methods to control prices to counter them.

Governments in non -Muslim countries need to interfere with rarely to manage prices during religious festivals. Prices for some festive items -such as sweets, dried fruits, oils and sugar -may increase due to increased demand. However, in India, the government often releases the reserves of the commodity to stabilize prices. A competitive retail market also helps prevent artificial inflation.

In the United States, during Christmas, food prices for Thanksgiving and Black Friday, Turkey, Ham and other festivals may increase a slight increase, but often weather waivers and bulk sales are balanced. The supermarket maintains fierce competition prices between chains and bulky retailers. Unlike Pakistan, where prices usually rise, many unnecessary items in the United States experience considerable exemptions during festive seasons.

To prevent prices during Ramadan and other religious occasions, Pakistan will have to adopt a set of government intervention, market reform and consumer awareness. Authorities will have to crack about storage and pricing manipulation, which is often inspected. Large supplier cartels that deliberately produce artificial shortages should be closely monitored. Small -scale retailers dominate, rather than large, competitive supermarkets, also aid to reduce price stability. Unlike the Middle East and India, Pakistan rarely controls effective prices or subsidies during Ramadan.

The government should announce the fixed price lists for the necessary items at least 15 days before the holy month. It should maintain important commodity reserves – such as sugar, wheat and pulses – and leave them beyond Ramadan to stabilize prices.

Taking the manipulation of prices by small retailers, the authorities should encourage large retail chains to offer discounted Ramadan packages. Tax benefits can be presented to supermarkets that sell Ramadan accessories at controlled rates. Wholesalers, retailers and consumer protection agencies should include the determination of reasonable price roofs, with final pricing listings available on official websites, mobile apps and on all retail shops.

Strict implementation of maximum retail prices for essential items – such as wheat, sugar, flour, pulses and cooking oil. Violators should be fined, and stored stocks should be confiscated and released immediately in the market.

Public awareness campaigns discourage panic purchases and inform consumers where to find the essential supplies. The government can also cooperate with major brands and manufacturers to offer Ramadan discount package, which is like the Middle East people.

Pakistan should learn from other countries. In Saudi Arabia and the United Arab Emirates, the government -imposed prices prevent rise in prices, while large supermarket chains offer Ramadan exemption, which reduces dependence on small retailers. In Turkey and Bangladesh, governments issued storage to stabilize markets. In India, publicly available food reserves help prevent manipulation by traders.

Effective prices need political will, strong governance and consumer activity. If its plan was introduced three months ago, subsidy of Rs 30 billion announced by the Punjab government could be allocated to store necessary food items – such as wheat, sugar, dates, onions, potatoes and gram pulses – and strategies during Ramadan to prevent prices.