Cut in 16 USC items' prices approved by ECC

The Economic Co-ordination Committee of the Cabinet (ECC) has approved reduction, of up to 15 percent, in the prices of 16 essential commodities at the Utility Stores Corporation (USC) for the month of Ramazan.
The ECC meeting, chaired by Finance Minister Dr Abdul Hafeez Sheikh, on Wednesday after detailed discussion approved a reduction of 15 percent in the current flour sale price at USC on 200,000 tons for the month of Ramazan. After a reduction of Rs 4 per kg, the flour will be sold at Rs 22.50 per kg at USC outlets during the month of Ramazan against current sale price Rs 26.50 per kg.
The meeting decided to reduce ghee and cooking oil prices by 9.25 percent to provide Rs 15 subsidy on per kg and allocated 55,000 tons ghee and cooking oil for selling at Rs 147 per kg during the month of Ramazan against the current USC sale price of Rs 162 per kg.
The meeting decided to sell 4000 tons dal chana at USC during the month of Ramazan at Rs 67 per kg by providing Rs 10 per kg subsidy at current USC sale price of Rs 77 per kg. White gram 3000 tons would be sold at USC during Ramzan at Rs 132 per kg after giving Rs 10 subsidy per kg at current price of Rs 142. Dal moong, dal mash, baisen (chakki) would be sold at Rs 122, Rs 128 and Rs 63 per kg respectively after giving subsidy Rs 10 on each commodity. Four hundred (400) tons dates would be sold through USC at Rs 110 against the open market price of Rs130 to Rs140 and current USC sale price of Rs 120 per kg.
Rice Basmati, rice sella and broken rice would be sold at Rs74, Rs74 and Rs 51 per kg respectively against the market price of Rs90 to 95 and Rs65 per kg and current USC price of Rs84, Rs84 and Rs61 per kg.
The current price of sharbat would be reduced by 16.3 percent and squashes bottles by 8.6 percent. The price of tea, and milk tetra pack would be decreased by 7.47 percent and 6.66 percent from the current sale price at USC during the month of Ramazan.
On a summary for giving subsidy on sale of wheat in Gilgit-Baltistan, the ECC agreed in principle to the request and constituted a committee to devise the system for implementation of subsidy in a way to ensure maximum benefit to the locals instead of stockers and hoarders.
An official said that Finance Ministry directed Ministry of Water and Power to find out modus operandi for clearance of plant, machinery for Nandipur power plant from the Karachi port. The ECC gave conditional approval to a summary moved by the Minister of Water and Power requesting waiver of demurrage and detention charges for 425 mw Combined Cycle Power Project at Nandipur being implemented by the Northern Power Generation Company, provided that it is cleared by the Law Division. The meeting observed that in case of any objection from the Law Division, the matter shall be referred to the Cabinet for further discussion. The machinery for the power generation is stuck up at Karachi Port with the authorities asking to follow the proper procedure for the release of this consignment. The project was approved by the ECC on 27.12.2007.
The ECC also constituted a committee on a summary moved by the Ministry of Industries with Finance Minister in the chair for further deliberations on the issue of urea import for Kharif 2011 and Rabi 2011-12. The other members of the committee would include Naveed Qamar, Minister for Water and Power, Deputy Chairman Planning Commission, Dr Nadeem ul Haque, Petroleum Minister Dr Asim Hussain and Secretary Industries.
On the request to purchase 50,000 tons sugar from Pakistan Sugar Mills Association, the ECC was informed that strategic reserve of the commodity is satisfactory and procurement is not required till December. However, it was decided to have another meeting of the concerned ministries in a couple of days.