AGL 22.90 Decreased By ▼ -1.83 (-7.4%)
AIRLINK 103.99 Decreased By ▼ -7.11 (-6.4%)
BOP 5.36 Decreased By ▼ -0.18 (-3.25%)
CNERGY 3.86 Decreased By ▼ -0.04 (-1.03%)
DCL 8.02 Decreased By ▼ -0.43 (-5.09%)
DFML 39.10 Decreased By ▼ -3.15 (-7.46%)
DGKC 86.95 Decreased By ▼ -2.65 (-2.96%)
FCCL 22.70 Decreased By ▼ -0.20 (-0.87%)
FFBL 40.59 Decreased By ▼ -1.39 (-3.31%)
FFL 8.89 Decreased By ▼ -0.15 (-1.66%)
HUBC 153.50 Decreased By ▼ -8.70 (-5.36%)
HUMNL 10.65 Decreased By ▼ -0.70 (-6.17%)
KEL 4.55 Decreased By ▼ -0.23 (-4.81%)
KOSM 3.90 Decreased By ▼ -0.16 (-3.94%)
MLCF 37.50 Decreased By ▼ -1.45 (-3.72%)
NBP 49.00 Decreased By ▼ -1.60 (-3.16%)
OGDC 134.15 Decreased By ▼ -2.96 (-2.16%)
PAEL 26.15 Decreased By ▼ -2.40 (-8.41%)
PIBTL 6.07 Decreased By ▼ -0.18 (-2.88%)
PPL 116.79 Decreased By ▼ -6.01 (-4.89%)
PRL 23.55 Decreased By ▼ -0.75 (-3.09%)
PTC 12.90 Decreased By ▼ -0.84 (-6.11%)
SEARL 57.25 Decreased By ▼ -2.80 (-4.66%)
TELE 7.45 Decreased By ▼ -0.31 (-3.99%)
TOMCL 35.74 Decreased By ▼ -3.66 (-9.29%)
TPLP 8.50 Decreased By ▼ -0.26 (-2.97%)
TREET 15.68 Decreased By ▼ -0.52 (-3.21%)
TRG 56.40 Decreased By ▼ -3.60 (-6%)
UNITY 33.40 Decreased By ▼ -1.00 (-2.91%)
WTL 1.18 Decreased By ▼ -0.04 (-3.28%)
BR100 8,433 Decreased By -274.3 (-3.15%)
BR30 26,639 Decreased By -1159 (-4.17%)
KSE100 80,118 Decreased By -1722 (-2.1%)
KSE30 25,681 Decreased By -584.1 (-2.22%)
Business & Finance

Rising food, POL rate in intl markets escalating Pakistan's inflation rate, says expert

  • “If you look at the petroleum products in December receiving oil at $40 per barrel which now stands at $70 per barrel,” he said. The rise in rates of food and petroleum production ports in the international market have affected the domestic market, said Suleri.
Published March 16, 2021

Rising prices of food and petroleum products in the international market has escalated the inflation rate in Pakistan, said Executive Director SPDI Abid Qaiyum Suleri.

Talking to a private channel, on the rising inflation rate SPDI economist said that apart from administrative issues two major developments have accelerated the problem.

“Pakistan is moving towards becoming a food importing country with items such as wheat sugar and pulses and oil are being imported. If you look at the international markets the rates of such commodities for example the soybean oil price has increased by 70 percent from October to December 2020, whereas, the rates of pulses have increased by 32pc in international markets,” he said.

“If you look at the petroleum products in December receiving oil at $40 per barrel which now stands at $70 per barrel,” he said. The rise in rates of food and petroleum production ports in the international market have affected the domestic market, said Suleri.

Last week, the state-run Trading Corporation of Pakistan (TCP) has issued two new international tenders to purchase and import 300,000 tonnes of wheat and 50,000 tonnes of white sugar to meet local shortfall.

Suleri further said that the purchasing power of people have diminished significantly due to the coronavirus pandemic, which has increase the intensity of rise in inflation rate. “All multilateral organisations including United Nations agreed that due to COVID-19 pandemic the purchasing power has diminished globally, similar is the case in Pakistan,” he said.

Suleri who also serves as the member of Prime Minister’s Economic Advisory Council pointed that out that in order to address the drop in agricultural output there is a need to overhaul the agriculture system.

“Coronavirus pandemic has shown us that being a service oriented economy is not feasible and we need to strengthen our agricultural sector otherwise Pakistan will not be able to survive if it continues to import food commodities,” he said.

Suleri further said that the government should focus on targeted subsidy to poor masses and improve its governance system.

Comments

Comments are closed.