Black-marketing rife as traders cash in on supply crunch

Marina Devi Kanojiya, a Chabahil-based housewife, recently went to a shop to buy a one-liter pouch of sunflower oil carrying just Rs 120 in her wallet. She, however, had to return empty-handed as the shopkeeper asked her to pay Rs 190. Kanojiya had paid Rs 120 for a liter of sunflower oil last month. “I was surprised when the shopkeeper asked me to pay Rs 190 for something which I had bought at Rs 120 a month ago only,” Kanojiya said, adding, “Traders are raising prices of food commodities arbitrarily, taking advantage of the ongoing blockade.” Not only sunflower oil, price of most of the things has increased compared to a month before. Consumers, who were already braving rise in price of daily essentials after the earthquake, are now being overcharged by unscrupulous traders under the pretext of blockade. Sugar, which was retailed at Rs 62 per kg a month ago, now costs Rs 70 per kg. Geeta Bhandari, who operates a canteen at a college in Chabahil, said retailers are reluctant to sell sugar at even Rs 70 per kg. “Not only sugar, price of milk has also gone up. Local dairies have started charging as much as Rs 100 for a liter of milk,” she said, adding that she has not been able to prepare food in her canteen due to expensive food commodities and unavailability of liquefied petroleum (LP) gas. Lentil price has also gone up significantly. Price of split yellow pigeon pea, for example, has increased by Rs 100 per kg to Rs 240. Traders have cited reasons like supply disruption, shortage, and high transport fare as the reasons behind price hike. Pabitra Man Bajracharya, president of Nepal Retailers Association, passed the buck on big traders. “Big traders are making fast bucks by keeping high profit margin, taking advantage of shortage in the market,” he added. Not only food commodities, price of apparel, footwear and other accessories have also increased significantly. Traders blame the situation to supply disruption. With supplies obstructed at border crossings, black-marketeers are having a field day. They are openly selling petrol at Rs 500 per liter, nearly five times higher than the market price of Rs 104 per liter. Similarly, they are charging Rs 5,000 for a cylinder (14.2 kg) of LP gas which costs only Rs 1,400. What disappoints people is that the government is doing absolutely nothing to control these anomalies. Officials of Department of Commerce and Supply Management (DoCSM), the designated government body to control market anomalies, says consumers are paying whatever price the traders quote. “It is true that some traders are taking benefit of supply crunch in the market. But instead of filing complaints against them, consumers are willingly paying the price quoted by them,” Hari Narayan Belbase, director of DoCSM, said. “We request consumers to contact Nepal Police or the office of DoCSM if they are overcharged for any product or service.” He also said the government would take needful action against such wrong-doers. Source: Republica