Respite nowhere

2009 had been vexing from the consumer’s point of view. 2010 too has started on a pessimistic note when price hikes, shortages, and adulterated commodities are to be taken into account. Barely three weeks into the new year, and very visibly LPG cylinder’s cost has increased by almost 11 percent, while sugar price has hit an all-time high of Rs. 80 per kg, and the price of salt has gone up from Rs.11 a kg to Rs. 15, among others. If 2009 had seen the price of vegetable, fruit, cereal, lentil and other items of daily necessity skyrocket to make life for the consumers miserable, there is no sign to suggest that this year is going to be any better. Lax administration, inability to enforce the rules and regulations for consumer protection, and the blind eye turned to hoarding and profiteering can be cited for all the woes that the people have had to bear all along, and there is no end in sight what with the spate of strikes and bandhs becoming fixtures almost daily. All efforts on the part of the government to ease the abnormal price hike burdens on the citizens have but been hollow promises not to be kept. This makes a nice reading for one who is familiar with the border market in India.

To provide clarity to the practical experience of the consumers, Nepal Rastra Bank (NRB) statistics show that a two-digit in price hike has been ruling in the fifth month of the current fiscal year. A small degree of rise in price index is taken as a measure of the development of the economy that is economic growth or greater purchasing capacity spurs some amount of price hike as a result of pressure on the supply side. If NRB findings are looked into, it shows that 11.3 percent price hike was evident in December last year while the rise in price of consumables like food and beverages was 17.8 percent. This aptly reflects the scenario for the people who are already reeling with their income barely rising enough to offset the regular increases of prices of every conceivable item that comprise the everyday needs of the average man. This is a very unnerving situation wherein a considerable number of income-generating days are lost because of the various forms of protests by the political parties, their sister organisations, professional groups and the like against which the government has proved to be helpless.

Of course, the trend of price hikes could be explained in 2009 because of the adverse weather in the country when rains did not materialize when it was needed most for agriculture. It is but one more proof that the country has still retained its preference or rather compulsion to adhere to agriculture as a profession for the majority of its people. In this sector too the power outages have added further problems for the irrigation schemes. As for the industrial sector, it has been plagued mainly by strikes arising from management-worker strife, and load shedding throughout the year. The deficits in import-export has been rising astronomically, with exports making up for only a small percentage of the import amount. The country is at a crucial juncture both politically and economy wise and radical measures to enhance agricultural and industrial production must come up soon to retain some semblance that real economic development is taking place.

Playing foul

Yet again another racket in dealing of spurious liquor has been exposed. A popular brand of imported whisky that is being openly sold even in luxurious hotels and restaurants has been found to be spurious ones thereby cheating the gullible consumers. Those consuming such liquor could be taking in harmful chemicals as well. The racketeers have been so clever that they are said to be working with the wholesalers and distributors and illegally bottling and distributing the fake liquor. The authorities were tipped off, and they managed to catch the dealers of the counterfeit products after much hue and cry was raised about the substandard liquor. Now a massive manhunt is being conducted to bust the racket.

That this tainted liquor is being sold in the market at a cheaper price openly raises serious questions. Such liquor are said to be sold in bottles without stamp of excise duty affixed on them and with loose caps and other defects. Besides the loss of millions of rupees in revenue because of the racket, there are associated health hazards as well from the consumption of the counterfeit liquor. The authorities should step in so that the culprits don’t get away scot-free.