Innocent vendors

This letter refers to the news report ‘Ramazan price crackdown: 51 sellers arrested, 3 shops sealed’ (March 4, 2025). This is a gross injustice. Wholesale and retail trade in Pakistan and much of the region is competitive and time tested. There are a large number of buyers and sellers and no single buyer or seller can influence the price level. Prices are determined by demand and supply and whether an industry or trade is subject to increasing or decreasing costs of production. In the month of Ramazan, people consume more and work and produce less. When demand increases and supply decreases, some increase in prices is natural.

However, much of the increase in prices has been caused by the government itself. The prime minister and the chief minister of Punjab have boastfully announced Ramazan packages of Rs20 billion and Rs30 billion. They have thus placed purchasing power of 50 billion rupees in the hands of low-income families, without a corresponding increase in production. Other provinces have also provided relief packages as well. This money will be spread over available goods and further inflate prices. Blaming and punishing vendors is not justified.

Abdul Majeed

Islamabad