Islamabad, August 4, 2023 – Pakistan is facing an alarming surge in the prices of essential consumer items, with a staggering 30% increase Year on Year (YoY) by the week ended August 3, 2023.
The Pakistan Bureau of Statistics (PBS) reported that the Sensitive Price Indicator (SPI) on a YoY basis recorded a substantial 29.83% rise, affecting various crucial goods.
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Notable SPI Increases
Among the essential commodities experiencing substantial price hikes, Wheat Flour took the lead with a staggering increase of 131.40%. Cigarettes closely followed with a YoY surge of 109.57%, while Gas Charges for Q1 recorded a significant 108.38% increase. Tea Lipton saw a substantial price rise of 97.71%, and Rice Basmati Broken and Rice Irri-6/9 witnessed increases of 82.86% and 72.73%, respectively.
The cost of other necessities such as Tomatoes, Chilies Powder, Sugar, and Chicken also rose significantly, by 67.54%, 66.74%, 64.12%, and 60.51% respectively. Even everyday items like Gents Sponge Chappal and Gur saw significant price surges of 58.05% and 57.75%.
Price Decreases in Some Categories
Amidst the general price surge, a few items experienced a decrease in their prices. Onions saw a decline of 37.10%, while Electricity for Q1 dropped by 18.06%. Additionally, Pulse Masoor and Vegetable Ghee 1 kg also witnessed decreases of 15.07% and 1.13% respectively.
Recent SPI Trends
The SPI for the current week, which ended on August 3, 2023, recorded an increase of 1.30%. Notably, this uptick in prices is largely attributed to the soaring cost of food items. Tomatoes witnessed a substantial 16.85% price surge, followed by Chilies Powder at 7.58%, and Garlic at 5.71%.
In the non-food items category, LPG experienced a significant increase of 9.82%, while Petrol and Diesel saw an uptick of 7.86% and 7.82% respectively.
Mixed Trends in Pricing
While some items saw price decreases during the week, including Mustard Oil, Chicken, and certain quantities of Vegetable Ghee, others like Wheat Flour and Pulse Moong saw marginal price increases.
Throughout the week, out of 51 items analyzed, prices of 23 (45.10% of items) experienced increases, 7 (13.72% of items) witnessed decreases, while 21 (41.18% of items) remained stable.
Impact on Consumers
The surging prices of essential consumer items are putting a significant burden on the average Pakistani household. With inflation impacting several key necessities, many families are finding it challenging to manage their day-to-day expenses, and this trend may continue to impact the overall cost of living in the country.
As the situation unfolds, policymakers and relevant authorities may need to take proactive measures to mitigate the impact of soaring inflation on the general public’s well-being and ensure access to essential goods at affordable prices.
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