Pakistan price shock: Milk crosses PKR 210/liter, chicken PKR 700/kg
Amid Pakistan's economic crisis, the steep increase in the prices of essential food items following an unchecked price hike for daily-use items, particularly milk and chicken, has shocked its citizens. Reportedly, loose milk is now being sold at PKR 210/liter, up from PKR 190/liter, while chicken meat is now priced at PKR 700-780 per kilogram, up from PKR 620-650/kg just a few days earlier.
Why does this story matter?
Pakistan is grappling with the worst food inflation in many decades due to low foreign reserves and a cash crunch. Reportedly, under pressure from the International Monetary Fund (IMF), Pakistan removed its unofficial exchange cap last month, triggering its currency's most significant single-day decline of nearly 10%. The IMF also held back the latest bailout installment of $1.1 billion, demanding economic reforms in Pakistan.
Live chicken, chicken meat witness steep price hike
According to Dawn, the price of live broiler chicken has risen by PKR 30-40/kilogram in Pakistan in the last two days, bringing the price to PKR 480-500/kg. Previously, it was sold for PKR 390-440/kg. Meanwhile, chicken meat is currently being sold at PKR 700-780/kg, up from PKR 620-650/kilogram in just a few days. Similarly, boneless meat now costs PKR 1,100/kg (up by PKR 150-200).
Loose milk sees PKR 20 hike in just days
The prices of loose milk have also been hiked in cash-strapped Pakistan. Loose milk is being sold at PKR 210/liter in most cities; it was earlier retailing at PKR 190/liter. Amid soaring prices, Karachi Milk Retailers Association's media coordinator Waheed Gaddi blamed the government for rising prices. He said that retailers would charge more as the government has failed to control procurement prices.
Halting of poultry feed consignment contributed to inflation
The Dawn also reported that rising poultry feed prices are contributing to higher chicken prices. Sindh Chicken Wholesalers Association General Secretary Kamal Akhtar Siddiqui said that the port's clearance of soya bean meal (one of the primary components in poultry feed) had been suspended, leading to a price rise. A 50kg feed bag now costs PKR 7,200, up by PKR 600 in one month.
Imran Khan's Pakistan Tehreek-e-Insaf slams government
Electricity, gas tariffs raised amid negotiation talks with IMF
Meanwhile, the Pakistani government has also raised electricity and gas tariffs in the country amid a deepening economic crisis. According to Arab News, the raised prices were implemented on Monday soon after the country's virtual discussions with the IMF officials resumed to restart a delayed economic bailout program and unlock essential money for the cash-strapped economy.
Natural gas price range hiked between 16% to 112.32%
Pakistan negotiating with IMF on $6.5 billion bailout package
The IMF officials visited Pakistan last month but departed without a deal after 10 days of talks last week, leaving Pakistan in dire need of finances amid the crisis. Meanwhile, negotiation talks later proceeded virtually to reach an agreement on a reform plan under the country's $6.5 billion bailout package signed in 2019. It remains to be seen if the transaction will be completed.
