The price of tomatoes in Peshawar has skyrocketed to over PKR 200 per kilogram just days before Eid al-Adha, despite the district government’s attempt to cap prices at PKR 100 per kilogram, as reported by The Express Tribune. This surge in prices is a recurring issue during Ramadan and Eid al-Adha, typically overlooked by authorities despite assurances to the contrary.
In response to the situation, the Deputy Commissioner of Peshawar has taken action by imposing a ban under Section 144 on the transportation of tomatoes outside the district. However, local markets continue to experience doubling prices as Eid al-Adha approaches, aligning with earlier predictions that tomatoes, along with onions, would see inflated prices during this festive period.
Residents have expressed frustration over the sudden price hike, noting that prices escalated by PKR 100 per kilogram in just one day. Many believe that the district administration’s efforts may be limited to verbal instructions, echoing similar instances from previous years.
During the budget presentation, the government emphasized its commitment to keeping inflation at 12% in the upcoming fiscal year. Despite this goal, the implementation of aggressive tax measures, aimed at increasing revenue, could paradoxically lead to further price escalations instead of stabilizing inflation rates.
Abid Suleri, Executive Director of the Sustainable Development Policy Institute (SDPI), criticizes the government’s handling of inflation. He argues that adjustments to minimum taxable income thresholds are necessary to account for inflation and suggests that the current monthly exemption of PKR 50,000 is inadequate. He warns that doubling taxes on those within the initial tax slab could reduce disposable incomes and worsen economic hardships.
Moreover, increased fuel costs due to higher levies and expanded GST rates in specific sectors are expected to contribute to higher inflation, amplifying the overall cost of living. Suleri also highlights the absence of any discussion regarding the taxation of agricultural income, which he believes could significantly broaden the tax base.
In conclusion, while the government aims to control inflation through various initiatives, the reality of skyrocketing prices, such as those seen with tomatoes ahead of Eid al-Adha, underscores ongoing challenges in stabilizing the economy and cost of living for Pakistani citizens.