Punjab Grocery Merchants Association has rejected the government’s proposed profit margin for essential food items.
The association said a Rs. 2-per-kilogram margin was too low for retailers. It described the proposed amount as a “drop in the ocean” and questioned whether the pricing system was practical.
The Grocery merchants also rejected official rate lists issued by Deputy Commissioners across Punjab. These lists cover several essential products, including pulses, rice, ghee and cooking oil.
Grocery Merchants Demand 10% Profit Margin
The Punjab Grocery Merchants Association has demanded a minimum profit margin of 10% for retailers. It called on Punjab Price Control Committee Chairperson Salma Butt to hold a provincial-level meeting.
The association wants government officials and traders to discuss the pricing mechanism and find a workable solution. According to the merchants, official prices should reflect actual conditions in the open market.
The association wants prices for pulses, rice and ghee to be determined according to prevailing market rates. It has made the same demand for sugar, flour and white chickpeas.
Merchants Question Official Rate Lists
The Grocery merchants raised concerns about differences between government prices and wholesale market rates. The association’s Central Patron-in-Chief highlighted gram lentils as an example.
According to the association, the government has reportedly fixed gram lentils at Rs. 220 per kilogram. However, it said the wholesale market price is currently around Rs. 260 per kilogram.
The association questioned how retailers could sell the product at the official rate under these circumstances. It argued that such differences could make compliance difficult for shopkeepers.
Association Calls for Revised Pricing System
The merchants want authorities to review the system used for setting prices of essential commodities.
They argue that retail prices should consider wholesale costs and a reasonable profit margin. The association believes a 10% margin would provide retailers with a more sustainable business model.
It has asked the provincial authorities to address the matter through consultation with traders. The Grocery sector plays an important role in supplying everyday food products to households across Punjab.
Changes in official prices can therefore affect both retailers and consumers. The association has called for a pricing structure that reflects prevailing market conditions.
It also wants authorities to resolve differences between official rate lists and wholesale prices. For now, the merchants have rejected the proposed Rs. 2-per-kilogram margin.
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They are seeking further talks with the Punjab government over their demand for a minimum 10% retail profit.
