• Consumers complain revised prices being charged for products from previous stock
• Shopkeepers link price increase to transport, distribution costs
ISLAMABAD/RAWALPINDI: Retailers have increased prices of confectioneries and other daily use commodities including fresh fruits citing the recent surge in petroleum prices, even though most shops were still selling existing stock purchased at older rates.
Consumers reported that shopkeepers began charging higher prices for commonly consumed items such as biscuits, noodles, toothpaste, clothes and locally-produced chocolates, immediately after the government increased petrol and diesel prices by Rs55 per litre on Saturday night.
“When we went to buy basic items from a shop, we came to know that prices of every item had been increased by Rs10,” said Wafa Abbas, a resident of Margalla Town in Islamabad.
Consumers complained that revised prices were being implemented even though the products available at shops were from previously purchased stock. Retailers, meanwhile, argue that increased transportation and distribution costs had forced them to adjust prices.
“We have to face inventory loss when prices are decreased, therefore the balance has to be maintained,” said Ghulam Ullah, a shopkeeper in Aabpara Market.
He blamed the government for not forewarning traders about the change in prices so that they could adjust their stock positions accordingly.
On the other hand, Rawalpindi Karyana Association Chairman Saleem Pervaiz Butt said price of pulses had been increased by Rs15 to Rs20 per kg after wholesale dealers and goods transporters increased their rates.
Traders, however, maintained that if petroleum prices remain elevated, further adjustments in the prices of packaged food and confectionery products could not be ruled out.
Market sources said several confectionery manufacturers and distributors were still reviewing their pricing structures and were expected to formally revise the rates after increase in fuel costs.
However, the most serious issue that the urban dwellers would face was the rising cost of packaged milk.
CEO Pakistan Dairy Association Dr Shehzad Amin said oil prices impact dairy sector the most as it was a logistics-dependent industry.
Milk must be collected daily from farmers, transported to processing plants, and distributed to retailers across the country, he said.
Dr Amin complained that Pakistan had 18pc sales tax, one of the highest taxation levels on milk anywhere in the world.
“Ultimately, these additional expenses will put pressure on the retail price of dairy products such as UHT milk, yogurt and other processed dairy items,” Dr Amin added.
Despite ample supplies, prices of green groceries, especially tomatoes and chilies, saw a jump, with different markets of the capital charging different rates.
The shopkeepers blame the wholesale market for the high prices and the commission agents for exploiting the situation.
Rizwan Farooq, president Traders Welfare Association, Wholesale Fruits and Vegetable Market I-10 Islamabad, said the massive rise in diesel prices had severely damaged the financial strength of the farmers.
He said most of the fruits such as melons as well as vegetables, including tomatoes, were coming from Sindh and the transporters had increased the rates.
“The worst part is that people, including the assistant commissioners, blame us, saying the middle men were making money,” Mr Farooq said.
Under the impact of the new oil prices the transport sector has raised fare.
Local buses and wagons have increased fares by Rs30 per passenger, while transporters on other routes have raised fares by Rs50.
The long-route transporters have also increased fares by Rs100 to Rs150 per passenger, further burdening the commuters ahead of Eid.
Regional Transport Authority (RTA) Secretary Asad Shirazi said action would be taken against transporters who charge more than 15pc increase in fares, as the Punjab government has allowed an increase of up to 15pc only.
While the ride hailing companies – Indrive and Yango – have started to consider new measures.
Communications Manager InDrive Parisey Tariq:”We are closely reviewing our pricing approach to ensure our driver partners are protected from negative income impacts during this challenging period.”
Published in Dawn, March 12th, 2026
