Cost
of living: it’s do or die now
By N. Dilshath Banu
The recent increase in the price of gas and milk powder which followed
the earlier fuel price hike has sent the cost of living soaring,
hitting both consumers and producers, whether they are housewives,
those selling packets of lunch or grocery or restaurant owners.
Raja
earns a living by selling packets of lunch for nearly one year,
near the Colombo University. "We have been forced to increase
the price by about 10 to 15 rupees but the quality of our lunch
is not affected and we are hoping to maintain the same standards.
But we don't get big profits these days as people prefer to bring
food from home, which would cost less, rather than buy food from
outside," he said.
Mr.
Peiris who works in the university library says that although the
price of a packet of lunch has gone up, quality has gone down. "I
have been working here for nearly 20 years, and in the early days
a packets of lunch cost only 1 to 2 rupees but now there has been
a huge increase. Prices of short eats are also high, and eating
a few of them costs more than consuming a packet of lunch,"
he said.
However,
the leading food distribution outlets, which has fixed prices for
food items and targets a middle class clientele do not seem to be
affected by the price hikes. Three-wheeler drivers who are directly
affected by the fuel increase say they are unable to increase their
fares due to fear of losing their regular customers.
People
are now using alternative ways to reach their destinations rather
than spend money on three-wheelers. Nimal Pushpakumara, a three-wheeler
driver near the National Hospital said: "If we increase the
price people will not hire us. Usually, we charge Rs. 30 as the
minimum fare.
We
want to increase it by Rs. 10 as a result of the fuel price hike,
but so far we haven't succeeded. Earlier, I used to earn more than
Rs. 700 a day, but now it's less than Rs. 500."
Meanwhile
the price of vegetables has increased. A kilogram of carrot or leeks
which costs between Rs. 50 and Rs. 60, now costs around Rs. 96 a
kilo and while beans sold at around Rs. 60 a kilo, they are now
priced at Rs. 80 a kilo.
K.W.Gamini,
a wholesale dealer at the Manning Market said that the increase
in vegetable prices brings more profits to him and other wholesale
dealers, though it is a burden to consumers. "We increase prices
based on supply and demand. If there are more vegetables, we have
to sell at a lesser price. On the other hand, if the supply is reduced,
we have to increase the price. Fuel price hikes will have an impact
on pricing but supply and demand has a greater impact on prices,"
he said.
Mohamed
Hassan who runs his own grocery shop at Maradana says the past two
years there had been many price changes. "When we started this
shop, a packet of Anchor milk was sold at Rs. 105 but now it costs
Rs. 165.
A
cake of Sunlight soap was sold at Rs. 15 and now it is Rs. 19. When
prices go up, customers complain that we hoard stocks until the
price goes up, to sell at the higher price but that's not true.
We can't sell items at the old price, once the price is increased.
Although, we are not running at a profit, we are somehow surviving
on our day to day sales," he said.
Neeta
Madurangani, a housewife says that even a one rupee increase in
a consumer items makes a big impact. "My family depends on
my husband's salary and though the month is not over, the salary
is no more. In addition to the needs of my three children, bills
are consuming our money. This time, there is an additional increase
in the water bill which is very hard on us. Although the Government
had increased salaries by Rs. 2,500 the unending expenditures has
eaten into it. Saving money in these days is unimaginable,"
she said.
Meanwhile,
the Inter-Ministerial Committee on Food Security, a body created
to monitor the cost of living and price hikes, has not been summoned
for nearly five months.
However,
Trade, Commerce and Consumer Affairs Additional Secretary Janaka
Sugathadasa said UPFA party leaders meetings has taken its place.
"The former committee was able to bring down the price of rice
when the rice price was escalating by importing rice. Now matters
relating to the cost of living are discussed with other issues at
the UPFA party leaders meetings. Though it is a political meeting,
relevant secretaries are invited to discuss related issues,"
he said. |