Planning Minister Prof. Ahsan Iqbal Presides Over National Price Monitoring Committee Meeting to Address Inflation Control and Price Stability

Islamabad, 5th November 2024:* Planning Minister Ahsan Iqbal chaired a meeting of the National Price Monitoring Committee to deliberate on strategies for price stabilization and managing the supply-demand dynamics across Pakistan. Senior officials, including Additional Secretary Planning Mr. Kamran Rehman, Economic Advisor Dr. Imtiaz Ahmed, Chief Statistician Dr. Naeem Uz Zafar, Joint Chief Economist, Deputy Commissioner ICT, Deputy Commissioner (MP & FP), and representatives from the Ministry of Food and provincial governments, were present.

The committee reviewed recent inflation data, particularly in food and essential commodities, using insights from the Pakistan Bureau of Statistics (PBS) on the Consumer Price Index (CPI). Minister Iqbal emphasized the need for data-driven strategies in price monitoring, advocating for detailed reports on inflation drivers to facilitate targeted interventions.

In October 2024, Non-perishable food items experienced a controlled rise of 1.01% as compared to previous month and a decrease of 1.46% if compared to last year October 2023. Major decrease observed in the prices of wheat flour (-34.73%), sugar (-9.15%) and cooking oil (-10.2%). Overall, the food inflation reflecting high stability in the prices declined from 28.9% in October 2023 to 2.7% in October 2024 in Urban and declined from 28.6% in October 2023 to 0.6% in October 2024 in Rural area. Additionally, the Transport sector and fuels category saw a declining trend (-6.13%) due to mainly decline in Petrol and diesel (-18.5%) if compared with October last year.
Minister Iqbal directed that demand and stock availability analyses be proactively conducted for critical periods, especially during Eid-ul-Adha and Ramadan, to mitigate price spikes. He stressed that preparation for these high-demand seasons should anticipate potential supply pressures to prevent market disruptions.

Local market committees were instructed to play an active role in monitoring demand and supply, ensuring adequate availability of essential commodities. Every Deputy Commissioner has been tasked with maintaining oversight of district-level stock levels to avert shortages.

Acknowledging PBS’s capability in providing monthly snapshots of district-level prices, Minister Iqbal urged provincial chief secretaries to conduct regular price evaluations at the district level in collaboration with PBS. He emphasized the need to avoid duplicated efforts by coordinating closely with PBS for data-driven decisions and effective price control.

With recent reductions in fuel prices, the Minister underscored the importance of adjusting transport fares to reflect these decreases, ensuring the public benefits from reduced transportation costs across markets.
The committee examined discrepancies between wholesale and retail prices in various regions, with a directive to establish a database for Chief Ministers’ review. This initiative aims to improve transparency, curb profiteering, and bring greater stability to consumer prices at the local level.

Minister Iqbal highlighted the importance of a structured business plan for agriculture, urging the establishment of national production targets to align with domestic needs and export potential. Each crop should have a clear business model with annual targets, mirroring practices in developed countries.

Recognizing the need for specialized expertise, he recommended appointing a permanent agriculture economist to guide crop planning and economic projections. Furthermore, he called for enhancing value addition in dairy and agricultural products, particularly in high-potential items like milk, fish, mangoes, and poultry, aiming to develop Pakistani brands for both domestic and international markets.

Minister Iqbal reiterated the critical role of data analytics in future planning. He urged all provincial and federal units to fully utilize PBS data, enabling informed decisions for price stability and productivity improvements across sectors. Efficient data usage, he noted, is essential to achieving economic resilience and supporting the public amidst inflationary challenges.

The government’s inflation management efforts are yielding positive results, particularly in essential commodities. Close monitoring of wholesale-retail price gaps has also helped stabilize market prices in various regions.