Dealers from all over the country were almost unanimous in voicing their point of view before the Commission appointed by the Supreme Court of Pakistan to determine the cost of production and profit margins in the sugar sector.
"As stated by the representative of the Punjab Dealers Association fixing one price for the entire country would hurt their interests in view of the transport cost differentials," according to the Competition Commission of Pakistan report.
Fixing one price will result in costs not being recovered in many cases, and therefore, a flat rate would hurt the interests of dealers and would take away the incentive for remaining in this line of business, the report says.
The report further says that consumers were represented by the consumers Association of Pakistan and the Helpline Trust. "It was submitted that the rise in sugar prices was hurting the interests of the consumer. No data regarding cost of production or profit margins was submitted," according to the report.
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