Citizens criticize government due to price hikes [Archives:2007/1076/Local News]

Saddam Al-Ashmouri
For Yemen Times
SANA'A, Aug. 12 ) The price hikes continue where a bag of wheat reaches to YR 5000 equivalent to $ US 25, inside the capital city of Sana'a. This increase comes at the time when the ministers' council held an exceptional session on Thursday to discuss the price hikes, supplying issues and foodstuff requirements of the citizens.

The Prime Minister, Ali Mujawar, stated earlier that the government gave priority to the economic and supplying situations since it was formed. It had taken a number of decisions to ensure the supplying strangulations or price imbalances. It is despite the gross increases in the international prices due to the deficit in the supply of the foodstuff commodities particularly wheat and the increase of international demand on this commodity.

The ministry of trade and industry justified that by issuing a statement saying: the price of the US wheat reached to unprecedented level. It is currently roughly at $ US 342 for one ton reaching to the Yemeni ports equivalent to YR 3,900 for one bag with capacity of 50kg in addition to all the expenses of unloading, transportation, administrative and supplying costs as well as gains of the importers and tradesmen.

The ministry also pointed out that these price hikes are due to the recession of the production in most of the countries producing wheat. This is attributed to climate factors experienced by the international crop, resulting in discontinuation of exports of many countries such as Pakistan, Ukraine, as well as the change of the some countries such as India to import great quantities of wheat. Consequently, the American production dominates the market in addition to the double of shipment costs to be $ US 94 for one ton. It is because of the increase of the international price of oil accompanied by the increase of demand on the shipment services.

Citizen's response

However, some citizens considered these price hikes as carelessness and lack of feeling with responsibility Ali Al-Tawili, one of the citizens said,”We hope that the president as well as the government will not release statement because these statements are hints for increasing prices.””

Yahya Al-Sultan considered this price hikes as a manipulation on the citizens