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High commodity prices persist amid declines in gold price, exchange rate

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Commodities are seen in the shopping centre.

In the second week of September, the price of gold and the exchange rate significantly fell yet the prices of commodities and consumer goods remain in upward trends, housewives stressed.
The domestic pure gold price and exchange rate tremendously jumped in August due to different reasons, which are way higher than the reference prices. As a result of this, the prices of daily food products and the majority of consumer goods dramatically rose.
Although the goods to be imported with the high exchange rate have not arrived in the markets, the businesspersons have already raised the commodity prices in their hands, according to the exchange rate. Import process including applying for import licence and freight shipping transit time takes 15 days at least. However, the businesspersons set the prices of commodities unanimously in advance.
The prices of imported goods and related goods have increased accordingly. Although it is beneficial for the businesspersons who keep the stocks in their hands, the consumers are bitterly battered by inflation pressures.
Locals are facing the burden of high commodity prices. Consumers are struggling with the impacts of collusive pricing.
However, they do not intentionally respond to the slides on the foreign exchange rate in recent days. That being so, the consumers are suffering the impacts of inflation with advanced pricing. The prices of wheat and edible oil affected the prices of daily food products like Yu Char Kway, Naan, instant noodle, bread, and products made of wheat. Similarly, imported dairy products are also priced higher. Food products and consumer goods without price inflation are rarely found in the markets. Inflation increases the cost of living yet their income remains unchanged. Therefore, inflation falls hardest on low-income households when they are struggling with the soaring prices of food.
Thus, the prices of food products and consumer goods should have been reduced in consequence of the slides in the exchange rate. Inflation is pushing up the burden of mounting living costs on consumers. — TWA/GNLM

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