Highness of Prices in Sudan.. The increase of the dollar and the absence of supervision put the citizen in facing the “market ogre”
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Sudan Events Report – Rehab Abdullah
Sudanese citizens are experiencing harsh economic situations due to the unprecedented increase in the prices of consumer goods in all states of Sudan, as prices have recorded record numbers with the disappearance of most goods in many markets, which has made many people live in catastrophic situations
Some goods have increased by 500%
The prices of some essential goods have increased by more than 500% due to the increase in the price of the dollar against the Sudanese pound addition to the increase in fuel prices, and the price of a liter of gasoline in the state of the River Nile reached about SDGs 3086.
Reluctance from Sale :
The increase in the price of the dollar to SDGs 2700 thousand,has prompted agents of major companies and some merchants to close their shops and refrain from selling, for fear of being exposed to financial losses, while others were forced to increase the prices of their goods directly in an attempt to maintain a balance of profit rates in light of the decline in the value of the currency.
At a time when citizens and displaced people from Khartoum state complained of the deterioration of their living conditions and the difficulty of providing their daily needs and dispensing with semi-essential goods, including meat.
The price of a 50-kilogram bag of sugar in Khartoum state reached SDGs 170,000 , with a kilo sold for SDGs 4,000 , while the price of the same bag in River Nile state, Shendi locality, reached SDGs 135,000 , with a scarcity of bakery flour, as the price of a 25-kilogram bag of flour in Khartoum rose to about SDGs 70,000 , with the disappearance of lentils and rice, where a 20-kilogram bag of lentils reached SDGs 75,000 and rice reached SDGs 50,000.
Sudan Events monitored a significant increase in the prices of consumer goods in Shendi markets. Traders explained that the increase in the prices of sugar, cooking oils, milk (powder), coffee and flour is due to the increase in transportation costs as a result of the increase in fuel prices, addition to the increase in the dollar price, in addition to fees and taxes.
The price of a 50-kilo bag of sugar reached SDGs 135,000, while a kilo of sugar reached SDGs 2500 , a kilo of powdered milk from SDGs 9,000-10,000 to 12,000, a pound of coffee from SDGs 7,000 to 8,000-10,000.
The price of bread increased after the increase in the price of flour, and bakeries began selling 8 pieces for a thousand pounds instead of SDGs1,000.
Dramatic Increase:
Economic expert and Dean of Faculty of Economics at the University of Sudan, Professor Abdel-Azim Al-Mahal, confirmed in his interview with (Sudan Events ) that the prices of goods and services have recently increased dramatically -according to him- but he went on to say, “In fact, there is no increase in prices, but the Sudanese pound is eroding every day and has lost its value.
After it was aboutSDGs 570 per dollar, it has now become SDGs 2,700 per dollar.”
He considered this to mean a complete collapse that requires the resignation of the entire economic staff. Al-Mahal believes that the high prices have not reached the markets yet, and he expects them to arrive in the coming days, at which point prices will rise much more than that.
Government Laxity :
The evidence is that there is a major reason that contributed to the exacerbation of the price increase, which is the government laxity in controlling the markets and monitoring prices.
With regard to bakeries, only the executive director of Shendi stood up to the matter and threatened to take legal action against bakeries that tamper with bread weights and increase prices, amid government silence from the rest of the localities of the River Nile and other states except for Kassala state.
Fighting Crisis Traders :
Fighting crisis traders is one of the most prominent challenges facing the government, by imposing strict price controls and combating unethical economic practices.
Economic expert Dr. Mohamed Al-Nayer affirmed that the increase in commodity prices in Sudan has greatly exceeded the consumer’s tolerance, affirming that it has exceeded his capacity.
Al-Nayer said in his interview with (Sudan Events ) that it is known that during the war conditions, the value of the Sudanese pound declines, but he pointed out that the abnormal situation is that the state did not move as it should to stop this decline and deterioration in the Sudanese pound, which he considered to have placed a very heavy burden on the Sudanese citizen, pointing out that one of the most important basic reasons for the increase in the prices of goods is the decline in the value of the Sudanese pound, but there is another reason for the increase in the prices of goods and services, which is the increase in fuel prices, noting that the value of fuel in Sudan is now the highest in the world, and he added that there is no country in the world that sells the price of fuel as in Sudan. Companies control the fate of the Sudanese people :
Al-Nayer criticized the state’s role in protecting the citizen, and said, “In light of the war, what prevents the state from assuming responsibility for importing fuel through the Sudanese Oil Corporation as was the case in the past and distributing fuel to the consumer at reasonable prices, noting the possibility of selling it at a price 25-30% lower, and criticized the state leaving the responsibility for fuel to a number of companies that control the fate of the Sudanese people, and justified his speech in terms of the impact of fuel prices on the overall economic situation, as it has now affected the prices of transportation tickets between states and all productive sectors and affected the costs of transporting goods from Port Sudan to consumption sites or from Egypt to Sudan, thus leading to a significant increase, and he said that the state could have taken measures to alleviate the burden on the citizen, and confirmed the existence of a very large slowdown in economic financial or monetary policies.
Proposals to control the dollar :
For his part, economic expert Professor Omar Mahjoub Al-Hussein said that the rise in commodity prices and their scarcity is linked to the repercussions of the war and the significant and rapid deterioration of the pound’s exchange rate.
He stressed in his speech (Sudan Events ) The government can try to control the deterioration of the value of the pound, which is an important factor in the rise in prices, as all goods and products are priced at the dollar price on the black market, adding that the exchange rate of the pound is controlled by providing foreign currencies in cooperation with regional partners, and following a gradual monetary policy to control the profit rate paid for short-term borrowing (borrowing between banks to meet their short-term needs) or the amount of cash liquidity, and these measures are usually to reduce and control inflation, and to ensure price stability, and achieve public confidence in the value of the pound, and these measures are linked to monetary policy, also taking control measures on commodity prices, facilitating import procedures through banks, reducing customs, and preventing the import of some luxury goods, adding, “The government can secure trade routes and protect grain stores in production areas, and prevent monopoly,” and called on the government to deal realistically with the possibility of a famine. Impoverishment of citizens :
The head of the Sudanese Businessmen Association, Moawia Abaizeed, criticized the significant increase in fuel prices that exceeded all expectations, and he stated that this increase will lead to the impoverishment of all citizens and the bankruptcy of businessmen, and even the destruction of the entire economic sector.
He stressed that the large increase in fuel is not only due to the dollar, but also due to the imposition of fees and levies.