BASSETERRE, St. Kitts – CONSUMERS continue to enjoy falling prices on basic commodities as the Ministry of International Trade, Industry, Commerce and Consumer Affairs lives up to its mandate of bringing relief during the ongoing economic turmoil.
A press release issued by the Ministry’s Supply Office last week indicates that the price of rice has been significantly reduced by 30.2 %. As of this week, a 100-pound bag of rice will be sold for EC$ 137.23 compared to the previous price of EC$ 178.66.
The benefit has also trickled down through various retailers, leaving consumers on the ground to pay EC$ 1.74 per pound of rice, a much-needed reduction from the previous EC$ 2.26. The Supply Office has attributed this price reduction to a decrease in the price of rice on the world market.
The release indicates that legislative provisions made over the last two years have enabled the government to keep its promises and bring benefits to consumers.
“The legislative measures enacted in 2007 and 2008 pertaining to the price control index on 29 food and non-food items, as well as the removal of the consumption tax on 12 items, have been included in the activities to ensure comfortable living by residents, particularly the poor, elderly and infants of St. Kitts and Nevis,” the release stated.
In early June, the ministry announced a reduction in the price of cement and concrete blocks, which Minister Hon. Dr. Timothy Harris explained was a result of prices of cement input falling.
“It is expected during the course of 2009 that cost of living should attenuate. We have seen some reductions in the price of oil, although it is increasing again. But these things take time to permeate through the economy. As a result of the recession, demand for certain products will be reduced, so prices will go down and we have seen benefits from reduction of CIF [Cost, Insurance and Freight] cost,” Harris stated.
Consumers, according to the minister, can anticipate similar price reduction in a number of commodities over the next six months as CIF figures continue to descend due to reduced demand globally.
