Minister hopeful that increased rice price is short term
By Joy Mills-Ward
Business Reporter-SKNVibes.com
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Hon. Dr. Timothy Harris
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BASSETERRE, St. Kitts – MINISTER of Consumer Affairs Honorable Timothy Harris said he is hopeful that the increased price of rice would be something short-lived indicating that he “expected some relief as early as September”.
During an exclusive interview with SKNVibes.com Harris explained that the decision to import rice at the increased prices was done after “thorough consideration” after it was learnt that the customary supplier of this bulk item did not have enough in stock to fill the order placed by the government’s Supply Office.
“Comparisons were made between the price of rice from an alternate source and that available locally such as Par Excellence or Chef Way, and where customers would have paid in excess of EC $3 for name-brand or packaged rice, the bulk rice which is ordered by the Supply Office would afford them a savings of around EC $1.50 or so,” Minister Harris confirmed.
Harris explained that the Supply Office exists to recoup costs only and not to make a profit and that because government would not have had to pay Consumption Tax or Duties on the rice it imported, retailers and by extension consumers would realise an immediate savings on rice purchased from the Supply Office. ~~Adz:Right~~
“This would relieve some price burden which would normally be borne by customers buying from a regular retailer or supermarket,” he said.
“The increased price of rice is unavoidable at this time as we are operating in the grain market in which there is more demand than supply, and from the regional or CARICOM standpoint, I believe that there have been recent natural occurrences -like flooding- which may have adversely affected crop yields,” said Harris.
