A new wave of high prices in the markets.. high prices put 60 million Egyptians below the poverty line

The Internal Trade Committee of the General Division for Importers expected a new wave of rising prices of goods and products in the Egyptian markets in the coming days, adding new burdens on citizens, especially the poor and marginalized classes, where more than 60 million Egyptians live below the poverty line, according to World Bank data, in light of an unprecedented failure. of the military coup regime.

The Trade Committee attributed the continuous price hikes to the fact that countries that depend on imports to meet their needs, such as Egypt, suffer from high inflation, and consequently, the prices of imported finished goods will increase, as well as goods that depend on imported raw materials and production requirements.

She pointed out that even local products will also witness significant price hikes, which will tighten the screws on low-income and low-income citizens.

The Central Agency for Public Mobilization and Statistics had confirmed in its latest reports that the prices of the meat and poultry group rose on a monthly basis in September by 3.2% and on an annual basis by 12.8%, and the dairy, cheese and eggs group increased in September by 0.8% compared to the previous month.

The report indicated that the prices of white poultry and eggs jumped during the last period to unprecedented levels, with the increase in demand and the decrease in production, stressing the increase in the price of a kilo of white poultry by more than 10 pounds within a month, and the price of an egg dish increased by about 11 pounds to be sold in some areas at a value of 60 pounds.

imported inflation

For his part, Matta Bishai, Chairman of the Internal Trade Committee of the General Division of Importers, said that “all countries of the world suffer from inflation, especially those that rely heavily on imports, stressing that the prices of imported finished goods, as well as goods that depend on imported raw materials and production requirements, will witness significant increases.” .

Bishai added in press statements that the Egyptian market is witnessing a wave of imported inflation affected by the rise in freight and raw materials prices, the energy crisis and the growing demand for goods and products, noting that the prices of raw materials have witnessed an increase of about 40% as a result of the great demand globally, in addition to the energy crisis and the suspension of China’s factories, which are considered a factory. world, which also negatively affected prices.

He explained that the global inflation wave is a direct result of the Corona virus pandemic; He pointed out that with the height of the pandemic, a complete closure occurred for most of the world’s factories, led by China, as a result of the lack of demand, due to the impact of supply chains, and with the recovery and spread of the vaccine and the return of factories to work at full capacity, there was a deficit as a result of the mismatch between supply and demand.

Bishai pointed out that the current global crisis, which emerged as a result of the imbalance in the supply chains, has caused significant increases, whether in the prices of energy or other commodities.

He revealed that shipping prices from China are on the rise, with an increase of about 800%, pointing out that the price rose from $2800 to $17,700, and the price of shipping from European countries increased by 200%, as the price rose from $1,500 to $3,200, In addition, shipping companies have reduced the grace period from 21 days to 14 days only, which has caused significant increases in fines for importers, especially since one day costs from 50 to 80 dollars as a delay fine, according to each port and shipping line.

stock shortage

The economic expert, Dr. Mustafa Abu Zeid, attributed the rise in prices to the increase in demand for goods and products after the closure of many countries, which led to a severe shortage of stocks, and therefore after the country opened again, restrictions were eased and normal life returned, countries need to rebuild those stocks for balance, noting. The increase in demand leads to an increase in prices, and the goods have become more than the capabilities of shipping companies to implement orders, which led to an increase in the value of freight to unprecedented prices.

Abu Zeid said in press statements that “there is another reason for the increase in prices, which is the current energy crisis, whether in natural gas or oil, whose global prices rose from 32 dollars to 85 dollars per barrel, as a result of being exposed to a period of disruption and a drop in price, then a significant increase in light of The rise of some wells and supply chains in Europe and America.

He pointed out that it is normal for Egypt to be affected by global inflation, because it is within the global economy, and we have recently seen an increase in prices, especially food commodities and wheat, because we are an importer of many food commodities, stressing that the cost of imported goods with shipping costs will affect all countries of the world, not Egypt. Just.

energy prices

Dr. Karam Al-Omda, an economist, said that “the world is going through a major economic crisis, and of course Egypt will be affected by a wave of inflation due to the rise in prices in the world, due to the high energy prices, the shortage of supplies and the rise of the dollar.”

In press statements, the mayor called on citizens to avoid storing basic commodities, because increased demand would result in a rise in price, stressing the need for the military state to follow precautionary measures to control the crisis and reduce its negative effects, such as activating food security, supporting farmers, increasing agricultural production as much as possible and providing agricultural inputs. Of pesticides, fertilizers and seeds.

He pointed to the need to provide fish fry to water bodies, in order to provide the basic needs of citizens of important and main food products, stressing that the rationalization of government spending has become an urgent necessity, in addition to paying attention to the agricultural and industrial sectors and supporting them and dealing carefully with energy prices and stabilizing their prices, which gives a competitive advantage. For the Egyptian industry, and focus on social protection programs because of their importance in these current circumstances, because they are entrusted with compensating citizens as much as possible for the high prices.

The mayor warned that there are no indications that inflation will disappear soon amid supply and supply chain crises, high commodity prices, increased demand after the end of the closure and the continuation of monetary stimulus operations, expecting a slowdown in the growth rates of the economy, leading to more price ignition.


Source: بوابة الحرية والعدالة by fj-p.com.

*The article has been translated based on the content of بوابة الحرية والعدالة by fj-p.com. If there is any problem regarding the content, copyright, please leave a report below the article. We will try to process as quickly as possible to protect the rights of the author. Thank you very much!

*We just want readers to access information more quickly and easily with other multilingual content, instead of information only available in a certain language.

*We always respect the copyright of the content of the author and always include the original link of the source article.If the author disagrees, just leave the report below the article, the article will be edited or deleted at the request of the author. Thanks very much! Best regards!