The Minister of Trade and Tndustry, Dr. Yahiya bin Yahiya al- Mutawkil, made an announcement over the government’s concern in the international trends regarding the basic commodity prices and the recent decrease in wheat prices and and implementing those trends on the local markets to alleviate the raising cost of living.
Dr. al-Mutawkil held a meeting on Saturday that was presided over by PM Dr. Ali Mohammed Mujawar and was attended by the major wheat and flour importers. At the meeting, Dr. al-Mutawkil reviewed the food situation and the international market price trends, announcing that the meeting discussed the Ministry of Trade and Industry’s report, which pointed out to the drop in the American white wheat’s price at the beginning of May from $544 to $503 per ton, or a 16 percent drop, whereas the yellow wheat dropped down from $479 to $457 per ton, or 5 percent.
The report attributed the wheat price speculations to the increase in stock and decrease in demand and the expectations of a successful crop increase this season.
It also pointed out to the government’s program of expansion of wheat farming in the implementation to the President’s directions of food security policy, together with the technical report, regarding the agricultural investment in Sudan for provision of wheat and the options of other alternatives.
The Minister turned the attention to the fact that the meeting has confirmed the importance of implementation of the Ministry’s mechanism of taking up average prices which insures that the consumers obtain the commodity at appropriate price rates compatible with international prices.
He added that the meeting confirmed the continuation of the Yemeni Economic corporation and the private sector’s efforts to buy enough essential food commodities, satisfactory for local market’s demand.
Dr. al-Mutawkil announced that the government took measures for encouraging local wheat farming by providing the farmers with the improved seeds, provision of farming machinery services, and buying the wheat at encouraging price rates. This raised the local production from 130 to 200 thousand tons this season marking an 80 percent increase.
Sources said that the commerce and industry chambers received directions to hold meetings for considering how to decrease wheat prices, following the decline in international wheat prices, to contribute to elevating the cost of living.
The wheat prices dropped at a rate of 40 percent last week, following the international tremendous price soaring.
In a related issue, Dr. al-Mutawkil called India to fulfill its commitments of providing the contracted rice deals with a number of Yemeni companies.
The Minister pointed out in his meeting with the Indian Ambassador in Sana’a that the contracted wheat deal which amounts to 13 thousand and 833 tons was contracted prior to the Indian government decision to prohibit rice export.
The cabinet approved last month a consumer protection draft law, presented by the Trade and Industry Ministry, in collaboration with the consumer protection society and private sector representatives.
It aims at protecting consumer, commodity and service safety and quality and to guarantee consumer participation in economic transaction transparency. It also aims at protecting consumer from commercial counterfeiting and exploitation. The law will maintain community economic system and guarantees commercial hygienic development.