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Price hike draws fire

DUBAI — The latest price hike by blacklisted suppliers of consumer products has justifiably been received with opposition and condemnation by the UAE cooperatives.

The war between the two parties entered its second week amid speculations that it would be won by consumers, especially with a decreasing number of suppliers who are still suspending their products, and rising government support to consumers. The cooperatives are also making efforts to take a united stand to get rid of the monopoly of suppliers.

According to Marwan Al Thani, Director of the Union Cooperative Society, several decisions were taken following a recent meeting held by cooperative general managers who discussed ways of protecting consumers from any expected hike, following the decision of the President, His Highness Shaikh Khalifa bin Zayed Al Nahyan, to increase the salaries of employees of government departments by 25 per cent for UAE nationals and 15 per cent for expatriates.

Al Thani said that the cooperatives were currently preparing lists — including goods that would be imported by the cooperatives — and the proposed solutions to be presented during the meeting planned by the Ministry of Economy and Planning. He also said: “During the last few days, there has been an increase in the demand for 50 alternative goods which had been suspended by suppliers.” The union cooperatives had contacted cooperative societies in Abu Dhabi, Al Ain and Ras Al Khaimah to finalise the list of blacklisted suppliers who would be boycotted by the cooperatives. The societies will provide enough stocks for three months and monitor the selling prices.

The Union Cooperative had conducted studies on the market conditions, and a delegation will travel to France to select alternative goods to be imported for domestic consumption.

• UAE