Cairo– Egypt raised fuel prices 15% as part of the government’s efforts to reduce fuel subsidies in response to the conditions of the loan provided by the International Monetary Fund, amid local criticism, and government reassurance to avoid the consequences of the increase, which would raise price levels according to those concerned with (Al -Jazeera Net).
This is the first increase in this year after several increases in the past years.
Official data revealed the annual inflation of consumer prices in cities to 13.1% last March compared to 12.8% in February, before the Ministry of Petroleum and Mineral Resources announced, starting from Friday morning, April 11, an increase in fuel prices, weeks after the International Monetary Fund agreed to exchange a new package of $ 1.2 billion of the loan of 8 billion dollars to Cairo.
With an increase of two pounds, the price of gasoline 95 increased to 19 pounds per liter (0.37 dollars), and gasoline 92 to 17.25 pounds per liter ($ 0.34), and gasoline 80 to 15.75 pounds (0.31 dollars) per liter, and the amount increased by the price of the diesel to 15.50 pounds (0.30 dollars) per liter, while the price of the home spy cylinder increased from 150 Garden (2.92 dollars) to 200 pounds (3.90 dollars), and commercial from 300 pounds (5.85 dollars) to 400 pounds (7.80 dollars).
3 government tracks
According to Al -Jazeera Net monitoring, the Egyptian government dealt with the increase through 3 tracks to alleviate the low -income people as follows:
- Citizen reassurance: The Ministry of Petroleum and Mineral Resources announced that the price change will not be studied again before the next 6 months, explaining that the state provides support to fuel with an estimated 366 million pounds (7.13 million dollars) per day equivalent to 11 billion pounds (214.5 million dollars) per month, to reduce the burdens on citizens, denying that the decrease in the price of Brent crude and global prices during the recent period a significant impact on the situation in Egypt.
- Field control: The Minister of Local Development, Manal Awad, announced the continuation of the supervisory field tours in the various governorates after the start of the implementation of the new transportation tariff, which ranges between 10% to 15%, while complaints focused on exaggeration in the taxi tariff, amid demands to seize a three -wheeled tuktuk fare pricing in the governorates of Egypt, as well as the Ministry of Supply and Internal Trade as well as a central operations room and control team To follow the ground to prevent any manipulation of the market or monopolistic practices.
- Subsidized bread: The Minister of Supply, Sharif Farouk, affirmed that he will continue to be disbursed on the ration cards at a price of 20 piasters for the loaf, and the continuation of the state to bear the costs of production and its payment to bakery owners, in observance of the poor.
The Ministry of Finance had anticipated a step to increase fuel prices by announcing at the end of last month, a financial package for social protection and support, the increase in the wages of the state workers, the periodic allowance, and the high cost of living, and raising the minimum wage from the first of next July, in the framework of supporting low -income and social segments that are most in need.
Increases
The head of the Egyptians Center for Economic and Political Studies, Adel Amer, says that this increase would raise price levels, because of the impact of petroleum products on the production and transport lines course, noting that there is a study of more increases that will take place again in the month of October, according to the government advertiser, so that the total support for fuel in Egypt ends at the end of this year.
Amer confirmed in a comment to (Al -Jazeera Net) that the simple consumer will bear the bill for this increase, stressing that the social protection package and salary increases, which were decided by the state, starting next July, “evaporated before the citizen received it,” according to his expression, and eroded with the increase in the prices of petroleum products.
Amer calls on state institutions to focus on increasing local production and relying on the local product as a single solution to control prices and face inflation.
Increased increases
In turn, the president of the “Citizens Against the Expensive Association for Consumer Protection”, Mahmoud Al -Asqalani, describes in an interview with (Al -Jazeera Net) what happened with “unfair increases”, asking: “How do we raise the Botagaz cylinder 50 pounds (one dollar) in one payment on the citizen, and how are gasoline increases 92 and 95 gasoline is equal with the fact that the consumer of the last type owns more expensive cars and can pay more than all the owners of cars? With exaggerated increases on the service and taxi, which in turn will throw a very cruel burden on citizens? “
Al -Asqalani adds that it is good for the Egyptians that these decisions came with a stagnation, which makes important sectors that do not raise their prices immediately, such as poultry and meat, while the increase has emerged clearly in the means of mobility and food, and expects a wave of inflationary at a later time in conjunction with any wave of needs or heavy withdrawal on food, warning the government against continuing its response to the conditions of the International Monetary Fund, and not using experts to negotiate With the box.
Set the profit margin
According to official data, the General Federation of Egyptian Chambers of Commerce announced cooperation with the provincial devices to control the movement of prices and the margin of profit and non -exaggeration.
Speaking to (Al -Jazeera Net), the former head of the Dairy Division of the Chamber of Commerce in Alexandria Governorate, Adel Ghobashi, expects the increase in dairy prices by 10%, with the impact of fuel increases that affect his opinion on the work cycle, starting with obtaining milk from farms and transporting it and then reaching the consumer, whether liquid or canned, which is considered the main potential for the followers of what is happening.
The Secretary of the Bakery Division of the Chamber of Commerce for the capital, Cairo, Khaled Fikry, told Al -Jazeera Net that the simple citizen bread in safety is one of the consequences of the increases, because it is a subsidized bread that did not touch the increase, while the capable citizen in tourist bread will pay a slight increase, according to his description, estimated at 25 piasters or 50 piasters (the pound is equal to 100 piasters) in each loaf Profit, bakery owners help work.
Islam, director of a small grocery store in a suburb of 6th of October City, is concerned about raising fuel prices in this percentage in one go, and he says to (Al -Jazeera Net): “They raised it (meaning the government) two pounds once, and before that the lifting was pounds or less, imagine what will happen from increases,” adding that he is waiting for a new price list from wholesalers at any later time, and thus will cause its prices to deal with it.
New burdens
The head of the small farmers Union, and the captain of the farmers of Giza Governorate, Hashem Faraj, confirms to (Al -Jazeera Net) that small farmers are damaged by the increases, especially the diesel, which is used in agricultural machines, along with gasoline in transportation, which he believes that it will affect the prices of the leased agricultural lands, and to supply less gains for farmers, while the citizen bears the burdens of increases when crops reach it, stressing that young Peasants and simple citizens pay the price of government officials.
The driver, Radwan Mohamed, in his speech to (Al -Jazeera Net), criticizes the sudden increase, which has an additional 40 pounds when filling his car that he uses in connecting school students, fuel, before he toured Saturday morning, April 12, in the market, to find the vegetable seller to raise the prices of some of his purchases between half a pound and a pound, while he cannot raise the interview that he receives in light of the current economic conditions.
