IMF 'asks' Pakistan to deregulate prices of red meat, milk

The International Monetary Fund (IMF) has ‘asked’ Pakistan to deregulate red meat and milk prices, ARY News reported on Sunday, citing sources.

Sources said the IMF asked the Pakistan government to take back the powers of regulating milk and red meat prices from the deputy commissioners and it should be decided by the market.

Following the ‘demand’ of the IMF, the federal government has begun considering deregulation of milk, beef and mutton prices by stopping monitoring them, leaving consumers at the mercy of the market players’ demand and supply mechanism.

Officials from federal and provincial governments and stakeholders reportedly agreed that “deregulating red meat and milk prices is necessary to support the development of the livestock sector.”

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The need to adopt a regulatory mechanism covering the quality aspects of milk, meat, and mutton was also stressed. The sources said the summary regarding deregulating the prices of milk and meat will be forwarded to the Economic Coordination Committee (ECC) for the approval.

Pakistan Dairy Cattle and Farmers Association has welcomed the decision of deregulating the prices.

Meanwhile, experts have cautioned that inflation will touch record high after deregulation and de-caping of prices.