Opportunism in oil: currency fell, prices do not fall
The price increase of sunflower oil in recent months has reached 75 percent. Speculative hikes are the main reason for the exorbitant increase. It is noteworthy that the hikes made due to the increase in exchange rates continue despite the decrease in exchange rates. Citizen, “We have seen this game in potatoes and onions. Find those who stock up and increase the penalty amounts to be a deterrent. ”
The price increase of sunflower oil in recent months has reached 75 percent. The most important reason behind the increase in the price of 5 liter oil from 40 lira to 70 lira draws attention as speculative hikes. The price of 5 liters of sunflower oil, which was increased by 40 percent in the period of August-November 2020, was increased to 60 lira before 40-50 lira. After the exorbitant price hikes made due to the increase in the cost of raw materials arising from imports, the price of 5 liter oil was increased up to 70-80 lira.
The first wave of hikes resulting from the increase in exchange rates in mid-October were not withdrawn, even though the exchange rates were withdrawn. Since mid-October, the Dollar / TL level has decreased from 8.5 to 7.40, and Euro / TL has decreased from 10.1 to 9. On the other hand, oil prices do not fall and continue to increase, attracting great reaction.
OPPORTUNITY KNEE SIZE
Although the exchange rates have declined significantly in the last 3 months, the ongoing increase in oil prices is considered as “opportunism”. There is a great public reaction to speculative price increases that do not match the supply-demand balance. Citizens want to tighten the controls for those who make food stocks on the pretext of the expected drought worldwide.
WHAT COME FROM THE AUDITS?
Upon the reactions, the Ministry of Commerce tightened its inspections. Turkey in the price audits carried out in general at some 562 businesses in 19 to 20 January 9 thousand 870 items were examined. The data obtained will be evaluated by the Unfair Price Evaluation Board, and administrative fines will be applied to those who are found to be stocking with an unfair price increase. It is curious what kind of results will come out in the audits carried out by the "Unfair Price Evaluation Board", which operates under the Ministry of Commerce.
GET DANGEROUS PENALTIES
The data obtained during the audits this week will be evaluated by the Unfair Price Evaluation Board. An administrative fine of 10 thousand to 100 thousand liras will be imposed on those who are found to have an unfair price increase after the defenses of the companies are taken, and from 50 thousand to 500 thousand lira for those who are found to engage in stocking activities. Reminding that similar price speculations have been made in the past years, citizens say that the amount of penalties should be increased to be a deterrent.
WHY ARE ROOMS, EXCHANGES AND UNIONS SILENT?
It draws attention to find non-governmental organizations in the Unfair Price Evaluation Board. The presence of non-governmental organizations of which these companies are members in the board, where the defenses of the companies subject to audit will be taken, will not be a deterrent.