YANBU, 8 August 2007 — With prices of hay reaching SR29 per bag, Abdullah Al-Sinani, a livestock owner in Yanbu, has stopped purchasing hay in protest at the rise in prices and accused “greedy businessmen” to be behind the increase.
The Ministry of Trade has fixed the price of hay at SR25 and asked sellers to abide by the price limit. “In the morning when there are ministry supervisors the bags are sold for SR25,” said Al-Sinani, adding that during the evening the price is increased to SR29.
“Merchants purchase hay from mills at SR24 a bag. The best way to force the dealers to stop increasing prices is to boycott the product or allow the government to resolve the matter,” said Al-Sinani.
On Monday police broke up a dispute between a livestock owner and a seller who insisted on only selling five bags of hay at SR25 per customer. On the other hand, the herder wanted more bags. Police were forced to stop trade at the location and move buying and selling to the Chamber of Commerce and Industry.
Prices of hay are expected to increase further due to a high demand and low supply. Fearing the rapid increase, livestock owners are currently keen on purchasing larger quantities of hay.
