Some small shops continue price gouging, say customers

Some small shops continue price gouging, say customers
Updated 27 June 2013 05:56
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Some small shops continue price gouging, say customers

Some small shops continue price gouging, say customers

The Ministry of Commerce and Industry has warned customers not to be fooled by the illegal price hike by an extra riyal at small shops selling bottled water. The price of a normal SR 1.50 bottle of water is being sold at SR 2.50 at these shops. The same increase was applied for tins of fizzy drinks.
Early this year, the Ministry of Commerce had launched a campaign asking all shops to display the prices of goods in order to ensure transparency in their dealings with consumers. Ministry officials said that all shops would be inspected and raided to check if they abide by the rules of the ministry. It was stated that shop owners who violated the law would face fines up to SR 100,000.
“I came across a few shops in the Al Safa district where they sell bottled water for an extra riyal,” says Mohammed Faisal. “The line of shops in that area all sold it for the same increased price, although the uniform price of a normal bottle and Pepsi can is SR 1.50.”
Faisal claimed that when he requested the shop owner about the extra riyal, he said that all shops followed the same price and if they wanted to buy bottled water in any of the shops nearby, they would charge the same increased price.
Price gouging has been the situation with several small shops and bakalas, according to many consumers. Many of these small shops have not taken the Ministry’s orders to label their goods seriously and some shop owners are even not aware of the implementation till now.
“The Ministry must take action against those shop owners who violate the act of not labeling their products,” says Mazen Ahmed, a regular visitor to the Corniche and the shops in the area. “As consumers, we have the right to be aware of the price of each product by looking at the labels. Without price tags, we can be charged with an increased price that we are completely unaware of.”
Ahmed added that he has been a victim of such cases on several occasions.
Rizwan Parvez, a sales clerk at a small shop, said they do not usually increase the prices of goods to their own will, but customers may possibly discern a difference of half a riyal on a certain item if they compare them with prices in big supermarkets.