The Commerce Commission is now monitoring huge mark-ups imposed by traders on non price control items.
Several complaints have been received by Fijivillage News that over the past month, prices of various items have continued to increase and the reason being given by retailers is the VAT increase.
However it has been noticed that the price increases have been much greater than the 2.5 percent VAT increase.
Some consumers say it is clear that some retailers are pushing prices up to exorbitant levels in the guise of the VAT increase.
Commission Chairman, Doctor Mahendra Reddy said they will now examine the prices of selected items over the past six months.
Doctor Reddy said it will be easily discovered if prices are continuously being increased over and above the 2.5 percent VAT increase.
He said the hope is always there that competition pushes the prices down and keeps it at competitive levels but he said it seems this is not the case for a number of items.
Meanwhile its good news for consumers as the price of basic medicine is expected to go down.
Doctor Reddy said the announcement will be made today.
Stay with us we will bring you the new medicine prices later today.
Story by: Vijay Narayan
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