KARACHI, Sept 27: Traders offered a mixed view on the quantum of Eid-related sales. Some say the first 20 days of Ramazan recorded normal sales, while others declare that overall growth in sales is less than last year’s. They said that the sales had plunged by 30-40 per cent in the last two to three days because of fears of terrorist attacks amid spread of SMS messages alerting each other to avoid visiting the markets.

Traders said that increase in inflation by over 25 per cent in the last one year had squeezed the purchasing power of a large number of people.

Despite a cut in price of petrol by Rs5 per litre, consumers are still paying Rs81.66 as compared to Rs53.70 per litre last year while diesel price is tagged at Rs60 a litre as compared to Rs36 per litre a year back. Electricity and gas charges have also soared sharply thus pushing up the cost of living of consumers.

In 2007, the market players had also offered a mixed view in terms of sales of Eid-related items. Shopkeepers had reported 30-50 per cent decline in sales as compared to 2006, while the leading garments and fabric producers were satisfied with increase in their sales.

Many customers had made their Eid purchases just a week or days before Ramazan perhaps because of alarming law and order situation or to avoid paying huge prices in last days of Ramazan.

Nasir Saleem, owner of Liberty Store Bahadurabad, said that overall sales had fallen by 15-20 per cent this Ramazan owing to falling purchasing power caused by surging prices of food items and deteriorating law and order situation.

“Very few people visited bazaars especially in the last two to three days and even Bahadurabad and Tariq Road markets did not see the rush witnessed earlier after midnight,” he added.

He was of the view that the prices of both imported and locally made Eid related items had been costlier by 10-15 per cent this year.

Director Bonanza Garment Industries, Hanif Bilwani offered a different view saying that there were two to four per cent fluctuations in sales in different outlets across the country, but the overall sales in Karachi had remained normal. “This can be termed as overall normal sales outlook this year as compared to previous year,” he added.

He said markets had lost sizable number of buyers after the Marriott hotel blasts in Islamabad. However, he said that the markets had not been showing any positive growth in sales for the last few years.

Tariq Road Traders Action Committee (TRTAC) President Siddiq Memon said that first 20 days of the holy month registered good sales but the last two days had proved depressing after anxiety among purchasers regarding news of 24 hour alert in the country and reports of a possible terrorist attacks at Tariq Road. People were seen cautioning each other through SMS to stay away from visiting markets.

Imported and locally made items and garments are 25-60 per cent costlier in owing to falling rupee value against the dollar, increase in customs duty on various items, rising shipping expenses and increase in rates of these items on world markets. Even the rate of bangles and cosmetic items has gone up by 30 and 40 per cent as compared to last year.

Mr Memon claimed that that last year’s Ramazan registered Rs22 billion sales but this year the sales may fall short of last year’s sales figures as markets had suffered a loss of Rs1.5 billion in the last two to three days due to very thin presence of buyers.

“There had been only 30 per cent sales in the last two days,” he added.

He said that 70 per cent of shopping was being done through credit cards while 90 per cent of the shopping is being made after Iftar till midnight.

Owner of Wardrobe and Delhi House outlets in Bahadurabad and Saddar, Mohammad Nasim Arfeen said that the overall sales had been normal. However, the markets had felt the impact of depressed sales in the last two to three days after Islamabad blasts. However, he said sales were not showing any extra ordinary growth.

He said that sales might have been laggard in the last one year owing to rising inflation and lack of political and economic stability, but people under any circumstances cannot ignore to buy on the Eid occasion especially for their children. “The share of children-related sales in overall Eid business ranges between 60-70 per cent in various items,” he added.

Senior Vice Chairman Saddar Alliance of Market Association (SAMA), Abdul Samad Khan also confirmed to Dawn that sales remained satisfactory in the first 20 days of Ramazan.

“In the last two to three days, sales have fallen by 50 per cent as buyers are not turning up owing to fear of terrorism in the markets,” he said.

He said that the prices of quality children and gents garments are costlier by 25 per cent as compared to last year due to various reasons.