Traders cancel import orders as dollar 'disappears'

KARACHI - Chairman Karachi Traders Action Committee Siddiq Memon has said that the traders had cancelled their import orders on account of unexpected disappearance of dollar from open market on the back of alleged stockpiles of dollars of worth more than Rs 30 billion by the investors that added miseries of the local traders.
Siddiq Memon on Wednesday feared that dollar will be exchanged at the rate of Rs88 in next week and there are rumours that dollar would reach up to Rs90 in the first week of February. He further said increase of dollar rate in open market may cause 40 percent price hike in the prices of readymade garments, clothes, shoes, imitation jewellery and other summer products imported from China, Indonesia and Thailand.
He said total 50 percent increase in the prices of the imported and local readymade garments is expected due to such shortage of dollar in the open market; moreover, it would also affect trade activities badly that is already in depletion.
Memon feared that 'if State Bank of Pakistan (SBP) and Interior Minister do not take any action on emergency basis to stop dollar smuggling, black marketing, transferring to other countries, the rise in value phenomenon would continue in coming days.