The Minister of Economic Development and Trade, Mohamed Saeed, has stated that the current administration will not remain indifferent while the prices of essential goods rise beyond the reach of the general public.
Minister Saeed made these remarks during an appearance on the “Tharjumanu-a-eku” podcast.
Highlighting the government’s ongoing efforts to stabilize commodity prices, the Minister noted that 23 additional items have been added to the list of essential food staples. He explained that, following Cabinet discussions, the President decided to designate 10 types of vegetables, 10 types of fruits, and three other food items as essential goods, in addition to rice, sugar, and flour.
The State Trading Organization (STO) has been tasked with the responsibility of importing and distributing these items. The Minister emphasized that STO must ensure these products are available at affordable prices across the country.
To facilitate wholesale trade, STO has already opened a dedicated outlet in the Male’ harbor area, offering these essential goods at discounted wholesale rates. The Minister further revealed that STO is working to open an additional outlet in Hulhumale’ ahead of the holy month of Ramadan.
These services will be accessible in all designated cities across the Maldives. Furthermore, the Minister stated that arrangements are being made to supply these goods to islands with populations exceeding 3,000 through STO agents specifically for Ramadan. He noted that once this initiative is fully implemented, STO will ensure the availability of these items in some capacity on every inhabited island in the country.
Addressing concerns regarding the impact on small businesses, Minister Saeed clarified: “The narrative that opening STO outlets in populations over 3,000 will harm small businesses is inaccurate. Our approach involves STO providing these goods at wholesale prices to local businesses rather than engaging in retail. STO will only retail if circumstances necessitate it. Our primary objective is to ensure that through wholesaling, prices remain controlled. Since these are essential staples, the government is obligated to intervene and provide them affordably if prices escalate.”
The Minister further observed that while 23 items are officially listed as staples, there are other high-impact items essential for daily life. He assured that the government would intervene to ensure such items remain accessible and affordable for the citizens should their prices rise significantly.
As part of these efforts, the government has established a price index for essential food items and is currently monitoring the daily prices of 162 different commodities.
