It's logical for businesses to jack up prices following the Ministry of Labor's decision to increase fees of expatriates who work for companies that have not met the Saudization quotas. It's their right to do so.” That's what the Chairman of the Consumer Protection Association (CPA) Nasser Al-Tuwaim said, while adding, that there are no laws in place to prevent businesses from hiking prices. He also criticized the Ministry of Labor for issuing such a decision without any consultation with the Ministry of Commerce and Industry and the CPA in order to prevent price hikes. This criticism appeared in Al-Sharq daily this week. There is obviously a dilemma and contradiction here. If it is legal to raise prices, as the CPA chairman says, how would have things been different to what they are now if the ministry coordinated with the CPA before issuing the above decision? How could the CPA have prevented these price increases? I believe we are facing a grave situation here, graver than the debate that has been going on about the fees imposed on expatriates. I say so because it is the citizens who are going to bear the brunt of price increase by 90 percent. The National Society for Human Rights (NSHR) spokesman said there is no clear-cut mechanisms to control prices, noting that all complaints the NSHR receives are referred to the CPA. In other words, nothing is being done about these complaints. The statements by the NSHR and the CPA clearly criticize the Ministry of Labor. But even if we agree with both of them that the ministry did not study in depth the issue before issuing the decision or did not impose it in phases, the main concern here, I think, is that businesses have complete freedom to mark up their prices legally. Dr. Omar Al-Khouli, law professor and NSHR member, says if the labor minister has good reasons to increase the fees, businesses also have the same good reasons to follow suit in light of the fact that the Kingdom adopts a policy of free competition and free market. Let me say this again, the debate regarding the fees imposed on expatriates does not matter now. The most important thing now is that citizens are the victims of price increase. No matter how high the income a citizen makes, a large chunk of that income is going to be spent on purchasing products that are priced high. We must ask who has made it legal to increase prices and how come there are no laws controlling such practice. What the concerned authorities are doing about this situation? What is the logic behind having a policy of free market and free competition if such policy will impact negatively on citizens who are not protected by laws? Muhammad Al-Mashat, a writer in the Al-Madinah daily, wrote recently that anywhere in the world, the consumer is always weak; however, enforced laws and legislations give him strength and leverage to play an important role in what is going on in the market. Al-Mashat wondered how long should we feel weak I wonder myself if there is an answer to this question.
