Global retail giants Wal-Mart and Carrefour’s stores in the Chinese city of Kunming will have prices of daily necessities capped as the city tries to clamp down on inflation.
Bloomberg has reported that Kunming’s government has requested that five major retailers in the area, including Wal-Mart and Carrefour, inform it of any intention to adjust prices, and give reasons for doing so, two days in advance of the changes becoming effective.
Food, cooking oil and beverage producers are now required to apply for approval 10 days before making price changes.
The news agency reported the city government has also applied temporary price caps on necessities such as grain, cooking oil, meat, eggs, milk and noodles, with prices to remain at levels before 17 November.
The retail price of vegetables has been limited to 40 to 100 per cent of wholesale prices.
The city’s consumer prices in the first 10 months rose 4.4 per cent, the highest among China’s 36 large and medium-sized cities, the Kunming government said in statement.
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