Qatar- Call for fair competition


(MENAFN- The Peninsula) He said most taxi drivers don't know the Doha roads and locations and cannot speak Arabic.

"Once I was going to Al Shamal and a taxi driver stopped me and asked how he can go to Doha. First I became angry but I showed him the right direction," said Al Kubaisi.

He said Karwa's main bus terminal in Al Ghanim lacked basic services for passengers.

"Karwa's monopoly should end and there should be competition (in the market). Look at Ooredoo and Vodafone and how they have helped reduce the tariffs in the telecommunications sector," said Al Kubaisi.

Engineer Nasser Al Suwaidi said Qatar needed 20 to 30 transport companies as it strives to develop its tourism sector.

"Karwa does not cover more than 30 percent of the areas in Qatar and its prices are high. This is happening because it is the only company monopolising the market," said Al Suwaidi.

He said taxis are serving only commercial centres and it is difficult to find them in many areas.

"You can see people waiting on the streets under heat and humidity. If this is happening in the city, what would be the situation outside Doha? If you want to book a taxi by the telephone, you have to wait for hours and will lose all your appointments," said Al Suwaidi.

"Karwa has the capability to run school buses and workers' buses but what we are taking about is small taxis which should be easily available on different streets and in areas," he added.

He said shortage of Karwa taxis has given a boost to the illegal taxi service. "Any tourist coming to Doha and waiting for over 10 minutes for a taxi will be left with thousands of questions about tourism in Qatar," said Al Suwaidi.

Many commuters complain that the minimum fee of Mowasalat and its franchised taxis is high. They say if private companies are allowed to operate taxis at a lesser minimum fee, services will improve. The minimum fare was increased from QR4 to QR10 in 2011.

"The number of taxis has increased but problems with them remain same. If there are private operators offering a lesser fare, services would improve because customers will have a choice," said a commuter who travels from Madhinat Khalifa to the Pearl-Qatar frequently.

"Now there is no competition and all of them (taxi operators) have the same fixed fare, so they know customers have no choice," he added.
Another frequent commuter working as a travel adviser said, "QR10 is high for a minimum fare, QR4 was a reasonable minimum fare, earlier I used to pay QR7 from Najma to D Ring Road, but now it is QR12. It's a very short distance.

"Since all taxis charge the same fare, passengers are forced to pay high and left without a choice," she added.

Some others say taxis are available only on main roads, near shopping malls and busy places.

"Several taxi services have been introduced, but it's very hard to find them in residential areas. Only the number of taxis has increased, not routes, all of them are at the same places. We have to walk to the main road or book a taxi and pay extra QR4 to get a taxi," said another commuter.

Meanwhile, the experience of people in the meat and livestock management sector is bitter.

During the recent Eid Al Adha, Qatar Meat and Livestock Company (Widam), the sole importer of meat and livestock products, hogged headlines in the local media for not being able to meet public expectations.

People complained about high prices of livestock and poor services, especially at abattoirs at its facilities in the Central Market in Abu Hamour.

Many people and experts, including senior members of Central Municipal Council (CMC) and prominent Qataris have publicly blamed Widam and said despite government support and benefits, the company has failed to meet the rapidly growing demand. They said other companies should be given chance to ensure food security and better services.

"Widam has not only failed to control the skyrocketing prices of meat and livestock products, but also failed to cope with the growing demand for its services," Saud Abdullah Al Henzab, Chairman of CMC, was quoted as saying by Al Raya recently.

Al Henzab said: "About three years ago, I met the CEO of Widam to discuss their strategy and development plans, but unfortunately, the result that we see today is opposite to the expectations of people. At one hand, there is no improvement in the products and services, and on the other, prices have gone through the roof."

According to reports, people had to wait for several hours in harsh weather conditions for coupons to get an animal sacrificed. They also complained that the population over the last 10 years had increased nearly three-folds, while the facilities, including for animal slaughtering and sacrifice, have remained unchanged for decades.

He said when the government provided Widam with land to establish new slaughter houses, it did not use it, and because of the indefinite delay by Widam in implementing projects, the land was given to Hassad Food Company. And now Widam is again asking for land for the same purpose.

He reiterated that Widam had failed to control the prices of products, including sheep and goats, and failed to compete with local traders selling better quality of meat and livestock despite it enjoying government support and monopoly in the market.

"I believe it is high time the government gave chance to other companies to ensure healthy competition and better products and services for customers' benefits," added Al Henzab.

He said Widam had committed "big mistakes by relying on imports". So the government should not continue to support only one company, and try to diversify the source.

"The Ministry of Municipality and Urban Planning should take the responsibility to implement all Widam and Hassad projects like the way it is implementing Al Furjan retail markets," suggested Al Henzab.

He revealed that there was a plan to establish three additional central markets in Umm Salal, Al Rayyan and Al Wakra. Land plots were allotted to Widam by the ministry in 2012, but none of the projects have been implemented yet.

He said the quality of Widam products does not match with the quality of products offered by local traders, yet it sells its products at same prices. So now it is better for the government to support local breeders aggressively to become self-reliant instead of continuing to depend on imports.

Ahmed Al Khalaf, a prominent Qatari businessman, added: "Providing Widam with the monopoly in importing meat and livestock products has lead to the absence of competition in the market. It is not only negatively affecting consumers' interests but also hindering the growth of local breeders and cattle farmers.

"Without healthy competition and a level-playing field, we cannot expect better quality of products and services at affordable prices. With this market model of monopoly and protectionism, we will continue to depend on imports. If we want to become self-reliant, the government must allow more companies to operate, and protect local breeders' interests."

Citing Ooredoo and Vodafone, he said how a better competition has brought the prices down and helped protect the interests of telecom service users.

"There should be more than two or at least two companies competing with Widam to improve services," he suggested.

Al Khalaf also criticised Widam for spending about QR11.5m on installing automatic slaughtering systems at abattoirs and said it was a not a wise investment for two reasons. First, the facilities are in the middle of the residential areas, which will soon require re-location as they have become a major source of pollution. Second, the technology is becoming obsolete and will have to be replaced with contemporary facilities.

"All its (Widam's) projects inside and outside Qatar have failed. For instance, the project in Sudan for breeding and rearing livestock is not able to meet even a fraction of the local demand," he added.

"Not only the livestock market needs to be restructured, but the Central Market (in Abu Hamour) needs to have latest facilities."

People who frequent the market have given similar reactions. Most said not only the prices of sheep and goats have gone through the roof, but the services are also inadequate and poor.

"Nearly 70 percent of expatriate communities are from Indian subcontinent, but you will never find goats from that part of the region. As a result, people prefer to abandon the idea of sacrificing an animal or forced to rely on poor-quality livestock sourced from African countries such as Somalia, Sudan and other parts of the world. These animals are either female or uncastrated males, whose taste does not match with that of the Indian castrated goats (locally known as khassi), said an Indian, not wishing to be named.

He said there is also no control on the prices of livestock, especially during festival seasons. The prices of sacrificial animals have increased nearly four-folds over the past five-six years.

Citing an example, he said: "A Somali goat used to be available at QR180 six years ago. This year I had to buy QR750 for a same-size goat a day before Eid Al Adha, while the prices of the same animals came down to QR600 on the second day of the festival.

"There is no match in demand and supply of livestock, especially during festival seasons. Animal-sacrificing facilities are also not adequate compared to a sharp jump in demand during Eid Al Adha. Authorities should hire the services private butchers on special occasions," said the Indian living in Qatar for over a decade.

People are also dissatisfied by the services at petrol stations and vehicle technical inspection centres which issue certification for vehicle fitness. They demand more petrol stations across Qatar.

Poor services and high prices are major complaints of consumers going to petrol stations.

Khamees Al Kubaisi said the prices of services are double at petrol stations compared to those of other service providers. Juices and other eatables in the shops at petrol stations are costlier than those in shops at other places. The prices of goods and services related to vehicles such as oil filters and car wash are almost double compared to other places. There is always shortage of transparent cylinders, which can be solved if other companies are allowed to distribute them.

The petrol stations have always long queues which force people to wait for a long time.

Al Shamal has no petrol station and Woqod sends petrol tankers there but limited availability is the main problem. The tankers are available between 6am and 6pm. Residents there face problems when they need to fill their vehicles at night.

Khadar Ahmed Al Sadi said there is need to increase the number of petrol stations between Salwa Road and Abu Samra border as the area has just one facility.

He said Woqod faces no competition as it is the only player in petrol distribution. He alleged that the design of petrol stations in Qatar has been copied from neighbouring countries and they should have been designed as per the culture and needs of Qatar.

Khameez Jasim said the company had failed to provide efficient services despite government support.

Rashid Al Dusri, a businessman, said the monopoly of one entity in a sector is not good for any country and customers. Woqod has monopoly over gas and petrol stations, but its services are not satisfactory. More companies in the sector will improve services.

Al Khalaf said monopoly and lack of competition are two main problems. These companies have failed to improve in absence of competition, he said, adding he could many examples to prove competition improves services.

Consumers say there is urgent need for vehicle technical inspection centres to improve services.

Khamees Al Muraikhi said these centres had failed to expand to cope with the growing population. The services provided by the centre in Al Khor are pathetic. It seems Woqod is not interested in developing these centres.

People also complained that the fees charged by these centres should be reduced. Ali Abdulla Al Asba said there are always crowds and a fee of QR75 per inspection is very high. It cannot be justified because these centres do not instal any devices in vehicles. If a new company is allowed to enter the sector, services will improve and fees will come down.


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