Fix prices

Islam is willing to let the market and commodity prices run at normal pace. As soon as the market is able to function normally, the price of goods starts to be controlled automatically. We see this in the age of Prophet Kareem. When the price of goods increased, the people came and said: O Messenger, fix the price of goods for us. Then the Prophet (peace and blessings of Allaah be upon him) said: In fact, it is Allaah Himself who determines the price of goods. He is the one who increases the price, he makes it cheaper. He is the Sustainer. I want to meet Allah in such a situation that there will be no one to claim against me in terms of any kind of oppression, bloodshed or theft of wealth.

 

The Prophet (peace and blessings of Allaah be upon him) declared in this hadeeth that it is oppression to interfere or control over the freedom of the individual without any need, and that he wants to meet Allaah free and pure from that oppression.

 

But if there is an unusual pressure on the market price, such as stockpiling of essential commodities, and stockholders begin to play with commodity prices, then it is in the best interests of the community to fix the commodity prices. It will be possible to save the people from the exploitation of the higher price takers.

 

Therefore, the above hadith does not mean that the pricing of goods in any situation is oppression and it is forbidden - even if it is to alleviate the suffering of the people or to save the people from the obvious oppression. On the contrary, Islamic experts say that pricing is twofold. People are oppressed in setting a kind of price and it is haraam. In one case, the demand for pricing justice and fairness must be justified and urgent.

 

Therefore, if people are unjustly charged at a price that they do not agree with, but the people are kept away from the permissible things, then it will be haraam. On the other hand, if the price is fixed for the purpose of enforcing justice and fairness among the people - they are forced to sell at the standard price or they are prevented from taking more than the conventional exchange price, then it is not only permissible but also obligatory.

 

The first hadith is quoted in the context of the first condition. Therefore, when people sell goods without any oppression or excess in the conventional way and the price of goods increases due to scarcity of goods or increase in population, then the whole matter should be entrusted to Allah. In such a situation, forcing the government to sell at the price fixed by the government is nothing but an unreasonable exaggeration.

 

And in the second case, if the traders do not sell the goods or demand more than the current price in spite of the need of the people, then it is obligatory to sell the goods at the conventional price. At this time, fixing the price of goods means making the conventional price compulsory for the people. In such a case, pricing means forcing the merchants to abide by the justice which Allah has made urgent and obligatory.