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Arroyo to traders: No price hikes

By Maila Ager
INQUIRER.net
First Posted 11:47:00 03/25/2008

Filed Under: Economy, Business & Finance

MANILA, Philippines -- President Gloria Macapagal-Arroyo has appealed to traders not to raise prices of commodities because of the reported rice shortage in the country.

Arroyo made the call Tuesday when she convened the National Economic Development Authority Cabinet group and the National Price Coordination Council to strengthen government actions against the continuing rise in the prices of oil and rice.

“The global economy is facing significant challenges. These global forces are putting more strain on our working poor as prices for commodities like rice and fuel increase. We are a price-sensitive nation,” Arroyo said in her opening statement.

“Kaya naman, pinulong natin agad ang Gabinete at Price Council para sa anumang aksyong kailangan pa upang laging sapat ang pagkain [This is why we convened immediately the Cabinet and Price Council to formulate the needed response to ensure adequate food supply],” she said.

“Hinihiling natin sa mga tindero na huwag magtaas ng presyo dahil lamang may nagsasabing may krisis [We are appealing to traders not to increase their prices because of a perceived crisis],” Arroyo said.

On the part of the government, the President said that appropriate actions would be taken to ensure that the government’s rice subsidy would reach the intended poor beneficiaries.

Agriculture Secretary Arthur Yap himself, Arroyo said, was “staking out all NFA [National Food Authority] warehouses so he can follow the big 10-wheeler trucks and see where they are bringing the rice.”

“He [Yap] is investigating all warehouses, watching them, re-licensing them. He shall hit the hoarders,” Arroyo said.

The President also ordered the Department of Finance, the Bureau of Internal Revenue and the Bureau of Customs to form a government civil society body similar to the Procurement Transparency Group (PTG) to monitor collection efforts, gather lifestyle and corruption information, and follow up major evasion or smuggling cases.

The PTG version in Customs, she said, would be called PORTAl or Ports Transparency Alliance in partnership with businessmen and civil society groups.

“The idea is to build on these institutional linkages but give them a shot in the arm by expanding membership to include churchmen, fair trade advocates, and proponents of trade facilitation or anti-red tape,” the President said.

These alliances will be federated into the overarching PORTAL without, however, losing the independence and initiative of the anti-smuggling of the BOC and trade associations, she said.

“What is important is to provide civil society a peephole into Customs operations but in a way that won’t disrupt the main job of raising revenues, which might be disrupted if excessive oversight powers are delegated to the private sector,” Arroyo said.

“Selection outside lifestyle checkers shall be done carefully to avert [a] witch hunt,” she further said.

Arroyo said the new body should also “undertake downstream activities” by plugging smuggling from the demand side and asking consumers to boycott smuggled goods

The President also ordered the creation of a new body under the BIR to be called “Partners” or Partnership for Transparent and Efficient Revenue Service.



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