Marcos sets price freeze on basic goods until year-end

Trade Secretary Cristina Roque — Photo from PPA pool

MANILA, Philippines — President Ferdinand Marcos Jr. has directed the Department of Trade and Industry (DTI) to freeze until the end of the year the prices of basic goods, as the peak of the Christmas season nears.

Malacañang press officer Claire Castro made the announcement on Monday at the sidelines of the 47th Association of Southeast Asian Nations (Asean) Summit in Kuala Lumpur.

“Before departing for Kuala Lumpur, Malaysia, on Saturday, Marcos ordered the DTI to ensure strict monitoring and implementation of the maximum suggested retail prices, particularly for imported rice and other food products,” she said.

The price freeze also applies to canned sardines, canned meats, all kinds of milk, various products of instant coffee, bottled water, instant noodles, bread, salt, soy sauce, fish sauce, vinegar, candles, and other manufactured basic commodities.

The president also directed the agency to coordinate with manufacturers in helping maintain current prices of basic goods and prevent unnecessary price hikes during the holidays.

“According to DTI Secretary Cristina Roque, all stakeholders have cooperated with the government to ensure that no price increases will occur in markets, especially with the upcoming holiday season,” Castro said.

‘Undas’ monitoring

Before Marcos’ order, Roque had already said on Friday, “There will be no price increase for basic necessities and prime commodities until the end of the year.”

She said industry players are cooperating “to give the consumers the price[s] that they deserve.”

“This is good news because everybody is working together to be able to give the best prices for the consumers,” she told reporters during the agency’s price and supply monitoring of flowers and candles in Manila, ahead of “Undas” or annual visits to cemeteries during All Saints’ Day, when these products are sold at exorbitant prices.

Voluntary

The DTI last updated the suggested retail price (SRP) bulletin on basic necessities and prime commodities in February, which showed that 77 out of a total of 191 commodities had varying price increases.

According to the Price Act (Republic Act No. 7581), agencies such as the DTI are mandated to issue SRPs to guide consumers as well as producers, manufacturers, traders, dealers, sellers, and retailers. They are not, however, required to adhere to the SRP since these are voluntary in nature.

Factors that DTI takes into consideration in imposing price ceilings include the average prices of basic goods in the last three months before the new SRPs are set and the available supply of these goods.

“If the prevailing price of any basic necessity is excessive or unreasonable, the implementing agency may recommend to the president the imposition of a price ceiling for the sale of the basic necessity at a price other than its prevailing price,” the law states.