Price hike on some commodities not yet approved – DTI

The Department of Trade and Industry (DTI) on Wednesday withdrew its earlier statement that the price hike on basic commodities had been approved.

According to Trade Secretary Ramon Lopez, the agency has not yet completed its review of manufacturers’ high prices.

There is no raw price increase yet because the new suggested retail price has not yet been published.

“We can say continuing review pa,” said Lopez.

But if the manufacturers are to be asked, there is a basis for the price increase for some commodities, especially since the raw materials have kicked off and the operating costs have increased due to the pandemic.

In the case of sardines, the price of tamban and tin has increased in addition to other costs to workers, according to the Canned Sardines Association of the Philippines.

Earlier, DTI said it approved the price hike for some basic goods:

Coffee – 3 percent or P0.15 per pack
Milk – 1 percent or P0.50 per pack
Sardines – 3 percent or P0.50 to P0.75 per can
Canned meat – 4 to 7 percent or P0.75 to P1 per can
Instant noodles – 3 to 4 percent or P0.25 to P0.40 per pack

Also read: QC gov’t warns establishments not following contact tracing

Price hike on some commodities not yet approved – DTI

Meanwhile, the Laban Konsyumer group appealed to supermarket owners not to implement the price hike to protect consumers from the extra cost.

But according to Philippine Amalgamated Supermarkets Association president Steven Cua, they cannot stop the price hike because the manufacturer is implementing it.

Manufacturers also have a legitimate justification for adjusting their prices, Cua said.

The country’s headline inflation rate slowed down to 4.1 percent in June 2021, after recording an inflation of 4.5 percent for three consecutive months. This brings the Philippines’ average inflation for the first semester of 2021 at 4.4 percent. In June 2020, inflation was registered at 2.5 percent.

Meanwhile, inflation rates were higher in the indices of food and non-alcoholic beverages at 4.7 percent; housing, water, electricity, gas, and other fuels, 2.4 percent; and restaurant and miscellaneous goods and services, 3.9 percent.