After inflation reached another five-year high, a consumer advocacy group led by a former trade official wants a temporary ban on price increases for products covered by a suggested retail price (SRP).
Laban Konsyumer Inc. (LKI) proposed to the Department of Trade and Industry (DTI) a moratorium on SRP-covered products until end-March next year.
This was among other measures proposed by the consumer advocacy group, after the prices of basic goods and services jumped 5.7 percent in July.
In explaining the timetable for the moratorium, former DTI Undersecretary and LKI president Victorio Dimagiba cited the upcoming “-ber” months.
“In two weeks’ time , we shall enter the [-ber] months where pressures on demand and supply of BNPC (basic necessities and commodities) can trigger another round of price increases,” he said.
The SRP covers BNPC, which includes bread, canned sardines, luncheon meat, distilled water and condiments, among other products.
Dimagiba’s group sent the letter on Aug. 8, which was addressed to Ronnel Abrenica, director of DTI-Consumer Protection and Advocacy Bureau (CPAB).
Previously, the DTI regularly approved the SRP.
Last year, however, Trade Secretary Ramon Lopez announced the government would only step in if necessary, subsequently allowing manufacturers to decide the SRP for themselves.
Dimagiba also proposed that the DTI discourage the use of easy-to-open lids for canned products, which he said could translate to “a savings of a minimum 50 centavos per can.”
In a previous report, the DTI said half of monitored canned goods increased actual prices on June 18 to 22.
Lopez had attributed the price adjustments to a hike in the costs of tin plates worldwide.
Moreover, Dimagiba also said that the DTI, together with the National Food Authority, should start implementing the discount on NFA rice, as provided in the Tax Reform for Acceleration and Inclusion law.
He added the DTI should also partner with the Department of Health and the Bureau of Internal Revenue and issue implementing guidelines for the value-added tax exemption of medicines for diabetes, high cholesterol and hypertension. The rules should already be effective by next year.