DTI: Basic goods prices stable despite resurgent oil prices

MANILA, Philippines — Prices of basic goods have remained stable despite the resurgence in fuel prices in recent weeks, driven largely by the escalation of conflict in the Middle East and disruptions along crucial waterways, according to the Department of Trade and Industry (DTI).

Trade Secretary Cristina Roque said she had yet to receive any request from manufacturers of basic necessities and prime commodities (BNPCs) to raise their prices.

READ: Inflation eases to 6.1% in August

While no price freeze is in effect—meaning BNPC manufacturers may adjust prices even without prior government approval—the DTI has been meeting with manufacturers since the start of the Middle East war to check on their supply situation.

The agency also previously secured commitments from some manufacturers to hold off on price increases even as their own costs climbed due to higher fuel prices.

“Prices are stable and there’s no price increase for basic necessities and prime commodities, which are the products that are being controlled by the DTI,” Roque told reporters on Monday.

204 SKUs

The DTI monitors about 204 stock-keeping units (SKUs), or individual products categorized by brand or type.

This week will mark the first rollback in fuel prices after three consecutive weeks of increases. Diesel prices will retreat by P7.57 per liter, kerosene by P5.85 per liter and gasoline by P0.24 per liter starting Tuesday.

Still, the rollback comes after steep increases in recent weeks. Last week alone, diesel prices jumped by as much as P8.82 per liter, while gasoline had risen by P5.68 per liter the week before.

READ: Price freeze on basic goods urged if MidEast conflict drags on

The resurgence in oil prices came amid continued disruptions to traffic along the Strait of Hormuz, the waterway controlled by Iran through which about a fifth of the world’s oil passes. Oil prices also jumped following Houthi attacks in Saudi Arabia.

The last time the DTI allowed BNPC manufacturers to raise prices was in May, when it released an updated suggested retail price guide that reflected increases in sardines, instant noodles, condiments, candles, coffee, bottled water, detergent and laundry soap, and batteries.

At the time, Roque said manufacturers had sought higher prices as they grappled with elevated fuel and logistics costs stemming from disruptions to oil supply routes in the Middle East. INQ