Price control not clear–manufacturers

Manufacturers of construction materials want the Department of Trade and Industry (DTI) to clarify whether the price ceiling on their products should be based on the average prices in the last three months, or on the prices just before the state of calamity was declared. Jesus Arranza, Federation of Philippine Industries president, said that manufacturers noted that the price ceiling on construction products released by the department were based on average prices in the preceding three months.

But he added that when the department first announced the price freeze, it has only said that the ceiling would be based on latest prices before tropical storm Ondoy struck the capital and nearby provinces.

“In between the three months, there were movements in prices so the average may be lower or higher than the prices immediately before the typhoon,” Arranza said.

He said the Trade department has already said it would review this discrepancy.

Businessmen give assurance

Nevertheless, Arranza said that in a recent meeting with department officials, the manufacturers of cement, nails, roofing materials, steel bars and wood products have committed to abide by the price freeze.

“We manifest our complete cooperation and support to the President and the public in view of the predicament of our consumers brought about by the typhoon and flood,” he said.

“In the meantime, we will give our complete adherence to the initial price ceilings subject to possible corrections in the future,” he added.

“Manufacturers also committed to submit their ex-plant prices and the corresponding transport cost to serve as additional guide to the DTI, which is also doing its own survey and monitoring,” he said. “We likewise appeal to the retailers and hardware stores to comply with the price ceiling set by the DTI. Let us not take advantage of the miserable situation of the victims of the calamity. Let us help the government and consumers. The situation calls for sacrifices and just recoup whatever losses we may have during good times.”

The government imposed a price ceiling on basic necessities and prime necessities, such as construction materials, as mandated under the Price Act, following the declaration of a state of calamity declared after the storms that ravaged Luzon. –Ben Arnold O. De Vera, Reporter, Manila Times