Aquino asked to control prices of rice, garlic, etc

FILE PHOTO

MANILA, Philippines—A lawmaker petitioned President Aquino on Friday to impose ceilings on the prices of rice, garlic and other basic commodities in response to the grossly inflated prices of these goods purportedly due to hoarding and price manipulation.

In the petition, Bayan Muna Rep. Neri Colmenares noted the spiraling of price of rice, from an average of P30-35 per kilogram in mid-2013 to P38-50 per kilo in 2014.

“While farm gate prices remain at 18-21 per kilo, which means farmers are not even beneficiaries of this increase, the opportunistic rice traders jacked up the price in the market. Therefore, from the previous P35 per kilo for commercial rice in 2013, current price ranged from 40-44 per kilo,” he said.

Skyrocketing prices have also been seen in the case of garlic, which now sells for 400 per kilo from a farm gate price of only 60 per kilo, as well as ginger, chicken, pork, eggs, and milk, Colmenares said.

“In the provinces, the same shocking price increases were recorded,” he said, noting that the expected onset of El Niño in July or August could further jack up prices.

Colmenares said the increases could not be blamed on mere lack of supply during lean months, as publicly declared by government.

“The government, which has initially justified the price increases as ‘normal’ and resulting from lean months, is now forced to admit that hoarders may be manipulating the price,” he said.

The lawmaker asked Mr. Aquino to impose a ceiling on the price of rice and garlic, as well as other prime commodities, in accordance with the provisions of the Price Act, particularly Section 7.

Under that provision, the President, upon the recommendation of the National Price Coordinating Council, may impose a price ceiling on basic commodities in the event of a calamity, emergency, widespread price manipulation, and other conditions that have caused unreasonable price increases.

Colmenares, the senior deputy minority leader in the House of Representatives, said such an intervention must focus on traders or hoarders who sell their products at inordinately high prices, to the detriment of consumers, farmers and retailers.

He also asked the NPCC to impose a suggested retail price (SRP) pending the resolution of his petition with Mr. Aquino.

Under the Price Act, while only the President can impose price ceilings, the NPCC has the power to impose an SRP on commodities.

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