Supply of basic goods choked
While supply of basic commodities has remained stable after the devastation wrought by tropical storm “Ondoy”, transport of goods has become difficult because some public markets and grocery stores have been flooded while many delivery trucks have stalled, the Department of Trade and Industry said Monday.
This was raised during the meeting of the National Price Coordinating Council chaired by Trade and Industry Secretary Peter B. Favila with manufacturers and traders to assess the supply situation of basic commodities and ensure that there are no undue increases in prices.
“There is no basis for any price increases because supply is more than enough but we have problem with logistics how to get these goods to those who need it. We are working with the private sector how to make available the delivery vans,” Favila said.
Lawyer Federico Ples, president of the Philippine Association of Supermarkets Inc., said supply and prices are stable but there are long lines in the supermarkets because some outlets could not open because they have been flooded, too.
Some of their delivery vans have been stuck up in mud and affecting the turnaround time of goods that are supposed to be delivered to the supermarkets.
“There is no panic buying among consumers or hoarding but there are long lines in the supermarkets because the local government units are also buying in bulk to serve their respective constituents,” added Stephen Cua of the PAG-ASA group of supermarkets.
The facilities of Alaska, a leading supplier of milk, would be closed for seven days due to flooding, it was learned during the meeting.
In addition, some public markets in the eastern side of the National Capital Region, particularly Cainta, Mutya ng Pasig, Malabon and Navotas are not operational because of the floods.
Agriculture Secretary Arthur Yap said his department has R100 million in funds to buy basic commodities that can be sold in temporary markets that consumers can easily access while some public markets are still not operational.
Price controls on basic commodities have been in effect in the 25 provinces in Luzon including Metro Manila following Malacanang’s declaration placing these areas under a state of calamity. The price control is good for 60 days from the declaration.
Favila said the DTI is going to publish the suggested retail prices of basic commodities that are placed under price ceiling.
The Department of Energy also said they are going to appeal to the oil companies not to raise prices of cooking gas.
The DTI even hinted of expanding the coverage of the price control aside from the 11 basic commodities to include other prime necessities like construction materials for repairs and perhaps extend the 60-day coverage period until Christmas this year.
Favila pointed out that under a state of calamity, violators would be meted the maximum penalty. Section 16 of the Price Act 7581 imposes a R1 million fine and imprisonment of not more than 10 years. Price manipulators can be charged with a more severe penalty of R2 million and imprisonment of up to 15 years.



