PRICE MONITORING – A client buys primary items at a grocery store in Manila on this file photograph taken in February of 2023. INQUIRER file photograph / MARIANNE BERMUDEZ
MANILA, Philippines — The Home of Representatives will test the rationale for the excessive price of primary commodities when farmers, producers, and grocery shops have denied making important worth changes, Speaker Ferdinand Martin Romualdez and ACT-CIS party-list Rep. Erwin Tulfo mentioned on Tuesday.
Throughout a press briefing in Quezon Metropolis, Jayson Cainglet of Samahang Industriya ng Agrikultura (SINAG) and Elias Jose Inciong of the United Broiler Raisers’ Affiliation, defined that there have been little actions within the farm gate costs of uncooked meals merchandise.
“On the farm stage, the farm gate costs have been maintained for the previous three months so Speaker, there must be no spike on the facet of producers as a result of the worth of rice, poultry, pork, and even onions have been maintained for the previous three months,” Cainglet mentioned in a mixture of English and Filipino.
“Within the manufacturing facet, on the facet of producers, there isn’t a improve in worth. The harvest season is over, so it’s on the arms of millers at merchants, even the onions are within the chilly storages already,” he added.
Inciong in the meantime mentioned that farm gate costs for reside rooster have been round P85 to P95 per kilogram, whereas retail costs go for P180 to P190 per kilogram. Nevertheless, he mentioned that the retail market is inelastic, which implies that worth modifications on the farm gate generally don’t instantly have an effect on retail costs.
“Retail costs for over a yr have already got performed between P180 to P190. As a result of retail is inelastic, that might not transfer instantly, generally even when the distinction between farm gate and retail is at one hundred pc, it nonetheless gained’t transfer,” he famous.
Nonetheless, Cainglet believes the Home can train its oversight features to assist farmers and retailers — and ultimately, customers — establish why costs are nonetheless rising regardless of little to no modifications on the farm gate costs.
“Perhaps with reference to the considerations we raised earlier, possibly Congress will help with its oversight features in order that we are able to check out the disconnect between farm gate and retail costs. Costs at markets are excessive nevertheless it’s not due to the producers. We might assist the businesses pinpoint the place is the doable distinction on costs,” he famous.
Tulfo mentioned it seems President Ferdinand Marcos Jr.’s Government Order No. 41, which ordered native authorities items (LGUs) to cease amassing pass-through charges for vehicles transporting items and produce, solely applies to nationwide roads.
This implies truckers nonetheless pay taxes when transferring by native streets — which interprets to extra prices for each farmers and retailers.
Such a problem, Tulfo mentioned, might require the Home to make use of its oversight features and launch a probe.
“Our producers should not speaking, our producers they are saying they don’t wish to point out names, so I assume it is going to be the oversight committee — of Congress’ energy — will look into this, who’re making the most of the state of affairs,” he mentioned.
“As a result of producers actually didn’t improve costs, retailers are saying that they’re promoting primarily based on what was handed to them. So the issue exists in between, when it’s being handed to the retailer, the costs are up. It was defined by the the grocery store’s affiliation that we even have to think about transportation price, after which the street taxes,” Tulfo added.
Romualdez in the meantime assured that the Home is already exercising its oversight features by consulting with stakeholders, as it could enable the legislature to establish how the issues might be addressed — whether or not by amending legal guidelines or crafting new ones.
“We’re right here, we’re right here proper now, so we’re making presence felt, that’s our dedication to all of you and to our stakeholders. So sure, that is the oversight perform […] after which we now have hearings, we now have inquiries, to assemble data, but additionally proper now we’re going out, searching for out the stakeholders and searching for out these legal guidelines if they’re up to date or in the event that they want any modifications, to get suggestions,” Romualdez mentioned.
“We at the moment are exercising our oversight features and we’re dedicated to make the mandatory modifications, amendments, and changes,” he added.
The discussions with stakeholders, in response to Tulfo, was initiated upon Romualdez’ directions because the Speaker expressed considerations in regards to the rise of primary commodities’ costs.
Based on Tulfo, they have been capable of safe a dedication from producers that there could be no worth will increase for primary commodities. When requested what merchandise wouldn’t see worth will increase, the lawmaker mentioned primary commodities or merchandise which might be essential to indigent customers — not imported variants — wouldn’t see worth hikes.
Whereas headline inflation numbers haven’t been unstable up to now few months, the Philippine Statistics Authority reported in early April that inflation rose to three.7 p.c for March 2024. One of many main culprits for the marginally larger charges was rice costs — which noticed a 15-year excessive.
Your subscription couldn’t be saved. Please attempt once more.
Your subscription has been profitable.
Rice stays the staple meals for Filipinos. Based on Home methods and means head and Albay 2nd District Rep. Joey Salceda, the federal government must be obsessive about rice as it is going to be key to battling inflation.
