THE COST of basic necessities and prime commodities is expected to increase after April 16, following the expiration of a 30-day price-holding commitment from manufacturers.
The price-holding agreement with several manufacturers and the DTI national office was signed on March 16.
“As announced by our secretary, we will expect increases by April 16, because nahuman na ang 30-day commitment,” Romeo Vasquez Jr., DTI Consumer Protection Division chief, said during Kapihan sa Dabaw on Monday.
Vasquez said the primary factor of price increase is operational costs, such as in logistics and delivery.
“Because of the increase in the price of fuel, nagmahal na ang delivery cost,” he stressed.
Vasquez reported that in some areas, logistic costs have significantly surged, including in Malita, Davao Occidental. Delivery costs reportedly increased by 75 percent, from ₱2,000 to ₱3,500 per trip.
On the other hand, a retailer from Mati City, Davao Oriental, had their logistics costs rise between 33% and 50%, with some trips costing from ₱5,000 to as much as ₱14,000.
“If the logistics and delivery costs increase, it will have an effect on the price of goods,” he said, noting a few increases for basic necessities and prime commodities were observed but are still within the suggested retail price.
The official said daily monitoring of prices and supply has been intensified, while price and supply monitoring teams are required to submit daily situational reports to ensure market stability.
Under existing regulations, increases within 10 percent of the SRP are not considered profiteering and do not automatically warrant penalties, two establishments have been issued a letter of inquiry in the past week.
The agency assured that it will closely track price movements beyond April 16 to ensure that any increases remain justified and do not burden consumers excessively.
Vasquez, however, emphasized that not all basic goods will increase, and it is up to the manufacturer for the costing of their products, considering operational costs.
“If there is a need to revise the SRP, especially if there is an increase, that will be published by the DTI if there is a new SRP for their products,” Vasquez said.
