MANILA, Philippines - The Department of Trade and Industry (DTI) appealed to retailers and manufacturers to be content with a smaller profit to keep prices steady during the Christmas season.
In an interview, Trade Undersecretary Zenaida C. Magalaya said that if only manufacturers are contented with three-percent to five-percent margin, prices will not go up.
“We are under a state of calamity. We are asking them to be happy with a minimum margin,” Maglaya said.
According to her, the normal margin of retailers and manufacturers are five percent to 10 percent. However, because of the twin typhoons that hit the country, Maglaya asked retailers to be content with just enough profits.
The undersecretary said they are not asking businessmen to sell at a loss. She said they understand the need to make profit but she stressed that this is the time to be more helpful especially to the victims of tropical storm Ondoy and typhoon Pepeng.
In fact, Magalaya said they are open to adjusting the price ceiling they imposed if it is not reflective of the real price before the price control was implemented.
Maglaya said they are already reviewing the price of construction materials and processed meats because retailers have lodged a complaint.
Earlier, DTI said there will be no increase in the price of basic commodities like sardines, rice, bread and milk until after Christmas even as the government imposed price control is set to lapse in November.
Maglaya said that before they lift or allow the price control to lapse they will talk to manufacturers and retailers to ensure that they will not jack up their prices once the price ceiling is removed.
Maglaya said they will hold consultations in November to determine whether or not there is a need to extend the price control.
“Hopefully until Christmas they won’t come out with new prices,” Maglaya said. She explained that retailers have already adjusted their prices last August or September.
She said they have not monitored any increase in the price of inputs like tin cans for canned goods so there is no reason to raise prices even if the price control is removed.
The undersecretary noted there is probably no need for price controls. “Nobody wants price control. What we want is to go back to normal as soon as possible,” she said in Filipino.