Show cause order issued to 64 stores for overpricing

MANILA, Philippines - The Department of Trade and Industry (DTI) has sent notices to 64 stores to explain why they are selling goods above suggested retail prices.

The National Bureau of Investigation (NBI), on the other hand, conducted an inspection of a warehouse owned by a certain Leah Cruz, on reports of hoarding of garlic.

The DTI said the notices were issued to 33 supermarkets and 31 wet market stalls found to be selling non-agricultural basic and prime goods at prices higher than the suggested retail prices (SRP) during monitoring activities conducted earlier this month. 

“These retailers are selling non-agricultural basic necessities and prime commodities at P0.40 to P13 above the SRPs which prompted the DTI to immediately take action by issuing them show cause orders to explain the high prices on their products,” DTI Consumer Protection Group Undersecretary Victorio Mario Dimagiba said. 

The products sold above the SRPs include batteries, beef loaf, canned sardines, coffee refill, condensed milk, corned beef, detergent bar, instant noodles, evaporated milk, luncheon meat, mineralized and purified water, fish sauce, powdered milk, soy sauce, toilet soap and vinegar.

As the DTI only approved higher SRPs for milk products that took effect at the beginning of the month, Dimagiba said prices of non-agricultural basic and prime goods should not go up.

“Therefore, we are enjoining all retailers to check their prices and make sure that these are conforming to the set SRPs,” he said.

Under Republic Act No. 7581 or the Price Act, firms involved in illegal price manipulation such as profiteering could face penalties of imprisonment of five to 15 years and administrative fine of P5,000 to P1 million.

During the monitoring activities conducted by the DTI, 57 stores consisting of 30 supermarkets and 27 wet market stalls were found to be conforming to the SRPs for non-agricultural products.

The compliant stores included the Robinsons Supermarket (168 Mall and Caloocan); Isetann (Recto and Cubao); Savemore (Malabon, Valenzuela and Katipunan); SM Supermarket (Megamall and San Lazaro); Rustan’s Supermarket (Mandaluyong); SM Hypermarket (Quezon City, Valenzuela and Parañaque); Puregold (Balintawak and Marikina); and Landmark (Trinoma).

“We commend these retailers for conforming to the SRPs. The DTI calls on other establishments to follow their lead to ensure that consumers have access to reasonably priced basic and prime goods in the market,” Dimagiba said.

He also reminded consumers to check prices before making a purchase.

“Likewise, we urge you to get involved by reporting those stores that sell above the SRPs to the DTI,” he added.– Aie Balagtas See, Czeriza Valencia