MANILA – The prices of popular bread products are set to go down next month.
In a briefing, Trade Undersecretary Victorio Mario Dimaguiba said bakers have agreed to the reduction in prices as follows:
- P0.50 a loaf for Pinoy Tasty; and
- P0.25 for a 10-piece pack of Pinoy pandesal.
The price cuts, which will take effect November 7, stem from a drop in the cost of Harinang Pinoy, the main ingredient for making Pinoy Tasty and Pinoy pandesal.
The price of Harinang Pinoy has dropped to P730 a kilo in mid-October from P750 previously.
Philippine Baking Industry Group (PhilBaking) president Nestor E. Constancia said bakers have agreed to a P0.50 reduction.
“We started issuing the price list to supermarkets already early this week. If there will be further reduction in price of Pinoy tasty flour, we will have another round of price reduction on Pinoy Tasty," she said.
According to the Department of Trade and Industry (DTI), the ex-mill price of flour has fallen by P5 to P50, resulting in a maximum retail price of P900 for every 25-kilogram (kg) bag.
Recent price monitoring, however, shows that flour retails for P860-950 for every 25-kg bag.
In this regard, the DTI has issued show cause orders to 15 retailers for selling flour above P900, as follows:
Gold Flour General Merchandise with brand Wellington
M2DC General Merchandise with brand El Superior
Cielo May Enterprise with brands, El Superior and King
Ces Trading with brand Wellington
Monton Trading with brands Wellington, El Superior
Acorico Trading with brand Wellington
Windon General Merchandise with brand Wellington
Malabong Longlife with brand Wellington
Prima 3 Commercial with brand Wellington
MVJM Bakery with brand Wellington
RCHG Store with brand Wellington
RRDT Enterprise with brand Wellington
Aimai Bakery Supplies with brands Sunshine, Washington Gold and Wellington
Unigold with brands Emperor and Wellington
Jubille with brands King and Sun Moon Star
"Within 48 hours, the said stores will be given a show cause order by the DTI to explain the high prices on the flour that they are selling. They are given five days to explain," Dimaguiba said, adding that flour millers will also be asked to explain the high retail price of their products.
Under Republic Act No. 7581 or the Price Act, penalties for illegal price manipulation such as profiteering include imprisonment of 5 years up to 15 years and administrative fine of P5, 000 to P1 million.
"The DTI reminds the retailers to comply with the suggested retail prices for basic necessities and prime commodities and not to abuse the imposition of retail prices on their products," Dimaguiba said.
Apart from bread, the retail price of cement also has gone down by P10-15 for every 40-kg bag.
This means that the retail price of cement should range from P215 to P220.
"The DTI will continuously monitor for the prices of bread, cement, and other basic necessities and prime commodities to ensure that consumers have access to reasonably-priced goods in the market," Dimaguiba said.
Source: InterAksyon.com
By: Darwin G. Amojelar
Date published: October 29, 2014
MASARAP FOOD PHILIPPINES