Azer Parrocha | Philippine News Agency
MANILA — The government will be laying out measures to cushion the impact of El Niño or dry spell on the prices of basic goods, particularly agricultural products, a trade official said on Wednesday.
Department of Trade and Industry (DTI) Undersecretary Ruth Castelo made this assurance admitting that the dry spell, which will last until May or June, might lead to a spike in the prices of vegetables.
Aside from the possibility of a stronger and prolonged El Niño episode, Castelo said the continued rise in global crude oil prices may provide upside price pressures over the near-term.
“Gulay talaga iyong binabantayan natin (Vegetables are what we need to monitor) because of the drought now happening in several regions in the country, so production has halted I understand,” Castelo said in an economic press briefing in Malacañang.
“That’s why government is here; we want to minimize the effects. There will definitely effects on agricultural products, we cannot deny that,” she added.
Castelo said agencies which are members of the National Price Coordinating Council (NPCC) will be holding a meeting Wednesday afternoon to ensure government is ready to address the effects of El Niño on agricultural products.
“The NPCC will particularly do a close watch on the effects of El Niño on the price and supply of agri products,” Castrlo said.
“We intend to address this through the NPCC by finding out how we can help farmers continue production or minimize at least the ill effects of El Niño,” she added.
Castelo said among the measures which might be discussed during the meeting would be efforts to keep the water supply flowing in the fields.
Sugar prices
Castelo, meanwhile, said the agency will also be monitoring the prices of sugar following reports that the prices of sugar went as high as PHP68 per kilo compared to the usual price range of PHP50 to PHP55.
“DTI continues to monitor sugar. We have included that in our list. And we insist that price of sugar should only be at PHP50, maximum at PHP55 per kilo,” Castelo said.
She said the agency will also be issuing notices of violation to retailers selling sugar above the allowed retail price.
“The DTI, in our efforts to help the Department of Agriculture and the SRA, we issue notices of violation, actually, to retailers selling sugar at a higher price than PHP55,” Castelo said.
“We inquire from them as to the source and why the price is much higher than the expected retail price,” she added.
Citing the Sugar Regulatory Administration (SRA), Castelo said there is no reason for prices of sugar to increase since stock balance is at an all-time high.
“The SRA already said that there is sufficient supply of sugar in the Philippine market so there is no reason,” Castelo said.