CEBU
CITY, January 20 (PIA) --- As oil prices continue to slide, some
sectors anticipate a reduction in costs of prime commodities but the Department
of Trade and Industry (DTI-7) bared the effect cannot be felt yet as retailers
replenish their stocks only after every three months.
DTI-7 public information officer Jojie
Villamor said, the pricing of prime goods in the market is based on
previous rates and any effect of the continuing fall of oil prices on costs of
prime goods can only be seen after retailers replenish their stocks after 90
days.
A the moment, there is a price freeze in Cebu and Bohol after the
declaration of a state of calamity in both provinces in the aftermath of
Typhoon Ruby and Seniang, said Villamor during the recent forum of the Association
of Government Information Officers (AGIO-7) that tackled the topic on the oil
price slump and its impact to the business and power sectors.
“The price freeze is in effect for 60 days,” said Villamor adding
that in Cebu it would end by the second week of February.
Villamor said after the end of three months, we would see if
the oil price crash would have any significant effect on prices of prime
commodities.
Though Villamor said there is a direct effect because of lowered
transport cost, she clarified that there is no official statement yet from
their head office with regards to the oil price slump and its direct impact on
costs of basic commodities.
President of the Cebu Chamber of Commerce and Industry
(CCCI) Teresa Chan, in the same forum agreed that retailers only
restock their goods after three months. She added there is a direct effect
between the continuing reduction of oil prices and the prices of prime
commodities because of lowered transport cost.
“But transport cost in the overall pricing of the product differs
on the kind of product,” said Chan.
Chan said she would take up the plummeting oil prices in their
next CCCI meeting adding that she would appeal to member-retailers to pass on
savings generated by the huge oil price reduction to the end-consumers.
(mbcn/fcr/PIA-7)