DTI-7 demands rollback of cement prices in Cebu

CEBU, Philippines - The Department of Trade and Industry (DTI-7) has asked the cement producers in Cebu for a price roll back, following the "unreasonable" increase of cement in Cebu.

DTI-7 regional director Asteria Caberte warned yesterday that if the high price of cement in Cebu will not go down this week, the agency will have to issue a "show-cause" order, and will let cement firms to explain the P10 increase of cement per bag.

Early this week, price of cement in Cebu went up by P10, from an average of P200 per bag to the highest of P220 now.

"We are closely and seriously watching the movement of cement prices in Cebu. In times of post calamity its immoral for cement firms to increase their price at this high," Caberte said.

Besides, she said Cemex Philippines, one of the biggest cement manufacturers in Cebu committed not to increase its price while re-building of calamity stricken areas are still ongoing.

"They [cement] have to be sure with their commitment," said Caberte.

In other regions in the Philippines, including the greater National Capital Region (NCR) only the Central Visayas, specifically Cebu implemented the cement price increase.

While Caberte admitted that the upward price movement may be due to strong demand of construction materials in the region, due to calamity-related and construction-boom demands, still she inisisted that an average of P10 price increase is "unreasonable."

Although Cebu and Bohol are already out from "state of calamity" situatuon wherein price control is no longer applicable, Caberte said there is need for cement plants to explain the increase, while other regions in the country are rolling back their cement prices.

Caberte recounted, the presidential proclamation in November last year on typhoon Yolanda and the provincial resolutions of Bohol and Cebu prompted the DTI to heighten its monitoring and enforcement activities, not only on the prices of basic necessities and prime commodities, but also on the quality of construction materials taht have been in demand for the repair works of homes, schools, offices and establishments of those affected. (FREEMAN)