DTI hits 4 supermarkets for overpricing

MANILA, Philippines - The Department of Trade and Industry (DTI) has issued show cause orders (SCOs) to four supermarkets in Quezon City and warning letters to 10 other stores in Metro Manila for selling noche buena items above suggested retail prices (SRPs).

The DTI’s Fair Trade Enforcement Bureau issued the orders to Daily Supermarket, Mighty Mart, Purity Supermarket and Supermart 2000, Undersecretary Victorio Mario Dimagiba said in a statement yesterday.

Ten other supermarkets and groceries in Pasig, San Juan, Caloocan, Valenzuela and Quezon City were given warnings after they were found to be selling the products for up to 50 centavos higher than the SRPs.

Among the overpriced noche buena products the 14 stores were selling are ham, spaghetti sauce, cheese, tomato sauce, fruit cocktail, cream, spaghetti, elbow and salad macaroni, and mayonnaise. These products are used in traditional Filipino Christmas dinners.

Dimagiba said the DTI is giving the four retailers issued SCOs five days to explain the higher prices.

The 10 other retailers issued warning letters need to immediately comply with the SRPs to avoid SCOs the next time the DTI monitors their stores.

Dimagiba said it is important for industry associations, federations, organizations and groups to police their ranks to promote healthy competition and prevent violations of fair trade laws such as Republic Act 7394, the Consumer Act of the Philippines; RA 7581, the Price Act; and RA 4901 or the Standards Law.

Under these laws, those found guilty of overpricing and price manipulation can be imprisoned for up to 15 years and fined up to P2 million.

Following statements made by Philippine Amalgamated Supermarkets Association that prices of basic necessities and prime commodities are increasing beyond the set SRPs, Dimagiba said the DTI will meet with the group next week.

Consumers can visit www.dti.gov.ph for the list of SRPs for noche buena products. For complaints, consumers may call the DTI at 751-3330 or 0917-8343330.