Low-wage earners in Mindanao are in danger of suffering the most if the Department of Trade and Industry (DTI) pushes through with its plan to scrap the suggested retail price (SRP) policy on essential goods, Bayan Muna warned.
Former Bayan Muna Rep. Carlos Isagani Zarate slammed DTI’s plan to remove the SRP on basic goods and prime commodities and replacing it with a “price range system.”
“This plan will only worsen the already fragile financial condition of thousands of families in Mindanao, home to many of the country’s poorest regions,” the Mindanaoan former lawmaker said.
Zarate explained that poverty rates are highest while wages are lowest in Mindanao that could make “uncontrolled price hikes…unbearable.”
DTI assistant secretary Agaton Uvero justified the plan, saying manufacturers have been circumventing the SRP policy by adjusting the prices of their high-end brands.
Uvero added that the SRP can only be implemented during calamities to ensure that retailers do not take advantage of disruptions in supply.
Former Bayan Muna Rep. Ferdinand Gaite earlier said the prices of basic goods will increase once the SRP is eliminated, urging the government to strengthen its price control policy instead.
Punishing the poor
Economic think-tank IBON Foundation said minimum wage in Mindanao falls drastically short of the family living wage, ranging from PHP350 to PHP 396, while the daily living wage needed to sustain a family of five is over PHP 1,100.
Meanwhile, current costs of essential goods in Mindanao are steadily rising, with the most staple items becoming increasingly unaffordable to the poor.
- Rice prices range from PHP 48 to PHP 62 per kilogram, with high-quality rice now reaching up to PHP 68 in some areas.
- Cooking oil has seen price hikes, currently at an average of PHP 160per liter, up from PHP 120 last year.
- Vegetables such as onions and tomatoes are priced between PHP 80 to PHP 140 per kilogram.
- Sugar now costs PHP 100 per kilogram, a significant increase from previous months.
With the wide gap between wages and the cost of living, Zarate warned that further deregulation of prices would have a devastating effect on working families already struggling with rising costs.
“With the proposed removal of the SRP, these prices can soar unchecked, hitting hardest those who spend most of their earnings on food,” Zarate stressed.
“Many low-wage earners in Mindanao could be pushed to choose between putting food on the table or covering other essential expenses. In this period of inflation, the government should be acting to protect these families, not stripping away one of the few consumer protections they have.”
Bayan Muna had repeatedly raised its concern over alarming food insecurity in rural areas, adding the government should prioritize wage increases and strong price control policies instead of lifting SRP.
“Without the SRP, we risk escalating poverty and hunger, especially among those already bearing the brunt of low wages,” Zarate added.
The former lawmaker said the Ferdinand Marcos Jr. government should also grant immediate wage relief and stronger consumer protections to the poor. # (Raymund B. Villanueva)
