This month, we saw—and quickly felt—the impact of rising prices of gasoline and of basic commodities, with the country’s headline inflation remaining steady at 3.0 percent in February, slower than the 4.2 percent in the comparative month in 2021.
The people, still suffering from the two-year jab of the coronavirus pandemic which sent millions off their work areas, now have to stand up to yet other price increases in what they need daily to make both ends meet.
For instance, data showed that in March, gasoline prices went up by P11.90 per liter and diesel prices shot up by P19.80 per liter, reflecting the volatility of oil prices in the world market—not helped any, but likely aggravated, by Russia’s invasion of Ukraine, now on its third week.
And then prices of goods are expected to increase once the Confederation of Truckers Association of the Philippines implemented a 30-percent increase in trucking freight rates on skyrocketing fuel prices to enable them to provide service to customers.
There have been proposals to suspend the excise tax on fuel as a way to reduce the impact on consumers of spiraling oil prices in the world market.
But this was rejected by the Department of Finance which said the move would only set back the Philippines’ economic recovery from the pandemic and would instead end up subsidizing the expenses of affluent families more than those of low-income households.
Earlier this week, the Department of Trade and Industry said prices of canned sardines might push up soon although bread costs—allowed an increase of at least P3.50 last January—would remain stable for the next three months.
There has been a request with the DTI from one sardines manufacturer to raise prices due to increases in fuel costs, the request now studied by the government agency.
Bakers and bread manufacturers meanwhile have yet to ask the DTI for a price increase for their products, as supplies of wheat have already been secured for at least three months.
Flour millers, who import wheat, have already received enough supplies for a month, and have already paid for shipments for the next two months, DTI said.
Life has been difficult, and it will be even more so in the coming days. We can only hope that the government can provide as much help as it can to the long-suffering people and that it has a plan outside of advising us to tighten our belts.