The Philippine Chamber of Commerce and Industry reported that business have lost up to P1 billion due to the devastation brought about by tropical storm Ondoy last month. But PCCI president Edgardo Lacson said that while this is the case, local enterprises are now starting to recover.

Lacson added that although there is an existing price control, most businesses would be able to recover, but they will be having difficulty should the price ceiling on basic goods lasts for more than a year. “There must be a balance,” he said.

The government imposed the nationwide price control when the country was placed under a state of calamity last October 2. The price ceiling on basic goods was even said to be extended until the state of calamity is lifted.

However, Press Secretary Cerge Remonde said President Gloria Macapagal-Arroyo no longer sees the need for a nationwide imposition of price control since the market situation has returned to normal. The state of calamity in Visayas and Mindanao was lifted last week.



Luzon is still under a state of calamity though, because Metro Manila and several other provinces are still under rehabilitation. But Remonde assured that this won’t last for a year (as earlier reported), and would most likely be lifted in December.

Donald Dee, PCCI chairman emeritus Ambassador, warned that if the price control would be imposed for a year, businesses would be suffering losses and the effect is that they might cut the number of their employees. “We will follow the law for as long as we can, but we cannot operate when we are already losing money,” he said.

Dee said he is not sure if PCCI members can freeze the prices of their goods for long.

“If they (businessmen) are asked to hold prices for a year, it might lead to other problems like supply shortage and job losses,” he said, adding, “We will do consultation over this. All of us are trying to help the victims but the prices will not be able to move for a year then there will be suppliers who will be unwilling to deliver.”





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This entry was posted on Monday, October 12th, 2009 at 12:19 pm and is filed under Accounting, Articles, Business Terms, Corporations, Economy, Entrepreneur Philippines, Finance, Government, Management, Money, Motivation, Philippine Business News, Philippines, Pricing, Sales, Statistics and Trends. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.



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