PM demands dairy hike explanation

Saturday, Sep 14, 2013 11:26

Many kinds of imported formula milks are sold in the local market. — Photo saigonnews
HA NOI (Biz Hub) — The Prime Minister asked the ministries of Health and Finance on Thursday to report the high price of milk on the local market.

Because the milk price is not controlled by the Government, dairy companies can increase prices at any time.

Some milk products were listed at US$4-5 (VND80,000-100,000) per unit on customs declarations forms, but were retailed for VND400,000-900,000, according to the General Customs Office,

The Pricing Management Department of the Ministry of Finance said the ministry had not conducted any investigation of milk prices because the product was not under its control.

Reports on milk products sent to the department classified those for children under six as "nutrition products", placing them outside the scope of the ministry.

In August, the Ministry of Finance asked the Ministry of Health to provide a list of companies producing and trading milk products, as well as a list of certified milk products for children under six years old of which the price had been stabilised and a list of nutrition foods for children under six.

However, almost all firms did not call the items "milk products" when submitting the lists.

Rising CPI

In general, the consumer price index (CPI) is forecast to increase 1 per cent this month due to several factors, including the rainy season, increasing demand and higher tuition as the new school year begins.

Meanwhile, the Ministry of Finance sent official letters to Petrolimex and Dong Thap Oil and Gas Trading Ltd Company, two petrol dealers, on Thursday to ask the two firms not to change the current retail prices of oil and petrol.

MoF planned to cooperate closely with the Ministry of Industry and Trade to follow fluctuations in oil and petrol prices on the world market in order to manage prices on the local market.

To ensure price stability this month, the Pricing Management Department proposed ministries, sectors, provinces, cities and enterprises continue stabilising the price of goods and services, ensuring a balance between supply and demand, organising trade promotion programmes and not increasing prices for health care services. — VNS

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