Thailand
Thailand: Big retailers, manufacturers to clear up price hikes
The Commerce Ministry is scheduled to hold a meeting with consumer goods makers and big retailers today to discuss the product price structure and clarify indirect price hikes alleged by consumers.
Deputy Commerce Minister Sontirat Sontijirawong said the Internal Trade Department has been tasked with holding the joint meeting after consumers complained about being charged the same prices for products that are smaller in size or volume.
The consumer goods companies and retailers include Saha Group, Unilever Thai Trading Ltd, Colgate-Palmolive Thailand, Procter & Gamble Trading Thailand, Big C Supercenter, Home Product Center Plc (the operator of HomePro stores) and Ek-chai Distribution System (the operator of Tesco Lotus hypermarkets).
Mr Sontirat said preliminary inspections had found that certain brands of shower gel and liquid detergents have seen size and volume cuts while being sold at the same prices.
“But in talks so far, manufacturers have said their prices remain in the range which was previously communicated to the ministry,” he said.
More importantly, those products are just on the Commerce Ministry’s watch list, not the price control list. The price control list covers essential items for daily use such as food, consumer goods, farm-related products, paper, petroleum and medicine. Consumer goods include detergent, sanitary napkins and toilet paper.
The government earlier this year raised the number of products and services on the state price control list to 47, up from 45. Delivery charges for online shopping and counter service were added to the list of expenditures that need special supervision by state officials due to growing usage.
The three service items that were already on the list are commercial music copyright usage, storage and warehousing services and agricultural services.
The number of products on the price control list will stay unchanged at 42.
The price control list covers essential items for daily use such as food, consumer products, farm-related products (fertilisers, pesticides, animal feed, tractors and rice harvesters), construction materials, paper, petroleum and medicines.
Listed foods include garlic, paddy, milled rice, corn, eggs, cassava, wheat flour, yoghurt, powdered/fresh milk, sugar, vegetable/animal oil and pork.
Consumer products include detergents, sanitary napkins and toilet paper.
Businesses making or selling listed products are required to inform the authorities of their production costs and seek approval before any price increases.
Source: http://www.bangkokpost.com/business/news/1246150/big-retailers-manufacturers-to-clear-up-price-hikes