Price control 'detrimental' to economy, says ECCP

European businessmen in the Philippines believe that price controls would only be “detrimental" to the economy. “Any measure that would curtail the free movement of commodity prices would only worsen the current situation," Henry Schumacher, European Chamber of Commerce of the Philippines (ECCP) executive vice president, said in a statement on Wednesday. On March 7, the Department of Trade and Industry ruled out price controls amid the rising food and fuel prices. “The availability of consumer goods must be the priority. Once price control is imposed, availability will severely suffer," Schumacher said. “The oil companies, wheat millers, food processors, and the bakers have no choice but to follow international raw material prices. If caps were to be introduced, they would be forced to stop operations. That would be in nobody’s interest," he added. Schumacher advised companies and industries to refrain from delaying price adjustments. “We should let market forces dictate the prices of commodities," he said. Also, Schumacher said ECCP agrees with the Department of Energy in ruling out oil industry regulation. “[A]ny move to cap prices would put a heavy financial strain on national government coffers, with an estimated $2 billion needed for a price stabilization fund," he said. He also advised consumers to tweak their lifestyle amid rising prices. “Everyone should practice energy conservation and energy efficiency. The public should now be more selective of their modes of transportation and on the kind of food they place on the table," Schumacher said. — JE, GMA News