Metro Manila (CNN Philippines) — Consumers may have something to look forward to in the next grocery trip.
The Trade Department is asking manufacturers to carry out price cuts on some basic goods like coffee, milk, canned sardines, and noodles because transportation costs are now cheaper with the continuing slide in fuel prices.
Transportation expense is about 3 percent of a product’s retail price.
Last year, manufacturers reduced prices of several food items. Trade officials then pointed to cheaper raw materials.
Prices of basic goods like canned sardines could go down by 14 centavos, milk products by 29 to 40centavos, coffee refill packs by 31 centavos, instant noodles, by at least 8 centavos per pack, and corned beef, by 26 centavos.
This is welcome news for consumers. But for supermarket owners, it is a bit of a challenge to lower prices of food items especially if they bought stocks at a higher price.
The Trade Department says it will ask manufacturers to review costs and prepare for a scheduled meeting next week with distributors and retailers on possible price cuts.
