Lawmaker calls on gov’t to control commodity prices as new subsidy round introduced

The Consumer Rights Protection Law should be used to guard against profiteering or price speculation on daily commodities as the government introduces a new round of consumption stimulus, a lawmaker has said.

The law took effect on New Year’s Day this year.

Speaking to local Chinese media outlet Macao Daily News, Lawmaker Si Ka Lon pointed out that Article 20 of the law empowers the Consumer Council of Macao to collect necessary information, which must be current, objective and complete, for the purposes of investigating the setting of prices when the prices of goods or services are subject to sharp fluctuations or unjustifiably high.

The Composite Consumer Price Index for March is 103.39, a rise of 1.07% year-on-year. The increase was spurred mainly by higher domestic helper salaries, as well as more expensive dining out, gasoline, electricity and air ticket prices.

Worse, according to Si, is the rising commodity prices seen amid the annual cash handout’s release in April. The lawmaker cited residents’ fears that the upcoming consumption stimulus would further push prices up.

He added that the government had met with the wholesale and retail industries, before and during the last rounds of consumption stimulus, to try to prevent profiteering and price speculation.

With residents recently expressing fears over price speculation and profiteering, Si hopes the government can take action to prepare in advance against such activities.

The government should also, in Si’s opinion, further analyze the effects of its efforts in combating price speculation, unreasonable price hikes and profiteering by what he referred to as “illicit business operators.” The enforcement mechanisms for such activities should also be communicated to the public.