THE Department of Trade and Industry (DTI) is calling on flour millers to reduce flour prices by at least P40 per bag to reflect the decrease in global wheat prices.
Undersecretary Victorio Mario A. Dimagiba said a P40 reduction on flour is justified to bring about a P1 decrease in bread.
“This [reduction] covers hard flour class 1 and 2 and 3, including premium. The DTI computation shows flour prices should range from P780 to P820. [Current average] is at P860 using Gardenia purchases as it is the market leader,” Dimagiba said through text.
This comes as the DTI last week recommended the filing of collusion and profiteering cases against flour millers and bakers for refusing to lower prices of flour and flour-based products.
The National Bureau of Investigation is continuing its investigation based on the recommendation of the DTI.
Bakers have said that the price reduction would have to come from flour millers, and that P100 to P200 per bag would be needed for the savings to be passed on to them.
Sources in the industry said two flour millers have already complied with the request, lowering their prices by P10 to P20 .