MANILA – Around 2.4 million Filipinos will sink in poverty, if not malnutrition and stunting, as a result of inflation that has been soaring at a nine-year high, a lawmaker said Monday.
Rep. Joey Salceda of Albay, who is also an economist, issued the warning three days after the Philippine Statistics Authority announced that inflation soared to 6.7 percent in September, due to higher costs of food and non-alcoholic beverages; housing, water, electricity, gas and other fuels; and transportation.
“Mas matindi ang epekto ng inflation sa lowest 30 percent [of the income bracket], kasi mas marami silang consumption on food items. Base sa pag-aaral, sa bawat 10 percent na pagtaas ng food prices, dumarami ang mahihirap ng 2.4 million,” Salceda said in an interview on GMA News’ “Balitanghali.”
While the national inflation rate is at 6.7 percent, it reached 10.1 percent in the Bicol Region and 9 percent the Autonomous Region in Muslim Mindanao.
“At ‘yung mga dati nang mahirap, magiging severe ang poverty. Nariyan na rin ang prospect ng malnutrition, stunting, and their future will be compromised,” Salceda noted.
He slammed the Duterte administration for failing to import enough rice supply, which could have tempered rice prices that have been ranging between P43 and P70 per kilogram.
“Up to now, 250,000 metric tons pa lang ang naaangkat natin, eh ang kailangan natin eh 1.2 million metric tons, lalo na 1.4 million metric tons ng bigas ang nasira nung typhoon ‘Ompong’,” the lawmaker added.
Twenty-four Liberal Party lawmakers from the House of Representatives have called for suspending the second round of excise taxes on fuel products next year under the Tax Reform for Acceleration and Inclusion (Train) Act.
TRAIN, which was signed into law by President Rodrigo Duterte in December 2017, raises the price of diesel by P2.50 per liter in the first year, P4.50 per liter in the second year, and P7 per liter in third year onwards as a result of higher excise taxes. Gasoline prices will increase by P7 per liter during the first year, P9 per liter in the second year, and P10 per liter in the third year.
The tax reform law also provides that the increased taxes on petroleum products will be suspended if the average price of oil in the global market reaches $80 per barrel for three consecutive months.
Sonny Africa, executive director of think tank IBON Foundation, said the higher excise taxes on fuel must be suspended altogether right now – not just the second round – for government intervention to make a dent in addressing inflation.
“Yes, we can increase the importation of food items, but that would just be a short term measure. Kung pangmatagalan, dapat isuspende ang implementation nung increase ng fuel taxes under TRAIN law. Sa aming computation, P7.50 per liter sa presyo ng diesel ang dahil sa TRAIN law, habang P14 per liter naman sa presyo ng gas,” Africa said in a separate interview on Balitanghali.
“Siyam na buwan ng tumataas ang presyo ng mga bilihin, marami pang kailangan bawiin sa siyam na buwan,” Africa said.
He called on the government to implement price control on basic commodities.
Under the Price Act, the President, upon recommendation of the Price Coordinating Council, is allowed to impose a price ceiling on basic necessities or prime commodities in times of calamities as well as in other emergency situation, price manipulations, unreasonable increase in the price of the basic necessities and prime commodities.
“Pasok na pasok na ang ating sitwasyon sa mga requirements ng batas,” Africa said. (GMA News)
