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New price controls

The Commerce Ministry



The Commerce Ministry will soon add natural gas for vehicles (NGV) and garlic to its price-control list, to prevent unfair price hikes amid increasing demand for the gas and the smuggling of garlic from China.

The ministry today will submit the proposal for Cabinet approval, in order to ensure that price-control measures take immediate effect for the protection of consumers and farmers.

Commerce Minister Chaiya Sasomsap yesterday said the ministry had to extend its price controls to these products, as they were essential consumer goods.

"The department will closely monitor price movements of both products. Their inclusion should increase protection for consumers and restrain inflation," he said.

Their inclusion will bring the number of items under price control to 37.

Any manufacturer wishing to raise retail prices for controlled items must seek approval from the Internal Trade Department. Violators of the Goods and Services Prices Act - under which the measure falls - are subject to seven years in prison and/or a Bt140,000 fine.

Diesel, petrol and cooking gas are already on the ministry's control list. It is adding NGV to prevent future problems, as the government plans to promote the use of the fuel for alternative energy, said Chaiya.

Large amounts of Chinese garlic have been smuggled into the country, adding to the problems of local farmers, who are already faced with higher production costs. Under the planned control measure, traders holding more than 2,000 kilograms of garlic must report to the Internal Trade Department. They must then seek official permission to transfer more than 400kg to other provinces.


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