Traders face prosecution for gouging

The legislation provides for the punishment of those stockpiling goods for the purposes of price speculation or using unfair-trade practices.

Internal Trade Department director-general Yanyong Phuangrach said yesterday the Commerce Ministry was checking out wholesalers and retailers.

Price gouging will be prosecuted under the Goods and Services Price Act.

The ministry is paying special attention to rice, milk, instant foods, seasonings, cement, vegetable oil, steel, construction materials, tyres and batteries.

Those involved in illegal hoarding or overcharging will be fined a maximum of Bt140,000 or jailed for up to seven years.

In extreme circumstances, or where the ministry receives complaints from consumers, it will invoke the Commodities Act, which allows for even stiffer punishment.

"If any enterprise disobeys by increasing prices or hoarding for speculation, they will be subject to imprisonment for up to 10 years or a maximum fine of Bt50,000," Yanyong said.

The act covers hours, places and volume of sales to ensure fair distribution of essential goods, in particular rice and sugar.

Ministry staff in the provinces are checking wholesalers and retailers for breaches of fair-trading legislation.

Minister Chaiya Sasomsap has approved price hikes for pasteurised milk and soybean oil.

The price of pasteurised milk rises depending on the size of container and soybean oil by Bt4.50 a litre.