Efficiently managing prices

A petrol station of Petrolimex. Photo: Vietnam

Efficiently managing prices

In order to continue to proactively and efficiently manage prices in the remaining nine months of 2022, departments, governmental and local agencies have been required to focus on making detailed plans and assigning specific tasks to competent agencies to stabilize the market price and control inflation under set targets.

The Deputy Prime Minister requested the State Bank of Vietnam to coordinate with the Ministry of Finance and other ministries and agencies to continue actively and flexibly implementing monetary policies, and closely work with other fiscal and macro-economic policies to curb inflation according to the set targets, and contribute to supporting and removing difficulties for production, business and people affected by the Covid-19 pandemic; and continue to control core inflation in 2022 to create a basis for general inflation control.

The Ministry of Foreign Affairs has been asked to work with other ministries and agencies to closely monitor world economic developments, general inflation of countries, movements of fuel prices and strategic materials.

The Ministry of Finance has been required to actively work with the Ministry of Planning and Investment and the State Bank of Vietnam to synthesize, analyze, forecast, and build appropriate scenarios and timely response plans amid increasing prices of goods in the world market to manage domestic production, balance supply and demand, and manage and stabilize prices appropriately.

Strictly handling hoarding and unreasonable price increases

The People's Committees of provinces and cities shall strengthen the management of commodities, inspection and supervision of the implementation of price declaration and listing; and inspect the observance of the law on prices and strictly handle speculation, hoarding and unreasonable price increases; proactively inspect price-forming factors according to the Law on Prices and according to their competence when there are abnormal fluctuations; actively research and implement market stabilization programs in accordance with the local conditions and laws.

The Ministry of Information and Communications shall coordinate with other ministries and agencies to focus on information on prices to control expected inflation; strengthen supervision, promptly prevent false information that causes confusion, leading to market instability.

To encourage businesses and people to strengthen the implementation of solutions to efficiently use energy (petroleum, electricity, etc.) in order to contribute to reducing product and social costs, promoting environmental protection and ensuring national energy security.

Stabilizing the price of each product

For specific products, the Deputy Prime Minister has asked ministries, government and local agencies to proactively execute proposed solutions for each product to stabilize the market price level.

To focus on removing difficulties for production and business to prepare a sufficient supply to meet consumer demand, and facilitate the circulation and distribution of goods and services. In case of large fluctuations in prices, based on the provisions of the Law on Prices, the ministries, government and local agencies shall propose appropriate solutions for price stabilization.

Specifically, for goods and services priced by the State, which have not been considered to increase prices in the short term, continue to keep their prices stable to ensure general inflation control as well as contribute to supporting businesses and people.

However, it is necessary to take the initiative in making plans to adjust some goods and services.

Balancing petrol supply and demand

The Ministry of Industry and Trade manages to stabilize the market, balance supply and demand and take the initiative to ensure petrol supply for domestic demand, and forecasts world prices to build an appropriate plan for price management of domestic petrol and oil, use reasonable and flexible price stabilization fund tools to limit  the increase in domestic gasoline prices in periods with great fluctuations.

At the same time, the ministry shall direct the local agencies to strengthen the inspection and control of the market, strictly handle acts of speculation, hoarding, taking advantage of petroleum price movements to unreasonably increase the prices of goods and services and regularly control the market to fight smuggling and trade fraud.

The People's Committees of the provinces and cities with borders shall strengthen anti-smuggling work when the domestic petrol and oil prices are lower than those in other countries, especially the policy on green tax reduction is applied.

Regarding construction materials, the Ministry of Industry and Trade shall propose solutions to boost domestic production capacity and give priority to supply for the domestic market.

The Ministry of Construction shall coordinate with other ministries and agencies to strengthen monitoring and updating of building material price fluctuations to promptly propose measures to stabilize the market.

The Ministry of Natural Resources and Environment shall strengthen supervision of licensing, exploitation and production of building materials for key projects and the North-South expressway.

The People's Committees of the provinces and centrally-run cities shall receive declarations and control declared prices in accordance with the Law on Price; step up inspections and handling of speculation to increase prices unreasonably.

Regarding road transport services, the Ministry of Transport directs the Departments of Transport of the provinces and cities to advise the People's Committees to closely follow the petrol price movements, strengthen reviewing price listing of enterprises to assess the price increase.

In addition, the People's Committees shall strengthen inspections of enterprises' compliance with price listing and toll fee collection at listed prices; and seriously handle acts of unreasonable price increases and collecting fees at prices higher than listed prices.

Controlling food quality and safety

The Ministry of Agriculture and Rural Development shall direct relevant agencies in controlling the quality and safety of imported food and raw materials for the production of animal feed.

The Ministry of Transport shall direct relevant agencies to create favorable conditions for the logistics of animal feed ingredients.

The People's Committees of provinces and centrally-run cities shall step up the supervision of price listing for animal feed products; direct competent units to strengthen inspection and strictly handle violations.

In addition, the Ministry of Agriculture and Rural Development shall continue solutions to control the pandemic and balance the supply to stabilize pork prices.

The Ministry of Industry and Trade and the People's Committees of provinces and centrally-run cities will strengthen control of intermediaries, circulation in the market as well as illegal import and export of live pork across the border.

For fertilizers, the Ministry of Agriculture and Rural Development and the Ministry of Industry and Trade continue to take measures to balance supply and demand, control circulation and combat counterfeiting. The People's Committees of provinces and cities shall strengthen supervision and inspection of the observance of price listing for fertilizers which are an important input for agricultural production.

The Ministry of Agriculture and Rural Development and the Ministry of Industry and Trade shall carefully assess the production situation, regulate the supply and demand of rice products for domestic demand and export.

The Vietnam Food Association shall direct its member businesses to actively monitor the market, especially the traditional rice import markets, and at the same time seek and develop new markets and promote trade.

The People's Committees of the provinces shall direct and create favorable conditions for production and cultivation, and provide timely support solutions to remove difficulties for businesses and people.

The Ministry of Health shall continue to actively monitor price fluctuations of medical supplies and equipment to take measures to manage and stabilize prices according to the provisions of the Price Law and Decree 98/2021 of the Government.

To organize the effective implementation of Resolution 12/2021 of the National Assembly dated December 30, 2021, the Ministry of Health shall take the initiative and work with other ministries and agencies to report to the Government on proposals for price management and stabilization in accordance with the law on prices.