Several ministries will cooperate to carry out an overall inspection of the baby formula milk industry in the next few days in an attempt to control the price.
Nguyen Xuan Chien, deputy head of Domestic Market Department
According to the law, dairy products are subject to the government management but food supplements and nutritional products are not. Taking advantage of certain loopholes, several enterprises have classified their products as food supplements to avoid price stabilisation policies.
It was announced on September 30 that the Ministry of Health will have to issue a list of dairy products by October 5 so the Ministry of Finance can set up prices for those products.
Meanwhile the Ministry of Finance and the Ministry of Industry and Trade (MoIT) will carry out an inspection and suitable price adjustment at milk companies for possible price fixing. The management agencies under the MoIT are also authorised to carry out inspections and punishment of violators.
Illustrative photo. Several ministries will cooperate to carry out an overall inspection of the baby formula milk industry in the next few days in an attempt to control the price.
Nguyen Xuan Chien, deputy head of Domestic Market Department, under the MoIT, said that this is an order from the Prime Minister after signs of price gouging were revealed.
Speaking on the recent problem for fuel markets after the MoIT proposed to let wholesalers increase fuel retail prices by the maximum of 5%, Chien said this proposal will help to develop the market mechanism. Even if the wholesalers are allowed to raise fuel prices, they are sill under the government's management.
Chien also said they will lower the fuel prices in October as soon as they see the chance.