The Tribune

By YOURI KEMP

Tribune Business Reporter

ykemp@tribunemedia.net

The Price Control Commission’s chairman yesterday said recommendations have been presented to the Minnis Cabinet calling for it to be given greater powers over non-price controlled items.

Danny Sumner made the revelation as he confirmed to Tribune Business that prices are rising on “every item” including food, which he largely attributed to rising oil prices.

He added: “The high price in oil has trickled down to The Bahamas, and we import just about everything here. One of the main criteria for wholesalers when they do their importation is that they pass them on to the retailers.

“As a result, The Bahamas is expected to see some price increases. This year between now and September, and until the end of the year, be prepared for some gradual increases in just about everything and that includes clothing, food items and building materials.”

Building material suppliers have already confirmed sharp price increases for lumber and other supplies due to post-COVID supply chain bottlenecks and shortages, causing costs to rise by some 30 percent in some instances.

Mr Sumner added: “Some of the companies in North America had problems with staffing because of the pandemic and, as a result, labour availability and the demand for food items has become increasingly high. That is the main factor for the high pricing in food items that are in the food store right now.”

Rupert Roberts, Super Value’s president, told Tribune Business earlier this week that by Christmas consumers should expect between eight to 12 percent increases in the price of grocery and meat items. He blamed the rise on increased global demand and the reflation of economies from the economic restrictions brought on by the COVID-19 lockdowns, coupled with soaring freight and trucking costs, and supply chain impediments.

Mr Sumner lamented that there was little Bahamian consumers can do about this. He added that the Price Control Commission can only monitor the prices on breadbasket items, and he urged consumers to understand that the regulator has no power over some of the price increases they are complaining about.

“We can only monitor the price increases on breadbasket items. That is something we have under control. The price control inspectors check daily the price of breadbasket items, and I can assure you that no breadbasket items on this island are overpriced. None. Unfortunately, the goods that are priced high in the food stores, we have no control over,” said Mr Sumner.

He added that there is “nothing that gives the merchant the authority to over price”, and said: “We don’t know what mark-up pricing merchants are using, but we have sent a paper to Cabinet asking the Cabinet to give the Price Control Commission more power to control pricing.”