Price gouging will lead to licence cancellations, warns trade ministry [1]
Monday, March 23, 2020 - 19:02. Updated on Tuesday, March 24, 2020 - 18:56.
Tonga's Ministry of Trade and Economic Development (MTED) has warned that price gouging by some businesses in the face of the CoViD-19 pandemic will lead to licence cancellations. “The Ministry will be watching all businesses in Tongatapu, ‘Eua, Ha‘apai, Vava‘u and the two Niua’s who are price gouging,” they said, responding to public complaints today.
“While the nation is getting together to protect our nation from a potentially deadly virus, there are some suppliers and retailers who are taking advantage of the situation and at their best trying to profiteer. This behavior is considered deeply unethical and irresponsible.”
The Ministry said it had been receiving complaints with regards to price gouging of business due to the recent developments around CoViD-19 prevention.
“Therefore, this announcement is given to all businesses that have no valid reason to increase and gouge prices due to these circumstances:
- a shortage of products in our country compared to the rise in demands for these products.
- an increase in demand due to a natural disaster (hurricane, earthquake, tsunami etc.).
- an increase in demand and preparations for unforeseen circumstances (pandemic preparations eg. CoViD-19, etc.).”
The Consumer and Fair-Trade Division of MTED stated that this is not only for products that are under the authority of the Competent Authority (regulated goods) but includes all products that are used daily and products that help fight the CoViD 19.
“We hope that we would work together so that this situation does not affect the people of our country further.”
The Consumer and Fair-Trade Division urged people with complaints to contact them at the offices of the Consumer Protection and Fair-Trade or at a toll-free number 0800306 / 8713712 or 7400600.
Regulated prices
Meanwhile, the Tonga Chamber of Commerce and Industry has released the current list of Regulated Goods March Price List [2] provided by the Competent Authority.
These prices are subject to change every month. The prices listed are the maximum price for these goods. “Traders can compete in the market, but their prices will have to be less than, or equal to the prices on the list,” TCCi stated.