This is to avoid unreasonable price hike and misinformation causing market instability, according to the ministry’s report sent to the Government on market prices and measures stabilising prices before, during and after Tet (Lunar New Year) holiday.

The report said the purchasing power of masses during the Lunar New Year increased 12-15 per cent against normal days and 10 per cent compared to Lunar New Year 2017.

The growth in purchasing power was mainly due to economic growth, increase in industrial production, optimistic operation of businesses, low inflation and market stabilisation policies, the ministry said.

However, there is a likelihood of prices increasing after the holday as festivals take place across the country, leading to increased demand on offerings, travel and food consumption.

To stabilise prices and the domestic market in March and in the second quarter of the year, the ministry has proposed to other ministries, sectors and localities to monitor closely the supply and demand in the market and implement measures to ensure there is balance between the two, especially in the case of essential goods.

Autrorities are expected to come up with timely solutions to avoid unreasonable price hike and misinformation about demand, supply and prices of goods.

According to the ministry, the authorities should strengthen the management and inspection for implementation of price regulation and tax and fee, especially in sightseeing services including tourism and parking services for bicycles, motorbikes and cars.

In addition to this, they must inspect the implementation of regulations on ensuring traffic safety and direct transport enterprises to have in place plans to meet the demand of people travelling to the festivals at the beginning of the year. The ministry has asked transport businesses to publicise transport fees in accordance with the current regulations.

The report noted domestic prices did not fluctuate in February during Tet and inflation was lower than last year. This was partly due to the abundant supply of goods and services and many trade promotion programmes, which contributed to price stability before and during Tet.

For example, the price of high-quality glutinous rice rose slightly by 5-10 per cent against normal days, while the price of standard rice was stable.

Meat prices too were stable before Tet due to abundant supply but faced a slight increase during Tet due to a surge in purchasing power. The price of beef and chicken jumped by VND10,000-VND30,000 per kilo, depending on local demand, compared to normal days.

Changes in the demand and supply in the market on the occasion of Tet depended on the availability of commodities, different kinds of goods and a good distribution system nationwide to meet public demand.

Supermarkets and large trading centres continue to be the top places to attract consumers by guaranteeing the origin of products, brands and food hygiene and safety standards as well as stable prices, the ministry’s report said.

The transport fee of buses was stable during Tet, while the volume of passengers travelling by bus reduced against previous years. Because many enterprises arranged vehicles for transporting their workers to their homes for Tet. Transport companies, on the other hand, increased the number of buses to meet the demand of people before Tet, the ministry said. — VNS