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People’s living in current “price storm”

According to the General Department Of Statistics, The average consumer price index (CPI) in 2007 up 8.3% against 2006. This has fairly influenced people, especially people working to make ends meet and having low earnings

*Look after their own incomes by themselves.

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Goods sold in Bien Hoa market in the last three months declined in comparison with last time.

In nylon bag of a group of workers in Hoa An market (Bien Hoa city), there are a kilogram rice, a bunch water spinach, a jar of soya cheese, and two steamed blue fish. Mrs. Ha whose hometown is in Kien Giang province, went to Bien hoa and became a worker. “ Today I spent VND16,000 to market to make meals for three roommates in all day long”, she says. That is to say the food expense for each worker is just VND5,500 per day. Nguyen Phuoc Manh - The head of household arts board of the Provincial Labor Union says, “ Most of the workers in districts do not buy pork but snails, eggs, soy sauce, soy cheese, instant noodles, vegetable for their main meal.” Mrs. Manh calculates, “ With earnings lower than VND 2.00 billion per month, each worker couple has to spend for leasing room, bringing up children, buying gas for about VND 1.2 billion. The left is for food expense, electricity, water and other daily needs. Therefore, many workers have just vegetarian diet to live and prevent “illness”.

Dang Viet Hung, the head of Tan Hiep market management board (Bien Hoa city) says, “ The purchasing power of goods such as meat, fish in three recent months has been decreased by 20%-30%.” Mrs. Dao Thi Hue, the head of Bien Hoa market management board sadly          says, “ Since October 2007, amount of sold goods decreased by 50% over time before.” Mr. Nguyen Thanh Tu, deputy-head of Hoa An market management board says, “ This market’s buying power haven’t declined since 50% - 60% of market booths sell low price goods ( for workers)”. Mrs. Hai Tham, a small trader in Tan Hiep market says, “ Even cabbage is also difficult to sell. Only water spinach with selling price from VND2,500 –VND3,000 is best-selling.”

Ms. Dang Thi Nghiep, hamlet 4, Song nhan commune ( Cam My district) says, “ While the earnings of farmers haven’t risen, but price has gone up rapidly, we have to adjust to buy less fish and meat, and pluck cabbage in our garden.” To Thanh Buong, Vice-Chairperson of  Agriculture and Rural Development department, the vice-head of the Economy-Budget Committee of the Provincial People’s Council says,

“ Through communication with constituents in Long Khanh commune, farmers express their worry that price of petrol, fertilizer, agricultural materials up remarkably; meanwhile, the output for agricultural products up slowly. Therefore, farmers are really hard in this “price storm”. Mr. Buong says, “ It’s in my family with total income of about VND 4.00 billion per month. That is to say it is enough for my family expense in one month.  While the consumer price increases, our family’s meals reduce noticeably”. Mrs. Pham thi Kim Thanh , Head of Department Of Propaganda And Training of the Provincial Labour Union says, “ Spending just VND 50.00 to market is enough for us before, but now it rises to VND 70,00-VND 80,00.”

 This is case of people who have better economic conditions. But as to people, especially the poor, they take after their own incomes by : reducing family expenses and amount of fish and meat bought. Or as an cadre of Long Thanh District people’s council office said, income from payment rised slowly; otherwise, consumer price grew rapidly. Thus, his family would reduce his children “ extra study” . As to  Dang Viet Liem, Not Eating out, not buying luxurious clothes, minimizing buying high-price food in order to take care of family meals are the best solutions to look after people’s incomes currently.

*How to stabilize consumer price?

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Pork-commodity is most influenced by the “ price storm”.

Since 1st January, 2008, the government has modified the maximum payment growth for cadres, officials, staffs and workers working in industrial zones. However, As to Mai Van Nhon, Vice-chairperson of Trade and Tourism Department, this growth rate is not enough to compensate for price slippage. So life of people working to earn for their living and the poor continues to face a lot of difficulty.

What do we do to help the poor stabilize their life in this price storm? According to Heads of Finance Department, while the consumer price up, the government has had enough strategy of policies to support needy people. Specifically, Those policies are raising scholarship according to salary for ethnic students of boarding schools, supporting study expenses for poor students in really difficult communes, supporting higher payment to buy health insurance for the poor, supporting somewhat electricity fee for ethnic people and policy beneficiary families. Besides, farmers continue to be entitled to reduction and exemption for tax, irrigation fee, land using fee, and  register fee. Additionally, the government keep on loaning people more preferential capital to develop production and invest in infrastructure facility, lending people to deal with work issue, and buy house with gradual payment.

Huynh Tan Kiet, President of  the Provincial Labor Union said that salary increase was necessary and importantly contributed to improve workers’ living. However, due to trend of

Commodities with price hike in 2008 include electricity, diesel, petroleum. Specifically, Electricity price will have an increase of 5.7% from 1st July, 2008. Diesel and petroleum price will be modified up one level. Besides, gasoline price will be modified in accordance to market mechanism. Mechanism for enterprises doing business in petroleum will be set up to help them for risk management in order to take initiative and manage gasoline price to be stable in each period.

Source: Ministry of Finance.

 

 price hike currently, the government need to have suitable policy to support house and bus fee for workers to live in this integration age. On the other hand, organizations and unions have to enhance charitable and social activities to take better care of workers’ material and spiritual life. To Thanh Buong said that the government needed to step up checking regional planning, agricultural production area, ensuring productivity and quality and effectiveness in order that 65% farmers in the province escaped poverty.

 “ Before Tet Lunar New Year 2008, the Provincial People’s Committee loaned some establishments of livestock butchering and processing without interest to reserve and timely supply commodity on Tet holiday” ,says Mai Van Nhon. This is one of solutions to stabilize and minimize sudden price hike in case of sufficient commodity. Additionally, Department of Finance and Tourism requested market management boards to conduct posting price, hold more booths to serve on Tet holiday and well as to ensure not scare supplies that can lead to sudden high price. Market management Branch was also guided to enhance checking trade, illegal transport, unlicensed imports, and trade cheat as well as manage effectively and timely prevent speculation to raise price.

Many solutions have been brought out. However, in reality, not many people will be entitled to supporting policy or those solutions are partial and precarious. Therefore, basic solution to stabilize people’s living in “price storm” remains for macroscopic management task.

Source: Dongnai Newspaper.

 

Author: admin

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