Three Giant Milk Suppliers Pledge not to Raise Price

Vinamilk, Dutch Lady and Dumex, one of three biggest dairy products suppliers in Vietnam have promised not to raise prices of 240 kinds of products until late May 2009.

 

The companies have also said they will launch more promotion program to attract consumers who are worried that dairy products’ prices will rise as the Ministry of Finance decided to hike import tax of several kinds of products.

 

Meanwhile, prices of imported powdered milk started rising from March 10 despite no tax increase.

 

A trader on Hang Buom Street, Hanoi city, said prices of 80 per cent of imported powdered milk rose 4 per cent-5 per cent, adding that distributors announced that the prices will keep rising.

 

Experts said the distributors are taking advantage of hikes in import tax on fresh milk to make profit because prices of imported powdered milk halved from July 2008.

 

Vu Dinh Anh, deputy head of the Institute of Price Market Science Research under the Finance Ministry said the price hike of the distributors is unfounded, noting that the ministry may revoke business license from those distributors raising prices unreasonably. (Labor, Saigon Liberation)