CAC monitoring local commercial trade for post-hurricane price gouging
Published:Thursday | September 19, 2024 | 9:03 AM
Minister of Industry, Investment and Commerce, Aubyn Hill, says the Consumer Affairs Commission (CAC) continues to closely monitor the commercial trade to ensure businesses do not exploit the impact of Hurricane Beryl to engage in price gouging.
Price gouging refers to the practice of increasing the prices of goods, services or commodities to a level deemed much higher than is considered reasonable or fair, and commonly occurs in the aftermath of natural disasters such as a hurricane.
Addressing Wednesday's post-Cabinet press briefing at the corporate office of business process outsourcing firm iTel in St Andrew, Hill warned that businesses engaging in price gouging will be held fully accountable under the law.
He noted that price gouging occurs, to some extent, “when you have goods that you are hoarding and won't release until the price goes up, or you buy new stuff coming in and you really mark it up, because [for example] you used to get [a] 15 or 20 per cent [profit], and now you are [looking at] getting [between] 45 and 70 per cent”.
“The Consumer Affairs Commission is looking at that. Luckily, we have been doing that before the hurricane [came], so we have lots of data from May and June to compare it with. That work is going on and we are out there, and [let's] make it clear that we are checking,” he said.
Consequently, Hill urged businesses to follow the rules and operate in a fair manner.
He noted that Jamaica's economic environment is “business-friendly and helpful to small and big businesses and consumers”, adding that this supports the development of commercial enterprises.
The Minister pointed out that the entire spectrum covered “stretches from the consumer to the producer and seller”, while reiterating his commitment to being pro-business.
“But I'm just as clear that if businesses aren't following the rules, the agencies I have and the authority that we have within the law will be used at full force. As the CAC goes out, if we find people [engaging in] price gouging… we are going to put the full force of the law at you because we don't want that (price gouging), we want you to be fair,” Senator Hill underscored.
- JIS News
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