Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
EIGHTEENTH CONGRESS 
Second Regular Session 
House Bill No. _____ 
Introduced by REP. FAUSTINO ‘INNO’ A. DY V 
EXPLANATORY NOTE 
When disaster strikes, so do acts of illegal price manipulation. 
For example, in January 2020 the Taal Volcano erupted. As soon as volcanic ash began 
to fall, the price of face masks began to rise. According to various verified news reports, an 
N95 mask usually priced ₱25 per piece was sold for ₱200—a price leap of more than 800%.1  
Another example are surgical face masks, which are usually sold at ₱1 per piece. But 
when COVID-19 hit, some sellers priced surgical masks at ₱100 per piece—an increase of 
10,000%.2
Since then, mask prices have gone down, but price-manipulators have largely escaped 
punishment because, under current law, N-95 masks and surgical face masks are not entitled 
to protection against price manipulation.  
The Price Act3 makes it criminal for persons to commit illegal acts of price 
manipulation, but this prohibition applies only to goods termed “basic necessities” listed under 
the Act, which term does not cover face masks. Likewise not included are other goods essential 
amid pandemics such as disinfectants, hand sanitizers, and rubbing alcohol.    
Another danger consumers face amid emergencies is a shortage of goods caused by 
panic-buying. The country’s experience at the start of the COVID-19 lockdown has shown this 
to be true as some people cleared the shelves, amassing masks, disinfectants, and rubbing 
alcohol. 
1 Rappler, Stores run out of face masks as Taal Volcano ash spreads to Calabarzon, Metro Manila, January 13, 
2020 < https://www.rappler.com/nation/face-masks-out-of-stock-stores-taal-volcano-ashfall-spreads-january-
2020>.  
2 
The 
Philippine 
Star. 
7 
stores 
flagged 
for 
mask 
overprice, 
January 
15, 
2020 
<https://www.philstar.com/headlines/2020/01/15/1984987/7-stores-flagged-mask-overprice> 
3 REP. ACT NO. 7581 (1992). 
May 1, 2021
10:21 am
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Admittedly, the Price Act prohibits sellers from hoarding goods. But in order to 
effectively deter panic-buying, the government must acquire a clear mandate to impose 
purchase limits on certain goods. This way, agencies can properly guide both sellers and the 
buying public. 
As such, it is clear that the Price Act should be revisited to update it according to the 
experiences of Filipinos . Hence, the instant Bill. 
This Bill seeks to do this in two ways: first, by empowering the Department of Trade 
and Industry to identify emergency basic necessities thereby providing the government more 
flexibility to address any calamity or emergency; and second, by allowing the government to 
impose purchase limitations on basic necessities and prime commodities.  
In view thereof, the passage of this Bill is earnestly sought. 
FAUSTINO ‘INNO’ A. DY V 


Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
EIGHTEENTH CONGRESS 
Second Regular Session 
House Bill No. _____ 
Introduced by REP. FAUSTINO ‘INNO’ A. DY V 
AN ACT TO STRENGTHEN REPUBLIC ACT NO. 7581, AS AMENDED, 
OTHERWISE KNOWN AS THE PRICE ACT OF 1992 
Be it enacted by the House of Representatives of the Philippines in Congress assembled: 
SECTION 1. Section 2 of Republic Act No. 7581, as amended, is hereby amended to read as 
follows: 
Sec. 2. Declaration of Basic Policy. – It is the policy of the State to ensure the 
availability of basic necessities and prime commodities at reasonable prices at 
all times without denying legitimate business a fair return on investment. It is 
also a declared policy of the State to provide effective and sufficient protection 
to consumers against hoarding, profiteering and cartels with respect to the 
supply, distribution, marketing and pricing of said goods, especially during 
periods of calamity, emergency, PUBLIC HEALTH EMERGENCIES, 
widespread illegal price manipulation and other similar situations. 
SECTION 2. Emergency Basic Necessities. Section 3 of the Same Act, as amended by Republic 
Act. No. 10623, is hereby further amended to include the following provisions: 
“(1) ‘Basic necessities’ are goods vital to the needs of consumers for their 
sustenance and existence in times of any of the cases provided under Section 6 
or 7 of this Act such as, but not limited to, rice, corn, root crops, bread; fresh, 
dried or canned fish and other marine products; fresh pork, beef and poultry 
meat; fresh eggs; potable water in bottles and containers; fresh and processed 
milk; fresh vegetables and fruits; locally manufactured instant noodles; coffee; 
sugar; cooking oil; salt; laundry soap and detergents; firewood; charcoal; 
household liquefied petroleum gas (LPG) and kerosene; candles; drugs 
classified as essential by the Department of Health and such other goods as may 
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be included under Section 4 of this Act; FURTHERMORE, THE TERM 
“BASIC NECESSITIES” SHALL INCLUDE “EMERGENCY BASIC 
NECESSITIES” AS HEREINAFTER DEFINED BY THIS ACT; 
x x x 
(9) “EMERGENCY BASIC NECESSITIES” SHALL REFER TO ITEMS 
IDENTIFIED BY THE DEPARTMENT OF TRADE AND INDUSTRY 
(DTI) TO BE AS SUCH FOR A SPECIFIED PERIOD OF TIME. IN 
IDENTIFYING EMERGENCY BASIC NECESSITIES, THE DTI SHALL 
CONSIDER THE NATURE OF THE CALAMITY OR PUBLIC HEALTH 
EMERGENCY PREVAILING IN THE COUNTRY.  
 
THE DTI SHALL PROVIDE THE DURATION FOR WHICH AN ITEM 
IS DEEMED AN EMERGENCY BASIC NECESSITY, WITHOUT 
PREJUDICE TO THE PREMATURE TERMINATION OF SUCH 
DECLARATION BY THE DTI FOR GOOD REASONS. 
 
SECTION 3. Definition of Purchase Limit. Section 3 of the Same Act, as amended, is hereby 
further amended as follows: 
 
(10) “PURCHASE LIMIT” IS THE MAXIMUM NUMBER OF ITEMS OF 
A BASIC NECESSITY, EMERGENCY BASIC NECESSITY OR PRIME 
COMMODITY  AN INDIVIDUAL CAN PURCHASE WITHIN ONE 
DAY. 
 
SECTION 4. Section 3 of the Same Act, as amended, is hereby further amended as follows: 
 
(3) “Implementing agency” means the department, agency or office of the 
Government which has jurisdiction over a basic necessity or prime commodity 
as defined in this Act, which shall be: 
 
(a) The Department of Agriculture, with reference to agricultural crops, fish 
and other marine products, fresh meat, fresh poultry and dairy products, 
fertilizers, and other farm inputs; 
 
(b) The Department of Health, with reference to drugs; 
 
(c) The Department of Environment and Natural Resources, with reference 
to wood and other forest products; and 
 
(d) The Department of Trade and Industry, with reference to all other basic 
necessities, INCLUDING EMERGENCY BASIC NECESSITIES, and 
prime commodities. 
 
 
SECTION 5. Section 10 of the Same Act, as amended, is hereby amended as follows: 
 


 
 
Sec. 10. Powers and Responsibilities of Implementing Agencies. – To carry 
out the intents and purposes of this Act, the head of the implementing agency 
shall have the following additional powers and responsibilities: 
 
(1) xxx 
 
(2) xxx 
 
(3) xxx 
 
(4) TO IMPLEMENT PURCHASE LIMITS FOR BASIC NECESSITIES, 
INCLUDING EMERGENCY BASIC NECESSITIES, AND PRIME 
COMMODITIES 
TO 
ENSURE 
ORDERLY 
AND 
EQUITABLE 
DISTRIBUTION OF THESE GOODS TO CONSUMERS IN AFFECTED 
AREAS 
IN 
ORDER 
TO 
AVOID 
PANIC 
BUYING 
AMONG 
PURCHASERS During instances of panic-buying, he may, with the approval 
of the President, institute temporary measures to ensure orderly and equitable 
distribution to consumers of basic necessities and prime commodities in the 
affected area; 
 
(5) xxx 
 
(6) He shall cause the immediate dissemination of any mandated price ceiling 
OR PURCHASE LIMIT for any basic necessity or prime commodity under 
his agency’s jurisdiction through publication in a newspaper of general 
circulation in the area affected, and through broadcast by radio, or whenever 
deemed to materially make dissemination of the information more effective, by 
television, AND THROUGH POSTING IN OFFICIAL GOVERNMENT 
SOCIAL MEDIA PLATFORMS. He may also cause the information to be 
disseminated through posting in public markets, supermarkets or other public 
places; 
 
 
SECTION 6. Separability Clause. If any provision of this Act is declared invalid or 
unconstitutional, the other provisions not affected thereby shall continue to be in full force 
and effect. 
 
SECTION 7. Repealing Clause. – All laws, decrees, executive orders or rules and regulations 
contrary to or inconsistent with the provisions of this Act are hereby repealed or modified 
accordingly. 
 
SECTION 8. Effectivity Clause. – This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in any newspaper of the general circulation. 
 
Approved,