Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
‘Second Regular Session

House BILL No. 8785

Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.

EXPLANATORY NOTE

Republic Act No. 7581, also known as the “Price Act’, guarantees legitimate
businesses a fair return on investment and the availability of basic necessities and
prime commodities at reasonable prices at all times, especially in times of crisis. It
reaffirms the State's policy to provide effective and sufficient protection to consumers
against hoarding and profiteering in the sale and marketing of said goods especially
during periods of calamities and emergencies.

The “Price Act" is due for an update. The Act has not included “new” goods
that by virtue of their mass and necessary usage, qualifies as basic necessities. This
includes potable water, kerosene, LPG and instant noodles.

This bill therefore seeks to expand the definition of basic necessities and
prime commodities through the inclusion of other goods deemed to be necessities
under certain situations identified in the law. It also provides a mechanism for greater
flexibility in their respective coverage through administrative fiat, without need of
legislative enactment.

In view of the foregoing, immediate passage of this bill is earnestly sought.

PF
LUIS RAY! “Lt . VILLAFUERTE, JR.


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Queson City

SEVENTEENTH CONGRESS
‘Second Regular Session

6785

HOUSE BILL NO.,

Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.

AN ACT PROVIDING PROTECTION TO CONSUMERS BY EXPANDING THE DEFINITION OF
ISTIES AND PRIME COMMODITI FOR THE PURPOSE REPLIBLIC ACT
NO. 7581, OTHERWISE KNOWN AS THE ‘PRICE ACT’, AND FOR OTHER PURPOSES

Be it enacted by the Senate and House of Representatives of the Philippines in Congress
assembled:

SECTION 1. Short Title. - This Act shall be known as the “Expanded Basic Necessities and
Prime Commodities Act of 2017”.

SECTION 2. Declaration of Policy. — It is the policy of the State to protect and promoted

welfare of the consumers by defining and enumerating what are basic necessities and prime
commodities, ensuring their availability and price reasonability at all times, especially during
periods of calamity and emergencies.

SECTION 3. Newly Defined Basic and Prime Commodities. ~ Section 3 (1) of Republic Act
No. 7581, otherwise known as the ‘Price Act,’ is hereby amended to read as follows:

“SECTION 3. Definition of Terms. — For purposes of this Act, the term:

(1) ‘Basic necessities’ include rice; corn; bread; fresh, dried and canned fish and other
marine products; fresh pork, beef and poultry meal; fresh eggs; fresh and processed
milk; fresh vegetables; root crops; POTABLE WATER IN CONTAINERS; coffee; sugar;
NOODLES; cooking oil; laundry soap; detergents; firewood; charcoal; candles;
KEROSENE AND LIQUIFIED PETROLEUM GAS, WATER CONTAINERS,
WATERPROOFED CANVASS OR “TRAPAL”, drugs classified as essential by the
Department of Health, AND SUCH OTHER GOODS AS MAY BE INCLUDED UNDER

ION 4 OF THIS ACT.”



(8) ‘Prime commodities’ include [fresh fruits;] flour, dried, processed [and] OR canned
pork; beef and poultry meat; dairy products not falling under basic necessities;
[noodles]; onions; garlic; vinegar; patis; soy sauce; toilet soap; fertilizer; pesticides;
herbicides; poultry; swine and cattle feeds; veterinary products for poultry, swine and
cattle; paper; school supplies; nipa shingles; sawali; cement; clinker; GI sheets; hollow
blocks; plywood; ply board; construction nails; batteries; electrical supplies; light bulbs;
steel wire; [and] all drugs classified as essential drugs by the Department of Health, AND
SUCH OTHER GOODS AS MAY BE INCLUDED UNDER SECTION 4 OF THIS ACT.

SECTION 4. Section 4 of Republic Act No. 7581 is hereby amended to read as follows:

“SECTION 4. INCLUSION OR Exclusion from the Coverage of this Act. - Upon
petition of the concerned parties OR BY MOTU PROPIO ACTION OF THE CONCERNED
AGENCY OF THE PRICE COORDINATING COUNCIL and after public hearing, the
implementing agency, with the approval of the President, MAY INCLUDE IN THE
DEFINITION OF BASIC NECESSITIES OR OF PRIME COMMODITIES TYPES AND BRANDS
OF GOODS OR may exclude from the coverage of this Act, types or brands of the goods
included in the definition of basic necessities and prime commodities, which may be
deemed as non-essential goods or luxury goods: Provided, that, any type or brand
excluded may be reinstated by the implementing agency during occasions of acute
shortage in the supply of the basic necessity or prime commodity to which the excluded
type or brand used to belong OR IN TIMES OF AN OF THE CASES PROVIDED IN SECTION
6 OR7 OF THIS ACT.”

SECTION 5. Implementing Rules and Regulations. - The Department of Trade and
Industry, in consultation with the members of the Price Coordinating Council and stakeholders,
shall promulgate the rules and regulations necessary for the effective implementation of this
Act within ninety (90) days from its effectivity.

SECTION 6. Separability Clause. — If any provision of this Act. or any part thereof, is
declared unconstitutional, the same shall not affect the validity and effectivity of the other
portions.

SECTION 7. Repealing Clause. — All laws, executive orders, presidential decrees,
proclamation, rules, regulations, issuances and enactments of parts thereof inconsistent with
this Act are hereby repealed or modified accordingly.

SECTION 8. Effectivity. — This Act shall take effect fifteen (15) days from its complete
publication in the Official Gazette or in two (2) newspapers of general circulation in the
Philippines, whichever comes earlier.

Approved,