DTI to Reduce SRP Monitoring List, Suspend E-cigarette Sales

According to a report from Malaya Business Insight on July 1, the Department of Trade and Industry (DTI) in the Philippines will reduce the list of commodities monitored in its suggested retail price (SRP) notifications, retaining only the most essential and main items.

The DTI also recommends suspending the sale of e-cigarette products through e-commerce platforms until these platforms improve their systems in accordance with the Internet Trading Act (ITA).

Deputy Trade and Industry Minister Amanda Nograles stated that during a special meeting last Thursday (June 27), the National Price Coordinating Council (NPCC) recommended the removal of the following products from the SRP notification: condensed milk, evaporated milk, instant coffee, candles, salt, bottled water, vinegar, soy sauce, fish sauce (patis), and batteries. They also recommended retaining the following products: canned sardines, 3-in-1 coffee, instant noodles, powdered milk, bread, laundry detergent, bath soap, and canned meat.

The deputy minister stated that the DTI has established a technical working group to study stock keeping units (SKUs) and will reduce the current 217 SKUs across 13 categories. The technical working group plans to release the final list within two months.

At the same time, Noglares stated that DTI Minister Alfredo Pascual recently urged participants in the electronic market to make use of the 18-month transition period provided by the ITA regulations, in order to ensure compliance with legal provisions and the regulations of the E-Cigarette Act.

The Department of Trade and Industry (DTI) stated that only businesses that can provide evidence to the e-commerce bureau that they comply with legal requirements are allowed to sell online. The law prohibits marketing, advertising, and selling e-cigarette products to minors.

According to Noglares, DTI has observed that most physical stores are compliant with the e-cigarette law, while illegal activities online are becoming increasingly rampant.

We need a solution where we can delete (sellers' online) posts, but the quantity of these posts is huge.

She added that the law prohibits the online sale of regulated goods, and in the case of e-cigarettes, two conditions need to be met.

Firstly, online sellers must have a permit, license, and registration to sell e-cigarettes. Secondly, there must be a contract between online sellers and markets, specifying that both parties adhere to sales restrictions, such as prohibiting the sale of e-cigarettes to minors.

We encourage e-commerce platforms to conduct internal inspections and clean their supplier lists to ensure that the e-cigarette products they are selling are legal.

The transition period will end in June 2025.