Effectivity, publication, and implementation timeline
- The Letter of Instruction orders the price ceiling adjustment immediately by directive, setting the ex-factory ceiling at P20.00 per 40 kilo bag.
- The instrument is “Done in the City of Manila” on March 23, 1979.
Policy purpose and factual basis
- Cement manufacturers face serious difficulties supplying cement under the existing price ceiling due to increases in the cost of production.
- Scheduled increases in oil prices, water and power rates, and the minimum wage would aggravate supply difficulties.
- The adjustment is ordered to encourage cement production and maintain supply.
- The directive reflects approval of the adjustment by the NEDA Board and the Cabinet after meetings and discussions on establishing an equilibrium of prices, income, and wages on March 14, 1979.
- The price adjustment is supported by recommendations from studies conducted by the Ministry of Industry (MI), the Philippine Cement Industry Authority (PCIA), the Price Stabilization Council (PSC), and a private firm, Sycip Gorres and Velayo.
Coverage: product and pricing point
- The directive applies to cement.
- The price ceiling is set at P20.00 per 40 kilo bag.
- The ceiling applies at the ex-factory level.
Operative rule: cement price ceiling
- The President orders and directs the adjustment of the cement price ceiling to P20.00 per 40 kilo bag, ex-factory.
- The ceiling is the operative maximum price ceiling established by the Letter of Instruction.
Responsible agencies and referenced approvals
- The directive is consistent with approvals by the NEDA Board and the Cabinet approving on March 14, 1979 the adjustment of the cement price ceiling.
- The studies and recommendations supporting the adjustment involve the Ministry of Industry (MI), the Philippine Cement Industry Authority (PCIA), and the Price Stabilization Council (PSC).
- The directive is addressed to the Chairman, Price Stabilization Council, and All Concerned.