Economy Minister Urges Energy Price Drop to Reflect on Consumer Goods

Economy and Trade Minister Amer Al-Bassat convened a meeting with importers, supermarket owners, and traders to discuss the anticipated market price reductions following the global decline in oil prices.

After the meeting, Al-Bassat stated that the price increases observed in March and April, driven by higher production, transportation, and insurance costs amid regional conditions, should now be matched by a corresponding decrease due to the global reduction in costs.

He emphasized that the worldwide drop in prices, especially fuel prices, must be promptly and clearly reflected in local commodity prices. The meeting focused on this issue, and the Ministry of Economy is intensifying its inspection tours to protect consumers facing very difficult circumstances.

Al-Bassat pointed out that unjustified and unreasonable profit margins will not be allowed to come at the expense of citizens. He noted that some gradual price decreases have started to appear in several goods, including vegetables, meats, and some canned products, but stressed that this is insufficient. He added that the ministry monitors the prices of about 60 essential goods daily, and with the decline in gasoline and diesel prices, some reductions have emerged, though more is required.

The minister described these developments as positive indicators but still below the desired level. He expressed the expectation of a larger and faster price decrease and affirmed the ministry's commitment to continue pressuring various sectors to ensure that cost reductions translate into actual lower consumer prices.

Market Monitoring and Regulatory Measures

Regarding market oversight, Minister Al-Bassat confirmed that the ministry will apply the same regulatory tools used during the inflation surge. He highlighted that over 70 inspectors conduct approximately 100 field inspections weekly across different regions, coordinating with the judiciary and relevant security agencies to pursue any violations or unjustified price hikes.

He also urged the approval of the new Consumer Protection Law in Parliament and the implementation decrees of the Competition Law, considering them key instruments to strengthen market oversight and protection.

Environmental Fees and Government Decisions

When asked about the Cabinet's decision to suspend the environmental fees decree, the minister explained that the core concept of the decree remains valid. It is based on the "polluter pays" principle, widely adopted globally to assign waste treatment costs to the responsible parties, especially since these costs ultimately burden municipalities, the state, and the environment.

Al-Bassat clarified that the issue was not with the principle itself but with the timing of its implementation amid Lebanon's severe economic challenges and recent inflationary pressures. This led the government to take the exceptional measure of suspending the decree.

The minister stressed that the Ministry of Economy will vigilantly prevent any attempts to exploit previously announced fees as justification for ongoing price increases. He asserted that any recent price hikes must not become permanent following the decree's suspension.

Al-Bassat reaffirmed that protecting citizens' purchasing power is a government priority. The main focus is to leverage the global energy price decline to reduce commodity prices in Lebanon, a goal the Ministry of Economy will ensure through monitoring and field follow-up in the coming weeks.