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Thai gov't caps diesel oil price to control goods prices

0 CommentsPrint E-mail Xinhua, March 6, 2011
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Thailand is capping diesel oil price to control any further rise of prices of consumer goods, Thai Prime Minister Abhisit Vejjajiva said Sunday.

The government planned to cap diesel oil at 30 baht (one U.S. dollar) per liter till the end of April, Abhisit said in his weekly national televised address.

He said if the price of diesel oil, vital for transport sector, was allowed to surge above 30 baht, transportation cost would rise, and further price increase of consumer goods would follow.

"The government is following and paying attention to production cost and prices of goods," Abhisit said.

The rising of prices of food and other consumer goods has already affected the lower-income people in the country, he said.

But if global oil price continued to climb, his government might not be able to cap diesel oil price at 30 baht, Abhisit said.

He said the solution was to raise people's income and reaffirmed that his government wanted to raise daily minimum wage of unskilled workers. He did not give any timing to do so.

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