Nghe An: Service prices follow gasoline prices

Faced with rising input costs, Ms. Nguyen Thi Hoai, owner of a restaurant atTruong Thi ward(Vinh City) is forced to notify diners about the increase in food prices from March 12.

Ms. Huong said: "On average, each bowl of noodles and pho is sold for 30,000 - 40,000 VND depending on the size of the bowl. However, after careful calculation, we had to raise the price by 5,000 VND/bowl because if we kept the old price, we would have almost no profit...".

Some eateries and restaurants are forced to raise prices as gasoline and gas prices hit record highs. Photo: QA

According to Ms. Huong's explanation, currently, the price of gasoline has increased, the price of all foods in the market has increased, causing input costs to increase. Besides the price of gasoline, the price of gas has also increased to nearly 500,000 VND/cylinder for the 12kg type, an increase of nearly 50,000 VND/cylinder compared to the beginning of the year. If food service businesses do not increase the price of food, they will not have money to pay for other expenses such as electricity, water, premises, staff...

According to a survey by PV, a number of restaurants in Vinh City have increased the prices of their dishes since the peak of gasoline prices on the afternoon of March 11. However, many diners accept this issue because the increase is not too high, and it is also a way to share with businesses during the epidemic season.

Gas prices have now increased to nearly VND500,000 per 12kg tank, causing difficulties for food service businesses. Photo: QA

Forpassenger transportThe price of gasoline reaching nearly 30,000 VND/liter has posed a huge challenge, forcing businesses to calculate options to adapt, in which the option of increasing fares is considered the most feasible.

Mr. Ho Quang Hieu, Deputy Director of Mai Linh Nghe An Co., Ltd. said: "We have submitted documents to the departments and transport associations to increase service fares. Accordingly, for 7-seat taxis, the fare will increase by 1,000 VND/km, for 5-seat taxis, the fare will increase by 800 VND/km. It is expected that next week it will be applied to all vehicle types. The fares will be posted specifically for passengers to know."

Taxi fares are expected to increase by 800 - 1,000 VND/km in the near future. Photo: QA

According to Mr. Hieu, the fare increase is inevitable, when the price of gasoline has increased to a record high. However, this increase has been carefully considered and calculated by the unit to harmonize between businesses and people. Because if the increase is too high, it will also affect the income of people who are already affected by the epidemic.

For long-distance buses, the bus companies have also announced an increase in ticket prices, especially for long-distance routes such as Nghe An - Ho Chi Minh City, Nghe An - Binh Duong, Nghe An - Hai Phong... with prices ranging from 50,000 - 100,000 VND/ticket.

Shipper services also have to increase fares to adapt to fuel prices. Photo: QA

Other services such as shipper, motorbike taxi... in the areaVinh Citynow also have to increase fares to adapt to the increase in gasoline prices.

Mr. Nguyen Van Hoan, a freelance shipper in Vinh City, said: "The high price of gasoline means the shipping fee has to increase by 5,000 - 10,000 VND/order, depending on the distance. Besides, if in the past I used to ship goods individually, now I have to combine orders to determine the shortest route to save fuel, because with this price of gasoline, I can't afford it..."

It can be seen that the increase in gasoline prices has begun to significantly affect the production and business situation of units, establishments as well as the lives of people. Currently, many people are forced to tighten spending to balance their income, some people instead of traveling by motorbike or car have switched to electric vehicles. The high price of gas has also caused many households and restaurants to switch to using induction cookers and electric cookers to save costs...

Gasoline prices are currently at nearly 30,000 VND/liter. Photo: QA

The increase in gasoline prices will be applied from 3:00 p.m. on March 11. Specifically: E5RON92 gasoline price increased by VND2,910/liter, to VND28,980/liter; RON95-III gasoline price increased by VND2,990/liter, to VND29,820/liter. Oil products were also adjusted up, including diesel oil increased by VND3,940/liter, to VND25,260/liter; kerosene increased to VND23,910/liter. Thus, gasoline and oil prices continued to set up the 6th consecutive adjustment period since the beginning of the year due to the impact of rising world prices, the highest increase in the past 8 years, since July 2014.