As of Tuesday, March 31, retailers found to be charging customers excessive prices for goods during the novel coronavirus (COVID-19) crisis can be fined up to $2 million or sentenced to two years’ imprisonment.
The measure is being undertaken to stamp out recent cases of price gouging stemming from the COVID-19 crisis.
Under the Order, no person whose business includes the retail sale of goods shall sell any necessary goods to another person at a price higher than the price charged immediately before the coming into force of the Disaster Risk Management (Declaration of Disaster Area) Order, 2020, on March 18.
This is unless that person proves that the difference in the price in question is attributable solely to the cost to the business concerned for obtaining the particular goods.
Covered are any items used or intended for use as food or drink; personal care items such as soap, cleaning products, antibacterial products, toiletries, alcohol, hand sanitizer, bleach, and gloves; and medical supplies, including surgical masks and prescription and non-prescription medication.
Minister of Foreign Affairs and Foreign Trade, Senator Kamina Johnson Smith, who introduced the Order in the Senate, said it is aimed at protecting consumers.
“Unfortunately, it has been that various business enterprises have sought to exploit the current situation by increasing prices of goods without apparent justification, and this is being called price gouging. The Government now, therefore, seeks to protect consumers by promulgating the Trade (Sale of Goods During Period of Declaration of Disaster Area) Order 2020,” she said
Our Newsroom has received several reports of price gouging in the BVI in light of the coronavirus. Many residents took to social media over the past weeks to voice their complaints.
Earlier on the Government of the Virgin Islands met with supermarket operators and wholesalers, as well as local freight and cargo shipping companies, to discuss precautionary measures in response to the virus.
Then, the Premier of the Virgin Islands Andrew Fahie said “your Government has zero tolerance for this type of negative behavior.”
But in the absence of a Consumer Protection Act, many are left to wonder how much control the Government has over inflation.
In an invited comment Premier Fahie said ” your Government is working feverishly to have the House of Assembly to pass the different Consumer Protection Legislation as well as the Virgin Islands Trade Commission. This process started before the Covid-19 era and will soon be completed upon the Consumer Bills being passed by the House of Assembly and Assented to thereafter. The BVI will ensure the protection of both customers and businesses while boosting our economy in the midst of these difficult and unprecedented times.”