Cebu companies are stepping up preparations as rising tensions in the Gulf region threaten to push oil prices higher, raising costs for fuel, transportation, and basic goods.
The Cebu Chamber of Commerce and Industry (CCCI) said the immediate effect of the Gulf crisis will likely be inflationary, impacting Cebu’s trade, tourism, and micro, small, and medium enterprises (MSMEs).
“As a country heavily dependent on imported fuel, the Philippines will inevitably feel the pressure through higher transportation costs, increased electricity rates, and rising prices of basic goods and services,” the chamber said.
CCCI highlighted that higher fuel and logistics costs could hit manufacturers, exporters, retailers, and transport operators, while businesses reliant on imported materials may face additional challenges from supply chain disruptions and currency fluctuations.
The chamber also noted that extended instability could reduce investments, slow tourism, and affect remittances from Overseas Filipino Workers in the Middle East, a key source of domestic consumption.
The chamber urged local businesses to take proactive steps: conduct scenario planning, recalibrate sales targets, review pricing strategies with consumer impact in mind, strengthen cost management, secure supply chains, and build contingency reserves.
CCCI also called on government agencies to monitor inflationary trends, ensure stable energy supply, and provide timely support to MSMEs if conditions worsen.
The chamber stressed that Cebu’s business sector has demonstrated resilience through past crises and can manage risks with coordinated planning.
The provincial government has already taken measures to shield residents from potential economic fallout.
Governor Pamela Baricuatro warned retailers not to exploit global tensions to justify price hikes and emphasized that Cebu has no rice or fuel shortage.
“Naa’y mga retailers who are taking advantage … watch out because we are monitoring you and we’re urging you, please do not take advantage of the situation,” Baricuatro said during a press briefing.
The government activated price monitoring for essential goods such as rice, after reports of early price increases.
Assistant Provincial Administrator Aldwin Empaces said monitoring teams recorded rice prices as high as P70 per kilo in some areas, although prevailing costs suggest prices should range between P55 and P60 per kilo.
Random inspections are ongoing, and authorities will report on retailers or suppliers involved in price manipulation.
The provincial government also implemented fuel and electricity conservation measures under Executive Order No. 15.
In Cebu City, officials are reducing fuel consumption in government operations and limiting vehicle use to essential services, preparing for possible cost increases tied to global developments.
