Price ceiling for betel nuts proposed

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Posted on Jul 09 1999
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Saying they have become luxury to most consumers, Rep. Timmo Olopai wants to put in place a price control on betel nuts sold in stores and impose tax on its importation.

The legislator blamed foreign businessmen for jacking up the retail price of the betel nuts over the past five years by importing these products and selling them at exorbitant prices.

Under a proposed measure he filed yesterday in the House of Representatives, the retail price shall be capped at not more than $1 for young betel nuts not less than six pieces as well as for hard nuts not less than five pieces.

According to Olopai, the price ceiling will discourage store owners to take advantage of the high market demand for betel nuts on the island.

Chewing betel has been part of the practice of the indegenous people as well as citizens from other Micronesian islands.

At present, betel nuts from Guam, Saipan, Yap and other neighboring islands are sold at $1.25 for four pieces of young nuts, while about $1.50 for only two pieces of the hard kind.

Those brought in from Asian countries, like Thailand and Taiwan, are cheaper as they have retail value of about $1 for the same number of pieces.

“It is getting expensive now to buy betel nuts,” said consumer Lucy Rosario. “With the present economic crisis, we can’t afford anymore to chew betel nuts.”

Olopai maintained that since chewing betel nut is popular among adult and young population of the Northern Marianas, the proposed restriction would prevent businessmen from selling these at exorbitant rates.

“Some enterprising individuals may seize the opportunity and abuse its sale knowing that the (consumption) of betel nut causes many people to become addicted to it,” the representative said.

“These betel nuts, being part of the Chamorro and Carolinian tradition and culture, should not be part of produce that compete in the open commercial market,” Olopai added.

The measure will also tax imported betel nuts, the amount of which will be determined by the Department of Finance.

Store owners found guilty of violating the proposed price ceiling will face penalty of at least $500.

While the bill has been introduced, it is uncertain whether lawmakers will vote on the proposal, who have in the past shunned any legislation on betel nuts, including an earlier measure forbidding chewing of betel nuts in public places.

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