The government does not set prices, as a business owner, you can set your own reasonable prices for goods and services.
However for certain food types the Government may enforce prices or price ranges e.g. during Ramadan the price of basic foods is maintained to avoid over pricing in the market.
Recommended retail price
A retail price may be "recommended" by the manufacturer or distributor of a product. However, businesses are not legally required to sell a product at the "Recommended Retail Price".