Senate body still undecided on anti-FMD bill

The Senate committee on agriculture is undecided on a controversial bill that seeks to ban the importation of live animals, meat and meat products from countries declared afflicted with foot-and-mouth disease (FMD).

In a recent hearing, committee chairman Sen. Ramon Magsaysay Jr. admitted the issue is becoming more complicated.

He said critical amendments are required before Senate Bill 1004 is approved.

Magsaysay said that if amendments to the bill are not made, its end-effect is that the country’s imports of beef will be limited to Australia which will make it more expensive for meat processors who largely rely on cheap imported carabeef from India to meet their requirements.

The committee’s indecision appears to be the result of intensified lobbying being done by the Philippine Association of Meat Processors, Inc. (PAMPI) composed of the likes of San Miguel Foods and Swift Foods Inc..

PAMPI also previously criticized the Department of Agriculture’s (DA) stand on SB 1004 which seeks to ban the importation of carabeef from India since most meat processors get their raw materials from foreign suppliers.

PAMPI warned that SB 1004, if enacted into law, will not only affect local meat processors and consumers, but will also hurt other allied sectors such as the transport, tin can and fastfood industries.

PAMPI accused local hog raisers of initiating a ban on importation of carabeef which is used as a raw material ingredient for processed meat products. It comprises 40 percent of corned beef, 35 percent of hotdog, and 30 percent of meat loaf. The other processed meat ingredients are extenders such as a soy protein/water and other additives such as spices, flavorings and emulsifiers.

Local meat processors pointed out the DA disregarded previous findings of the OIE which, aside from stating that importations should come from FMD-free countries and where vaccination is not practiced, also included other provisions.

PAMPI pointed out that the OIE authorizes the importation of carabeef from India under certain conditions which is now being applied by the Philippines.

The group said this allowes India to export carabeef to more than 50 countries worldwide.Without India as a source, PAMPI said that under SB 1004, meat processors can only import from Australia, New Zealand or the US.

However, this will make prices of beef from those countries very high and meat processors will no longer be able to import them

"Those who can afford will sell their products to local consumers at unaffordable prices," PAMPI noted.

The local meat processing industry projects a 15 percent growth this year, lower than 17 percent in the last two years, and nowhere near its peak growths of 25 percent in 1998 and 1999.

In recent years, the industry has been reeling from flat growth due to the deterorating economy and weaker purchasing power of the peso which has been falling against the dollar.

On top of all this, the industry also has to contend with the persistent lobby of local livestock growers for government to curb meat imports.

PAMPI is at odds with the Southern Luzon-based Limcoma Multipurpose Cooperative and the Agricultural Sector Alliance of the Philippines which accused meat processors and the DA of causing the continued decline of local pork prices.