DTI reviews P5 reduction in safeguard tariff on cement

Trade and Industry Secretary Cesar Purisima will carefully monitor and balance the needs of consumers and local cement manufacturers in making future decisions on the safeguard tariff on imported cement.

In a press conference, Purisima indicated that the P5 reduction in the safeguard tariff on imported cement is not permanent. "There is nothing permanent, everything is being reviewed," he said, adding that "We’re continuing the review because market conditions change."

However, Purisima said, "the DTI has to play a very careful balancing act – the needs of our consumers and the needs at the same time of our industries."

"We need to make sure that no one is taking advantage of our consumers. At the same time, we have to have an environment where businesses are able to operate successfully," he added.

Just before he resigned his post, former Trade and Industry Secretary Manuel Roxas II had approved a P5 reduction in the P20.60 safeguard tariff per bag of imported cement.

The reduction was due to a rise in local cement prices even during the rainy season when demand for cement normally drops.

Roxas had warned local cement manufacturers that the DTI would not allow any one sector to take advantage of the safeguard to the detriment of consumers.