Meat processors question interference by DTI unit

MANILA, Philippines - The largest group of meat processors in the country has complained about the interference by a unit of the Department of Trade and Industry (DTI) in terms of pricing their products which is supposed to be a marketing strategy of companies under a “free-enterprise” system.

In a letter to DTI Undersecretary Zenaida Maglaya dated 8th of May 2009, Philippine Association of Meat Processors of the Philippines, Inc. (PAMPI) executive director Francisco Buencamino said the interference of the DTI on customer pricing of its members has brought difficulty on their business operations.

PAMPI particularly complained about the recent order by the Bureau of Trade Regulation and Consumer Protection (BTRCP), requiring the meat processing companies to “justify and further substantiate price adjustments for each of their products, particularly with those that affect production cost such as raw materials, labor, distribution and power, among others by accomplishing the attached matrices.”

Members of PAMPI could not be required to disclose their cost breakdown, because this would violate their right to protect their cost-formulation from public display and view of competitors, the group said. “Even the DTI will not be able to guarantee the secrecy and confidentiality of this information. As we in business are well aware, information on our costs is a well-kept and highly guarded secret of every business.”