Traders question Palace move to import 5,000 metric tons of pork

MANILA, Philippines - Meat traders, as well as food processors, are questioning the decision of Malacañang to import an additional 5,000 metric tons of pork, duty-free, through the Food Terminal Inc. (FTI).

In an interview with The STAR, Jess Cham of the Meat Importers and Traders Association (MITA) warned that the additional importation would “disturb” the market.

Cham pointed out that the annual meat import quota of 54,000 MT just took effect in February this year. Of this volume, only 30 percent so far has been availed of, leaving 70 percent available for importation throughout the year, he added.

Thus, the additional 5,000 MT allowed by Malacanang would only disturb the market, Cham said, adding that if meat importers, traders and food processors fail to avail of their annual quota allocation because of the excess pork importations, the quota holders would be penalized and could lose their allocation for the following year.

“There was no consultation. We were never consulted. We don’t know why they (Malacanang) saw the need to import,” Cham said.

There has been no increase in demand for pork since December last year,according to the Pork Producers Federation of the Philippines PPFP.

In a separate interview with The Star, Albert Lim of the PPFP said “the importation (of pork) is not necessary. We have sufficient supply to meet the requirement of consumers.”

Lim pointed out that while the Department of Agriculture (DA) has noted a shortfall in the production of pork, the pork industry has noted that there has been no increase in demand or consumption of pork since December last year.

Even the forthcoming election, has not resulted in any appreciable increase in pork demand, Lim said as he noted that more likely pork demand would even drop further after the elections in May.

Thus, any additional importation that would come in by June and July would only cause local pork prices to drop further.

Lim said that while pork prices continue to remain high at P180 to P190 per kilo, it is not due to pork producers whose farmgate price hovers around P114 to P115 per kilo. Big producers like Foremost Farms, Lim said, even sell their live hogs cheaper at P105 per kilo.

If the DA needs to investigate why pork prices remain high, Lim said, then it should look at the middlemen.