PCC investigating possible onion cartels

MANILA, Philippines — The Philippine Competition Commission (PCC) has confirmed that it is investigating possible cartels in the onion industry amid high prices of the commodity.

In a statement yesterday, the PCC said it has been investigating the high prices of onion for possible cartel or abuse of dominance since November 2022.

It said this is consistent with a probe prompted by Speaker Martin Romualdez and House Resolution 681 filed by Rep. Stella Quimbo.

“PCC launched its market assessment as the onion retail prices have been observed at unusual high range and peaked at P600 per kilo in December 2022,” the PCC said.

“As prices are seen to stabilize due to the imports and the SRP set on Feb. 6, the PCC is looking into the cause of such market anomaly in coordination with the sector regulators and other law enforcement agencies,” it added, referring to the suggested retail price.

Under the Philippine Competition Act, businesses found to have taken advantage of the situation may be fined up to P100 million and face jail time of up to seven years.

“The fines may be tripled if trade of basic necessities including agricultural products identified by the Price Act are involved in cartel or abuse of dominance violations,” the PCC said.

On Feb. 6, the Department of Agriculture (DA) issued an SRP of P125 per kilo for red onions effective for 60 days.

Latest market monitors from the DA showed that the prevailing prices of local red onions in the National Capital Region on Wednesday were from P180 to P300 a kilo.

In an interview with One News’ “The Chiefs” aired over Cignal TV/TV 5, Trade Secretary Alfredo Pascual said the Department of Trade and Industry is helping the DA monitor the prices of onions in the market.

“Then we just feed them our findings,” Pascual said. “If there is a violation, we will send letters of inquiry to check why prices are at such a level or higher than SRP.”