In this file:
· Philippines cuts pork tariffs to address supply shortage
· Farm groups buck pork imports, tariff cuts
· And now… a food shortage
· NPPC Applauds the Philippines’ Decision to Import More Pork
Philippines cuts pork tariffs to address supply shortage
Reporting by Enrico Dela Cruz; Editing by Kirsten Donovan, Reuters
April 7, 2021
MANILA, April 7 (Reuters) - Philippine President Rodrigo Duterte on Wednesday reduced pork import tariffs as the government seeks to address a domestic shortage by ramping up purchases from abroad.
The Southeast Asian country, the world’s seventh-biggest pork importer before local demand fell due to the pandemic, plans to import roughly 400,000 tonnes of pork this year, more than double the 162,000 tonnes planned earlier.
The pork shortfall, due to African Swine Fever outbreaks, has pushed local meat prices higher, causing inflation to shoot up and stay above the central bank’s full-year target band of 2% to 4% in the first quarter.
“There is an urgent need to temporarily reduce the Most Favoured Nation (MFN) tariff rates on fresh, chilled or frozen meat of swine to address the existing pork supply shortage, stabilise prices of pork meat, and minimise inflation rates,” Duterte said...
Farm groups buck pork imports, tariff cuts
By: Karl R. Ocampo, Philippine Daily Inquirer
April 07, 2021
The country’s biggest agricultural groups on Tuesday sent a joint letter to the Office of the President opposing the Department of Agriculture’s (DA) twin proposal to increase pork imports and reduce tariffs as a means to bring down meat prices.
The letter, signed by 15 industry leaders, was in response to President Duterte’s recommendation to increase the country’s pork imports at lower tariffs to 350,000 metric tons (MT) from the current 54,000 MT.
The Palace has yet to take a stand on another proposal that would reduce the pork tariffs to a low of 5 percent from a high of 20 percent over the next 12 months. Once approved, it would open the market to cheaper pork imports.
Urgent plea ....
GDP contribution ...
And now… a food shortage
Andrew J. Masigan, Opinion, The Philippine Star
April 7, 2021
In this time of incredible hardship when nearly a tenth of our workforce is out of a job and one out of every 5.5 of our countrymen is living below the poverty line, the last thing we need is a food shortage.
Unlike most western societies, Filipinos derive their protein not from milk and soy but from meats and fish. Processed meats like hotdogs, sausages, luncheon meats and the like are the most affordable and accessible meats to Filipinos. We consume more hotdogs, on a per capita basis, than the Americans themselves.
Processed meats, in canned and frozen form, are considered basic commodities. Hence, their prices are controlled by the Department of Trade and Industry through suggested retail prices and price caps. This is why they are affordable and why it comprises the bulk of the diet of the poor and middle class.
NPPC Applauds the Philippines’ Decision to Import More Pork
Source: National Pork Producers Council (NPPC)
Apr 7, 2021
WASHINGTON, D.C., April 7, 2021 – To combat rising pork prices and stabilize supplies, the Philippine government announced today it will provide more market access for pork imports. Securing better access to the Philippines market has been a top, long-term trade priority for the National Pork Producers Council (NPPC).
“Since 2019, the Philippines has been battling African swine fever (ASF), and as a result, domestic production has declined, supplies have tightened, and pork prices have spiked,” said NPPC President Jen Sorenson, communications director for Iowa Select Farms in West Des Moines, Iowa. “While we are saddened by the spread of ASF in the Philippines, we appreciate the opportunity to send more high-quality U.S. pork to ease the shortage and the spike in prices.”
Under today’s announcement, beginning April 7, tariffs for imported pork under the increased minimum access volume (MAV) of 404,210 metric tons (MT) would be reduced from 30 percent to five percent for the next three months, and then 10 percent thereafter. Tariffs for imported pork above the MAV would be reduced from 40 percent to 15 percent for the next three months, and then increase to 20 percent thereafter. The reductions would be in effect for one year.
This announcement comes on the heels of NPPC’s meeting with the Philippine Ambassador to the U.S. Jose Manuel Romualdez. NPPC has been pressing both the U.S. and Philippines governments to lower pork import tariffs since ASF outbreaks began in the Philippines.
From January-December 2020, the U.S. exported 49,660 MT of pork worth $121 million to the country. The expanded market access is expected to generate significantly more U.S. pork exports to the country. With a population of 109 million and pork as the preferred protein of choice, pork consumption will continue to increase as the economy grows.
The Asia-Pacific region is the fastest growing economic region of the world with significant opportunities for U.S. pork exports. NPPC will continue to advocate for the United States to rejoin the CPTPP trade agreement.
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NPPC is the global voice for the U.S. pork industry, protecting the livelihoods of America’s 60,000 pork producers, who abide by ethical principles in caring for their animals, in protecting the environment and public health and in providing safe, wholesome, nutritious pork products to consumers worldwide. For more information, visit www.nppc.org.