August 10, 2004

Philippine Poultry Exporters To Japan Seek Tariff Cut To 0-3%

The Philippine Association of Broiler Integrators (PABI) has asked the Department of Agriculture (DA) to petition Japan for the immediate reduction of poultry tariff to 0-3 percent, so that the Philippines can take advantage of export opportunities brought about by its bird flu-free status.

In a letter to incoming Secretary Arthur C. Yap, PABI president Rita Imelda B. Palabyab said PABI seeks the reduction of tariff rate of legs with bone from Japan at the current general rate of 20 percent and other poultry products which generally carry a 12 percent tariff rate.

In light of the ongoing negotiations on the Japan-Philippines Economic Partnership Agreement, PABI would like to urgently request the inclusion of poultry products in the list of items for immediate tariff reduction by 0-3 percent by Japan, she said.

PABI also seeks for tariff reduction in other fresh, chilled or frozen poultry product classifications such as meat and edible offal.

Palabyab said the absence of exportable chicken from China and Thailand has given the country the chance to export to Japan.

The Philippines is starting to export significant volumes of processed poultry products to Japan in the wake of the failure of China and Thailand to export chicken due to bird flu outbreaks in these countries. Philippine poultry exports to Japan are also expected to surge in the next few months in view of the long-term concerns on bird flu in the Asian region, including China and Japan.

Ruben Pascual, chairman of the Poultry Export Board, said the Philippines may not find it too difficult to ship out close to 1,000 metric tons (MT) of poultry products to Japan this year as the country has so far exported 200 MT as of July.

"We have an order of 100 tons per month. If we exported 200 in July, and then 100 for the next five months together with the export of Tyson Agro Ventures, we may hit 1,000 this year," he said.