September 18, 2006

Philippines may import 1,500 tonnes of poultry products

The Philippines is seriously considering importing up to 1,500 tonnes of poultry products to meet a projected hike in demand during the Christmas and New Year festivities, an industry executive said Friday (Sep 15).

Industry executives and officials from the Department of Agriculture are in talks about the possibility of importing around 1,000-1,500 tonnes of poultry products for arrival in the fourth quarter, Elias Jose Inciong, vice president of the United Broilers Association, told reporters.

"We are currently assessing the demand situation although indications are that demand won't be as high compared to previous years," Inciong said.

The decision will be made around October when industry and agriculture officials have a firmer grasp of the domestic demand situation, Inciong said.

Broiler production this year is expected to reach 557,000 tonnes, down 6 percent from last year's output as weak consumer demand compelled most farms to reduce output.

Softer demand for meat products is attributed mainly on the implementation late last year of an expanded value added tax, covering more products and services, which substantially reduced disposable income of most households.

Demand for meat products, however, are likely to rise substantially toward the fourth quarter in preparation for Christmas and New Year celebrations.

Philippine chicken imports are sourced mostly from the US, Canada and Brazil.