February 2, 2021

Philippines President signs executive order mandating price ceilings for pork and chicken

Philippines' President Rodrigo Duterte signed an executive order mandating price ceilings for pork and chicken as food inflation soars to double-digits in the country, Reuters reported.

After Duterte's order, markets in Metro Manila must now sell pork at PHP 270 - PHP 300 (US$5.62 - US$6.24) per kg, a drop from more than PHP 400 since December.

Dressed chicken is now pegged at PHP 160 per kg, a drop from PHP 200 per kg.

Retail prices for pork in the Philippines have increased more than 50% in January compared to one year ago as African swine fever outbreaks were reported across the country.

This also pushed chicken prices up as chicken demand rose, even though there is a domestic oversupply of chicken meat.

By end-December, annual inflation for meat was up 10%, adding to the 3.5% annual inflation in the country. This was the highest inflation level in the Philippines in close to two years.

William Dar, Philippines' Agriculture Secretary, said the country may have to triple its pork imports this year to 162,000 tonnes in order to stabilise prices.

Philippines was the seventh biggest importer of pork in the world, but demand for pork has dropped during the COVID-19 pandemic.

- Reuters