November 7, 2012

 

Philippine's feed wheat imports may be cut by 50% in 2013
 

 

As local corn farmers expect a slightly bigger harvest than the government's estimate for 2012, Philippine's feed millers may slash feed wheat importation in 2013 by 50% or even more.

 

According to the Philippine Association of Feed Millers, Inc. (PAFMI) on Tuesday (Nov.6), the feed milling sector is already expecting that it will have imported a record 1.6-1.7 million tonnes of feed wheat by year's end, up from 1.07 million tonnes in 2011.

 

"The members of the Association will look at how corn supply and price will behave locally. If good local corn is available at the right time, quality and price, we would not think of importing," said PAFMI president Norman Ramos.

 

The government expects corn production to reach 7.46 million tonnes in 2012. Corn farmers think it can reach 7.8 million tonnes.

 

"We hope that by 2013 we will be able to make good money. For the last few years, we have not been passing on to end-users the full impact of raw material increase. Most of the increases are now at the expense of feed millers," said Ramos.

 

"We are cognisant of the difficulties of the animal industry so we look for alternative raw materials to temper feed cost," he added.

 

According to Ramos, feed prices have risen by PHP20-30 (US$0.49-0.73) per kilogramme in recent months due to the rising costs of raw materials such as corn and soymeal.