December 29, 2022

 

Philippines' pork producers urge president to reconsider import rate extension

The Philippine Pork Producers Federation of the Philippines have urged Philippines President Ferdinand Marcos Jr to reconsider his decision to extend the temporary modification of import duty rates on various products, including pork, which was made to address supply issues and inflation, The Philippine Daily Inquirer reported.

 

Rolando Tambago, president of the federation, said they are unhappy with the extension of Executive Order (EO) 171 as there are other ways to solve the inflation issue, especially if it involves pork products.

 

The president approved the country's National Economic and Development Authority's (NEDA) proposal to extend the temporary modification of import duty rates on various products, which include pork, until end 2023.

 

The EO was slated to end this year.

 

In accordance with EO 171, the tariff on pork imports within the quota was lowered from 30% to 15% and the tariff on imports outside the quota was lowered from 40% to 25%.

 

Products imported within established minimum access volumes are subject to in-quota rates (MAV). Overage imports are charged at the out-of-quota rate.

 

MAV products are those for which the Philippines has agreed to guarantee a minimum level of market access in exchange for the removal of quantitative import restrictions under WTO rules.

 

Tambago, who is also president of Virginia Farms Inc, said that the local pork industry is not well supported by the government.

 

He said they cannot afford to import pork if we want to be competitive, adding that they cannot compete with the US and Europe.

 

He also said they are working hard to increase the cost-effectiveness of their production so that they will not need to import swine.

 

The "Customs Modernization and Tariff Act," also known as Republic Act 10863, gives the President the authority to raise, lower, or abolish the current import duty rates on the advice of NEDA and in the interest of the general welfare and national security.

 

-      The Philippine Daily Inquirer