Group expects strong growth in processed meat sales

MEAT PROCESSORS expect to sustain the sales growth of processed meat products in the next few years, driven by a growing population and increase in meat consumption.

“Right now, the meat industry is indeed growing by 10% to 11% already. You see that growth rate being sustained or perhaps increased to even more than 12% because we are our per capital GDP ( gross domestic product) is now at $ 3,100 in real terms,” Jerome D. Ong, vice- president of Philippine Association of Meat Processors, Inc. said.

Mr. Ong, also president and CEO of CDO Foodsphere, Inc. said the country’s meat consumption, at around 30 kilos per capita, is still at low compared to other Southeast Asian countries. He noted meat consumption in other Southeast Asian countries range between 50 to 60 kilos, while it can reach at least 90 kilos in some Western countries.

“We can see that upside, the population growth, the growing affluence will translate to higher demand for protein,” Mr. Ong added.

Asked if industry users see the high prices as a barrier, Mr. Ong said companies are working on making their products more widely available.

“That is why we need to be given this access to all kinds of good quality meat because that in itself allows us to price our products more affordably for the masses to enjoy,” said Mr. Ong.

“Our prices for the past 5 to 8 years have remained quite flat because of favorable exchange rate, availability of raw materials. So I think we’re doing a decent job.” —