DTI, DA to im­pose SRP on chicken, pork

Watchmen Daily Journal - - Business -

The Depart­ment of Trade and In­dus­try (DTI) and the Depart­ment of Agri­cul­ture (DA) are im­pos­ing sug­gested re­tail prices (SRP) on chicken and pork in a bid to sta­bi­lize prices of agri­cul­tural com­modi es in the mar­ket.

Trade Un­der­sec­re­tary for Con­sumer Protec on Ruth Castelo said yes­ter­day the DTI and DA will sign an agree­ment on im­pos­ing SRPs on the said agri­cul­tural prod­ucts.

“The joint mem­o­ran­dum cir­cu­lar will be signed to­day [Tues­day] by the DA and DTI to put SRP on pork and chicken,” Castelo told re­porters on the side­lines of di­a­logue on Na onal Qual­ity In­fra­struc­ture in Pasay City.

The Trade of­fi­cial said pu'ng SRP on pork and chicken is pur­suant to Mem­o­ran­dum Or­der No. 26 re­leased by the Palace on Septem­ber 21 for the DTI and DA to adopt mea­sures to re­duce the gap be­tween far­m­gate prices and re­tail prices of agri­cul­tural prod­ucts.

“We have known the far­m­gate price of these prod­ucts and we know how much profit mar­gin should be placed on top of the far­m­gate price,” Castelo said.

The SRP will be com­puted as far­m­gate price plus profit mar­gin.

“For chicken, the far­m­gate price plus P50 mar­gin ‐ these would in­clude the cost of trad­ing, dress­ing, and re­tail­ers markup so if far­m­gate price is P75 for chicken in the mar­ket should only be around P120 to P125,” Castelo said.

“For pork, it’s P70 profit mar­gin that will in­clude the trader’s fee, slaugh­ter­ing fee, and the re­tail fee. If far­m­gate price of pork is P130 so P200 lang ang SRP ex­cept for prime cuts like liempo and ten­der loin that will be 220,” she said.

Once the SRP is in place, re­tail­ers can­not sell pork and chicken above the sug­gested prices.

“DTI will be very strict on en­sur­ing com­pli­ance to this,” Castelo said.

“Itong SRP na ito ang magig­ing ba­sis ng gov­ern­ment para manghuli ng prof­i­teer­ing,” she added.

Among the con­se­quences for prof­i­teers in­clude the re­voca on of busi­ness per­mit, a fine rang­ing from P1,000 to P2 mil­lion, and im­pris­on­ment, the DTI of­fi­cial said.

The DTI will an­nounce the SRP on chicken ev­ery three days while for pork it will an­nounce weekly.

“So it will be a mov­ing sug­gested re­tail price,” Castelo said.

(Erik de Cas­tro, Reuters/File)

A mar­ket ven­dor at­tends to her meat stall in Manila.

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