BusinessMirror

Senator protests high pork prices, Congress asked to restore tariff rates

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STRESSING the need to protect consumers and hog raisers, Senator Francis N. Pangilinan vowed to press Congress to restore the original tariff rates on pork soon as lawmakers reconvene on July 26.

Citing mounting consumer complaints, Pangilinan said pork prices remained high “despite lower tariff on imports.”

This prompted Pangilinan to seek the restoratio­n of tariffs to its original 20- to 30-percent levels, adding this will also “help hog raisers recover from the African swine fever [ASF] that wiped out their stocks.”

The Senator recalled it has been three months since the last downward adjustment of pork tariffs but their prices remained high, lamenting that “our local hog raisers are still suffering.”

Pangilinan said the pledge to bring down prices was like “written in water” adding this is why they intend to push for an upward adjustment of the original rate of tariff for imported pork when Congress reopens.

“The promise of lower pork prices has not been fulfilled,” he said, vowing to “raise again my recommenda­tion to increase tariffs on imported pork to original rates.”

He cited available data from the Department of Agricultur­e (DA) recalling that as of July 9, the prevailing price per kilogram of pork ham (kasim) was P340, while that of pork belly (liempo) was at P380. Prices previously hit as high as P400.

“Three-hundred eighty is still high. PRE-ASF, pork per kilo costs about P240. Let’s support the local hog raisers and give them a fighting chance. With our current policy, only the importers are smiling while Filipino consumers continue to be on pork diet because they could not afford the high prices.”

At the same time, the senator recalled that last April, Executive Order 128 reduced the tariff rate on imported pork within the minimum access volume (MAV) from 30 percent to 5 percent in the first three months and to 10 percent in the 4th to 12th month. Tariff on pork imports outside the MAV was reduced from 40 percent to 15 percent for the first three months, then 20 percent for the succeeding nine months.

He added the order was signed as the national government sought to curb rising pork prices and inflation due to the African swine fever, which hit several local hog raisers, affecting supply.

About a month later, Executive Order 133 was released, modifying the tariff rates on imported pork products. The new tariffs on pork imports under MAV would be 10 percent for the first three months, and 15 percent in the next nine months. The tariff for pork imports outside MAV would be reduced to 20 percent for the first three months and 25 percent in the succeeding months.

The new rates were the result of a compromise between the country’s economic managers and senators who had raised local hog raisers’ concerns about the tariffs set in EO 128.

He said foregone revenues due to lower tariffs could reach P11.2 billion this year.

Pangilinan said taxes that should have been collected from imported pork could have been used to assist more hog raisers earlier hit hard by ASF.

“The Department of Agricultur­e can boast about flooding the supermarke­ts of imported pork, but who can afford them? Who buys them? The question remains—did touted government policy work for the Filipino consumers and the local industry?”

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