DA releases guidelines on fish importation plan

THE government could earn as much as P30 million from the 60,000 metric ton (MT) importation of small pelagic fishes as it required importers to pay P500 for every metric ton of fish that they will import.

The Department of Agriculture (DA) issued Administrative Order (AO) 01 of 2022 that outlined the guidelines for the implementation of the 60,000 MT importation of small pelagic fishes to boost local supply and prevent price spikes in the first quarter.

Under the AO, the 60,000 MT would be apportioned to eligible importers through an auction system wherein importers must be “willing to pay” P500 for every MT of volume awarded to them.

Furthermore, the AO stipulated that importers must be “willing to sell” the imported fish at a wholesale price not exceeding P90 per kilogram. The final wholesale price amount will be determined after the auction.

Importers are also required to trade the imported fish only at Philippine Fisheries Development Authority (Pfda)-designated trading areas or fish ports to allow the government to monitor the prices.

The imported fish must also be sold within 20 days since the shipments’ arrival in the country. The imported fish must leave the port of origin also within 20 days from the receipt of sanitary and phytosanitary import clearance (SPS-IC) by the importer.

“The importer shall source-out supply from respectable sources and not engage in IUU [illegal, unreported and unregulated] fishing,” the document read.

“Right after the conduct of the auction is completed, the importer shall immediately apply for SPS-IC, and BFAR shall immediately process such applications and endorse the same to the Secretary for approval,” it added.

The DA also pointed out that “only importers of good standing may be allowed to participate in the importation.”

“To augment the local catch in view of the severe damage of Typhoon ‘Odette’ to the fisheries and aquaculture sector and given that closed fishing season in three [3] major fishing grounds [Visayan Sea, Northern Palawan and Basilan-sulu-zamboanga]

are still in effect, all SPS-ICS under the Q1 2022 CNI 60,000 MT shall be issued before the lifting of the closed fishing season and shall automatically expire on March 31, 2022,” the AO read.

Earlier this week, Agriculture Secretary William D. Dar explained that he approved the 60,000 MT importation to boost fish supply and prevent rising cost of the protein product despite a recommendation from the multisectoral advisory body National Fisheries and Aquatic Resources Management Council (NFARMC) not to allow additional import volume since the country has “sufficient supply.”

He noted that NFARMC convened last week and made its recommendations accordingly.

Citing estimates made by the Bureau of Fisheries and Aquatic Resources, Dar pointed out that the country has a “potential” fish supply deficit of about 119,000 MT this first quarter.

Dar emphasized that then farmc is just a “recommendatory” body and pointed out that as the agriculture chief he has the responsibility to allow imports or not to ensure the country’s food security.

“The NFARMC is a body that has the recommendary responsibility. Let me use that word: recommendary responsibility,” he said.

“At the end of the day we take responsibility in terms of ensuring food security, in this case fish supply of small pelagic fishes,” he added.

The Businessmirror earlier reported that the government is mulling over more fish imports this year to ensure sufficient supply and avert price increases in the market following the devastation caused by Typhoon Odette (international code name Rai) to the fisheries sector.

The fisheries sector recorded about P3 billion in damage and losses, making it the worst hit industry by Odette, Dar said.

Dar enumerated the factors he considered in issuing the 60,000 MT Certificate of Necessity (CNI), which include the P3-billion losses incurred by the fisheries sector, curbing the contribution of fish to rising food inflation, and persisting logistical problems hindering the smooth transport of food products from one area to another.

“The fisheries subsector is the number one subsector badly hit by Odette. The capacity of our fishermen to catch will be in question,” he said.

“We also continue to see inflation and high prices of fish, which is second to pork in terms of contribution to overall food inflation,” he added.

The Businessmirror broke the story earlier this month that Dar greenlighted the importation of 11,015 MT of small pelagic fishes to augment fish supply in Odette-hit areas to prevent possible price spikes due to shortage.

Dar signed and issued last December 30, 2021 the CNI to import 11,015 MT of frozen small pelagic for wet markets “for the benefit of the consuming public.”

The volume was the unused portion of the approved 51,246 MT of small pelagic fish imports out of the earlier approved CNI of 60,000 MT of frozen small pelagic fishes for wet markets in August 2021.