Pork price cap put on hold over industry plea

Metro Manila, Philippines - The Department of Agriculture on Thursday, May 15, lifted the maximum suggested retail price for pork as industry stakeholders cited low supply after the African Swine Fever surge last year.

The MSRP for pork based on producer cost was implemented in March to curb prices, but the last two months saw a low compliance rate of 30 to 40 percent.

“May clamor ang industry na sobrang short ang supply, hayaan na silang magbenta ng farmgate price above P230 (per kilogram),” Agriculture Secretary Francisco Tiu Laurel Jr. said in a chance interview.

[Translation: There’s a clamor from the industry that since the supply is short, it should be allowed to sell at a farmgate price above P230 per kilogram.]

In a separate interview, Agriculture spokesperson Arnel de Mesa also said industry stakeholders made the “urgent appeal” to ensure a good recovery period for hog raising.

The price ceiling was set for liempo (belly) at P380 per kilogram, kasim (shoulder) and pigue (ham) at P350/kg.

The maximum suggested price for sabit-ulo, or the pig carcass delivered to sellers, was P300/kg.

But the farmgate price must be at P230/kg so retailers can comply.

“We are evaluating our strategy to solve this issue and bring down prices of pork in the near future,” Tiu Laurel said.

He said the MSRP will be reimposed but did not mention a timeline.

“Medyo may kailangan akong batas na ayusin, meron akong kailangan na internal policy sa DA and NMIS (National Meat Inspection Service) na baguhin, pati registry ng farms kailangan baguhin saka safety, marami pati logistics,” the DA chief told reporters.

[Translation: I would need to check legalities, revise internal policies in the DA and NMIS, change the registry of farms, address safety and logistics, among other things.]

In a statement, the DA said an ASF vaccine will “significantly enhance the likelihood of success” for its repopulation program.

“The DA is now awaiting the approval of the Food and Drug Administration to its clearance for the commercial rollout of the ASF vaccine, possibly later this year, before implementing an aggressive repopulation plan that should bring back domestic production to pre-ASF levels by 2028,” it said.

According to DA price monitoring, the prevailing price of pork ham was P380/kg and pork belly at P440/kg in Metro Manila markets. Frozen cuts range from P200/kg to P350/kg.