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Gov't to lose P11.5 B in revenues from DA's 'questionable advice' on pork importation -- Marcos

Published Apr 8, 2021 06:01 pm

Senator Imee Marcos on Thursday, April 8, blamed the Department of Agriculture (DA) for supposedly crippling the government’s ability to raise the much-needed revenues to cope with the double onslaught of the African Swine Fever (ASF) and the novel coronavirus disease (COVID-19).

Senator Imee R. Marcos
(Senate of the Philippines / FILE PHOTO)

Marcos, chairperson of the Senate economic affairs committee, accused the DA of giving President Duterte “questionable advice” that led to his signing Executive Order (EO) 128, which lowers tariffs on imported pork products in attempt to reverse a supply shortage caused by the ASF.

“Aren’t we looking for more funding? Where is the much touted whole-of-government approach? We just threw away P11.5 billion of ayuda' (aid), vaccines, PPEs (personal protective equipment) and ditched local hog raisers, all in one fell swoop,” Marcos said in a statement.

 “The DA has assured pork importers of scandalous profits but has left the local hog raisers it is supposed to protect with a very sketchy plan?" she added.

"The P1.5 billion that the DA allotted to the livestock industry in its 2021 budget is measly, token support, knowing ASF has been around since 2019,” Marcos further said.

Under EO No. 128, tariffs on imports within and outside the minimum access volume (MAV) will be reduced from 30 percent to five percent and 40 percent to 15 percent, respectively, within the first three months of its one-year effectivity.

On the fourth to 12th month, the import duties will be raised to 10 percent and 20 percent, respectively.

Duterte, last month, also approved the DA's recommendation to raise the MAV of pork imports by 350,000 metric tons (MT), or about 6.5 times its present limit of 54,210 MT, to total 404,210 MT.

Marcos said that EO 128 will "surrender the country’s food security to foreign producers and exporters while forcing local hog raisers to sell at a loss.’"

“Increasing pork imports and reducing tariffs may give near-term relief for consumers but will deal a double whammy on our very own hog raisers, with long-term effects,” she said.    

“Clearly, the main beneficiaries of the EO are foreign producers, foreign exporters, local pork importers, and perhaps corrupt government officials selling import licenses,” she continued.

“The competitive advantage given to pork importers will be insurmountable and will discourage the recovery of local hog raisers.

Majority of them are backyard raisers who may just decide to shut down business rather than be forced to sell at a measly profit, if not at a loss,” Marcos further warned.

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