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Manila Bulletin devider Business devider DA asked to suspend price cap on chicken

DA asked to suspend price cap on chicken

Published Feb 22, 2021 06:30 am

The Department of Agrarian is now weighing the suggestion of the poultry industry to suspend the price ceiling on chicken.

Reildrin Morales, the new director of the Bureau of Animal Industry (BAI), said the poultry  industry suggested to suspend the price cap during their meeting to address the potential shortfall in chicken supply.

(DA WEBSITE / MANILA BULLETIN)

“It is a recommendation put forward during our consultation ,” Morales said in a text exchange. “DA of course weighs everything and looks closely at the merit of all recommendations”.

In a separate interview, United Broiler Raisers Association (UBRA) President Bong Inciong confirmed that it was his group who formally made the aforementioned recommendation.

“UBRA did as we are, in effect, subsidizing the supply chain as we are foregoing badly needed revenues,” Inciong said, adding that the DA might discuss this proposal during its next Management Committee (MANCOM) meeting.

On February 1, 2021, President Duterte issued Executive Order 124 imposing a price ceiling of P160 per kilogram (/kg) on whole dressed chicken throughout Metro Manila. Prices of chicken at select Metro Manila Markets already improved at P160/kg since Thursday last week. The DA meeting with the local poultry industry in the last week of January was mean to discuss the potential shortfall in the supply of chicken in the country.

During the meeting, the two parties discussed the supply situation and the need to establish baseline data in the poultry industry.

It was also agreed that DA will revive the Task Force on Price and Volume Watch, said Inciong.

“I think they more focused on pork right now. it’s possible that they are being careful with us we are the main alternative and we can turn around fast if they do not discourage us through mindless policies,” Inciong further said.

Earlier, Inciong said that if the government insists on the P160/kg price ceiling, a lot of poultry raisers will lose money.

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