Price of liempo capped at ₱370/kilo as DA seeks to curb holiday inflation
The Department of Agriculture sets a minimum farmgate price for live hogs to help local raisers recover from an influx of cheaper imports.
The Department of Agriculture (DA) is imposing a maximum suggested retail price (MSRP) on pork in Metro Manila beginning Friday, Dec. 5, to avert potential spikes in prices of the commodity over the holiday season.
Agriculture Secretary Francisco Tiu Laurel said the MSRP for pork liempo (belly) will be ₱370 per kilo, while kasim (shoulder) and pigue (ham) are ₱330 per kilo.
The new suggested prices will be implemented across public and private wet markets in Metro Manila. It will remain in force unless revoked.
Tiu Laurel said these prices were a direct result of consultations with meat retailers and other players throughout the pork value chain.
The MSRP was based on historical trends in live-weight hog prices, alongside wholesale and retail movements.
“We have to restore some sanity in the retail price of pork, a favorite protein source among Filipinos that is in high demand, especially during the Christmas season,” Tiu Laurel said in a statement.
The DA reported that retail pork prices have spiked to “unusually high levels” in recent weeks, heightening consumer anxiety ahead of the busy holiday buying period.
In one instance, it reported that prices of liempo have soared to as high as ₱480 per kilo.
“Those prices are absurd given how farm gate prices have fallen recently, threatening the viability of small and medium-sized hog raisers,” said Tiu Laurel.
The DA earlier reached an agreement with local hog producers to establish a minimum farmgate price of live hogs at ₱210 per kilo.
The floor price is designed to protect raisers’ margins after a decline in farmgate prices to around ₱150 per kilo, well below the production cost of around ₱180 per kilo.
As of Dec. 4, the prevailing prices of liempo in Metro Manila markets is ₱394.30 per kilo, while the imported variety is ₱311.86 per kilo.
Locally produced kasim and pigue sell for ₱341.41 and ₱342.28 per kilo, respectively.
On the other hand, imported kasim is priced at ₱265.35 per kilo while imported pigue is at ₱256.25 per kilo.
The DA earlier said it will strictly monitor retailers’ adherence to the MSRP on pork to prevent a repeat of its initial price cap enforcement earlier this year, which was suspended largely due to weak compliance.
The new suggested price follows the ₱120-per-kilo MSRP implemented for both red and white onions on Dec. 1 after retail prices jumped to ₱300 per kilo.
The DA will also impose a price cap on carrots at ₱120 per kilo.
Marker monitoring showed that local carrots sell for ₱129.12 per kilo, while the imported variety is now at ₱120 per kilo, as of Dec. 4.