DA justifies onion import, emphasizing preemptive measure to avert price crisis


At a glance

  • Amid criticisms from farmer groups, Department of Agriculture (DA) Secretary Francisco Tiu Laurel defended the agency’s decision to authorize the importation of 4,000 metric tons (MT) of red and white onions, describing it as a preemptive measure against potential price surges.


Amid criticisms from farmer groups, Department of Agriculture (DA) Secretary Francisco Tiu Laurel defended the agency’s decision to authorize the importation of 4,000 metric tons (MT) of red and white onions, describing it as a preemptive measure against potential price surges.

During a briefing in Malacañan on Monday, Feb. 10, Laurel noted that data from the Bureau of Plant Industry (BPI) revealed a deficit of 7,000 MT of onion stocks by February.

He said this prompted the DA to permit the importation of 3,000 MT of red onions and 1,000 MT of white onions.

“It’s not even enough to fill in the estimated gap. So, hindi dapat mag-worry (there’s no need to worry),” said Laurel. 

“Mahirap naman kung wala akong gawin at hayaan na lang maghintay ako ng situation kung kailan talaga magha-harvest ang farmers,” he added.

[It would be difficult if I don't do anything and just wait for the situation when the farmers will harvest.]

The Agriculture chief revealed that he received a report on Monday morning from large-scale onion producers in Nueva Ecija, stating that their full harvest is expected to occur between the third week of March and early April.

Laurel said the situation calls for urgent action, as onion prices could surge to levels similar to the 2022 crisis.

During that year, retail prices saw absurdly high spikes of up to P700 per kilo due to a supply shortage exacerbated by delayed imports. 

The DA chief noted that prices of red onion in public markets, such as Balintawak, have jumped recently from ₱110 to ₱170 per kilo.

“I have to think of the consumers also, not just the farmers,” he stressed.

Since the plan to import onions was announced on Thursday, farmer groups across the country have criticized the agency’s move as the local harvest season is set to begin.

The DA was even accused of making a “deliberate act of economic sabotage” that would only benefit importers.

When asked about this, Laurel responded that everyone is entitled to their opinions. 

“I’m not a farmer, I’m not an importer, I’m the DA Secretary and I’m here to manage the situation,” he said.

Laurel noted that this preemptive measure is “very tactical”, noting that the imports’ volume, quantity, and even time are all “limited”.

He said this should address any potential spikes in prices.

 

LGUs signing up

Following last week’s declaration of a food security emergency, Laurel said he is optimistic that the National Food Authority (NFA) will release its rice buffer stocks next week.

Under the emergency, the NFA is directed to disburse its stocks to the Kadiwa ng Pangulo (KNP) program, local government units (LGUs), and other government agencies.

So far, over 50 LGUs have signified their intent to sell rice.

Laurel said the implementation is still taking time since a proper documentation between the NFA, LGUs, and Food Terminal Inc. (FTI) is still needed to be secured.

“By next week, maro-rollout na hopefully ‘yan (hopefully, that will be rolled out),” he added.

The DA’s food security emergency declaration was prompted by a resolution of the National Price Coordinating Council (NPCC), which identified the "extraordinary" nature of the price increases in rice.

The NFA is mandated to release its stocks to help stabilize prices.

The agency currently holds a buffer stock of approximately 300,000 MT of rice.

About 150,000 MT of this stock will be released over the next six months, prioritizing areas near warehouses to minimize freight costs. However, if necessary, the NFA may increase this volume.