DA chief orders inspection of onion warehouses vs hoarding, price manipulation
At A Glance
- Department of Agriculture (DA) Secretary Francisco Tiu Laurel Jr. ordered inspections of onion cold storage facilities across the country to curb potential hoarding and price manipulation.
Department of Agriculture (DA) Secretary Francisco Tiu Laurel Jr. has ordered inspections of onion cold storage facilities across the country to curb potential hoarding and price manipulation.
Laurel announced on Monday, Feb. 24, that the Bureau of Plant Industry (BPI) will take charge of these inspections amid reports that newly harvested supplies are being withheld from the market instead of being sold.
Onion harvests were expected to begin in February, which should have provided fresh supplies to ease prices.
Laurel, however, expressed concerns that these harvests might not be reaching the market given that onion prices have not yet stabilized as expected.
He said newly harvested onions should not be kept in storage at this point, noting that they are commonly stored during the latter stage of the harvest season.
“If they are, that’s wrong…This clearly points to price manipulation—it's hoarding,” said Laurel.
Under Republic Act (RA) No. 12022, or the Anti-Agricultural Economic Sabotage Act, hoarding, profiteering, smuggling, cartel operations, and other crimes involving agricultural and fishery products are classified as economic sabotage.
Violators will face a fine of up to five times the value of the products involved in the crime and a penalty of life imprisonment.
The BPI, an attached agency of the DA, is expected to complete its inspection of warehouses and the accompanying report within four to seven days.
Early this month, Laurel approved the importation of 3,000 metric tons (MT) of red onions and 1,000 MT of white onions to address the projected shortage before the harvest season.
Based on the latest figures from the BPI, red onion stocks in storage stood at 8,500 MT, while white onion stocks were at 1,628 MT.
The agency projected that the harvest this month would significantly increase supply, with an expected combined total of around 33,000 MT by March.
Farmer groups have strongly criticized the move to import onions, accusing the agency of a making a “deliberate act of economic sabotage.”
Laurel insisted that the importation is merely a preemptive measure to avoid onion prices surging to levels seen in 2022.
During that time, retail prices of onion reached as high as ₱700 per kilo amid a supply shortage exacerbated by delayed imports.
Based on the latest DA monitoring, onion prices remain stubbornly high.
Red onions are currently priced between ₱140 and ₱240 per kilo, while white onions are around ₱130 to ₱50 per kilo.