The Philippine pork stock is limited and cannot fully meet demand, leading to significant price increases. The government of the Philippines is calling for an increase in pork imports to curb price increases, much to the outrage of pig farmers in the country. They threaten to stop production if import quotas are increased.
According to recent figures, the Philippine pig herd was 1% smaller on January 2021, 24,1 than a year earlier. The number of pigs dropped sharply, especially on commercial pig farms. These companies keep no less than 41,8% fewer pigs. In the Philippines, more than two thirds of the pigs are still kept on so-called 'backyard farms'. The number of pigs on these farms decreased by 13,3%. The total pig population in the country is 1 million pigs on January 9,8. By way of comparison: the Dutch pig population has approximately 11,5 million pigs.
The reduction of the Philippine pig herd has led to rising prices as well as increased pork imports. Although the total amount of imported meat fell sharply, the Philippines increased its pork imports by 2% over the first 2021 months of 90. This is reported by the Bureau of Animal Industry (BAI), part of the Philippine Ministry of Agriculture.
African swine fever
While the Statistical Office of the Philippines (PSA) has not identified a cause for the pig population's decline, it is likely to be found in the African swine fever (ASF) outbreaks in the country. Last Monday (March 29), the Philippine Department of Agriculture also confirmed an outbreak in a region that had previously been free of the virus. This indicates that the situation with regard to ASF is still far from under control.
Lock prices
To ensure that prices do not skyrocket, the government has decided to 'freeze' prices for pig and poultry meat for a period of 60 days. This means that prices cannot rise further until April 8 to protect consumers. Pork shortages must be filled by imports of pork from ASF-free countries. The government wants to increase the amount of pork that can be imported under a low import tariff eightfold to about 400.000 tons.
Dissatisfaction with higher imports
The government's desire to increase pork import quotas is fueling discontent among Philippine pig farmers. The Philippine Federation of Pig Producers (ProPork) declares that there is no need to increase import quotas. The pig farmers threaten to stop pig production if the criticism is not heeded. ProPork further warns the government that higher imports undermine the recovery of its own sector.
Major importer
Currently, the Philippines is the seventh largest importer of pork worldwide. The country mainly imports meat from Canada, the United States, France, the Netherlands and Spain. The Philippines is therefore also an important export destination for European pork, currently fifth in the ranking of major buyers in Europe. Analysts expect the Philippines to become one of Asia's top pork importers.
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