STABLE ONION SUPPLY. A porter pulls a cart loaded with onions at Divisoria Market in Manila on Nov. 3, 2023. The Department of Agriculture on Tuesday (July 2, 2024) said it will study the possible extension of the onion importation ban, considering the current inventory that may last until February 2025. (PNA file photo by Yancy Lim)
MANILA – The Department of Agriculture (DA) on Tuesday said it is considering the possible extension of the import ban on onions considering the stable volume of local production.
In an interview, DA Assistant Secretary Arnel de Mesa said the current onion inventory may last for eight months, or up to February next year.
As of June 21, the country has 161,973.73 metric tons (MT) of red onions, 11,569.07 MT of yellow onions, and 60 MT of shallots.
The stable supply was attributed to the 40-percent increase in area planted with onions.
De Mesa said this volume could last up to February next year, considering the country's monthly onion consumption of 21,000 MT -- or 17,000 MT of red onions and 4,000 MT of yellow onions.
"We still have enough supply but of course, we need to take into consideration ‘yung (the) shrinkage, give or take about 10 to 20 percent of the total volume. Most likely, within seven to eight months ‘yung total ng pwedeng itagal ng level of stocks ngayon (that the current total stocks will last)," he said.
De Mesa said the current level of onion inventory makes it possible to extend the importation ban, which will expire by the end of July.
“Una, kasi marami nga tayong stocks. Kapag pumasok ang imported na mas mura (First, because we have many stocks. Then if the cheaper imports came) it will drive down the price. So, we also need to consider iyong patong ng ating mga magsasaka (the profit margin of our farmers)," he said.
Meanwhile, Samahang Industriya ng Magsasaka (SINAG) chairperson Rosendo So said cold storage facilities may suffer losses if the import ban is not extended.
"Dapat huwag muna. Maybe kung gusto magpasok ng puting sibuyas, pwede naman until August. But now hindi pa kailangan, August 3rd week siguro pwede na mag-issue ng SPSIC (sanitary and phytosanitary import clearances) (We should not import for now. Maybe if they want to import white onions, maybe until August. But for now, it's not needed yet, the issuance of SPSIC may be okay around the 3rd week of August)," So said in a phone interview.
Onion prices
De Mesa, meanwhile, said there is no oversupply, and assured that local onions are bought at "reasonable prices."
"Ang pinakamura natin ay PHP80 (per kilogram), pero iyong prevailing natin (The lowest is at PHP80/kg. but the prevailing) for the last three months (is) PHP120/kg.," he said.
So, however, said the retail prices should only be up to PHP75/kg. for white onions, and up to PHP90/kg. for red onions, since the onion prices in cold storage only range from PHP48/kg. to PHP50/kg. and PHP55 to PHP60/kg., respectively.
He also urged the DA to set a price range for both red and white onions.
In response, De Mesa said although they are open to the idea, the move will be counterproductive.
"Pag-aaralan iyon pero again hindi balak ng ng DA na mag-issue ng SRP o ng any price control dahil counterproductive… looking at the volume na maganda at hindi naman din pangit iyong presyo (the DA will study that but again it will not issue a suggested retail price of any price control because it's counterproductive… looking at the stable volume and the price is also not really bad)," he said.
As of Monday, the price range of local white onions is at PHP60/kg. to PHP120/kg., and PHP80/kg. to PHP150/kg. for red onions, according to the DA Bantay Presyo (price watch). (PNA)
