THE Department of Agriculture (DA) said that it will extend the ban on red onion imports following the buildup of ample supply in storage facilities.
“As of the moment we do not need to import onions yet… for now until August,” Agriculture Secretary Francisco P. Tiu Laurel, Jr. told reporters on Monday.
Mr. Laurel added that the Agriculture department will review onion import policy monthly.
The national onion inventory was 163,503 metric tons (MT) as of July 5. Monthly consumption of red onion is 17,000 MT, while white onion consumption is estimated at 4,000 MT, according to the Bureau of Plant Industry.
The DA has said that the current volume of red onion is sufficient to meet demand for about eight months, or until February.
He said that an extended import ban may be exploited by traders to manipulate supply and cause prices to rise.
“Ang nakakatakot dyan (What I worry about) is that if we announce an extension, traders might restrict the release of stocks,” he said.
According to DA price monitors in the National Capital Region, a kilogram of red onions sold for between P80 and P150, as of July 12.
Mr. Laurel warned that if traders attempt to manipulate the onion supply, the DA will respond with onion imports to stabilize prices.
The DA initially banned onion imports until the end of July due to increased domestic production.
During the first quarter, onion production was 201.25 thousand MT, according to the Philippine Statistics Authority, up 36.8% from a year earlier.
The DA attributed the production gains during the period to a 40% increase in the land planted to onion. — Adrian H. Halili
