DA forms team to craft MAV mechanics
MANILA, Philippines — The Department of Agriculture has created an inter-agency committee to craft the rules for the increased minimum access volume (MAV) under the recently issued Executive Order (EO) 133.
In a special order issued by Agriculture Secretary William Dar, the inter-agency committee would create the mechanics for the implementation of the 254,210 metric tons (MT) of pork imports under the MAV for this year.
Dar said the committee was made to ensure that the allocation of the increased MAV for pork for this year is fair and open to all qualified importers of pork meat.
The inter-agency committee will be chaired by Agriculture Assistant Secretary Noel Padre. Its members include Bureau of Animal Industry director Reildrin Morales, National Meat Inspection Service (NMIS) executive director Jocelyn Salvador, and National Livestock Program (NLP) director Ruth Miclat.
Earlier this week, President Duterte issued EO 133, which increases the MAV for pork meat to 254,210 metric tons (MT) for MAV year 2021 from 54,210 MT.
The increased MAV allocation was a result of a compromise between the Senate and the country’s economic team, including the DA, as hog raisers opposed the earlier proposal to hike the MAV to 404,000 MT.
Apart from the MAV, a compromise was also made on the tariffs for pork imports.
Under the compromised proposal of the Senate and economic managers, for in-quota pork imports or those under the MAV, a 10 percent quota is proposed for the first three months, higher than the five percent tariff under EO 128.
This will be increased to a tariff rate of 15 percent in the remaining nine months.
For out-quota pork imports, a 20 percent tariff will be imposed for the first three months, higher than the 15 percent under EO 128. This will be increased to 25 percent in the remaining nine months.
A new EO amending EO 128 has yet to be issued by President Duterte.
Meat Importers and Traders Association (MITA) president Jess Cham hopes the increase of 200,000 MT is enough to meaningfully impact the market.
He said the DA’s deficit projection of 388,000 MT, which it based it’s earlier proposal on, was calculated late last year.