Philippine feed millers disagree with tariffs

05-06-2008 | |

Feed millers in the Philippines have asked the government to remove the import tariff on animal feed inputs.

In a joint letter to the Philippine Tariff Commission,
the Philippine Association of Feed Millers Inc. (PAFMI), the National Federation
of Egg Producers of the Philippines (NFEPP) and the National Federation of Hog
Farmers Inc. (NFHFI) have sought the removal of duties on soybeans, soybean
meal, dried distillers grain soluble (DDGS) and tapioca residue pellets. Soybean
is subject to a tariff of 1.0 percent, soybean meal 3.0 percent, DDGS 3.0
percent, and tapioca 35.0 percent.

In the petition, the groups said
“prices in the world market have risen substantially, such that it has become
economically unviable to produce animal feeds without significantly raising
prices in order to recover costs. Prices of soybeans and soybean meal have
nearly doubled since 2006.”

The groups added that the raw materials
being imported were not produced locally. “Removing tariffs would not hurt local
producers nor would this lead to economic dislocation of any sector,” they said.
“Removing the tariffs would benefit not only feed millers and the livestock
sector but local consumers as well in the form of reasonably priced meat and
poultry products.”

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[Source: Philippine Daily Inquirer]

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