Non-tariff barriers on cement imports urged

Local cement manufacturers are urging the Department of Trade and Industry (DTI) to use non-tariff barriers to control the influx of imported cement.

According to Francis C. Felizardo, senior vice president for sales and marketing of Union Cement Corp. (UCC), the DTI should require cement importers to comply with existing product standards.

UCC, for instance, Felizardo said, was fined P50,000 when it failed to meet labeling requirements for its cement bags.

"The DTI is very strict with local cement manufacturers with regard to meeting product standard requirements," Felizardo said.

Imported cement, Felizardo noted, are able to enter the country without having to comply with product standard requirements.

It is a common practice in other countries to use non-tariff barriers to control the entry of imports.

For instance, Philippine mangoes and bananas have to meet strict phytosanitary requirements from the US and Australia.

Local cement manufacturers are hoping that the DTI would be able to provide some form of protection for the local cement industry especially since the provisional tariff on imported cement is set to expire next month.

"The local cement industry is studying an array of options that include asking for a higher tariff wall for imported cement," Felizardo said.

In the meantime, however, Felizardo said, some local cement manufacturers like UCC are making their operations more efficient and cost-effective by constantly upgrading their technology, reducing their power cost and their debt burden.