Farmers buck bid to import corn duty-free

Local corn farmers are objecting to the proposal of the hog raisers and feedmillers to import 150,000 metric tons (MT) of corn at zero-tariff by March this year saying this will depress prices of domestically-produced corn.

"The timing of the shipment will collide with the harvest season of Northern Luzon. The issue is non-negotiable for farmers," said Rod Bioco, president of the Philippine Maize Federation Inc. (Philmaize).

The proposed importation by the Philippine Associatiion of Hog Raisers (PAHRI) and the Philippine Association of Feedmillers (PAFMI) is part of the request to import a total of 300,000 MT of corn to address the meat shortage and the increasing prices of feeds.

Both PAFMI and PAHRI want to buy duty-free corn in two tranches in the wake of rising meat prices which hog raisers blamed on rising feed costs.

Philmaize, however, accused the corn end-users of maneuvering to bring down local corn prices.

"The intent to dampen the corn market through government intervention is very clear. Even if the landed cost is P11 per kilo, the importation itself in the middle of the harvest season will give a preemptive effect in the local market," said Bioco.

Bioco said the end-users shifted to buying local corn when imported corn and corn substitutes went up in the world market in recent months. But the rush to grab local corn at P9 to P9.50 per kilo led to an increase in corn prices to P12 per kilo, thus, the request to buy corn at zero tariff. – Rocel Felix