Lorenzo okays imports of duty-free corn from bird-flu affected countries

Agriculture Secretary Luis Lorenzo Jr. overturned an earlier decision of the Department of Agriculture (DA) not to allow the importation of duty-free corn from bird flu affected countries.

Lorenzo sidestepped the recommendation made by the heads of DA’s three attached agencies — Bureau of Animal Industry Director Jose Molina, Pete Ocampo, director of the Livestock Development Council and GMA Livestock Program, and Artemio M. Salazar, director of the GMA Corn Program – to ban corn imports from Assam State of India, China, Thailand, Indonesia and Vietnam — all afflicted with avian influenza that ravaged poultry farms in Asia.

"The bidding is open to all interested parties and any country can deliver the goods so long as the commodity to be shipped meets our sanitary and phytosanitary standards,"Lorenzo said.

The National Food Authority (NFA) will conduct a bidding next week for the importation of 350,000 metric tons (MT) of corn as requested by the local feedmillers, and the poultry and livestock sector which said the imports will bring down prices of corn.

The three agencies urged for the exclusion of these countries in the import plan following the latest advisory from the Food and Agriculture Organization (FAO) which show that avian flu is still prevalent in the said countries.

Traders were told in the pre-bidding conference last week that imports from countries struggling with the epidemic will not be allowed.

The alternatives, US and Argentina however, will translate into higher corn prices upon reaching Manila at about P12 per kilo compared to local yellow corn now selling at an average of P9.50 per kilo in Bulacan and about P10.50 to P11 in Mindanao.

Both China and India are major corn producers and exporters. The landed price of corn from China will be about P11 per kilo and P11.75 from India.

Corn from Thailand is the cheapest at P10 per kilo but like China, is infected with the avian flu virus.

Lorenzo defended his decision to allow imports of corn from bird flu affected countries, stressing that following established feed import guidelines, the winning bidder should comply with sanitary and phytosanitary requirements of the Bureau of Plant Industry before actual deliveries can be made.

The winning bidder will also be required to allow quarantine officers from the DA to conduct pre-shipment inspection at the country from where the corn will come.

So far, the Philippines has banned the imports of all poultry and poultry products from China, Vietnam, Thailand, Indonesia, Japan, South Korea, Laos, Cambodia, Pakistan, Canada and the US.