DTI eyes more local pangasius production

MANILA, Philippines - The government intends to lessen the importation of pangasius fillet (locally known as pangga) by 2016 with the local industry raising more pangasius fish.

Trade Undersecretary Merly Cruz said the growing interest in the local pangasius industry is now seen as a strategic area for development in terms of food security and job creation.

“The current focus on the pangasius industry is seen as a strategy for inclusive growth. It is looked at as a cluster-based development aimed at creating sustainable employment in the countryside and contributing to the food security program through micro, small, and medium enterprise (MSME) development,” she said.

Pangga (pangasius hypothalamus), which belongs to the catfish family, was introduced by the Bureau of Fisheries and Aquatic Resources (BFAR) to the Philippines in 1981.

The Regional Operations and Development Group (RODG) of the Department of Trade and Industry (DTI) piloted its pangasius project in Mindanao, particularly in Regions 9, 10, 11, 12 and 13. The project was later on expanded in regions 3, 4, 5, and 8. 

As of December 2011, a total of P202.358 million has been invested is the regions. These investments created 915 jobs in the industry’s hatcheries, nursery ponds, grow-out farms and processing companies.

Cruz said that the country’s average monthly imports of pangasius fillet from Vietnam amounts to 600 metric tons valued at $1.650 million.

Vietnam’s Mekong River is known for its tra (pangasius hypothalamus) and basa (pangasius bocourti) catfish varieties that are usually processed into fillet, nuggets, patties, steaks and steamed dumplings.

These pangasius fillet products are sold in grocery stores, and supplied to restaurants and popular fast food chains like McDonalds, Chowking and Kenny Rogers.

“The importation of pangasius fillet from Vietnam increased from 2008 to 2010. It only declined in 2011,” Cruz said.

 In 2009, imports of pangasius products from Vietnam rose 69 percent to 4,652 metric tons from 2,751 metric tons. In 2010, this trend continued with pangasius imports rising to 6,689 metric tons, a 44-percent growth from the previous year.

 In 2011, the volume of imported pangasius products from Vietnam fell to 4,836 metric tons, a 28 percent decrease from its 2010. Cruz said this come be attributed to the strengthening of the local industry.“ By 2016, our goal is to substitute the country’s imports of pangasius,” said Cruz.

“If the country will be able to substitute its monthly importation of 600 metric tons of pangasius fillet by 2016, two hundred seventy (270) hectares of land will be developed. This is expected to generate in P650 million investments and P945 million sales. Two thousand seven hundred (2,700) workers will be employed,” she added.   

According to BFAR data, total local production of pangasius grew by an average of 186.74 percent from 2008 to 2010.

“The increase in pangasius production can be attributed to the growing interest of Filipino businessmen to invest in pangasius industry,” Cruz said.