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Business

Meat traders seek revocation of MAV allocation

Adrian Kenneth Halili - The Philippine Star
Meat traders seek revocation of MAV allocation
The Meat Importers and Traders Association (MITA) said the government should rescind its new guidelines and a return to the previous MAV system, noting that current allocations remain largely unutilized and can still be recalled.
STAR / Jesse Bustos

MANILA, Philippines — Meat importers and traders are urging the government to revoke its pork import allocations under the new minimum access volume (MAV) guidelines.

The Meat Importers and Traders Association (MITA) said the government should rescind its new guidelines and a return to the previous MAV system, noting that current allocations remain largely unutilized and can still be recalled.

“Doing so would immediately restore stability to established supply chains and business relationships, while also ensuring continued adherence to the Philippines’ bilateral commitments with the United States,” MITA president emeritus Jesus Cham said in a letter to Executive Secretary Ralph Recto.

This comes following the approval of an additional 150,000 metric tons of pork meat through Executive Order 116, bringing total allowable volume to 204,210 MT from 54,210 MT.

The order, signed by President Marcos last week, cited the need to address “the existing supply gap in pork, ensure adequate and affordable food for consumers, and mitigate inflationary pressures.”

Under the revised MAV allocation structure, 50 percent is given to meat importer processors with verified processing facilities, equivalent to about 27,105 MT.

A 20-percent MAV allocation is given to state trading enterprises to support food security and price stabilization objectives, with quota volume set at around 10,842 MT. Other qualified pork importers have been allotted 30 percent or an in-quota volume of 16,263 MT.

Cham stressed that most MITA members fall under the “others” category, leaving them with only a small share of the MAV allocation.

“The abrupt removal of their allocations will severely disrupt these supply chains and commercial relationships, particularly at the domestic level,” he added.

He said that it is still possible to recall the current allocations and revert to the previous MAV allocation system without major disruptions, since volumes have only been released and remain unutilized

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