Meat processors control costs to rein in prices

CEBU, Philippines - Despite the increasing cost of ingredients, meat processors in the country continue to find ways to maintain their production cost to avoid increasing the prices of their products.

According to Felix Tiukinhoy, president of the Philippine Association of Meat Processors Inc. (PAMPI), the industry has been positively addressing the challenge of how to produce affordable products without compromising the quality by asking related industries, such as those producing the ingredients, among others, to keep their cost at a manageable level.

He said the last thing the industry wants is to increase the cost of their food products in a financial crisis. The food industry is the last industry to be affected by any crisis being the bearer of a basic need.

“People will really buy food whether we like it or not. This is why the industry is always the least affected by any crisis. Our challenge, therefore, is how to keep food affordable to the people,” Tiukinhoy told The Freeman.  

Meanwhile, PAMPI is now in the process of formulating a position paper that will urge newly-elected President Benigno “Noynoy” Aquino III to supersede government regulations concerning meat processors that are redundant and unnecessary for the industry.

One of these regulations is requiring meat processors in the country to report to the Department of Agriculture how they will use imported ingredients in the production of their products.

“We find this (already probing) on our trade secrets,” Tiukinhoy said.

He said the organization is confident that the country’s economy will begin to rebound in the remaining months of the year after the success of the country’s first automated election and the victory of Aquino, who vowed to stop corruption under his administration.

“(We are looking forward to this promise) that the money of the people will now be used where it should be used and not go to the pocket of the government officials.”

Meanwhile, Tiukinhoy said PAMPI will discuss more issues that they would want to be addressed by the new administration in its May monthly meeting yesterday.

PAMPI meets every last Thursday of the month in the 20 years of being an organization. It has 36 members, which already comprise 90-percent of the meat processing industry. Five of the members are Cebu-based. They are Virginia Foods Inc., Sun Pride, Kings Quality Foods, Lamih and Golden Ribbon.

PAMPI commits itself to enhance the welfare of the Filipino consumer by protecting their interests and their rights via continues consumer education and advocacy. It is also engaged in the research and development of alternative and new sources of raw materials for its members.