Laurel refutes mackerel, sardine supply shortage

MANILA, Philippines — Agriculture Secretary Francisco Tiu Laurel Jr. yesterday denied manufacturers’ claims that the suspension of the importation of round scad or galunggong will result in a shortage of sardines and mackerel.

Laurel was reacting to the Canned Sardines Association of the Philippines’ warning that Memorandum Order 14 would affect the supply and prices of canned mackerel.

“They will not lose their canned mackerel. Under the memorandum order, for the canners, they can still import the same amount of canned mackerel, but their value-added tax sales will be the basis,” Laurel explained during the Bagong Pilipinas Ngayon briefing.

This was issued following reports that imported fish stocks were being diverted to wet markets.

“The problem is the diversion. Even if they will be allowed to import but will be diverted, they will experience a shortage,” he added.

Manufacturers can still import 10 percent more of what they are using now, Laurel said.

“I don’t see any reason if they are afraid to experience possible shortages,” he added.

At least 100,000 metric tons of imported round scad were diverted to wet markets during the last nine months and a crackdown on importers involved in illegal activities has been ordered, Laurel said earlier.

Sardines

Amid Laurel’s decision to suspend the importation of round scad, bonito and mackerel, a trade official yesterday assured the public of a steady supply of canned sardines and mackerel.

The Department of Trade and Industry will meet with manufacturers next week to discuss Laurel’s MO 14 and stabilizing pricing, Trade Undersecretary Ed Sunico said on day two of the food summit at the Philippine Rice Research Institute in Nueva Ecija.

Trade Assistant Secretary Amanda Nograles will meet with manufacturers as part of the agency’s regular updates on the status of supply and demand.

“We have yet to hear that there is a risk of supply issues related to sardines and mackerel, so we are monitoring very closely,” Sunico added.

Sunico admitted they have yet to determine if consultations were made before the issuance of the memorandum order.

Sardine manufacturers are expected to raise their concerns about the importation suspension, Sunico noted.

At least 30,000 MT of imported round scad were sold to wet markets in just three months, Laurel said.

“The anomaly was technical. We need (the issuance of MO 14) to prevent this. That’s why I came out with an order to investigate,” he added.

Based on the Department of Agriculture’s monitoring, the retail price of local round scad ranged between P160 and P300 per kilo and Indian mackerel, between P240 and P380 per kilo.