DA suspend importation of onions until May
The Department of Agriculture ordered the suspension of importation of onions in the country due to oversupply despite the infestation of armyworms in some farms in Nueva Ecija and Tarlac.
Agriculture Secretary Francisco Tiu Laurel, Jr. ordered a temporary halt to onion imports until May to prevent further depressing onion prices due to supply glut because of the surge in domestic supply of fresh harvest onions and arrival of additional supply imported in December.
Laurel also expressed possible extension of the importation ban through July, if domestic harvest of the high value crop remains sufficient to meet local demand.
"In principle, I agree with no onion importation until July. But that is on condition that if there is a sudden supply shortfall, we will have to import earlier. We don't know what will happen because of El Nino,” he said.
The DA noted that the "shipment delays resulted in the arrival of 99 tons of onion imported in December between January 1 and 15."
Based on Philippine Chamber of Agriculture and Food Inc. (PCAFI) report to Laurel supply surplus is expected since an additional 40 percent of land area was planted to onions.
It added that even with the reported infestation of armyworms, the caterpillar-like larvae stage of what would eventually become moths, in some areas in Tarlac and Nueva Ecija, a supply glut is imminent as the pest is only expected to damage around five percent of standing crops.
The Bureau of Plant Industry reported that only 366 hectares out of 10,217 hectares of farm lands planted to onion have been infested by armyworms, out of the infested areas, only crops on 6.9 hectares were totally damaged while 359.1 hectares have sustained partial damage.
DA said warmer temperatures and a prolonged dry spell caused by El Nino could spawn more pests that could undermine onion production. The full impact of El Nino is expected to be felt around March and April.
To recalibrate import schedule and volume, Laurel and PCAFI agreed to meet every 45 days to review the supply situation and the next meeting will be held early March.
According to DA the "increased supply has pushed down farm gate prices of onion between P50 and P70 a kilo, and could fall further when more onions are harvested in February" while "in some areas in Nueva Ecija, which accounts for 97 percent of onion production in Luzon, prices have dropped to as low as P20 a kilo."
It noted that Luzon produces 65 percent of local onion supply in the country.
DA said the prices of onion surged to a record high P720 a kilo due to tight supply in December 2022. Robina Asido/DMS
