Pork Prices in the Philippines: Farmers Call for Consultations

MANILA, Philippines — Pork producers are urging fresh consultations with supply chain stakeholders as retail pork prices soar beyond P400 per kilogram in Metro Manila, despite the government’s price cap. According to the Department of Agriculture (DA), only 20% of pork retailers comply with the agreed maximum suggested retail price (MSRP), raising concerns about pricing inconsistencies.

Why Are Pork Prices in the Philippines Still High?

The DA set price ceilings at P380 per kilogram for liempo, P350 for kasim and pigue, and P300 for whole pig carcasses (“sabit ulo”). However, recent monitoring shows that pork prices range from P230 to P470 per kilogram in wet markets.

Pork producers insist they follow the farmgate price, selling pork at P230 per kilogram—a significant drop from the previous P260 to P265. Despite this, retail prices remain high, prompting calls for the DA to investigate middlemen and traders instead of targeting farmers.

Farmers vs. Retailers: Where Does the Issue Lie?

Jayson Cainglet, Executive Director of the Samahang Industriya ng Agrikultura (SINAG), stressed that farmers do not control the final retail price. “Farmers don’t decide how much their products will sell for,” he explained in an interview with DZBB 594.

Even with a farmgate price increase to P240 per kilogram, liempo prices should not exceed P390 to P400 per kilogram, he added. However, traders—often called “biyahero”—add markups, pushing retail prices higher.

Vendors at the Commonwealth Market in Quezon City sell pork products to customers on March 28, 2023.

---

“Producers honor the agreement to help lower prices, even if they incur losses,” Cainglet said.

Retailers & Traders: The Missing Link in Price Compliance?

Rolando Tambago, President of the Pork Producers Federation of the Philippines (PPFP), noted that while the P400 retail price is lower than the previous P480 per kilogram, it still does not align with the government’s price cap.

DA spokesperson Arnel de Mesa acknowledged the issue, noting that compliance with the P300 cap on sabit ulo remains low at just 5% to 7%.

Breaking Down the Pricing Structure

The MSRP combines the farmgate price with traders’ and retailers’ markups. For example:

• Farmgate price: P230 per kilogram
• Trader’s markup: P70
• Retailer’s markup: P50
• Total estimated retail price: P350 per kilogram

Since pork passes through only three hands—hog raisers, traders, and retailers—Cainglet emphasized that tracking the issue should be simple.

Producers Call for Direct Monitoring of Retailers

SINAG urges the DA to monitor retailers and determine how much they pay traders. Cainglet warned that lowering farmgate prices further could hurt farmers, especially amid challenges like African swine fever and rising production costs.

“This situation increases expenses for hog raisers. Despite that, we honor the agreement to help lower pork prices,” he said.

Tambago suggested that if non-compliance with price caps continues, stakeholders should meet again. “If the agreed price isn’t followed, retailers, traders, and co-producers should discuss the issue and find solutions.”

What’s Next for Pork Prices in the Philippines?

The DA has yet to penalize non-compliant retailers but continues to monitor wet markets. Although previous discussions led to unanimous agreements, De Mesa acknowledged that adjustments might be necessary.

For now, consumers must navigate fluctuating pork prices as the industry works toward better compliance and transparency.

About The Author