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ABS 2025
Max farmgate pork price mulle
By J.Lo
Department of Agriculture (DA) is weighing implementation of maximum farmgate price for pork as potential alternative to imposition of its maximum suggested retail price in response to continuous rise in pork prices.
DA spokesman Arnel de Mesa said proposal surfaced after both retailers and pork producers expressed opposition to imposition of maximum SRP during consultations, citing concerns over market dynamics and supply chain expenses.
Based on data from hog producers, cost of pork production has reached P180 per kilo, while farmgate price stands between P230 to P250 per kilo, yielding P70-per-kilo profit and 38-percent increase from their production cost.
De Mesa noted that farmgate prices have started to decline as cases of African swine fever decrease and production improves.
Traders, or biyaheros, on the other hand, reportedly spend at least P80 per kilo on transportation and logistics, while retailers incur additional P50 per kilo in costs.
Based on these figures, De Mesa estimates pork should retail at P380 per kilo.
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