Philippines Temporarily Suspends Onion Imports Amid Oversupply and Domestic Price Concerns

The Philippines has temporarily suspended onion imports to counter domestic price depression due to oversupply, in contrast to the previous year's shortage that drove onion prices higher than meat. Onion imports will be halted until May, with the possibility of extending the suspension through July if domestic supply remains sufficient. Agriculture Secretary Francisco Tiu Laurel emphasized the conditional nature of the import pause, allowing early imports in case of sudden supply shortfalls.

While the Philippines is not a major onion importer, a shortage in January last year led to overseas purchases as onion prices surged to three times the cost of chicken and 25% more expensive than beef. Despite current abundant supply, concerns persist about the impact of El Nino on onion production, as warmer temperatures and a prolonged dry spell could lead to increased pests.

The Philippine Chamber of Agriculture and Food Inc. anticipates a surplus in onion supply, with an additional 40% of land area dedicated to onion cultivation. The full impact of El Nino is expected to be felt around March and April.