MANILA, Philippines – The Philippine Association of Flour Millers Inc. (PAFMIL) assures the public there would be no increase in bread prices despite the provisional duty imposed on Turkish flour imports.
According to PAFMIL, there should be no upward movement in the price of bread products such as pan de sal and Pinoy Tasty as flour product prices are stable.
The assurance was given amid concerns that there would be price increases following the Department of Agriculture’s (DA) decision to impose provisional anti-dumping duties on imported Turkish flour.
“The public should not be unduly worried that bread prices will increase after the DA move. The higher bread price scenario is pure speculation and bereft of any basis,” PAFMIL executive director Ric Pinca said.
Trade Undersecretary Victorio Mario Dimagiba likewise said the imposition of additional anti-dumping duties on Turkish flour would not have any effect on the prices of pan de sal and Pinoy Tasty as bakers have given assurances that they would not raise their prices.
Dimagiba said the price of the 450-gram Pinoy Tasty would remain at P37 per loaf, while that of pan de sal would stay at P22.50 for each 10-piece pack.
Business ( Article MRec ), pagematch: 1, sectionmatch: 1
While locally milled flour is used for these bread products, he said even the bread made from branded imported flour would not have any price increase.
Philippine Federation of Bakers’ Associations, Inc. president Chito Chavez said his group is also not in favor of any increase in the prices of pan de sal and Pinoy Tasty.
Even if there would be a tight supply of Turkish flour, Chavez said they would not be adversely affected since there are other sources of flour.
The DA imposed a provisional duty of 35 percent on hard flour used for making bread, 39.26 percent on biscuit bread, and 35.21 percent on soft flour used for pastries and cookies, on top of the seven percent regular import duty on flour in an order issued earlier this month.
The provisional import duties would be in place for four months while the Tariff Commission conducts a formal investigation to determine if permanent anti-dumping duties is imposed.
The imposition of provisional duties was made following the DA’s preliminary investigation on a petition filed by the PAFMIL complaining that local flour could not compete with Turkish flour being sold in the country at dumping prices.
Dumping takes place when a country exports a commodity at prices lower than its domestic prices.
