Philippines to import more pork, chicken due to ASF

MANILA, Philippines — The Philippines is expected to buy more pork and chicken from the global market as the African swine fever (ASF) continues to affect some areas in the country and pull down local supply.

In the latest report of the United States Department of Agriculture Foreign Agricultural Service, the Philippines is seen importing 300,000 metric tons of pork meat this year, 25 percent higher than last year’s 240,000 MT.

This as domestic production will decline by 8.5 percent to 1.45 million MT from 1.585 million MT in 2019.

“The Department of Agriculture has announced that about two percent or 237,000 pigs of the country’s total 12.8 million hogs have been culled. However, other industry experts have mentioned that up to 30 percent of hogs may be affected by the disease,” USDA said.

It also said that, “although lower than the previous year due to reduced supply, pork demand is seen to normalize from the drop in late 2019. Consumers initially had concerns about the safety of pork during the initial spread of the disease, but demand has since recovered.”

Consumption was also lower by four percent to 1.749 million MT from 1.824 million MT as consumers shift to chicken meat.

The Philippines will also hike its chicken meat imports by four percent to 360,000 MT from last year’s 345,000 MT.

Local production which will only increase by 10 percent to 1.6 million MT will not be able to meet additional domestic consumption of nearly two million MT.

“Broiler raisers continue to ramp up production to augment the decline in pork production from ASF,” the USDA projected.

This year’s chicken meat import projection was lowered from the earlier 390,000 MT due to possible delays in shipments and supply disruptions from the spread of the coronavirus disease.

The industry has reported ample stocks of imported and local chicken in cold storage facilities due to some slowdown in demand related to COVID-19, particularly by the fast food chains and quick service restaurants.

The USDA also said beef production is expected to increase marginally at 205,000 MT due to attractive prices.

However, limited pasturelands and a lack of new breeding animals will be a constraint on further growth.

The delays in trade caused by increased COVID-19 restrictions will also place more pressure on local beef prices, as over half of supply is imported.