Saturday, April 21, 2007 Chinese imports, fake goods hurt RP’s meat processors
THE entry of cheap consumer goods from China, in addition to counterfeit products in the meat market, has resulted in the closure of some meat manufacturing firms in the country.
Philippine Association of Meat Processors Inc. (Pampi) president Felix Tiukinhoy Jr. said three firms closed shop last year because of they could not meet high production costs.
He did not divulge the names of the companies but said they were small players in the industry.
Tiukinhoy said this clearly indicates that the country’s meat processing industry continues to hurt from problems, like fake goods and imported processed meat especially from China.
In the market for luncheon meat, for example, he said Ma Ling from China still dominate “even if we are not sure what’s inside.”
Lead content
An earlier report from a leading toxicologist and pharmacologist in the Philippines has warned against eating Ma Ling goods from China allegedly due to their high lead content.
“We continue to lobby with the Department of Agriculture, Department of Trade and Industry and the Bureau of Customs not to allow smuggled goods to come in,” Tiukinhoy said in an interview.
Another problem meat processing firms is facing in the domestic market is the low purchasing power of consumers, he added.
Health conscious
With high production cost and a decrease in demand for canned goods due to the emerging of more health-conscious consumers, Tiukinhoy admitted the profit margin of meat processing players is small or, in some cases, only break-even.
“To think, we have not increased our prices,” he said, speaking in behalf of Virginia Food Inc. (VFI), where he sits as president.
Purchasing power
To help cushion the effect of the declining purchasing power of consumers on the company, he said VFI is now following a “sachet-type” canning, which means a reduction in the sizes of its canned products.
For the health-conscious market, he said many meat manufacturers are looking at producing veggie-meat items and the use of technologies that help maintain the nutritious content and the quality of the meat.
During the opening of the Food Processing and Packaging Technology (FPPT) Visayas Expo 2007 last Wednesday, Sen. Pia Cayetano, who was guest speaker, challenged meat processing companies to upgrade the level of food processing in accordance to a healthy living.
Holistic approach
“My challenge to you is to deliver to consumers, who want a holistic approach in quality food substance,” she addressed the exhibitors.
The FPPT Visayas Expo gathered 85 exhibitors nationwide.
The three-day expo at the Cebu International Convention Center, which ends today, aims to create awareness among local meat manufacturing firms to improve their packaging technology and become globally competitive.
Founded in March 1990, Pampi has 32 member-companies representing about 85 percent of the total meat processing industry.
Among its members are San Miguel Foods Inc., Jollibee Food Corp., Sunpride Foods Inc., Swift Foods Corp. and VFI. (MMM)
