VENDORS and wholesalers of onion in Cebu City say they can’t lower prices yet to the level of the P125 suggested retail price (SRP) that the Department of Agriculture (DA) set for imported red onions on Feb. 6, 2023.
“The ones we have on stock, we bought at high prices yet. So if we lower prices now, we would lose money,” a wholesaler said.
The DA announced on Monday, Feb. 6, that the SRP will take effect on Feb. 8.
Retailers in the Carbon Market said some customers have been looking for onions priced at P125 per kilo, but they can’t offer that price yet.
“Many have already come looking for low-priced onions. They believe that we are the ones jacking up the price. They can’t see how much we bought our onions for,” a stall owner said.
Zenaida Sellote, a vendor in Carbon Market since the 1970s, said in times like these, it’s the vendors and the farmers in the country that are impacted most when prices are adjusted drastically.
“If we sell it for P125, imagine our capital was already P300, how can we make a profit? ... This stock of onions that just arrived was worth P300. If it will be P125, I’m thinking my cousins who are farmers won’t plant anymore next year,” Sellote said.
She added that with the rising prices of labor, medicine and other commodities, they simply can’t afford to suffer losses by immediately lowering their prices as the DA suggests.
Up north, vendors at the Lapu-Lapu City Public Market have yet to buy and resell imported red onions intended to arrest the high prices of local products in the markets.
A vegetable vendor, who asked not to be named, told SunStar Cebu Wednesday, that he has to sell all his remaining local onions before acquiring the imported ones.
Once available, the male vendor said, he would resell imported red onions since consumers are looking for lower prices.
“We ought to buy cheap because our customers will also be happy if we can buy cheap. Many really can’t afford the high prices,” he said, adding that he currently sells local onions for P350 per kilo.
The Philippines experienced a shortage of red onions, resulting in prices soaring to P800 per kilo last December.
The DA ordered the importation of 21 metric tons of red and white onions last month to arrest the increase in price.
DA head for consumer affairs Assistant Secretary Kristine Evangelista announced Monday, the approval of the P125 per kilo SRP for imported red onions, saying this was agreed upon following a meeting attended by traders, importers and retailers.
While this is advantageous to retailers and customers, a Lapu-Lapu City vendor said local producers will lose income since consumers will go for the cheaper imported ones.
“It would be better not to let imports in. Purchasers should also not take advantage and raise prices just because of the reduced supply,” he said.
“Murag ipaagi nila’g bidding ba, kon kinsa tong mokompra og mahal, adto nila ibaligya. Maong momahal ang baligya. Ang mga mamalitay, looy kaayo. Ang mga dagkong negosyante ra ang mahayahay,” he added.
(It seems they have it undergo bidding, selling it to those willing to pay high prices. That’s why the price of the goods goes up. The consumers are pitiful. Only the big businessmen benefit.)
The vendor said they are the ones who suffered as they gain only about P15 to P20 per kilo of onions.
Another vegetable vendor, Rosela Dizon, said her supplier at the Carbon Public Market told her that imported red onions may be available starting this week or next week.
For now, Dizon is selling local red onions for as much as P350 per kilo since she bought these for P320 per kilo in Cebu City.
Boost
Also on Wednesday, the Presidential Communications Office (PCO) said the DA had allotted P326.97 million worth of interventions to boost the onion industry in 2023.
Malacañang said the DA, headed by President Ferdinand Marcos Jr., allocated P69.949 million for onion production support services, including provision of seeds, seedlings and other farm inputs; P3.2 million for irrigation network facilities; and P1.9 million for extension support, education, and training under its High Value Crops Development Program (HVCDP).
It said P6.486 million is earmarked for farm production-related machinery and equipment distribution; P2.359 million for production facilities; and P2.5 million for postharvest and processing equipment and machinery distribution.
Among other things, the DA will also establish cold storage facilities for onion, and give grants of up to P5 million for trading capital of farmers’ cooperatives and associations. (EKV, MKG, TPM / SunStar Philippines)