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Monday, February 18, 2008

 

RP to buy more flour from China

By Katrina Mennen A. Valdez, Reporter

DESPITE quality issues, the Philippines is set to import more flour from China, the Department of Trade and Industry said.

Trade Undersecretary Zenaida Maglaya told reporters the agency will request a bigger allocation of flour this year, or up to 10 percent for a total of 150 metric tons from the Chinese government not-withstanding issues over the quality of the product.

“Trade Secretary [Peter B.] Favila will write a follow up letter to the new trade minister of China for [our] request for more flour allocation,” Maglaya said.

At present, China flour accounts for four to five percent of the Philippines’ annual requirement of the commodity.

Maglaya admitted a “quality problem” exists with respect to China flour. But she said the Bureau of Food and Drugs is conducting a series of laboratory tests to ensure the imported product is safe for human consumption.

“China requires a three-year track record of exporters, since right now [they] have been receiving a lot of requests for flour allocation from other countries. But RP has no problem because [we] have been importing from them for years,” she said.

Hard flour costs between P670 and P880, while soft flour is priced at P670 to P780. In contrast, China-made flour is P130 cheaper, Maglaya said.

The trade official also said the Department of Finance is unlikely to pursue a plan to impose higher tariffs on wheat and wheat products, as doing so would invite similar requests from producers of other commodities.

  
 

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