Red onion MSRP raised to P150/kg as import costs rise
THE Department of Agriculture (DA) said it will raise the maximum suggested retail price (MSRP) for red onion to P150 per kilo from P120 previously, effective on Thursday, with higher import costs continuing to drive up market prices.
Suppliers are charging more for imported onion as the peso weakens against the dollar, it said.
The yellow onion MSRP, meanwhile, will stay at P120 per kilo. According to the DA, the yellow onion supply is stable, with P120 still allowing sellers to earn healthy margins.
In a statement, Agriculture Secretary Francisco P. Tiu Laurel, Jr. said: “The adjustment reflects market dynamics. I have received information from international sources and importers about increases in the prices of red onion from their origin,” noting that prices have risen for produce originating in China, India, and the Netherlands.
Mr. Laurel added that currency weakness has further amplified import costs. “The weakness of the peso is also part of the equation,” he said.
Mr. Laurel urged retailers and wholesalers to comply with the updated MSRP, particularly as demand is expected to rise during the holidays. “We are hoping everyone will cooperate to ensure stable prices and supply given the demand during the Christmas season,” he said.
Mr. Laurel also said the Philippines needs to diversify its onion sourcing, with China currently dominating supply.
“We do not want to be dependent on just one source,” he said, adding that the government is exploring alternative suppliers to build a more resilient and competitive supply chain.
According to the DA, all onion imports will cease by January, ahead of the domestic harvest in February, to protect farmers. This measure aims to prevent imported produce from depressing farmgate prices during the harvest. — Vonn Andrei E. Villamiel
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