By Billy Begas
House Committee on Appropriations Vice chairperson and Marikina Rep. Stella Quimbo has listed “mysteries” in the onion industry.
During Wednesday’s hearing of the House Committee on Agriculture and Food, Quimbo said the demand for onion was pegged at 363,000 metric tons while the supply was pegged at 338,000 metric tons last year.
“So makikita natin the shortage is about only 7%. Hindi ko masyadong maintindihan kung bakit sobrang nag-skyrocket yung price given the modest shortage,” Quimbo said.
Quimbo also cannot get satisfying answers from the Department of Agriculture (DA) to solve the mystery.
“Pero you agree with me? That it doesn’t make sense kasi alam naman natin na prices are determined by supply and demand. So bakit ang modest ng shortage, 7%, pero ang tindi ng pagtaas ng presyo. So yun yung misteryo na talagang bilang isang ekonomista, hindi ko talaga maipaliwanag. Kaya napapa-isip talaga ako na may mga misteryo, may mga behind the scenes na talagang hindi po natin nakikita, kasama na po diyan ang kartel,” Quimbo said.
Bureau of Plant Industry officer-in-charge Director Gerald Glenn Panganiban said the agency is also puzzled by the disappearance of supply.
“Mam opo, kahit po kami parang umiikot na po ang aming ano…. Mamaya magmo-monitor kami meron tapos bilang nawawala sa mga storage para pong ganun mam,” Panganiban said.
Quimbo said the second mystery is what happened in 2019 and 2022.
“Noong 2019 napakababa ng presyo ng onion that is why PCC (Philippine Competition Commission) open a case kasi maraming farmers ang nagrereklamo sobrang baba ng farm gate price. 2019 pinakamababa ang presyo ng onion sa Pilipinas sa buong ASEAN. Pagdating naman ng 2022 it’s the complete opposite ang presyo naman dito sa Pilipinas highest hindi lang ata sa ASEAN kundi sa buong mundo,” she added.
The third mystery, Quimbo said, is the sudden disappearance of supply in mid-2022.
The lady solon noted that in August, the DA made an assessment and concluded that there is enough supply of onion.
“(But) The following month, 30-days palang ang nakakaraan walang-wala na tayong suplay at nag-skyrocket ang presyo ng onion. Anong nangyari?” she asked.
Panganiban said the assessment that there is enough supply was based on the consultation with farmers.
Quimbo also pointed out that it doesn’t make sense that smugglers will bring in onions into the country when there is enough supply.
She then asked Panganiban if he believes that there is a cartel in the onion industry.
Panganiban replied, “Meron pong nagkokontrol nga po hindi ko po alam kung yun ang tawag dun madam.”
