Malacañang has signed two executive orders extending the duty-free importation of milling wheat and cement for another six months, Trade Undersecretary Zenaida C. Maglaya said.
Executive order numbers 862 and 863 were released yesterday morning by the Palace and will be published today. This is the second extension on the zero tariffs for both commodities.
Ric Pinca, executive director of the Philippine Association of Flour Millers, said with the EO, millers will not raise the prices of flour next month from the present price of P970 to P990 per bag. This would also assure stable prices of bread products.
Pinca said the zero duty lifts the pressure on the prices of wheat in the world market which had been fluctuating in the past days.
Tariff on wheat is supposed to be 3 percent and translates to about P20 per bag.
Duty on cement meanwhile was supposed to be pegged at 5 percent, the lowest in the region compared to 35 percent of Vietnam and 10 percent in Thailand.
The zero duty on cement is seen to stabilize prices of locally-produced cement at current prices of P205 to P210 per bag.
Ernesto M. Ordonez, president of the Cement Manufacturers Association of the Philippines, said manufacturers are wary of raising prices during a zero-tariff regime or they will compete with cheaper-priced imports. (PIA-Bohol)
