In the Philippines, the Department of Agriculture (DA) has taken action against three importers for their alleged involvement in price manipulation and collusion in the onion market, which has been linked to limiting competition. These actions are part of wider efforts to address concerns over the Philippine Vegetable Importers, Exporters, and Vendors Association (PhilVIEVA), which was the focus of a congressional investigation in 2023. The importers affected are La Reina Fresh Vegetables Young Indoor Plants Incorporated, Vegefru Producing Store, and Yom Trading Corporation, whose licenses were revoked following the DA's decision.
Additionally, in September, the Philippine Competition Commission (PCC) initiated legal proceedings against these three companies, along with others within the PhilVIEVA group, accusing them of engaging in anti-competitive agreements that affected the supply of imported onions in the country. According to the PCC, these companies collaborated to control prices and restrict competition from 2019 to 2023. Furthermore, the DA has also blacklisted seven other vegetable importers for failing to obtain the necessary sanitary and phytosanitary import clearances, including LVM Grains Enterprises, Kysse Lishh Consumer Goods Trading, and five others.
DA Secretary Francisco Tiu Laurel Jr. emphasized the department's commitment to combating illegal activities that disadvantage farmers, fisherfolk, and consumers, highlighting the increased enforcement efforts. This move comes in the wake of the Anti-Agricultural Smuggling Act's recent enactment, which aims to tackle smuggling and other forms of economic sabotage in the agricultural sector. The issue gained significant attention when onion prices in the Philippines soared to the equivalent of approximately $13.20 per kilo in late December 2022, underscoring the impact of the alleged cartel's control over onion importation and storage.
Source: Rappler