Drought in Australia jacks up local milk prices

No thanks to a drought in Australia, another price increase in milk and milk products looms just as the Christmas season in the Philippines unofficially started on Saturday. Trade Undersecretary Zenaida Maglaya said the most milk manufacturers could do was to “limit" the price increase to “four to five percent." “Ito ang huling pagtaas for this year up to December, mga 4-5 percent (This will be the last price increase for this year, about 4 to 5 percent)," Maglaya said in an interview on dzRH radio. She said the drought in Australia prompted a rise in prices of milk solids, the main ingredient imported and used by Philippine milk manufacturers for their products. Citing reports reaching her office, Maglaya said the prices of milk solids went up from $4,800 per metric ton to $5,400 per metric ton. “Mabuti nga kahit papaano ang palitan ng piso sa dollar P46-47 to $1, kahit papaano nakakabawas pa rin yan sa pagtaas ng presyo ng imported milk components (It is a good thing the peso remained strong between P46-47 to $1. At least that softened the impact of the price hike)," she said. On the other hand, she said milk companies in the country will also watch consumer behavior before raising their prices. Meanwhile, Maglaya said the Department of Trade and Industry (DTI)is setting up price safeguards amid speculations that pan de sal and eggs would be sold on a per-kilo basis. She said the DTI could only ask flour millers to keep prices of flour for pan de sal low, even as she admitted the government will find it easier to track prices if the items are sold on a per-kilo basis. “Pag-usapan next week ang pagbenta ng por kilo. We also have to make sure walang mangyaring kaguluhan at may magsamantala (We’ll meet and talk about it this coming week. For our part we have to make sure no one takes advantage of the situation to jack up prices)," she said. - GMANews.TV