Oil price hike drives up food costs

The recent surge in oil prices has pushed up the cost of several food commodities, including galunggong (mackerel), pork, and some vegetables, with rice also expected to be affected.

In a report by Bernadette Reyes on "24 Oras" Wednesday, fish vendor Romana Losugero said she had no choice but to raise the price of galunggong.

“We were selling them yesterday for P260 to P280. Today, it’s P340 because the price went up. That’s a huge increase,” she said.

Consumers can also expect higher prices for pork, as well as slight increases for vegetables such as potatoes and Baguio beans.

“The price of pork belly (liempo) has increased by about P30. It really comes down to the cost of moving goods," said Department of Agriculture (DA) spokesperson Arnel de Mesa.

"When imported feeds—like corn, soy, and other feed mill products—arrive at a higher price, it translates into higher production costs. That is the direct impact,” he added.

At the Marikina Public Market, hog suppliers have raised prices for retailers, though many have not passed the costs on to consumers yet.

Pork retailer Vilma Mameng said they are currently selling pork at P380 per kilo.

“If prices go up one more time, we’ll have to shoulder a P10 difference. Costs are rising because gasoline prices went up, which pushed up transportation expenses,” she said.

The DA also warned that the ongoing oil crisis could lead to higher rice prices.

“If you look at farmgate prices and add in other factors, it’s very likely that rice prices will be affected,” De Mesa said.

“If there are additional expenses, we can expect rice prices to go up. I can’t say exactly when, but some increases are likely,” he added.

To help cushion the impact, the government will provide a fuel subsidy to qualified farmers and fisherfolk—those who own or rent machinery and boats—within the next two weeks.

There is also a P10-billion fund from the Presidential Assistance to Farmers, Fisherfolk, and Families (PAFFF) originally allocated for calamities, which is now being considered to help offset rising petroleum costs.

“We’ve also identified potential funds from previous fuel subsidy releases that haven’t been used yet and are still with the DBP. Instead of returning them to the Treasury, we can retain them under the DA so they can be released to farmers and fisherfolk,” De Mesa added.—Vince Angelo Ferreras/MCG, GMA Integrated News