Philippines: Flour millers announce P20 per bag additional price increase

Published 2022년 7월 8일

Tridge summary

The Philippine Association of Flour Millers Inc. (PAFMIL) announced that wheat prices have surged beyond $500 per metric ton, potentially leading to a price increase of P15- P20 per 25-kilogram bag of wheat flour starting the next week. This is due to the consistent rise in international wheat prices, which has already resulted in a 15-20% increase in the cost of wheat flour in the Philippines. Factors contributing to the price hike include the Russia-Ukraine conflict, which disrupted the global wheat supply, and an increase in fuel prices, impacting logistics costs. Despite these challenges, PAFMIL assured that there is no supply shortage and that millers are competing to keep price increases in check.

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Original content

Wheat prices have already gone up to over $500 per metric ton triggering a potential increase in wheat flour prices of P15- P20 per 25-kilogram bag starting next week, according to the Philippine Association of Flour Millers Inc. (PAFMIL). Ric Pinca, PAFMIL executive director, said it is possible that millers would increase prices given the incessant price hike of wheat in the international market. “Yes, it is possible that millers will increase an additional P15-P20 per bag,” he said. For the wheat arrival in May, the prices of locally milled flour would already be at P1,000-P1,020 per bag from P990, previously. “Considering the almost doubling in prices of wheat from $330 per MT to over $500 at present, the increase in wheat flour prices was just limited to between 15-20 percent overtime. This means, millers did not really implement the full cost. We pity the consumers, but there is nothing we can do,” said Pinca. But Pinca also said that each of the 22 wheat millers are also ...

Source: Mb