Government Acts to Prevent Onion Shortage Ahead of Holidays
In a decisive move to secure the country's food supply for the holiday season, the Department of Agriculture - Bureau of Plant Industry (DA-BPI) has formally ordered onion importers to explain the significantly slower pace of red onion imports compared to yellow onions. This directive, issued on Wednesday, November 26, 2025, comes as the nation prepares for the traditional surge in demand during the Christmas period.
Price Spike and Presidential Directive Prompt Action
The government's intervention follows a clear directive from President Ferdinand R. Marcos Jr. to ensure sufficient food supplies and prevent a repeat of previous years' shortages that led to dramatic price increases. The urgency is underscored by current market prices. According to the DA-Bantay Presyo, the highest retail prices for imported medium-sized red onions in Metro Manila have already reached PHP320 per kilogram, while local red onions are selling for as much as PHP330 per kilogram.
This price disparity is particularly striking given the DA's revelation that the landed cost of imported onions from China is only about PHP60 per kg, highlighting a significant mark-up between import cost and consumer price.
Import Permits Under Scrutiny
Agriculture Secretary Francisco Tiu Laurel Jr. stated that the bureau needs to understand the status of the existing import permits. "We want to know the status of those import permits – if they plan to use them," Tiu Laurel said. He issued a firm warning, stating that if importers do not utilize their permits, the BPI will not hesitate to cancel them and reallocate the sanitary and phytosanitary import clearances (SPSIC) to other interested parties, including the Food Terminal, Inc. The goal is straightforward: to meet the anticipated demand in December.
"If not, we will cancel the permits and award them to other importers to ensure sufficient domestic supply, especially at this time of year," the Secretary added.
Earlier, the DA had approved a substantial volume for importation, issuing permits for 69,040 metric tons (MT) of red onions and 42,261 MT of yellow onions. This authorization was supported by 1,202 SPSICs for red onions and 751 for yellow onions.
However, the actual import arrivals tell a different story. Data as of November 20 shows a concerning lag for red onions. Since September, only 192 SPSICs have been used, bringing in just 12,824 MT of red onions. In contrast, the importation of yellow onions has been more robust, with 443 permits used resulting in 21,145 MT of arrivals from August to November.
This slow importation occurs against a backdrop of consistent consumer demand. The DA reports that the monthly consumption in the Philippines stands at 17,000 MT for red onions and 4,000 MT for yellow onions, making the timely arrival of imports critical for price stability, especially during the high-demand holiday season.
