GINGER DEMAND. Agriculture Undersecretary for High-Value Crops Cheryl Marie Natividad-Caballero says the agency is ramping up efforts to address the spike of ginger prices in Metro Manila on Tuesday (June 4, 2024). She said the Department of Agriculture is now conducting an assessment on the actual requirements for household and processing. (Screengrab)
MANILA – The Department of Agriculture (DA) on Tuesday said it is ramping up efforts to address the price spike of ginger in Metro Manila amid a supply shortfall and growing demand from the processing industry.
This came after the prevailing ginger price in Metro Manila hit PHP280 per kilogram on May 31, according to the DA-Bantay Presyo (price watch).
In an interview, DA Undersecretary for High-Value Crops Cheryl Marie Natividad-Caballero said the growing demand for processing contributed to the declining supply available in the market.
“We must understand na ang luya, hindi lang natin ginagamit pangbahay, pangluto... So nag-aagawan ngayon ng supply (that ginger is not only used at home, for cooking… So, there’s a current supply grab). This is also being used now for processing. So, the spike in prices shows that there is a tight supply availability as of the moment,” she said.
The emerging need in the processing industry for ginger includes salabat tea, which is considered one of the organic and natural health remedies, as well as yellow ginger which may be used as turmeric, colorant, flavoring, and for other medicinal purposes, among others.
“So, the effects of typhoon Aghon have nothing to do with the mounting prices considering that ginger harvest was done last March to April, with the latter part completed in May,” Cabellero said.
She said assessments on the actual volume of households and processing requirements are now being conducted.
“If we have to make sure that there's stability in prices, we must be able to produce in two market streams. So, one for the household, and one for processing," she said.
Possible challenges in logistics, however, are being taken into account since the farmgate prices of ginger vary, with the basic wholesale price set around PHP100/kg.
"Ang rule of thumb kasi nila is nasa times two iyan parati (The rule of thumb is you multiply it by two) from the farmgate price. So, that is how we do the assessment. But you must understand kahit iyon iyong rule of thumb, ang tanong doon is nasaan iyong supply (that’s a rule of thumb, but the question is where is the supply),” Caballero said.
To date, the DA is ramping up efforts to source supply from various provinces near Metro Manila to minimize transport costs, just like in the Pinatubo area.
The possibility of importation is also not out of the table, she said. (PNA)
