CA decision on GMO moratorium could drive food prices sky high, warns business groups
Margust Dela Cerna | August 19, 2024
Five major business groups in the country are calling on the Court of Appeals to reverse its decision to impose a moratorium on GMO crops BT Eggplant and Golden Rice, since its impact is not just limited to two crops, but on the overall supply chain in the country.
In the statement issued by the Foundation for Economic Freedom, the Japanese Chamber of Commerce, American Chamber of Commerce in the Philippines, Makati Business Club, and Management Association of the Philippines underscored the damaging impact of the court decision on regular food products in the market.
“A number of everyday goods purchased at our local groceries and supermarkets utilize genetically engineered ingredients. Even the COVID-19 vaccinations and commonly administered insulin are products of genetic engineering technology. The country also relies on the importation of various biotech commodities, such as corn and soybean, which are critical macro-ingredients for the local livestock and poultry industry. Halting the importation of these commodities would materially affect these vital sectors, providing a major part of Filipinos’ daily protein requirements,” the statement read.
The business groups explained that the sudden halting of importation of GMO ingredients, which is part of the court ruling, will impact the credibility of the country in the international trading system as this would result in penalties, increased transaction costs, and possibly higher insurance premiums due to the growing risk of trading with the Philippines.
“Ultimately, this will drive food inflation higher at a time when we have been trying to avoid a repeat of the elevated food prices we have experienced over the past two years. Urgent times require urgent action. We need a whole-of-government approach – the Executive, the Legislative, and most crucial of all, the Judiciary – to work together in supporting biotechnology crops to solve food security that is causing malnutrition and child stunting across the country, thus endangering our future generation,” the statement concluded.
In the statement issued by the Foundation for Economic Freedom, the Japanese Chamber of Commerce, American Chamber of Commerce in the Philippines, Makati Business Club, and Management Association of the Philippines underscored the damaging impact of the court decision on regular food products in the market.
“A number of everyday goods purchased at our local groceries and supermarkets utilize genetically engineered ingredients. Even the COVID-19 vaccinations and commonly administered insulin are products of genetic engineering technology. The country also relies on the importation of various biotech commodities, such as corn and soybean, which are critical macro-ingredients for the local livestock and poultry industry. Halting the importation of these commodities would materially affect these vital sectors, providing a major part of Filipinos’ daily protein requirements,” the statement read.
The business groups explained that the sudden halting of importation of GMO ingredients, which is part of the court ruling, will impact the credibility of the country in the international trading system as this would result in penalties, increased transaction costs, and possibly higher insurance premiums due to the growing risk of trading with the Philippines.
“Ultimately, this will drive food inflation higher at a time when we have been trying to avoid a repeat of the elevated food prices we have experienced over the past two years. Urgent times require urgent action. We need a whole-of-government approach – the Executive, the Legislative, and most crucial of all, the Judiciary – to work together in supporting biotechnology crops to solve food security that is causing malnutrition and child stunting across the country, thus endangering our future generation,” the statement concluded.
