THE Cement Manufacturers’ Association of the Philippines (CeMAP) said it is seeking an increase in the safeguard duty for cement imports to P600 per ton.
“We are happy that the Tariff Commission recognized the injury to the domestic industry. But we will be more than happy if they can grant our prayer,” Renato A. Baja, executive director of CeMAP, told reporters on Thursday.
He said the industry group is seeking a safeguard duty of P600 per ton, against the P349 duty recommended by the Tariff Commission.
“Well… it is not enough,” he said, adding that the P600 request more closely reflects the actual injury done to the industry.
According to CeMAP, the basis for the P349 duty is the difference between the factory gate price for cement, which was adjusted to compete with imported cement prices, and the landed price for imported cement.
“We can live with our prayers of our P600 per ton. We can survive with that,” he added.
The Tariff Commission had imposed the P349 duty on imports of ordinary Portland cement type 1 and blended cement.
Mr. Baja said the volume of imported cement must be reduced to preserve the market share of domestic manufacturers.
He said manufacturers have surplus capacity of about 30%, indicating that Philippine cement makers can service domestic demand.
He said that since the provisional safeguard duties were put in place, imports have declined 19%.
In February, the Department of Trade and Industry ordered provisional safeguard duties of P400 per metric ton or P16 per 40-kilogram bag in the form of a cash bond on imports of ordinary Portland cement and blended cement. — Justine Irish D. Tabile