Consumer Group Opposes Proposed Cement Tariff, Citing Risk of Price Surge

The United Filipino Consumers and Commuters (UFCC) has voiced strong concerns over a proposed tariff on imported cement, warning that the additional cost will ultimately be shouldered by consumers. The group is urging the government to withdraw the planned safeguard duty of ₱400 per ton—equivalent to ₱16 per 40-kilogram bag—on ordinary Portland and blended cement imports.

The Department of Trade and Industry (DTI) is set to impose the tariff for a three-year period following an investigation conducted under Department Administrative Order 25-01. According to the DTI, the influx of imported cement has negatively affected the local cement industry, justifying the need for protective measures.

However, UFCC president RJ Javellana countered that the additional tariff will translate to higher retail prices as businesses pass the cost onto consumers. He stated, "The ₱16 increase per bag of cement will ultimately burden the poor consumers. This is simply a pass-through mechanism used by businesses."

Javellana also warned that the hike in cement prices could trigger a ripple effect across related construction materials. "When the price of cement or steel moves, the prices of nearly all other products in hardware stores generally follow," he explained.

Highlighting broader economic concerns, Javellana cautioned that higher cement costs could exacerbate inflation, urging policymakers to balance the need to protect local manufacturers with the imperative of shielding consumers from undue cost increases. "The main beneficiaries of this tariff will be large companies capable of manipulating cement prices," he added. "We reject the cement cartel! It's obvious that those who stand to gain are the ones who can manipulate prices, especially in an unfair business environment."

He further expressed fears that such tariffs could empower cartels to tighten their control over the market. "This move will only strengthen the cement cartel's influence over price setting in the market, similar to past instances," Javellana concluded.