Trade department to lift zero duty on cement

The Department of Trade and Industry said it will not extend the zero duty on cement since its price has not gone down since its implementation.

According to Trade Secretary Peter Favila, locally made cement remains expensive as manufacturers were not “challenged” by the possible entry of imported ones.

“I don’t see [cement] prices going down,” Favila said.

Trade Undersecretary Zenaida Maglaya told reporters last week that cement prices stand at about P205 per 50-kilogram bag.

The Board of Investments earlier said a study it conducted showed that cement should be priced at P185 a bag.

Favila said the Trade department is amenable if the House of Representatives would again conduct an inquiry on cement prices.

In November last year, President Gloria Arroyo signed Executive Order 766, which cuts import duties on cement, and Executive Order 765, which slashes import duties on wheat. These tariff adjustments are effective for six months. Favila earlier said these tariff cuts were “part of government’s intervention to ensure prices are at affordable levels.”

Earlier, the Trade department said may extend the imposition of zero tariff on wheat imports for another six months. It may also slash the duty on flour to bring it down to 3 percent to  zero, in bid to further pull down bread prices. — Ben Arnold O. de Vera, Manila Times