Filipinos in UAE take home suitcases full of onions as prices soar


Sarwat Nasir
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  • Arabic

Filipinos in the UAE are taking suitcases full of onions to their home country, as the price of the vegetable reached an all-time high of Dh40 ($10) per kg.

Red and white onions, which are staples in Filipino cuisine, now cost two or three times more than chicken and beef briskets in the Philippines.

The short supply and high inflation rates have caused the price increase.

Filipino residents are buying onions from the UAE at Dh1.50 per kg to take with them on their next trip home.

Jonathan Sibol, an animal trainer in Abu Dhabi, said he would be packing onions in his suitcase on his next flight to the Philippines.

“Onion is a very important ingredient for cooking in the Philippines, but sadly the price there is 600 [Dh40] pesos per kilo,” he said.

“If I get a chance to go home, I will bring onions with me because it's cheaper here. It's practical, and you'd save more money.

“For now, this is a major problem in our country — the lack of supply and high prices of onions. Hopefully, prices will be back to normal soon.”

Filipinos have posted pictures of suitcases full of onions on social media, with comments on the cheaper price of the vegetable in other parts of the world.

Kristina Canaberal said on Facebook: “I just want to ask — can we bring onions from the UAE to our place? It's not a joke how expensive a kilo of onion is in the Philippines.”

Joana Ramel posted photos of the vegetable on Facebook and said she hoped that it would be as cheap in the Philippines as it is in the UAE.

“Onions are cheap here,” she said.

Balusada Lou, another Filipino on Facebook, said: “Wow, the Philippines has its own plantation but it's still expensive. Here in UAE, it is exported but why is the price low?”

Buhay OFW, a weekly public service programme for Overseas Filipino Workers, said on its social media site: “In the Philippines, onions are gold, here in UAE, there are mountains of onions.”

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Directed by: Sandeep Reddy Vanga

Starring: Shahid Kapoor, Kiara Advani, Suresh Oberoi, Soham Majumdar, Arjun Pahwa

Rating: 2.5/5 

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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MATCH INFO

Uefa Champions League semi-final, first leg
Bayern Munich v Real Madrid

When: April 25, 10.45pm kick-off (UAE)
Where: Allianz Arena, Munich
Live: BeIN Sports HD
Second leg: May 1, Santiago Bernabeu, Madrid

Updated: January 11, 2023, 10:17 AM