FIRST TARIFF REVIEW. Agriculture Secretary Francisco Tiu-Laurel Jr. discusses the reduced tariff on imported rice during the Media Kapihan sa PCCI forum on Tuesday (June 25, 2024). He said the first review on the implementation of Executive Order 62 will be done in November this year. (PNA photo by Ben Briones)
MANILA – A tariff increase on imported rice may be recommended if prices of retail rice will “significantly” decrease, Department of Agriculture (DA) Secretary Francisco Tiu-Laurel Jr. said on Tuesday.
In a media forum organized by the Philippine Chamber of Commerce and Industry, Tiu-Laurel said first review on reduced tariff on imported rice will be done in November this year.
“Kung mapababa natin yan ng PHP45 (per kilogram), I think malaking bagay na yon, di ba?. So parang (If we drop it to PHP45, I think it’s a big development, right? So, it’s like) I guess to maintain a price of PHP45 would be, PHP42 to PHP45 would be the right range for the moment, considering the world market," he said.
President Ferdinand R. Marcos Jr. earlier issued Executive Order (EO) 62, reducing the tariff on imported rice from 35 percent to 15 percent to alleviate the impacts of price pressures on rice consumers.
According to the DA Bantay Presyo (price watch), the imported regular milled rice ranges from PHP48/kg. to PHP51/kg. in Metro Manila, and well-milled rice from PHP52/kg. to PHP55/kg., while local regular milled rice ranges from PHP48/kg. to PHP52/kg. and local well-milled rice from PHP48/kg. to PHP55/kg.
“If bumaba significantly, yes, if konti not yet. But then again we’re not saying naman na pababayaan lang namin mga farmer (If the retail prices declines significantly, yes. If minimal, not yet. But we are not saying that we will neglect our farmers). We have a program for giving more inputs to farmers,” he added.
Tiu-Laurel said the November review is timely considering the expected easing of global market prices of rice, alongside the peak harvest for the wet season from late September to October.
“November, so tamang-tama. Hopefully, bumaba na konti ang presyo ng (that’s the right time. Hopefully, there will be minimal decline in the prices in the) world market by that time as India is expected to lift its export ban sa rice. Iyon ang isang major factor e (in rice. That’s one of the major factors)," he said.
He assured that “reasonable buying price” to local farmers from the National Food Authority (NFA) in case no tariff adjustments are made during the first review.
"As far as farmers' fear about this tariff reduction when it's harvest season. Mayroon na kaming usapan ng (We already have agreement with the) NFA to buy rice at a certain price to support the farmers na hindi mababa, hindi mataas (that’s neither too high nor low). Something that the farmers will be comfortable with," Tiu-Laurel said.
For the next harvest buying, he said they allocated PHP12 billion in funds, alongside other support for farm inputs and fertilizers. (PNA)
