Agriculture Secretary Francisco Tiu Laurel Jr. on Tuesday said that slashing the duty rate of imported rice from 35 percent to 15 percent was a reasonable move for the moment, as this would relieve Filipinos from the very high prices of the staple grain in the world market.

“I agree that tariffs should be reduced because world prices are really off the roof. It’s a 15-year high. I said a 15-year high last November. Until now, it’s still there, it’s not going down,” said the agri chief in a media forum organized by the Philippine Chamber of Commerce and Industry in Taguig City.

Besides the grain’s high prices in the international market, Laurel cited the increase in the dollar exchange rate to P58.77.

“There’s really pressure on the consumer. Everything is going to the consumer. So the tariff reduction at this time, I think, is reasonable. But then, hopefully, it won’t last long,” Laurel said.

Citing predictions by the Department of Finance and the National Economic and Development Authority, Laurel said rice prices in the world market are seen to decrease by September or October.

President Ferdinand Marcos issued Executive Order (EO) 62 last 20 June directing the modification of the nomenclature and tariff rates on various products to ensure the continuous supply of goods and to protect the purchasing power of Filipinos.

Duty rates under the order for imported rice are expected to decrease by P6 to P7. The reduction in rice tariffs for both in- and out-quota rates will be in effect until 2028.

Laurel, however, said the policy will be reviewed every four months.

“So it’s just in time for the review. So it doesn’t mean that the way it’s written, it’s going to continue until 2028. But the review will suffice to make sure that in case it [prices] really goes down and the consumer is happy and content, then maybe the tariff can be raised again,” he said.

The DA earlier said that under EO 62, the tariff reduction for rice will be implemented earlier on 6 July, or 15 days after the EO’s publication, while the tariff reduction for other commodities will take effect 30 days after publication.