Agriculture Secretary Francisco P. Tiu Laurel, Jr. on Sunday expressed gratitude to the Congressional Oversight Committee on Agriculture and Fisheries Modernization (COCAFM) for backing the proposed extension of the Rice Tariffication Law (RTL), particularly an amendment to triple funding to enhance the competitiveness of rice farmers.

“The revisions to the RTL put us on the right and fast track to achieve President Ferdinand Marcos, Jr.’s vision of a food-secure Philippines, where farmers benefit from their hard work and consumers have access to affordably-priced food,” Tiu Laurel said.

Tiu Laurel is also elated following the COCAFM hearing on Thursday. During the hearing, Senator Cynthia Villar, chair of the Senate Committee on Agriculture and co-chair of COCAFM, cited benefits realized by the rice sector since the law's enactment in 2019. She stressed the urgency of extending and amending the RTL to further support millions of rice farmers and their families, given the law's approaching expiration.

Some concerns were raised regarding President Marcos' decision to reduce the rice tariff to 15% from 35% as tariff revenues are currently used to fund the distribution of farm machinery, provision of quality seeds, training, and financial aid to farmers.

In response, Secretary Tiu Laurel cited a provision in Executive Order 62, which allows for a review of the rice tariff every four months, enabling adjustments if significant price movements occur.

Senator Villar also said that the Department of Finance has committed to providing funds for the Rice Competitiveness Enhancement Fund (RCEF), even if tariff revenues decrease. She revealed plans to triple RCEF funding from P10 billion to P30 billion, based on recent tariff collection data. Allocations for mechanization and seed provision will be increased, and other modernization needs will be addressed.

Tiu Laurel suggested empowering the Department of Agriculture under the revised RTL to intervene in the market to stabilize rice prices, as the National Food Authority has lost its trading authority. He emphasized that extending RTL and RCEF is crucial for improving rice farmers' livelihoods.

“The extension of the RCEF is very important. We need additional years to provide adequate support through mechanization and increased seed production,” Tiu Laurel said.

He proposed that RCEF funds could be used for projects like solar irrigation, water impounding, soil testing, and pest control.

RCEF is set to expire in early 2025.