President Ferdinand Marcos Jr. on Thursday signed Republic Act 12022, the Anti-Agricultural Economic Sabotage Act, to prevent smuggling, hoarding, profiteering and cartel activities related to agricultural and fishery products.

In his speech, Marcos emphasized that the law will hold all individuals involved in agricultural economic sabotage accountable, particularly cartels and organized crime syndicates.

“This law does not just target the masterminds; it holds all accomplices accountable — financiers, brokers, employees, even transporters,” he said.

Marcos pointed out that economic sabotage in agriculture not only involves dubious deals and inflated profits but also leads to hunger, desperation, and betrayal.

“These crimes threaten not only our economy but our national security as well. They jeopardize the livelihood of hardworking Filipino farmers and fisherfolk and threaten the food sustainability of our communities,” he stressed.

He revealed that in 2023, the agricultural sector lost P3 billion due to smuggling and that the government has seized P230 million worth of smuggled agricultural products in the last nine months.

“Every sack of smuggled rice, every under-the-table onion deal, every substandard meat sneaking past our quarantine checks — these are not just numbers; they represent lives, families, and futures that are being compromised,” he said.

The law establishes the Anti-Agricultural Economic Sabotage Council, chaired by Marcos himself, which will include various agency secretaries such as Agriculture, Finance, Transportation, Trade and Industry, Interior and Local Government and Justice as members.

CTA jurisdiction

“We will enforce the law and ensure that swift and decisive action is taken against anyone who dares to sabotage our agricultural sector,” Marcos said.

An Anti-Agricultural Economic Sabotage Enforcement Group will also be created to dismantle smuggling operations and apprehend offenders. It will be comprised of the National Bureau of Investigation, Philippine National Police, Philippine Coast Guard, and the Department of Finance.

Special teams of prosecutors will expedite cases of agricultural sabotage nationwide, prioritizing and resolving them urgently. These cases will fall under the jurisdiction of the Court of Tax Appeals, which is empowered to handle criminal proceedings under the Act.

To continuously monitor prices of agricultural products, the Act will establish a Daily Price Index to track and publish prevailing retail prices, ensuring transparency and accountability.

Agriculture Secretary Francisco Tiu Laurel Jr. welcomed the new law, saying it is tougher than the Anti-Agricultural Smuggling Act of 2016. “It has more teeth.”

“All warehouses are now required to be registered, even those for storing grains and cold storage. [It is] easier for government agencies to monitor. We will have visitation rights. Any warehouse that has food and is not registered will be considered illegal,” Laurel said.

Laurel warned smugglers to reconsider their tactics if they plan to continue with their activities. “If your intention is to smuggle, don’t do it here; you will only get caught,” he added.

The new law will take effect 15 days after publication and provides for rewards of up to P20 million for those who provide information leading to the investigation, arrest, prosecution, and conviction of smugglers and hoarders.

It covers a wide range of agricultural products, including rice, corn, beef, pork, poultry, garlic, onions, carrots, other vegetables, fruit, fish, salt, and aquatic products in their raw state.