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Rice tariff hike impending gov’t confirmation

Maria Romero · Oct 10, 2019, 2:00 AM

The imposition of safeguard duty is one of the measures the DA is banking on to stabilize the supply and price of rice

The government has yet to confirm the results of its inquiry that prospectively leads to the imposition of higher general safeguard duty on rice imports.

The measure, if passed, would prevent palay (unhusked rice) price from slipping further.

Department of Agriculture (DA) Secretary William Dar on Wednesday said the board members are deliberating on the results of the investigation. A decision will be announced.

“We are now discussing (the results of) our inquiry. (On the lapse of the deadline), I have no comment yet,” Dar told reporters in an ambush interview.

Dar earlier said they have until end of September or early October to decide on the proposed rice tariff increase to 75 percent from the current 35 percent on rice imports from Southeast Asian countries and 100 percent from the current 50 percent from other countries.

The imposition of safeguard duty is one of the measures the DA is banking on to stabilize the supply and price of rice.

The measure is in line with Republic Act 8752 (Anti-Dumping Act of 1999), where the government may impose anti-dumping duties on imports of any product, including rice and other basic food items, that are priced way below the current fair market value.

Another option is to impose stringent sanitary and pytho-sanitary and inspection measures on rice imports.

Farm workers under the Federation of Free Farmers (FFF) Inc. and stakeholders from the Philippine Chamber of Agriculture and Food Inc. (PCAFI) have expressed their support for the DA plan to impose safeguard duty on rice imports.

FFF national manager Raul Montemayor said the imposition of a safeguard measure is the “most effective and cost-efficient way to address the drop in palay prices.”

PCAFI president Danilo Fausto said a higher tariff rate would give local farmers a “temporary yet extra edge against imports.”

The country can produce 93 percent of its total national rice requirements. The remaining seven percent is imported.