NEW DELHI, India — President Ferdinand Marcos Jr. has ordered a halt to the importation of rice starting September to protect local farmers from declining palay prices during the harvest season.
“To protect local farmers reeling from the low palay prices during this current harvest season, President Marcos today announced the suspension of all rice importation for 60 days beginning 1 September,” PCO Secretary Dave Gomez told reporters.
Meanwhile, a potential increase in the rice import tariff has yet to be discussed. “We will see if we need to resort to that,” Gomez said.
The President issued the directive after consulting with Cabinet members on the sidelines of his five-day state visit to India and upon the recommendation of Agriculture Secretary Francisco Tiu Laurel Jr.
Presidential powers not a problem
In a related development, Malacañang urged Congress to consider other factors for the increase in rice prices despite declining global costs, following the filing of a joint resolution by Senators Risa Hontiveros and Kiko Pangilinan seeking to revoke the President’s authority to adjust rice tariff rates.
The lawmakers argued the current setup disadvantages local farmers and undermines their livelihood.
Under Republic Act 10863, or the Customs Modernization and Tariff Act (CMTA) of 2016, the President has the authority to adjust tariff rates on rice.
Palace Press Officer Undersecretary Claire Castro defended President Marcos’ previous decision to lower the tariff on rice imports.
“I heard that what Sen. Kiko Pangilinan wants in the resolution is to remove the power of the President to adjust tariffs, particularly on rice. What the President did was absolutely right when he decided to lower the tariff when the price of rice was really rising,” Castro said.
She said the President lowered the rice tariff in an effort to bring down rice prices that had surged in recent years.
“That’s why the tariff was adjusted. It was not for him, not for himself, but for our citizens who were really struggling to buy cheap rice. But the problem is probably not about the President adjusting the tariff,” she said.
There are products that have flexible pricing, such as rice and other commodities, she added.
“It is not possible to simply enact a law and not give the President power regarding this because if there is a problem, an emergency, it will be difficult for the President to adjust the price,” she said. “And if they remove the power from the President, to whom will they give it? Our legislators probably will not be able to negotiate with other countries.”
Go after shrewd traders
Castro said the National Food Authority purchases palay from farmers at P23 to P30 per kilo, significantly higher than the offers of private traders who mislead farmers by downplaying the government’s buying price.
“If they say it’s nine pesos, it’s not coming from the government. What we should focus on here is who these shrewd traders are because the NFA is buying at 23 pesos per kilo,” she said.
“Sometimes, palay is at 18 pesos per kilo. Farmers are not losing money at this price. So what we should base our decision on here — especially the senators and the executive branch — are the shrewd traders,” she added.
The Palace official urged farmers to report traders who do this, as it is considered economic sabotage.
Castro asked the lawmakers to review the Rice Tariffication Law after the NFA was stripped of its power of importation, rendering the government unable to import rice from other countries.
Meanwhile, Agriculture Secretary Laurel said the government must not be hasty but must carefully review the effects of increasing rice tariffs.
At present, the tariff rate on imported rice is at 15 percent, following the implementation of Executive Order No. 62 in June 2024.
Kiko lauds Marcos decision
Senate Committee on Agriculture and Food chairperson, Senator Francis ‘Kiko’ Pangilinan, welcomed the decision of Marcos to suspend all rice importation.
“I thank the President for hearing the pleadings of our rice farmers to suspend the rice importation. We are also asking the government to provide our rice farmers due to the losses that they have incurred when erring traders buy their palays from P5 to P9 per kilo,” Pangilinan said.
He also urged President Marcos Jr. to fully implement the Sagip Saka Law, which empowers national and local government agencies to buy palay or rice directly from farmers.
“There are billions of pesos allocated in the 2025 national budget for the purchase of food. Let’s use it so that there are billions of pesos in the pockets of not only our farmers but also hog raisers, fishermen, and vegetable growers,” Pangilinan said.