Rice import freeze could be extended; tariff hike studied – BusinessWorld Online
PRESIDENT Ferdinand R. Marcos, Jr. ordered the Department of Agriculture (DA) to be ready to extend the 60-day freeze on rice imports, which started on Sept. 1, and consider a possible tariff increase on foreign rice.
Agriculture Secretary Francisco P. Tiu Laurel, Jr. made the announcement Wednesday, saying the President directed the DA to make the necessary arrangements to extend the import freeze.
“The duration of the import freeze and the possible increase in taxes on imported rice will be determined once we have more accurate data on supply and prices of palay at the farm gate,” Mr. Laurel said after meeting with Mr. Marcos.
The import suspension, which is set to end on Nov. 2, was initially imposed to provide relief to hit by falling prices of palay (unmilled rice), which is competing on the market with imported rice.
Palay prices briefly rose from a low of P8 a kilo to around P14 per kilo before dropping again as the harvest came in, with rice quality affected by recent heavy rains.
Rice import tariffs are currently at 15%, lowered as an inflation-containment measure. The tariff had been 35% previously for Southeast Asian grain. — Andre Christopher H. Alampay