The National Economic and Development Authority (NEDA) has reassured the public the recently issued administrative order (AO) easing the importation process of agricultural products is a strategic and necessary measure to ensure food security and improve the overall welfare of Filipinos.
In a statement yesterday, Socioeconomic Planning Secretary Arsenio Balisacan said NEDA recognizes the concerns of various sectors regarding AO No. 20, which aims to streamline administrative procedures and policies and eliminate non-tariff barriers to importing agricultural products.
AO 20 signed by Executive Secretary Lucas Bersamin on April 18 drew mixed reactions from various groups and individuals.
Balisacan said AO 20 seeks to enhance the country’s agricultural importation policy regime by streamlining administrative processes and removing non-tariff barriers, thereby facilitating the sufficiency and timeliness of imports, especially during periods where domestic supply is inadequate to meet demand at affordable prices.
“Failing to augment local production during shortages exacerbates food insecurity and perpetuates poverty. The consequences of insufficient supply extend beyond economic strain, affecting overall price stability and the well-being of Filipino children,” Balisacan said.
“In conjunction with other initiatives and programs, AO 20 is deployed as a tool that considers the welfare of our farmers and fisherfolk and the vibrancy and potential of our agricultural sector as a growth driver of the economy. It contributes to the administration’s efforts to shield and protect the poor, the vulnerable and the youth from hunger, malnutrition and stunting,” he added.
The NEDA chief said AO 20 supports the overall economic stability and long-term prospects of the Philippines as one of Asia’s fastest-growing economies.
“It is crucial to emphasize that neither NEDA nor the government is biased toward importation. Rather, the government bears the responsibility of utilizing various instruments in its arsenal of policy tools to stabilize prices while performing a delicate balancing act,” Balisacan said.
“By streamlining administrative procedures and removing non-tariff barriers, we aim to create a regulatory environment that enables – rather than hinders – the delivery of goods and services that our people need while safeguarding the welfare of our citizens,” he added.
Balisacan said it would be “irresponsible” not to augment local supply during periods of acute shortages.
“Failing to do so would lead to highly elevated prices, adversely affecting everyone – even farmers who are also consumers of agricultural products and fall victim to higher food prices themselves,” he said.
Meanwhile, Jesus Cham, president of the Meat Importers and Traders Association economic managers should also consider to extend the low tariff on pork for the duration of the Marcos administration or at least two years.
Cham said the government should also increase the minimum access volume on pork and poultry.
Cham said additional supply and window of “certainty and predictability will allow more opportunity for meaningful interventions” against inflation. – Angela Celis and Jed Macapagal
