PRESIDENT Marcos Jr. yesterday gave the House of Representatives the green light to fasttrack discussions on proposals to amend RA 11203, or the Rice Tariffication law (RTL), and allow the National Food Authority (NFA) to again start selling cheap rice in local markets.
The Rice Tariffication law allows unlimited entry of imported rice in the country but prohibits the NFA from selling rice and limits its mandate to managing buffer rice stocks.
In a chance interview on the sidelines of the 2024 GOCCs Day, the President said he would certify as urgent proposed measures that have been filed at the House.
“Yes, I think it justifies the urgent certification,” the President said, adding that the prices of rice are again going up because traders are competing and trying to outbid each other when buying palay and rice.
“Pataasan sila ng presyuhan sa pagbili ng [bigas] at wala tayong control doon (they offer higher prices when they buy rice and we have no control over that),” he said.
The President believes that the government can influence or control rice prices if amendments to the RTL are introduced, particularly in buying palay and selling rice to the public.
The House Committee on Agriculture is discussing proposed amendments to the law as contained in House Bill Nos. 212, 405, 1562, 9030, 9547 and House Resolution 1614 seeking to amending RA 11203 or the Rice Tariffication Law
The measures were filed by Reps. Mikaela Angela Suansing, Arlene Brosas, Luis Raymund Villafuerte, Stella Quimbo, Rosanna Vergara and Lordan Suan.
At the Senate, Sen. Cynthia Villar has filed Senate Bill No. 2601 seeking to liberalize the importatin, exportation, and trading of rice, and lifting the quantitative import restriction on rice.
The House panel, which is chaired by Quezon Rep. Wilfrido Mark Enverga, is working to amend the RTL to bring down the price of the staple to P30 per kilo by June or July this year from the current prices of P40 to P50 per kilo.
Speaker Martin Romualdez lauded the President’s announcement, saying the legislative action “underscores the government’s commitment to reducing market prices and protecting farmers and consumers from unscrupulous traders and profiteers.”
“The certification of this bill as urgent by President Marcos is a critical step forward in our concerted efforts to improve the livelihood of our local farmers and ensure food security for all Filipinos. This amendment will allow us to address the challenges and limitations of the current law, ensuring that it serves the best interest of the agricultural sector and the consumers,” he said.
He said the proposed amendments to the RTL are meant to “enhance the competitive edge of Filipino rice farmers by providing them with more robust support and protection.”
The changes are also aimed at stabilizing rice prices by reducing the influence of unregulated rice importation and curbing the ability of middlemen to inflate prices excessively.
Sen. Francis Escudero urged lawmakers to exhaustively study the proposed revisions to the RTL.
In a Viber message to the media, Escudero said he has a lot of questions about allowing NFA to buy and sell rice.
“How much of domestic output will NFA buy? At how much? How much budget will they allocate NFA for this purpose? What is the source given that it’s not in the 2024 budget which already has billions in unprogrammed funds?” he asked.
He added: “How will corruption associated with NFA before be prevented? Can NFA import rice too? Have we paid (its) debts, which in 2018 stood at over P140 billion? In other words, I will await their proposal and will study it if feasible.”
Villar, chairperson of the Senate Committee on Agriculture, Food and Agrarian Reform, said the NFA plays a vital role in the country’s food security and stability but has not been able to live up to its mandate.
“I remember, I, together with other senators, were buying rice from the NFA to give to calamity victims in Mindanao and we were told that they have no stock only to find out that they sold the rice stocks to traders,” Villar said.
She also noted recent reports that the NFA sold has been selling its rice stocks to select commercial traders which they passed as “deteriorating or aging stocks” and without undergoing a bidding process.
She said the shenanigan caused the P12 billion in losses because NFA sold the rice stocks at a much lower price than their purchase cost.
“The NFA has not proven itself to be taking care of the welfare of the rice farmers and the consumers,” Villar said.
As a complementary bill to prevent scheming traders and corrupt government officials from continuing their illegal practices, Villar called for the immediate enactmentof the proposed Anti-Agricultural Economic Sabotage Act, which was passed by the Senate on December 2023 and certified as urgent by Marcos on March 2024.
The proposed bill, she said, would prevent middlemen and traders from further causing hardship to farmers and consumers.
P30 KILO RICE
Also yesterday, Romualdez and officials of the Department of Agriculture (DA) led by Secretary Francisco Tiu Laurel agreed to work together to reduce the price of rice to P30 per kilo in certain parts of the country starting in July.
“We are confident that it is possible to offer rice below P30 per kilo as early as July this year. The Department of Agriculture is currently identifying the areas where affordable, well-milled rice will be made available to the public,” he said.
“Although we cannot yet achieve this throughout the entire country, we can start in selected areas identified by the Department of Agriculture. We hope that this initiative will soon reach all parts of the country, especially after the amendment of the Rice Tariffication Law,” he also said.
The Speaker made the announcement following a productive, hour-long meeting with the agriculture officials and representatives of the National Irrigation Administration (NIA), and other agencies affiliated with the DA.
The discussion took place right after these officials attended a hearing on the proposed amendments to the RTL.
Laurel clarified that despite the restrictions imposed by the law, the NFA may be authorized to sell affordable rice through Kadiwa centers, which can be established nationwide with the support of local government units.
“Starting in July, some of these Kadiwa centers will be operational in specific regions and will offer affordable, well-milled rice five days a week. The operation of these centers will depend on the rice supply available to the National Food Authority,” he said.
“Gradually, we aim to increase the number of Kadiwa centers across the country with assistance from local government officials. Many have volunteered to provide public spaces for these centers,” he added.
Romualdez said House leaders would encourage city and municipal mayors to identify public spaces for Kadiwa centers to help make the plan a reality. — With Wendell Vigilia and Raymond Africa
