Sen. Aquilino L. Pimentel III asserted on Sunday that rice tariffication is a “priority all the more now” that the country is feeling the pinch from high prices as supply- shortage issues persist.
Pimentel, chairman of the Senate’s Trade and Commerce Committee, also noted that the Philippines has already used up the grace period given by the World Trade Organization to transition from quantitative restrictions, or a cap in rice imports, to a tariff-based system as observed in all WTO member-countries.
Moreover, the senator voiced concern during a radio interview about continuing problems of the National Food Authority (NFA) in ensuring adequate supply of cheap rice after the imported rice sitting in Zamboanga City’s docks was found infested with weevil, further delaying distribution and causing rice prices to spike anew.
He said NFA officials appear to be “complicating compliance with their duty,” but Pimentel did not elaborate beyond suggesting that “[NFA] should address its debts and prioritize rice buffer stocks.”
Pimentel pointed out that the NFA is “a monopoly, as it is the only one that can import, but why can’t they come up with an accurate computation?”
The senator suggested the need for the Senate to conduct “a review of the NFA’s mandate and the people running it…what do they know about rice trading?”
“Let us review the qualifications of NFA officials led by Aquino; he might be getting bad advice,” said Pimentel, noting reports reaching his office that “the NFA administrator and the NFA Council are at war.”
In a separate interview, Sen. Francis G. Escudero observed that the NFA officials do not seem to “realize that rice is a political commodity” and that it also affects “a big sector of rice farmers.”
“If we rely on rice exports, what will happen to the farmers?” asked Escudero, adding that he expects the chairman of the Senate Committee on Agriculture, Sen. Cynthia A. Villar, to summon Department of Agriculture officials for an explanation.
Escudero recalled that the NFA was earlier put to task for failure to maintain buffer stock, but he thumbed down suggestions to abolish the agency. “I say no to NFA abolition. Its mandate is to buy and sell rice at low cost. Nobody will do that.”
Meanwhile, Pimentel clarified that the congressional recess from August 16 to 27 was not explicitly called to enable President Duterte to issue an executive order on rice tariff and other possible tariff-related measures as a faster mode for busting inflation with commodity prices rising.
Lawmakers and the economic managers had pitched for the reduction of tariffs on meat and fish to ease inflation, which accelerated to 5.7 percent in July, from 5.2 percent in June.