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Friday, September 20, 2024

Farmers ask gov’t to review EO on tariffs

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A group of farmers and agricultural stakeholders called on President Ferdinand Marcos Jr. to revisit Executive Order (EO) 62 which modifies tariff rates amid concerns about its impact on Filipino rice farmers.

The Philippine Chamber of Agriculture and Food Inc. (PCAFI), in an open letter, underscored the lack of transparency in crafting the EO, particularly the supposed public consultations conducted by the National Economic and Development Authority (NEDA).

EO 62, issued on June 29, 2024, ordered the modification of nomenclature and tariff rates on various products to ensure continues supply of goods and to protect the purchasing power of the Filipino people.

The group said the consultations were insufficient and failed to adequately address the potential negative consequences on the rice sector.

PCAFI urged the government to invoke safeguards against import surges, as mandated by the Rice Tariffication Law (RTL).

This will involve setting clear guidelines for activating the special rice safeguard based on pre-determined volume or price triggers.

The open letter stressed the need for increased financial resources for agriculture.

PCAFI recommended programs that offer enhanced credit and insurance guarantees for farmers and rice millers.

The letter proposed collaboration with progressive local government units (LGUs) to directly procure rice from farmers and cooperatives, particularly during periods of surplus harvest or market downturns.

It also suggested a program that allows Filipinos with the financial means to directly sponsor individual farmers or cooperatives, supporting both production and marketing efforts.

The group expressed concern about the perceived National Economic Development Authority’s bias against local producers and its historical focus on import liberalization over domestic support programs.

PCAFI cited the need to address the structural issues affecting Philippine agriculture and encouraged the DA to increase the financial and storage capacity of the National Food Authority (NFA) to procure more palay.

It also stressed the importance of investing in domestic production and modernization to reduce reliance on imported rice and create a more sustainable food security strategy.

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