With the signing into law by President Rodrigo Duterte of the rice tariffication bill on Friday, the measure’s sponsor in the House of Representatives, ANAC-IP Rep. Jose Panganiban, Jr., urged government to ensure that the “safety net for local farmers” in the form of the Rice Competitiveness Enhancement Fund (RCEF) is used properly.
“The P10 billion Rice Competitiveness Enhancement Fund was included in the law as a safety net—to protect our own farmers and enable them to become more competitive. Dapat masiguro natin na gagamitin ito ng tama,” said Panganiban, who chairs the House agriculture committee.
The newly-enacted law provides for P10 billion RCEF for the provision of machinery and equipment, seed production, and training on rice farming.
A portion of the fund would also be made available to farmers and cooperatives in the form of a credit facility with minimal interest and minimum collateral requirements.
“This measure has been long-needed, and we hope that this law will kickstart the implementation of far-reaching reforms in our rice industry.”
Panganiban said due care should be applied in writing the law’s implementing rules and regulations so that the measure’s primary goals are met.
The lawmaker soothed fears that local farmers would be at the losing end with the passage of the legislation.
“Tututukan natin ang batas na ito para makamit ang mga tunay na layunin nito—ang magkaroon ng steady supply ng murang bigas, at ang pagpapaganda sa buhay ng mga magsasaka natin,” he stressed.
The rice tariffication law seeks to liberalize rice importation by replacing quantitative import restrictions with tariffs.
Under the new law, private companies will be allowed to import rice once they secure the necessary permit from the Bureau of Plant Industry and pay the 35 percent tariff for imports from Southeast Asian countries. Higher rates will be imposed for imports from non-ASEAN countries.
“The President should be lauded for identifying the need to act on this measure, and for marking it as priority legislation.”
The National Food Authority’s (NFA) importation role was also removed, with the agency being restricted to maintaining a minimum rice inventory that will be sourced from local farmers.
The solon also thanked the President for acting on the measure.
As Malacañang officially received the bill—ratified by both Houses of Congress—on January 15, the bill would have lapsed into law after a month.
“This measure has been long-needed, and we hope that this law will kickstart the implementation of far-reaching reforms in our rice industry,” said Panganiban.
“The President should be lauded for identifying the need to act on this measure, and for marking it as priority legislation,” he added.
