Tariff collections on rice importation seen to reach P15B this year

MANILA, Philippines — Revenues from the opening up of the rice market will likely yield P15 billion this year, exceeding the P10-billion target under the law.

Bureau of Customs deputy commissioner Edward Buco said the government has so far collected P9.2 billion in revenues as of August, just six months after the Rice Tariffication Law took effect.

"For the remaining four months, we might reach another P6 billion. We will reach P15 billion if they will not stop the issuance of SPSIC (sanitary and phytosanitary import clearance)," Buco told The STAR on the sidelines of the Senate hearing on Tuesday.bil

"We are on track. Within the month, hopefully we will reach the P10-billion target," he added.

The BoC average collection is about P1.5 billion monthly.

Tariff to fund rice competitiveness

The tariff collection from rice importation will be allocated for the Rice Competitiveness Enhancement Fund which will be used for programs to boost the productivity and global competitiveness of local farmers.

The excess of the P10-billion will likewise be for the farmers especially those being affected by the drop in palay prices.

"The excess will be certified by yearend by the Commissioner, as well as the national treasurer. We are just not sure when we can disburse the extra [revenues]," Buco said.

Some stakeholders are calling for temporary halt of SPSIC issuance amid the surge in imports leading to plummeting prices.

"We are not stopping imports, we just want to time it. Just stop issuance during the peak of the harvest season or the next four months," the Samahang Industriya ng Agrikultura said.

The Department of Agriculture-attached agency Bureau of Plant Industry is responsible for the issuance but DA maintained it cannot do so under the law.

"What we can do is to just implement strict measures. If there are violations, that’s the only time we can suspend it," Agriculture undersecretary Ariel Cayanan said.

Pangilinan: Implement Sagip Saka law

Meanwhile, Sen. Francis Pangilinan called on the government to act as equalizer and implement the Sagip Saka law immediately to help farmers suffering from plummeting selling prices of palay.

Panglinan said the law exempts local governments and national agencies from the procurement law and can now directly buy from farmers’ organizations for their feeding program, employees’ rice allowance, food-for-work programs, among others.

Sagip Saka aims to increase farmers’ and fisher folk’s incomes by requiring government agencies to purchase produce and harvest directly from farm enterprises.

By doing this without the middlemen, food prices go down and food producers earn more.

Agriculture officials vowed to implement the law immediately, after lawmakers pointed out that they have had a 90-day allowance for rollout. Sagip Saka should have been implemented last month.

Across the board, farmers and farmer-rights advocates claimed that buying prices for palay have dropped to as low as P7 to P8 per kilo, much lower than the production cost of P12 per kilo.

The Kilusang Magbubukid ng Pilipinas said the P8 per kilo of palay is not an exaggeration and government officials must acknowledge the experience of farmers.