Lawmakers have sought clarifications on why rice prices remain high in the market despite tariff cuts made by the government.
Earlier, Agriculture Secretary Francisco Tiu Laurel Jr. announced a likely price reduction for rice sold under the Rice-for-All program.
Under the program, the price of the cereal is expected to drop by P1 per kilogram (kg) from P43 to P42 per kilo, in line with the recent tariff cut and global price trends.
He indicated that the price for the Rice-for-All program may decrease further in the future, depending on ongoing global price trends and exchange rate fluctuations.
In July, the government slashed import rice tariffs to 15% from 35%, based on Executive Order 62 of President Ferdinand Marcos Jr.
Following this EO, economic managers said retail prices would go down by P5 to P6 per kilo by August.
Rice prices were put in the spotlight during the first joint inquiry of the House Quint Committee or “Murang Pagkain Supercommittee” on Tuesday, a report from ABS-CBN News said.
House Committee on Ways and Means Chairperson Albay Rep. Joey Salceda was puzzled as to why there is barely any movement, with retail prices at about P56. “Who can explain to me, despite the decrease in tariffs from 35 to 15, still you had a 9.6 percent increase in rice prices. That’s impossible. Harvest season pa,” Salceda, quoted by the report, said.
House Deputy Majority Leader ACT-CIS Party-list Rep. Erwin Tulfo said his office personally looked into rice prices and saw little change.
The DA noted that prices of both imported and local rice are going down, but not the price they forecasted.
Tulfo asked the DA official who benefits from tariff cuts given the high prices. Tulfo also asked Bureau of Plant Industry Director Glenn Panganiban the same question.
Tulfo also questioned why the agency does not penalize importers who do not bring in the quantity of rice they indicated in their permits.
Marikina Rep. Stella Quimbo echoed this sentiment, noting that rice prices only went down from P51.12 per kilo to an average of P50.68 after the EO was in effect.
Bureau of Customs Assistant Commissioner Vincent Philip Maronilla meanwhile said the rice tariff cuts led to revenue loss for government.
