The Department of Finance (DOF) has introduced a comprehensive set of measures with the aim of ensuring an ample supply of rice at reduced prices, while simultaneously addressing potential negative consequences associated with price ceilings.
Among the measures put forth by the DOF are proposals to temporarily reduce rice import tariff rates. This reduction would apply to both the Association of SouthEast Asian Nations (ASEAN) and most-favored nation (MFN) rates, potentially lowering them to zero or a maximum of 10 percent. This strategic move is intended to counteract the recent surge in rice prices.
Additionally, the DOF is encouraging private sector involvement in rice imports, emphasizing the need for timely importation to help maintain a consistent rice supply.
The DOF also advocates for the full implementation of the Super Green Lane, which would enable the use of Electronic Data Interchange for expedited processing and clearance of shipments by the country’s most qualified rice importers.
To further support the rice supply chain, the DOF is seeking cooperation with tollway concessionaires and operators to temporarily exempt trucks engaged in the transportation of agricultural goods, including rice, from increased toll fees.
Finance Secretary Benjamin Diokno stressed the importance of addressing non-competitive behavior within the rice industry, including combating issues like hoarding, smuggling, and economic sabotage.
He underscored the need for strict monitoring of imported rice prices within the logistics chain and encouraged the public, including retailers, to report any instances of individuals violating price caps on rice.
Diokno also emphasized the significance of safeguarding vulnerable sectors, such as farmers, from the impact of price ceilings. This would involve providing targeted subsidies to small traders and rice retailers, along with offering support to low-income households affected by rising rice prices.
These proposed measures reflect the government’s dedication to ensuring a stable and affordable rice supply for its citizens while proactively addressing challenges related to price fluctuations in the rice market.