Duterte removes quotas for rice imports, allows traders to import

MANILA, Philippines — President Rodrigo Duterte has removed the quota for rice imports, allowing private traders to buy more rice from other countries to ensure that the country has enough supply of the staple. 

Duterte said a rice shortage could be avoided if the country has enough supply of the staple in the inventory. 

"I was mad because the inventory was either half full or half empty...I said guys, I want to see rice up there, touching the ceiling of this warehouse," the president said during a gathering of Masons in Davao City last Thursday. 

"To the traders and the businesses, I have done away with the quota quota. You can import rice, all of you. No more paper work and if there is somebody from NFA (National Food Authority), BIR (Bureau of Internal Revenue), Customs who would be asking money from you slap him," he added. 

The NFA is required to maintain a rice reserve good for at least 15 days during harvest season and at least 30 days during the lean months of July to September. The buffer stock is maintained so that the country would have rice in the event of an emergency or a natural disaster.  

Earlier this month, the NFA Council admitted that the grains agency's rice stock has been depleted to less than a day or about 0.35 days but maintained that the country is not facing a rice shortage. The supply was equivalent to about 200,000 bags, the lowest in four decades. 

Duterte has allowed the NFA to import 500,000 metric tons of rice to replenish its inventory. 

He has also defended NFA administrator Jason Aquino, who has been accused of creating panic by issuing statements about a looming rice shortage. 

“During the meeting with rice traders, I talked to Jason Aquino. Actually there was already indications of a shortage. I placed Aquino there because I trust him,” the president said in a speech last August 6. 

“When you start to see something which is also true, it cannot be rumor mongering because what is at stake is the stomach of the people. I told him ‘Ignore the (NFA) Council which is mandated by law, go ahead and make the importations,’” he added. 

The Finance department previously said doing away with the quota on rice imports and instead imposing a 35 percent tariff rate on the staple would cut domestic prices by up to P7 a kilo.