Farmers want tariffication review, cool to rice SRP

SAN MIGUEL, Bulacan, Philippines — Farmers in Central Luzon, considered as the rice granary of the Philippines, are calling for the abolition or review of the Rice Tariffication Law (RTL).

Simeon Sioson, chairman of 4SM Multipurpose Farmers Cooperative, noted that rice prices have surged since the implementation of the law.

Another farmers’ group supported the call while expressing doubts about providing suggested retail prices (SRP) for rice.

Sioson noted that prior to the implementation of the RTL, regular milled rice was sold at P27 per kilo and well milled rice at P32 per kilo in retail stores accredited by the National Food Authority (NFA).

Proponents of the RTL said rice prices in the local market could still go down compared to the NFA rice’s selling price at the time, according to Sioson.

Sioson lamented that rice prices have almost doubled, to the advantage of rice smugglers and hoarders.

“It is about time that lawmakers review or repeal the law, which burdens consumers who have to deal with the rising cost of rice,” he said.

Raul Montemayor, national chairman of the Federation of Free Farmers, supported the call to review the provisions of the law.

He said lawmakers should implement measures for the government to “engage in direct importation and sale of subsidized rice through dedicated outlets.”

Earlier, the Department of Agriculture (DA) announced that the government could release the suggested retail price (SRP) of rice next week amid the spike in the prices of the staple.

Montemayor said it could eventually lead to a price cap if price increases cannot be controlled. “It’s (SRP) hard to enforce. The imposition of the SRP is a sign that the government cannot do anything to decrease rice prices.”

Montemayor said a price cap on rice should be realistic and based on the prices of palay and milling costs.

He said if rice retailers suffer losses, it might lead to a shortage of rice in the markets or mislabeling to go around the price cap and government might be forced to again give ayuda or cash aid.

IRR for buffer fund

Meanwhile, the DA has created a technical working group (TWG) to prepare the implementing rules and regulations (IRR) on the provision of the Price Act which allocates a buffer fund.

In a special order, Agriculture Secretary Francisco Tiu Laurel Jr. tasked the TWG to draft the IRR to implement Section 9 of the Price Act relating to agricultural products.

Republic Act 7581 or the Price Act was enacted to stabilize the supply and prices of basic necessities and prime commodities, to safeguard consumers against unreasonable price hikes and ensure fair practices within the market. — Catherine Talavera