EDITORIAL – Unfair competition
If the government truly wants to end the country’s dependence on imports for food and boost local production of rice and other crops, it should wage a relentless campaign against smuggling. Few crops grown domestically can compete with the prices of smuggled items, especially when these are in volumes huge enough to flood the market. In the past years, rampant rice smuggling reduced local farmers’ profit margins so much that the farmers started losing interest in tilling the land.
The other day Customs officials announced the interception of shipments of ginger and mushrooms smuggled from
Yesterday Malacañang warned the public about the possibility of bird flu from smuggled poultry products. But once a smuggled item hits the market at prices much lower than local counterparts, it is nearly impossible to recall the contraband.
The flood of cheap imports and smuggled goods may be good for the consumer, who naturally wants the best value for every buck. But free trade and unfair competition from smuggling have taken a heavy toll on the agriculture sector. Even rich countries are protecting their farmers not only to save livelihoods but also for national food security. If consumers prefer cheaper imports to local products, there is little incentive to maintain farms.
Rampant smuggling persists because some of the biggest smugglers in the country enjoy the protection of powerful individuals. There is a continuing purge in the Bureau of Customs, and a special group beyond the control of the bureau is going after smugglers and their coddlers. But the campaign against smuggling cannot succeed as long as certain individuals with the right connections remain beyond the reach of the law.
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