The potential for the Philippines to top China as the world’s largest rice importer has scandalized local farm groups who said on Thursday this was not something to be proud of.
The peasant group Kilusang Magbubukid ng Pilipinas (KMP), the National Network of Agrarian Reform Advocates-Youth (NNARA-Youth) both urge government to take immediate action.
This had to do with the United States Department of Agriculture (USDA) forecast saying the Philippines is bound to become an even bigger rice importer than China which looks to import 3.5 million metric tons (MT) by next year.
According to USDA projection, the Philippines were to import 300,000 MT more rice than China when the country procures 3.8 million MT of the staple in 2024.
It said this was partly on account of local traders’ decision to delay rice imports in hopes of obtaining a more favorable price.
Danilo Ramos of the KMP said this was one instance in which getting top rank is actually “very bad for farmers, consumers and the entire economy.”
“This is nothing to be proud of. We are an agricultural country and yet we are set to become the world’s top rice importer. Just as we warned four years ago, the Rice Liberalization Law led us to this state of food insecurity,” Ramos said.
He said everyone, particularly agricultural stakeholders, insist for rice imports to stop as rice farmers always end up at the losing end of the bargain as palay prices drop with each instance of rice imports.
“Importation will never be the solution to the rice crisis. Importation and agricultural trade liberalization contribute to chronic problems besetting the domestic rice industry,” he emphasized.
KMP quoted IBON Foundation findings the economy suffers from rice imports as the agricultural trade deficit widens under record-high global rice prices and the weak peso.
IBON Foundation said the agricultural trade deficit of $11.8 billion is the largest in recorded history. This trade imbalance of $2.8 billion in the first quarter this year steadily rises from levels obtaining since 2020.
The National Network of Agrarian Reform Advocates-Youth (NNARA-Youth), said President Ferdinand Marcos Jr. should already appoint a full time Cabinet member at the Department of Agriculture (DA).
Marina Cavan, NNARA-Youth spokesperson, said it is also untrue that the country is not capable of being self-sufficient in its demand for rice.
“If the government is sincere in supporting local production, local farmers can produce all of our needs in terms rice and other agricultural products. The Rice Industry Development Act has long been proposed but it is not supported by Marcos Jr. and his supporters in Congress,” Cavan said.
Data from the Bureau of Plant Industry, as much as 2.33 million MT of imported rice arrived on 7 September, the bulk of which, or 2.09 million MT, were from Vietnam.
In August the USDA reported rice prices in Vietnam rising by $31 to $643 per ton.
Latest DA monitoring of public markets in the National Capital Region show the price of local well-milled rice selling from P45 to P48 per kilo and the regular milled variety selling from P40 to P45 per kilo.
The price of imported well milled rice also sell for P45 per kilo but the price of imported regular milled was not available.
Imported special rice sell from P53 to P60 per kilo and for P53 to P58 per kilo for premium.
Special local rice sell from P54 to P62 per kilo and premium for P50 to P60 per kilo.
