The Department of Agriculture (DA) on Tuesday said that the proposed increase in rice import tariffs would offer only temporary relief and must be coupled with amendments to the Rice Tariffication Law (RTL) to provide sustainable support for local rice farmers and stabilize prices.
DA Secretary Francisco Tiu Laurel Jr. also stressed the need to restore the regulatory powers of the National Food Authority (NFA), allowing it to actively manage rice supply, release buffer stocks, and influence market prices. “This will give the DA access to more granular data on consumption and regional supply, helping us formulate better-targeted policies,” he said on Tuesday.
Laurel explained that enabling the NFA to resume selling rice bought from local farmers would also free up storage capacity, facilitating further palay procurement. He noted that producing one sack of rice requires the agency to purchase roughly two sacks of palay.
The DA reiterated its concern over plummeting palay prices amid record-high production levels, prompting consideration of suspending rice imports and increasing tariffs. Currently, rice import tariffs stand at 15 percent under Executive Order No. 62, but the DA is advocating for a gradual increase to 25 percent and eventually 35 percent to manage import volume, protect farmers, and raise revenue for agricultural programs.
Local agriculture groups have called for the reinstatement of higher tariffs—35 percent for ASEAN imports and 50 percent for non-ASEAN sources—warning that cheaper imports have pushed palay buying prices as low as P8 to P10 per kilo, below the production cost of P12 to P14 per kilo.
According to DA market monitoring on August 4, local well-milled rice was sold at P37 to P52 per kilo in NCR public markets, while imported varieties ranged from P30 to P50 per kilo, underscoring the pricing pressure faced by local producers.
Rep. Mark Enverga, House agriculture committee chairman, has reportedly backed proposed RTL amendments, which the DA sees as crucial for long-term rice sector reform. Laurel said that any tariff adjustments must balance farmer protection with consumer access to affordable rice.
Presidential sister and Sen. Imee Marcos first advanced the idea of increasing the import tariff on rice in 2019 to address the awfully low price of palay that has rice farmers agitated and clamoring for greater protection from the government.
