PRESIDENT Marcos’ sister in the Senate opposed on Tuesday a proposal to give the National Food Authority (NFA) power to directly import and sell rice, saying it has not been able to fulfill its mandate of ensuring a buffer stock of rice for 60-90 days.
“Until the NFA can fulfill its mandate to maintain buffer stocks of up to 60-90 days, let us not talk about giving it more power, the Department of Agriculture should handle these warehouses,” Senator Maria Imelda “Imee” R. Marcos, speaking in Filipino, said at the Senate hearing on the matter.
“It is up to you (DA) to take up the cudgels for all who attempt to cartelize and otherwise limit the use of warehouses.”
At the same hearing, Agriculture Secretary Francisco P. Tiu Laurel, Jr. said allowing NFA to intervene in the rice market would help correct price disparities of agricultural products.
He also pushed for the extension of the Rice Competitiveness Enhancement Fund (RCEF) under the Rice Tariffication Law (RTL), to support farmers’ livelihoods through modern farming technology.
“The RTL has leveraged tariff revenues to fund critical initiatives that have brought transformative changes to our agricultural landscape,” he said. “Notably the provision of high-quality seeds and modern machinery through the RCEF has led to a remarkable increase in rice yields and a reduction in production costs.”
The law, which was enacted in 2019, deregulated rice imports, allowing private parties to import a tariff of 25% on grain brought in from Southeast Asia.
It also established the RCEF, which is intended to modernize the rice industry and is funded by import tariffs generated from the RTL.
Rosendo O. So, chairman of the Samahang Industiya ng Agrikultura (SINAG), said at the same hearing that the NFA does not need additional power or the authority to import rice.
“Last year, the NFA did not use its P8 billion palay procurement budget, so they have a budget of P17 billion this year,” he said.
SINAG is also pushing for RCEF to have a budget of P30 billion, which would support the supply of inbred rice seed, rice farm machineries, rice milling industry development fund, rice credit assistance, rice extension services, and cash assistance to farmers tilling three hectares and below.
The House Committee on Agriculture and Food and Ways and Means last week approved proposals to allow the NFA to sell rice to retailers and to increase the funding of RCEF to P15 billion from P 10 yearly. — John Victor D. Ordoñez
