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Philippines makes U-turn on rice import suspension, but will tighten rules

Published 11/21/2019, 01:29 PM
Updated 11/21/2019, 01:32 PM
© Reuters.  Philippines makes U-turn on rice import suspension, but will tighten rules

MANILA, Nov 21 (Reuters) - The Philippines will not suspend
rice imports but will tighten food safety measures to control
the entry of cheap grain that is hurting incomes of local
farmers, the agriculture chief said on Thursday.
Agriculture Secretary William Dar made the announcement
after a meeting with President Rodrigo Duterte, who had ordered
the suspension of rice imports after purchases surged, making
the Philippines the world's top buyer this year. Duterte had wanted the suspension implemented during local
harvest season, but its legality is unclear because he signed a
law in February lifting curbs on importation of the grain.
His economic team is also against reinstating rice import
restrictions, the removal of which helped rein in inflation that
last year had quickened to the highest in nearly a decade.
Dar said Duterte has instead issued a directive for the
Department of Agriculture, through its Bureau of Plant Industry,
to strictly implement the issuance of sanitary and phytosanitary
import clearance.
"The agency will conduct pre-inspection at the point of
origin of imported rice stock to ensure rice quality and safety
for consumers and at the same time protect the spread of crop
pests and diseases," he told reporters.
The Philippines, which often buys rice from southeast Asian
neighbours Vietnam and Thailand, has imported 2.9 million tonnes
this year, more than double the annual average in recent years
and dislodging China from the top spot among importers.
Rice imports surged after Manila lifted a two-decade-old cap
on annual purchases to replace it with tariffs at levels critics
called insufficient to protect farmers.
"He (Duterte) said that the Rice Tariffication Law will be
pursued to provide affordable and quality rice to all
Filipinos," Dar said.
Farmgate rice prices have fallen more than 20% over the last
nine months as a result of increased domestic supply.
Dar said strict food safety requirements had, in fact,
helped reduce the volume of rice imports to 85,000 tonnes in
October from a monthly average of 254,000 tonnes in the first
nine months.
To ensure Filipino farmers are able to sell and make a
profit from their produce, Duterte has ordered state agency
National Food Authority to double the country's emergency rice
buffer stock to 30 days of supply by buying more from local
producers, Dar said.



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