Rice traders wait for lower tariffs as imports breach 2 MMT
Rice imports have already breached 2 million metric tons (MMT) as of July even as traders continue to wait for the Supreme Court’s decision on a petition to halt the implementation of reduced rice tariffs.
Shipments, primarily from Vietnam, totaled 2.44 MMT from January to July 25, data from the Bureau of Plant Industry showed. The volume already represents 67 percent of the 3.6 million MT of rice that entered the Philippines last year.July data presents a different story, however. Traders brought in 101,013.48 MT between July 1 and July 25, down by 35.65 percent from the 156,981.75 MT recorded last year.
Agriculture Assistant Secretary Arnel de Mesa had said the arrival of imported rice might pick up around August as traders continue to wait for developments on a petition filed by various agriculture groups to nullify Executive Order No. 62 before sourcing more from abroad.
Signed by President Marcos in June, the order imposes lower duties on rice and other agricultural products until 2028 to ensure continued supply of affordable food products. The tariff on rice was cut to 15 percent from 35 percent.
De Mesa, who is also the Department of Agriculture’s spokesman, said the bulk of imported rice with lower import duties would reach the retail level by next month, which might result in lower selling prices in public markets.
“It is possible that traders are waiting on a pending petition in the [SC] so our traders are adopting a wait and see attitude,” he said. Traders might still be unloading old stocks previously bought under higher tariff rates. INQ
