'Rice farmers to lose P33 B from lower tariffs'

Local rice farmers stand to lose P33 billion if the tariffs on imported rice are further reduced, as this is expected to translate to lower farmgate prices, an industry group said.

- JASPER EMMANUEL ARCALAS

The Federation of Free Farmers (FFF) expressed “vehement” opposition yesterday regarding the plan of the government to cut rice tariffs further to pull down retail prices of the staple.

The group said farmgate prices may decline by P3 per kilogram as a result of the “dumping” of imported rice in the wholesale market due to the P5 per kg reduction in tariff payments.

The group noted that the country harvests about 11 million metric tons (MMT) of palay or unmilled rice during the second half of the year, which is expected to be affected by the lower rice tariff rates. This, the FFF claimed, may lead to losses of P33 billion.