DA leaning towards slight, gradual rice tariff hike by June

Department of Agriculture (DA) Secretary Francisco Tiu Laurel Jr. is leaning towards recommending a slight and gradual increase in tariffs on imported rice during the next review in June.

This decision follows a notable decrease in the retail prices of imported rice, which are now between PHP40 to PHP45 per kilogram.

Current tariffs on imported rice were reduced from 35 percent to 15 percent in June 2024 under Executive Order (EO) 62, aiming to lower prices.

Secretary Tiu Laurel emphasized that a sudden return to the original 35 percent tariff from the current 15 percent would be risky and could shock the market.

Agriculture Assistant Secretary Arnel de Mesa noted that reverting to higher tariffs is timely as lower tariffs result in reduced funds for programs like the Rice Competitiveness Enhancement Fund (RCEF).

De Mesa also mentioned that the actual figures and timeline for the tariff increases have yet to be determined, but acknowledged that falling international market prices make the increase timely.