Connect with us

Hi, what are you looking for?

News

Farmers reject proposal to extend low-tariff scheme for food imports

REUTERS

THE Federation of Free Farmers (FFF) said the government should not extend Executive Order (EO) No. 171, which temporarily lowered tariffs on food imports, and instead address the domestic production side of boosting the food supply.

“It will be ironic and tragic if our government ends up listening to them instead of its own farmers,” Raul Q. Montemayor, FFF national manager said via chat in response to a request to comment on the extension of EO 171, which was supported recently by various foreign chambers of commerce.

“It is hypocritical and self-serving for (foreign chambers) to ask us to lower our tariffs and open our markets to sensitive commodities while they restrict or use distortive measures to block other countries’ exports,” he added.

EO 171 lowered tariffs temporarily on imports of corn, rice, pork, and coal. The EO, issued as an inflation-control measure, expires on Dec. 31. It was signed in May by former President Rodrigo R. Duterte.

On Dec. 2, the American Chamber of Commerce of the Philippines, Canadian Chamber of Commerce of the Philippines, and the European Chamber of Commerce of the Philippines issued a joint statement urging the government to extend the validity of EO 171 until 2023, saying that an extension would help address surging food prices.

According to the three foreign chambers, the extension of EO 171 is needed to address inflation, which accelerated to 7.7% in October from 6.9% in September.

“Inflation has a major impact not only on the cost of doing business, but more dramatically on the expenses of Filipino households who ultimately bear the cost of rising prices. The impact is sharpest for those living near or below the poverty line. It is estimated that the poorest percentile of Filipino households spend up to 60% of their income on food, which has been a major driver of inflation these past months,” the three chambers said.

Mr. Montemayor noted that the US and European farm industries are highly protected, with those governments “pouring in billions of distortive subsidies to support their farmers and using various non-tariff measures to control imports. Canada employs a supply management scheme that controls imports through quotas.”  

“This (EO 171 extension) issue is a crucial indicator of where policy direction is really leading to and whether (President Ferdinand R. Marcos, Jr.) is really serious in promoting local production over imports,” he added.  

EO 171 imposed a 35% tariff on all rice imports, bringing other supplier countries in line with the rate charged Southeast Asian suppliers. Pork imports within the minimum access volume quota are charged 15% instead of 30%, while pork outside the quota pays 25% instead of 40%.

The order also lowered the tariff corn imports within the quota to 5% from 35% and out-of-quota corn imports to 15% from 50%.

The order also lowered the duty on coal imports to zero from 7%. — Revin Mikhael D. Ochave

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

News

REUTERS/JOHANNES P. CHRISTO/FILE PHOTO SINGAPORE/WASHINGTON – The International Monetary Fund on Tuesday raised its 2023 global growth outlook slightly due to “surprisingly resilient” demand...

News

MVGS founding partners Attys. Eduardo A. Martinez, Manuel Z. Gonzalez and Mark O. Vergara By Angela Kiara S. Brillantes Despite the past years under...

News

Customers of Smart Communications, Inc. (Smart) and value brand TNT may go to SM Supermalls across the country to register their SIMs and comply...

News

Photo from pco.gov.ph Food is a basic human necessity, and everyone needs food to live. However, providing enough food security and, moreover, nutrition security...

News

The World Economic Forum (WEF) concluded its Annual Meeting for this year last Jan. 20, after a five-day convention of government and business leaders...

News

MVGS founding partners Attys. Eduardo A. Martinez, Manuel Z. Gonzalez and Mark O. Vergara By Angela Kiara S. Brillantes Despite the past years under...

You May Also Like

News

COVID-19 has had a significant impact on the mental health of Filipinos across different groups all over the archipelago. From frontline workers, parents balancing...

News

REUTERS By Luz Wendy T. Noble, Reporter The country’s foreign exchange buffers slightly increased as of end-October as the value of the central bank’s...

News

BW FILE PHOTO GROSS BORROWINGS by the National Government reached P2.6 trillion as of end-September as it continued to raise funds to respond to...

News

KARASOLAR.COM TENA, Ecuador — Ecuador’s rainforest Achuar people say their ancestors long dreamed of a “fire canoe” or “electric fish” that would let them...

Disclaimer: Respect Investment.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2022 Respect Investment. All Rights Reserved.