Implementation of tariffs on rice imports starts on March 5

February 19, 2019

The Department of Finance (DOF) has clarified that the implementation of tariffs on rice imports will begin on March 5 as provided under the Rice Tariffication Law. 

Under Republic Act (RA) 11203 or the Rice Tariffication Act, this law will become effective 15 days after its publication in the Official Gazette or in a newspaper of general circulation. RA 11203 was published in the Official Gazette on Feb. 18. 

Assistant Finance Secretary Antonio Joselito Lambino II said that counting from Feb. 18, the shift from quantitative restrictions (QRs) to tariffs on rice imports should begin on March 5. 

“What is important is that President Duterte signed the law on Feb. 14). And so if we count from the date of publication, which was Feb. 18 on the Official Gazette's website, then the Rice Tariffication Law, the main parts of it, come into effect on March 5 of 2019," said Lambino, who is also the DOF spokesperson, in a press briefing in Malacañang. 

During the meeting of the National Food Authority (NFA) Council on Feb. 18, Lambino said the members assumed the publication of the law was done on Feb. 15, hence, they agreed imposing tariffs on rice imports should start on March 3.

Lambino pointed out during the Palace briefing that liberalization of rice imports is expected to cut retail prices of the staple by P2 to P7 a kilo, a consumer-friendly development that will benefit most Filipinos, including farmers who are net consumers of rice.

He said the Bangko Sentral ng Pilipinas (BSP) projects that lower rice prices will cut the inflation rate by 0.6 percentage points.  

With the entry of imports, Lambino said the government expects to generate P7 billion to P11 billion in tariffs in the first year of this law's implementation. 

The law provides for a Rice Competitiveness Enhancement Fund (RCEF) for programs to boost the productivity and global competitiveness of Filipino farmers, he added. DMS