THE Samahang Industriya ng Agricultura (SINAG), filed a Temporary Restraining Order (TRO) in court to challenge the implementation of Executive Order No. 62 that aims to reduce rice tariffs.

The order, issued by President Ferdinand Marcos Jr., seeks to lower the current 35% tariff on rice to 15%.

According to SINAG’s founder, Engr. Rosendo So, the Executive Order was not subjected to consultation with the Senate and House of Representatives and the Constitution also stipulates that when adjusting tariffs by 15%, the National Economic and Development Authority (NEDA) must convene and the tariff commission must hold hearings to allow opposing and supporting positions to be presented.

In an interview over Aksyon Radyo Pangasinan, So said the recent meeting involving SINAG discussed maintaining the 35% tariff and highlighted the disadvantages of EO No. 62 to farmers.

If the tariff is reduced to 15%, more imported rice will flood the market, forcing small-scale farmers who produce only 3 to 3.5 tons (below their production cost) to stop planting. This reduction in planting area would harm local farmers.

The expected collection of 40 billion pesos from tariffs this year will decrease by 20 billion pesos. Tariff collections are crucial for supporting farmers, but So emphasizes that funds cannot be easily drawn from a single sector, as suggested by NEDA.

So insists that NEDA should focus on addressing retail price reductions rather than imposing a drastic percentage cut in rice tariffs.

Currently, the farm gate price for fresh palay (unhusked rice) stands at 17 pesos. SINAG expresses concern that the government’s response has been limited to collecting tariffs, rather than providing additional funds directly to farmers.

If the court does not grant the TRO, So said that SINAG plans to engage in further discussions with the government to ensure their voices are heard. (Ahikam Pasion)

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