Manila - National Economic and Development Authority Secretary Arsenio Balisacan has defended the decision to lower tariffs on imported rice, a move aimed at ensuring affordable rice prices for Filipinos while controlling inflation and promoting economic growth.
According to Philippines News Agency, the reduction of the tariff rate from 35 percent to 15 percent was a decision made unanimously by the NEDA Board, chaired by President Ferdinand R. Marcos Jr., and was not undertaken lightly.
The tariff cut has been met with opposition from farmer groups, prompting calls for Balisacan's resignation. Balisacan expressed understanding of the concerns from the agriculture sector, highlighting the extensive consultations that preceded the tariff adjustment. The Tariff Commission, under the Customs Modernization and Tariff Act, engaged with 801 stakeholders starting from March 2023, including 192 from the agricultural sector, to gather insights before finalizing the tariff recommendations.
The Secretary further explained that recent data from the Philippine Statistics Authority indicated that rice prices significantly contributed to headline inflation over the past three months. The tariff reduction is expected to lower rice prices for consumers and support domestic production through enhanced budgetary allocations aimed at boosting agricultural productivity.
In addition to tariff adjustments, Balisacan underscored the Marcos administration's commitment to increasing agricultural productivity by addressing critical issues such as irrigation, logistics, marketing distribution, and access to farming inputs. He emphasized that enhancing productivity is crucial for improving the welfare of Filipino farmers.
Regarding the calls for his resignation, Balisacan stated that the decision rests with President Marcos, reaffirming his commitment to the country's welfare above personal considerations.