malaysiangMANILA: President Ferdinand R. Marcos Jr. is set to issue an executive order (EO) to calibrate the current tariff rates until 2028 as the government moves to ensure access and affordability of rice and other essential commodities.
In a Palace press briefing Tuesday, Socioeconomic Planning Secretary Arsenio Balisacan said Marcos, as chair of the National Economic and Development Authority (NEDA) Board, approved the new Comprehensive Tariff Program for 2024-2028 covering various agricultural and industrial products.
Among the products that will get a major reduction is rice, which will have reduced tariff of 15 percent duty rate for both in-quota and out-quota rates from 35 percent until 2028.
‘This decision aims to lower the price of rice further and make it more affordable,’ Balisacan said.
Based on the latest inflation report of the Philippine Statistics Authority, rice contributed about two percentage points (or over 50 percent) to the headline inflation.
Upward price pressures for rice, Balisacan said
, are driven by the effects of the El Niño phenomenon, as well as the increasing demand given the steadily growing population and economy.
Reducing rice tariffs is expected to bring down rice prices for consumers while supporting domestic production through tariff cover and increased budgetary support to improve agricultural productivity, especially as global rice prices remain elevated, the NEDA chief noted.
The NEDA Board also agreed to merge tariff lines on certain chemicals and chemical products, textiles, machinery, and transport equipment to simplify the tariff structure for more efficient customs administration and improve the ease of doing business.
Meanwhile, tariff reduction will likewise be implemented on certain chemicals and coal briquettes to improve energy security and reduce input costs.
The reduced tariff rates on corn, pork, and mechanically deboned meat under Executive Order 50, s. 2023, will be maintained until 2028 to ensure a stable supply of these commodities, help manage inflation,
promote policy stability and investment planning, and enhance food security.
Source: Philippines News Agency
