DA to give P19.9B excess rice tariffs as cash aid to farmers by November

MANILA, Philippines – The Department of Agriculture (DA) will distribute excess tariff revenues collected from rice imports back in 2023 by November this year, playing catch-up after a year of delay.

Currently, the DA is finishing distribution of the excess rice tariffs from 2022, said DA budget sponsor Iloilo 1st District Representative Janette Garin.

“And for the fourth quarter of fiscal year 2024, they will be distributing the excess tariff of 2023,” Garin said during the House plenary hearing on Monday, September 23. “That’s P19,927,318,343.”

Under the law, P10 billion in tariff revenues the government gets from rice importations is used for the Rice Competitiveness Enhancement Fund (RCEF).

When revenues exceed the P10 billion earmarked for RCEF, a portion of the excess will be released to farmers as cash aid.

This is supposed to be the compensation “for the projected reduction or loss of farm income arising from the tariffication of the quantitative import restrictions on rice.”

The problem had been about how farmers experience delays in getting the financial assistance.

“Ito na lang ‘yung direktang ayuda na makukuha ng mga magsasaka sa ngayon sa batas, sa gitna ng patuloy na importasyon, krisis, at kawalan ng budget para sa direct assistance at production subsidy,” said House assistant minority leader Arlene Brosas said during plenary.

“Ngunit hanggang ngayon hindi pa mabilisang maibigay ng mga gobyerno sa mga magsasaka.”

(This is the only direct cash aid that farmers get under the law, amid unceasing importation, crisis, and loss of budget for direct assistance and production subsidy. But until now, the government can’t even give this to farmers fast enough.)

Garin attributed the delay to the Development Bank of the Philippines (DBP). “’Yung delay na ‘yun ay because of DBP…. Ngayon ay hindi na ‘yun ginagawa.” (The delay is because of the DBP. That’s not being done now.)

“That is why by the end of November of this year, all of the excess tariff in 2023 will have to be distributed,” the lawmaker said.

Aside from direct cash assistance, the excess revenues will be used for the titling of agricultural rice lands, extended crop insurance, and crop diversification. – Rappler.com