The Department of Agriculture (DA) is backing a proposal from a House of Representatives panel to gradually raise the rice import tariff rate from 15 percent to 35 percent, emphasizing the need for a phased implementation.

During the recent House quinta committee hearing, one of the recommendations put forward was to restore the tariff rate to its previous level to protect local farmers from the influx of imported rice.

Agriculture Secretary Francisco Tiu Laurel expressed support for the proposal but stressed the importance of a gradual adjustment to minimize disruptions in the rice market.

He suggested, "Our recommendation is a step-by-step increase... eventually reaching the 35-percent duty," during the hearing.

Laurel cautioned that an abrupt hike in rice import duties could have adverse effects on global rice trade, potentially leading to higher rice prices.

As the largest rice importer globally, the Philippines significantly influences global rice prices through its demand, supply, and policy decisions.

The United States Department of Agriculture (USDA) has forecasted a surge in the country's rice imports to 5.5 million metric tons (MT) in the upcoming market year, surpassing the previous record of 4.8 million MT in 2024.

Laurel disclosed that he has advised the Tariff Commission to ensure any future increases in rice tariffs are phased in gradually to mitigate market impacts.

Last year, President Ferdinand "Bongbong" Marcos Jr. signed Executive Order (EO) No. 62, reducing rice tariffs from 35 percent to 15 percent to stabilize rice prices.

Under EO 62, the tariff rate undergoes review every four months.

The reduction in rice tariffs, coupled with measures like the maximum suggested retail price (MSRP), has led to lower rice prices, contributing to a decrease in inflation.

However, agricultural groups have raised concerns that lowering the tariff rate could jeopardize farmers' livelihoods by flooding the market with imported rice and causing substantial revenue losses for the government.

Laurel indicated that the government is likely to advocate for maintaining the 15-percent tariff rate in the upcoming review to prevent potential price spikes.

He emphasized the importance of aligning any tariff adjustments with the harvest seasons of the Philippines' major rice suppliers.