NEDA Board approves 15% reduction in rice tariffs

NEDA Board approves 15% reduction in rice tariffs

DURING the 17th NEDA board meeting, the Comprehensive Tariff Program for 2024 to 2028 was approved.

At a press briefing on Tuesday, NEDA Secretary Arsenio Balisacan stated that under the program, tariff rates on essential goods, including rice and carbon, will be lowered.

From 35%, the rice tariff has been reduced to 15% to achieve the target price range of p29 to p39 per kilogram for impoverished Filipinos.

“The NEDA Board agrees to reduce the duty rate to 15% for both inquota and outquota rates from 35% until 2028. This decision aims to lower the price of rice further and make it more affordable,according to Arsenio Balisacan, NEDA Secretary.

However, Balisacan clarified that the reduction of the rice import tariff to 15 percent will not immediately translate into a decrease in the price of rice in the market.

“Let me clarify: The P29 we’re mentioning is the target cost of rice for the poor, those who are targeted for the 4Ps, so it’s not a general price. Our concern is to help those who are least able to cope with the rice price,” Balisacan added.

The secretary also emphasized that it will take time for consumers to feel the effects of the tariff reduction, as an executive order is needed to calibrate the current tariff rates until 2028.

According to the latest inflation report from the Philippine Statistics Authority (PSA), rice contributed approximately two percentage points (or over 50 percent) to headline inflation.

Meanwhile, the NEDA Board maintained tariff coverage for various agricultural products, including sugar, vegetables such as onions, garlic, broccoli, carrots, cabbage, lettuce, sweet potatoes, cassava, coffee substitutes, complete feeds, and feed preparations.

The reduced tariff rates for corn, pork, and mechanically-deboned meat were also retained to ensure a stable supply of essential commodities.


Follow SMNI NEWS in Twitter

Follow SMNI News on Rumble