Senator urges Congress to reclaim rice tariff powers

Senator Risa Hontiveros on Tuesday called on Congress to urgently revoke the Executive’s authority to cut rice import tariffs, warning that the continued flood of cheap imported rice under Executive Order No. 62 is pushing Filipino farmers into crisis and threatening the country’s domestic rice production.

Hontiveros and Senator Francis Pangilinan are leading the push for the passage of Joint Resolution No. 2, which would withdraw the President’s delegated power to unilaterally adjust tariff rates, a move granted under Section 1608 of the Customs Modernization and Tariff Act (CMTA).

“EO 62 may have been issued under delegated authority, but its effects have been devastating to our farmers,” Hontiveros said.

She warned that the steep reduction in rice import tariffs—from 35% to 15%—has led to a surge in cheaper foreign rice flooding local markets, depressing farmgate prices and leaving farmers unable to cover their production costs.

“Bumaha ng imported na bigas at dahil sa mababang presyo nito, labis na naapektuhan ang kanilang kabuhayan,” she said. “Congress must withdraw that power or there may be no harvest by October. Farmers will refuse to plant, knowing they’ll only incur losses.”

The Philippines imported a record 4.8 million metric tons of rice in 2024, making it the world’s largest rice importer, according to Hontiveros.

This surge coincided with the implementation of EO 62 in June 2024, just before international rice prices collapsed.

“At the time EO 62 was signed, Thai 5% broken rice was at USD 632 per metric ton,” she said. “Today, it’s just USD 419. That’s a 33% drop on top of the tariff cuts. It’s a perfect storm for our farmers.”

Citing data from the Philippine Statistics Authority, Hontiveros noted that palay (unmilled rice) prices dropped to just PHP16.90 per kilogram in June 2025, compared to over PHP24.90 in the same month last year.

This sharp decline puts prices dangerously close to—or even below—the average production cost of PHP13.38/kg in 2023, excluding additional post-harvest expenses such as drying, transportation, and storage.

“Sa Mindoro at iba pang probinsya, halos wala nang kinikita ang ating mga magsasaka. They are planting at a loss,” she said. “If this continues, many will simply stop planting. Why invest when they know they can’t recover their costs?”

The senator also criticized what she described as a lack of urgency from government agencies in evaluating EO 62’s impact or laying out a plan to reverse the tariff cuts.

“During budget deliberations, I repeatedly asked the National Economic and Development Authority (NEDA) for concrete mechanisms to evaluate EO 62 and possibly raise tariffs again to protect our domestic producers,” she said. “So far, we’ve heard nothing firm. Our farmers remain in limbo.”

Hontiveros underscored that tariff-setting is a constitutional function of Congress under Article VI, Section 28(2) of the 1987 Constitution, and that while the CMTA grants the President temporary adjustment powers, Congress retains the authority to rescind them through a joint resolution.

Section 1608(f) of the CMTA explicitly allows Congress to withdraw this delegated authority, providing the legal basis for Joint Resolution No. 2.

“Passing this Joint Resolution is a critical step to correct a policy that has proven detrimental to our food producers,” Hontiveros said. “I call on my colleagues in the Senate and House to convene caucuses and prioritize this issue. Hindi na natin ito pwedeng ipagpaliban pa.”

The appeal comes amid growing concern in the agriculture sector that if the government fails to address plunging farmgate prices and implement safeguards, the country’s food security could be at risk due to discouraged rice farmers abandoning their fields.

Agricultural stakeholders have long argued that while imports help stabilize consumer prices, they must be balanced with support for local producers—especially in a country where over 10 million Filipinos rely on agriculture for their livelihood.

Economists also warn that unchecked reliance on rice imports could increase the country’s vulnerability to external supply shocks, such as export bans or climate-driven shortages in major producing countries.