Pictures, unless doctored, will never lie and these two photos attached to this article show the real prices of rice before and after the implementation of the Rice Tariffication Law.
The first photo shows the current prices of rice in the market in Metro Manila published by the Philippine Star while the second photo was taken in a market in Cabuyao, Laguna by the Manila Times in Oct. 2018, shortly after the fake rice crisis in July, August and September of the same year.
These contrasting images show that the P7 per kilo reduction in the price of rice in the market as promised by the proponents of the RTL never happened.
No amount of “data picking” by the apologists and defenders of the RTL could refute the fact that the projected reduction in rice prices in the market was a big bust.
Let me just emphasize that I am not against the importation of rice simply because admittedly we have a supply shortfall of about 1.2-million metric tons every year and the Philippines has a commitment to the World Trade Organization to allow the entry of imported rice.
Bakit nagkaganito ang resulta ng RTL samantalang ang pangako ng mga Economic Managers na nagtulak sa panukalang batas kay Pangulong Rodrigo Duterte ay ganito:
1. Babagsak ang presyo ng bigas sa palengke ng tinatayang P7 per kilo kapag may RTL at ang mga mamimili ay matutuwa at makikinabang;
2. Gaganda at uunlad ang industriya ng palay sapagkat ang P10-B na makokolekta sa tariff ay ibubuhos sa rice industry upang matulongan ang mga magsasaka na mapataas ang kanilang ani.
Ang teoriya ng mga Economic Managers ay kapag binaha mo ng bigas ang merkado, babagsak ang presyo dahil sobra-sobra ang supply.
The Economic Managers failed to realize that the rice industry is controlled by big and rich businessmen who had been in the business for ages and they are sometimes referred to as the Rice Cartel.
Malamang hindi rin alam ng mga RTL proponents na tatlong klase ang bigas: Regular Milled o 25% Broken na pinakamura at puedeng ibenta ng P30/kilo, Well-Milled or 15% Broken sold at P40 or lower and the Premium Rice which has a price range of between P45 to P60.
Kung gusto mong pababain ang presyo ng bigas sa merkado, dapat 25% or 15% Broken ang i-import para maibenta ng mababang presyo, P35 to P38 per kilo.
Ang problema, manipis ang tubo sa 25% or 15% broken samantalang ang Premium Rice tulad ng Jasmine ng Thailand at Long Grains ng Vietnam, ay napakaganda ng quality at naibebenta ng hanggang P60 to P70 per kilo at malaki ang tubo ng mga importers and rice traders.
This is not to demonize Rice Importers and Traders but the reality is that these people are businessmen. They are not philanthropists.
Since free-for-all na ang importation at pati National Food Authority ay wala nang regulatory powers, the Importers and Traders imported the Premium Rice which gave them huge profits.
So, ang nangyari, instead of bringing down the price in the market, lalong tumaas ang presyo kasi puro Premium Rice ang binebenta.
Since malaki ang tubo nila sa Imported Premium Rice at walang risgo, hindi na sila masyado namimili ng mga local rice kasi magbibilad pa sila at maggigiling pa.
Sa imported Premium Rice, isang tawag lang ng celphone, darating ang stocks naka-container at nakalagay sa makukulay na bag na puedeng deretso na sa kanila mga distributors and retailers sa probinsya.
Ang resulta, bumagsak ang presyo ng palay ng local rice farmers dahil walang incentives ang mga traders na mamili and the risk is very high since they will have to dry and mill the palay.
Ano ang puedeng gawin?
Sa problemang ito, dapat talagang repasuhin ang RTL because while in theory it is a good program, it did not consider realities on the ground and the control by businessmen of the rice industry which allows them to hoard and manipulate prices, especially since the NFA no longer has regulatory powers over them.
Here are the solutions:
1. There should be tariff adjustments which would give very low tariff on regular and well milled rice and a very high tariff on the Premium Rice. This way, may incentive ang importers ng 25% at 15% Broken at bababa ang presyo sa palengke;
2. The regulatory powers of the NFA over the rice industry should be restored so they could check on the classification of the imported rice. Hindi puedeng hindi makialam ang gobyerno sa production, trading and marketing of our staple crop;
3. To satisfy the craving of consumers for Premium Rice, Filipino rice farmers should be assisted by government to produce such varieties as RC-160, Denorado, Double Diamond or outstanding Hybrids such as SLH20, US 88 and others. Modern rice processing complexes like the Chin Ye Rice Complex in Alang-alang, Leyte should be established in key areas to produce good eating quality premium rice.
The result of these modifications in the RTL would be the avalability of affordable rice in the market as low as P30 per kilo while the Filipino rice farmers will benefit from the production of the Premium Rice.
This is reality as against the theory presented by the proponents of RTL.
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