Rice Nation

By Dick Martinez

In 1997 the landmark case of Tanada v Angara was decided upon by Justice Panganiban
in order to determine the constitutionality of a World Trade Organization agreement. The aim
was to open the Filipino market to foreign partners by lowering the tariffs on their exports,
focused mainly on the agricultural and industrial products. This would create an avenue for new
opportunities for foreign investments in the country. The contention was that the said
Agreement runs contrary to Section 19, Article II of the Constitution, otherwise known as the
Filipino First policy. It was raised that the approval of the same would gravely curtail the local
businesses, causing the country to rely on foreign trade to survive.
Every student should know by now that the Supreme Court decided in favor of the WTO
Agreement. Its interpretation of the constitutional provision is that there is no mandate for the
Philippines to completely be self-reliant, that what is required under the 1987 Constitution is to
allow the Filipino business merely the opportunity to be able to compete with the foreign
importers.
Over twenty years has passed, and the Philippines faces one of the most dumbfounded
problems it has ever faced. Even though we’re a country of rice consumers, even though we
have vast lands, even though these vast lands produce millions of metric tons of palay per year,
even though those millions of metric tons of palay become millions of metric tons of rice, we
are facing a rice crisis, and who are getting the grunt of it? Our farmers.
RA11203 or The Rice Tariffication Act was passed in February of this year. The law lifted
the restrictions on the quantitative importation of rice into the country. Since then, it is
reported that the price of rice has plummeted, leaving the Filipino farmer no choice but to
lower their prices, some even to P7.00 per kilo although it costs them P12.00 per kilo to plant
and harvest. This has caused our farmers their livelihood, drastically worsening their economic
situation and leaving them with mere scraps to live on while most of their income is lost due to
reduced prices and the loan settlements they had to incur just to finish the harvest season.
Last August 28, a Wednesday, I had the opportunity to attend the first forum held by the
Makabayan Bloc in the House of Representatives wherein several the country’s legislators were
invited. It was during this instance that the local farmers were first able to share their plight
with the Eighteenth Congress. As they pleaded their case, continuously bombarding the
legislators with numbers pulled from the studies on the consequences of the Rice Tariffication
Act to their livelihood, you could see the desperation in their eyes. There was no doubt that
these farmers were disgruntled yet left helpless by the new law.
Since the law was passed thousands of rice farmers have gone out of business. Neither
were the rice mills saved from this crisis. The rice industry is slowly being paralyze by the
RA11203. Although the farmers admitted to the existence of the P10-Billion Rice Competitive
Enhancement Fund aimed at helping them improve productivity and remain competitive they
said that access to the fund was limited as many local farmers do not even have bank accounts
in order to contract the proper loan. In fact, it was raised that the Rice Tariffication Act should
be repealed as it has obviously dampened the local rice market to the detriment of our local
farmers.
Almost every day the solution to the rice crisis gains new mileage on its tracks as more
and more citizens, farmers, and legislators join the cause. The question becomes whether or
not the Rice Tariffication Act should be repealed. In an article written by Rev. Fr. Antonio
Pascual in the Business Mirror he questioned who benefits from the rice tariffication law, the
poor farmers or the businessmen importing rice? Let’s go back, what was the reason for the
passage of the law? To address the shortage of affordable rice. Did the law succeed with regard
to this matter? YES. At what cost?
After just seven months the holistic ramifications of the law has reared its ugly head.
Although the ordinary consumer saves a couple pesos per kilo of rice, the large-scale impact of
the rice crisis has left the whole country dismayado and lugi. As one of the most basic
commodities of the Philippines, rice plays a vital role in Filipino culture. Whether it be
breakfast, lunch, merienda, dinner, appetizer, main course or dessert there’s rice. It’s ironic, if
not pathetic, that RA11203 led to the collapse of the very industry it seeks to protect. Taking in
mind the interpretation of the Supreme Court in the settled jurisprudence on the Filipino First
policy, is it time to repeal the Rice Tariffication Act? Has it not curtailed the rice industry of the
Philippines to the point that there is no competition between our local farmers as against the
foreign importers? Is the P10-Billion measure enough to say the contrary?
Section 19, Article II states that The State shall develop a self-reliant and independent
national economy effectively controlled by Filipinos. In the discussion of self-reliance and
independence it was interpreted that the 1987 Constitution merely frowns upon foreign
competition that is unfair. Can’t we say that the consequences of the lifting of the tariffs on the
quantitative importation of rice has led to unfair foreign competition?
It’s high time that the government see the gravity of this rice crisis and conclude the
Rice Tariffication Act unconstitutional. In the short time the law has been enacted our country
has experienced tremendous loss. This must not be left continued, otherwise, where would we
end up?