Extension of rice access pact seen

Philippine trade negotiators are firmly confident that all countries with interest in accessing our rice market would have endorsed by April the continued implementation of quotas over the next three years.

Agriculture Assistant Secretary Romeo Recide said in an interview that the negotiating team expects to wrap up next month talks on the quantitative restrictions (QRs) for Philippine rice imports.

Recide, who is co-lead negotiator for the Philippines, explained that the team is scheduled to meet with committee on trade in goods at the World Trade Organization on April 9.

The QRs are supposed to have expired in 2012 amid international efforts to break down barriers to free trade.

However, the Philippines was able to engage its trading partners in talks for an extension of five years to buy time for the domestic industry to be more competitive and for the country to achieve self-sufficiency in rice production.

Recide said the extension takes effect while negotiations are pending.

In 2013, China, India and Indonesia approved the continuing implementation of the quotas. Still ongoing are negotiations with Australia, Canada, the United States and Thailand.

As for Vietnam, a usual supplier of milled rice to the Philippines, Manila and Hanoi has a standing procurement agreement.

“We are very positive that we will acquire consensus with interested countries,” he said. “This will allow us to operate under a new quantitative restriction extension.”

The government has pushed back to end-2015 its goal for self-sufficiency in rice production even as agriculture officials renew efforts this year.

According to data from state economic managers, they want to “attain and sustain” food staples sufficiency such that by 2016, farmers should be producing 20.5 million metric tons of palay.

To make this possible, the government intends to invest over the next three years in irrigation systems for 1.89 million hectares of farm land, construction of 3,300 kilometers of farm-to-market roads, and 300 units of equipment such as combine harvesters, transplanters and dryers.

Moreover, the government intends to “calibrate” the volume of rice imports based on international commitments as well as possible production losses due to “extreme calamities.”

Based on the Philippines’ commitments related to global trade, the country must allow imports of at least 350,000 MT of milled rice yearly.