I had the opportunity to recently talk with a rice importer whose concern is whether the reduction in the tariff rate on imported rice could be "passed on" to end users. She estimates the reduction could be between five and 10 pesos per kilo.
Malacañang recently issued Executive Order No. 62 mandating the reduction of tarrif rates in certain commodities, including rice which will benefit a tariff rate reduction of 20% (from 35% to only 15%).
Importers normally have rice traders in their roll. The latter then distribute the commodity until it reaches the consumer through retailers.
We are talking with the DTI Provincial Office headed by OIC Provincial Director Jesse Abear and Consumer Protection Division Chief Engr. Angelo Devero, along with the rice importer on strategizing how the tarrif rate reduction will benefit the end user.
I am writing this not to preempt the implementation of what will be agreed upon, but primarily to inform the consuming public that the tarrif rate reduction must result in the reduction of rice prices by so much. By rice I mean regular milled and well milled rice.
Rice importers, like the one we have talked to, owe it upon the end users to ensure that the tariff rate reduction on imported well-milled and regular-milled rice would trickle down to the dining table of the end consumers who will very gladly welcome cheaper rice to their, rather, our homes.
