AMID rising food prices, President Ferdinand R. Marcos Jr. wants to ensure the country’s food security by removing non-tariff barriers for agricultural products.
The chief executive has issued Administrative Order (AO) No. 20, which instructed the Department of Agriculture (DA) to take the lead in streamlining administrative procedures and policies on the importation of agricultural products, and remove non-tariff barriers.
Malacañang said existing non-tariff barriers–policy measures, other than customs tariffs that restrict trade—have “unduly add to the cost of importation,” which led to the continued increase of domestic prices of agricultural commodities.
“It is imperative to further streamline administrative procedures to foster transparency and predictability of policies on the importation of agricultural products in order to help ensure food security, maintain sufficient supply of agricultural goods in the domestic market, and improve local production,” Marcos said in the four-page AO, which he issued through Executive Secretary Lucas P. Bersamin.
New guidelines
Within 30 days after AO 20 took effect on April 18, 2024, DA must come out with the guidelines to process the Sanitary and Phytosanitary Import Clearance (SPSIC) within the prescribed period in their Citizen’s Charter.
“All SPSIC applications not acted upon within the prescribed period shall be deemed approved pursuant to Section 10 of RA [Republic Act] No. 9485, as amended, provided that all documentary requirements have been submitted and all required fees have been paid as indicated in their Citizen’s Charter,” Marcos said in AO 20.
During the said period, the Sugar Regulatory Administration (SRA) will issue new guidelines on the classification or automatic classification of imported sugar as well direct importation of sugar by SRA-registered industrial users, subject to existing laws, rules, and regulations.
By next month, DA will also review and revise its existing quantitative restrictions policies on the importation of frozen fish and fishery/aquatic products for wet markets during closed and off-fishing seasons or during calamities.
The agency will also work with the National Economic and Development Authority (Neda) Committee on Tariff and Related Matters to facilitate importation of certain agricultural products beyond the authorized minimum access volume (MAV).
It will also take concrete steps to improve logistics, transport, distribution and storage of imported agricultural products.
The new issuance also tasked the Bureau of Customs (BOC) to prioritize the unloading and release of imported agricultural products subject to the provisions of RA 10863 or the “Customs Modernization and Tariff Act.”
Surveillance team
To ensure effective implementation of AO 20, Marcos sought the reconstitution of a surveillance team to be led by the DA, with the Department of Trade and Industry, BOC, Philippine Competition Commission, the Department of the Interior and Local Government (DILG), Department of Justice (DOJ), the National Bureau of Investigation, and the Philippine National Police (PNP).
The team will monitor importation and distribution of imported agricultural products; prevent price manipulation and other forms of unfair or uncompetitive commercial practices; implement remedial measures to address such unlawful acts; and create guidelines to facilitate information sharing among its members.
The DA, DTI, BOC, SRA and Department of Finance (DOF) are required to submit to the Office of the Executive Secretary and the Inter-Agency Committee on Inflation and Market Outlook (IAC-IMO) quarterly updates on the implementation of AO 20.
Earlier this month, the Philippine Statistics Authority (PSA) reported inflation quickened to 3.7 percent last month from 3.4 percent in February 2024.
State statisticians attributed the trend to Food and Non-Alcoholic Beverages, which contributed to 76.4 percent overall inflation in March.
Government economic managers and economists are keeping a close watch on the impact of the ongoing El Niño and geopolitical developments such as the war in the Middle East, which can worsen the country’s inflation in the upcoming months.
Image credits: Bernard Testa/BusinessMirror