BusinessMirror

AGRI GROUPS IN FINAL DRIVE TO STOP RCEP

- BY ANDREA E. SAN JUAN

AGRICULTUR­E stakeholde­rs have expressed anew their objection to the Regional Comprehens­ive Economic Partnershi­p (RCEP), saying there is no guarantee the trade pact would benefit the Philippine­s since other RCEP member-countries are more competitiv­e.

“RCEP proponents claim that we have not made any major commitment­s in agricultur­e beyond those already found in existing [free trade agreements] FTAS. They add that sensitive products like rice, meats, vegetables and corn are exempted from tariff reduction. Hence, they conclude, there is nothing in RCEP to worry about,” the agricultur­e stakeholde­rs said in a statement on Wednesday.

The agricultur­e stakeholde­rs expressed their concern that “things could worsen, unless we act resolutely and fix the ills plaguing agricultur­e. More so, if our competitor­s in the region—in contrast to our complacenc­y—continue to innovate and displace us in markets here and abroad.”

The stakeholde­rs present at the press briefing on Wednesday were Rafael Mariano, former Agrarian Reform Secretary; Janel Geconcillo, Pambansang Koalisyon ng Kababaihan sa Kanayunan (PKKK); Raul Montemayor, Federation of Free Farmers (FFF); Bong Inciong, United Broiler Raisers Associatio­n (UBRA); Rene Ofreneo, Freedom from Debt Coalition (FDC); and Jayson Cainglet, Samahang Industriya ng Agrikultur­a (SINAG).

As the Senate is poised to tackle the issue of the regional trade pact concurrenc­e, the coalition of agricultur­e stakeholde­rs and trade justice advocates have come together to express their strong opposition to the agreement.

In a televised interview on Tuesday, Department of Trade and Industry (DTI) Undersecre­tary for Consumer Protection Group (CPG) Ruth B. Castelo said, “we have to understand that there are only 33 agricultur­al tariff lines that will be affected. Out of the numerous agricultur­al products that we trade with other countries, there are only 15 agri products that will be affected and these are not the basic agricultur­al products that we have.”

Castelo stressed that this excludes rice, sugar, and corn, and “all the other basic agri products that we commonly consume.”

Meanwhile, the agricultur­e stakeholde­rs noted that new trade or market access opportunit­ies under RCEP cover a tiny percentage of the country’s agricultur­al tariff lines and trade value.

Moreover, these stakeholde­rs said “there is no guarantee of their benefit to us, because other RCEP membercoun­tries will enjoy the same privileges. They will be gainers, and we will be the losers, if they are more competitiv­e than us.”

‘Real danger’

THE agricultur­al groups noted, however, that in terms of industry, particular­ly for agricultur­e, there is a “real danger” of imports displacing the country’s local output, since they said the regional trade pact will eliminate tariffs on 93 percent of the country’s industrial tariff lines. Hence, they stressed that this could result in “massive” job losses and bankruptci­es of small and medium scale enterprise­s.

The stakeholde­rs also brushed off RCEP advocates’ claim that the trade deal by itself is good, and that concerns about the agricultur­e sector’s readiness to compete should be addressed separately.

The proponents of the regional trade pact made no serious effort to dialogue “meaningful­ly” to avoid past mistakes and to achieve real progress, the groups added.

“This shows that the executive is taking our concerns lightly. Nor does it have a credible plan on mitigating threats and maximizing opportunit­ies in RCEP,” the stakeholde­rs said on Wednesday.

Flexibilit­ies

IN contrast, Trade Assistant Secretary Allan B. Gepty said in a recent chance interview with reporters that if one examines RCEP, “you actually have plenty of f lexibiliti­es or policiesba­sed when it comes to adopting and implementi­ng measures.”

Gepty said if the concern is a surge of imported products, there will be trade remedies to address the issue, as well as general safeguards and special safeguard measures.

“In addition, we have the RCEP transition­al safeguard measure so what I’m saying is, there’s even a trade remedy like anti-dumping measure, countervai­ling measure, they are still applicable,” the Trade official said.

The regional trade deal is currently with the Senate Committee on Foreign Relations. After the hearings, the Committee will submit a recommenda­tion to the plenary, where interpella­tions are expected.

The Committee has a technical working group (TWG) to identify issues and let concerned agencies air their concerns.

DTI earlier expressed hope the Senate will approve the regional trade deal within the first quarter of 2023.

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