Lack of coordination may hurt rice importation

Trader says

The government’s call to traders to help boost the rice buffer stock of the National Food Authority (NFA) in order to provide consumers continuous access to affordable rice may be imperiled due to lack of coordination among government agencies in implementing the presidential directive.

Trader Jomerito “Jojo” Soliman, owner of Sta. Rosa Farm Products, lamented after the Bureau of Customs (BOC) seized some 100,000 sacks of rice he imported from Thailand and subsequently auctioned off due to lack of coordination by government agencies.

In a statement, Soliman said they were one of the first companies to heed the President’s call and pledge to provide at least 700,000 sacks of rice to help replenish the NFA stock. The different varieties of imported rice was intended to be sold between 134 to 137 per kilo in Metro Manila, which is facing a shortage in NFA supply, and to complement the "Tulong sa Bayan" caravan aimed at bringing affordable rice to Filipino consumers.

“Our company immediately responded and committed to help the government when the President publicly announced that he was scrapping the import quota in order to bring in more rice and bring down the prices for the benefit of consumers, particularly the low-income households” said Soliman in a statement.

“And despite our efforts to coordinate with appropriate government agencies — all backed by documents — our rice imports were seized. This is not very encouraging to rice traders,” Soliman added.

Soliman presented documents, all with received stamps by relevant government agencies, to prove that the papers for his rice importation were in order.

Last April, President Duterte made separate public pronouncements that he was abolishing the quota on rice importation by private traders to ensure that the NFA rice reserves are sufficient, affordable and accessible to consumers as long as they pay the proper tariff.

According to Soliman, Sta. Rosa Farm Products heeded the government’s directive to help the NFA boost its rice stock and to lower the price of rice, but the lack of coordination among implementing government agencies led to the seizure of some 100,000 sacks of rice it imported from Thailand. These were later auctioned off by the BOC even before the expiration of the prescribed period for appeal.

The NFA, in a letter dated July 27, 2018 addressed to Soliman, upheld the rice importation of Sta. Rosa Farm Products, saying it was in line with the President’s order removing the rice quota on importation, subject to 50 percent tariff imposed by the BOC.

“But now, I am being falsely charged and tried before the bar of public opinion for allegedly violating the laws and portrayed as a hoarder. This is totally untrue,” Soliman said.

To disprove the allegation that he is a hoarder, Soliman presented a report submitted by NFA Bulacan Provincial Manager Elvira Cruz Obana to NFA Administrator Jason Aquino, saying that as per order of the President and inspection by the agency’s enforcement team for possible hoarding of NFA rice in the Malolos warehouse of Purefeeds Corporation and its sister companies, which he owned, authorities found no evidence of hoarding.

“Malicious rumors harm all traders like me who conduct their operations with full transparency in accordance with the law and in coordination with the relevant government agencies,” Soliman lamented.

While legitimate rice traders support the government’s drive against smuggling, his situation appears to be unsettling importers who were willing to help the Duterte administration, in fear of being labeled as hoarders or smugglers.

“We support the government’s drive against rice smuggling. Smuggling is not only detrimental to the interests of Filipino farmers, but also to the interests of legitimate rice traders like me,” he added.