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US, Thailand seen to okay RP bid for rice import q
Topic Started: Jun 5 2005, 11:46 AM (550 Views)
SIRIKITTONG
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By Rocel C. Felix
The Philippine Star 06/03/2005

The Philippines is confident it can shortly lock up a deal with Thailand and the United States for an extension of its quantitative restrictions (QR) on imported rice.

Gregorio Tan Jr., administrator of the National Food Authority (NFA) which heads the negotiating team, said the Philippines will consider Thailand’s proposal for a reduced tariff on imported rice in exchange for the latter’s support to extend the QR on rice imports. "Thailand wants a much lower rice tariff from the existing tariff of 50 percent but at this stage, we told them that we could not go lower than 40 percent," disclosed Tan.

Thailand is the world’s biggest exporter of rice and is one of the regular suppliers of rice to the Philippines aside from Vietnam.

The Philippines is hoping to secure approvals of most countries that sought negotiations with the Philippine government over the issue of extending the QR on rice imports. Negotiations with the US on the other hand, is more complex, according to Tan.

Thailand and the US are the only two remaining member countries of the World Trade Organization or WTO which have not yet approved the country’s bid to continue protecting its local rice sector. "The US wants to include in the negotiations other commodities such as walnuts and grapes among others," said Tan.

In addition, the US is insisting on getting a share of the import allocation in the country’s minimum access volume for corn, which is pegged at more than 200,000 metric tons a year.

It is in the interest of the US to support the Philippines‚ bid for an extension of QR on rice since this will allow them to dispose of their highly-subsidized rice through the US PL 480 program that provides a long-term food loan scheme to developing countries at concessional rates.

"Surely, the US wants a continuance of its PL 480 program, especially since rice grown in the US is not competitively priced and is used merely to prop up prices of their local rice farmers," said a senior official of the Department of Agriculture.

In March 2004, the Philippines asked the WTO for an extension of its QR on rice imports, which is set to expire next month.

Aside from the U.S. and Thailand, WTO-member countries that negotiated with Manila are Australia, Egypt, India, Pakistan, Argentina, China and Canada.

Under a QR system, the government can put a limit on the country’s annual rice import volumes to prevent local rice prices from falling too sharply with the entry of cheaper imported rice.

Local farmer groups said the QR on rice is necessary because the government has failed to provide the safety nets and other support infrastructure such as postharvest facilities, farm-to-market roads and cheap transport systems that will make their produce globally competitive.
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My regards to my Philippine friends! Im hoping for a fast recovery for your beautiful country! Chai Yo!
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israeli
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this is really shameful... the Philippines IMPORTING rice. oh well... there's really something wrong with the rice farming system (high cost of production of rice in the Philippines while imported rice is "cheaper") in the country plus the small areas planted to rice around the country. we must help improve Philippine agriculture so that the Philippines will, at least, become SELF-SUFFICIENT. :drunk:
"To secure peace is to prepare for war." - Carl Von Clausewitz
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SIRIKITTONG
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Yes of course! But I liked how philippines and Thailand are growing closer on trade. Hopefully, it will be Philippines exporting more products to us soon!
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My regards to my Philippine friends! Im hoping for a fast recovery for your beautiful country! Chai Yo!
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saver111
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israeli
Jun 5 2005, 12:47 PM
this is really shameful... the Philippines IMPORTING rice. oh well... there's really something wrong with the rice farming system (high cost of production of rice in the Philippines while imported rice is "cheaper") in the country plus the small areas planted to rice around the country. we must help improve Philippine agriculture so that the Philippines will, at least, become SELF-SUFFICIENT. :drunk:

That's the set-back of industrialization. Remember during Cory's time we open up the CALABARZON area for industrialization with farmlands being turned to industrial zone. Then the question of how about our agricultural sector? rice production? Their answer then if I can remember was that Central Luzon which was our rice granary can handle our rice production requirements. Then Agrarian reform. Lands that were once productive and manage by rich landowners were awarded to the farmers. With lands to till, they have no capital investment to plant the rice. With no options to take, they sell the lands and were turned into subdivisions, memorial lots and golf courses. Then Pinatubo came along, phooff!

Imagine, we used to train our neighbors on how to improve their rice production. Now we buy rice from them. :dunno:
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Justice for Daniel Lorenz Jacinto

HELP END PIRACY NOW!:
http://www.itfseafarers.org/petition.cfm
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israeli
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all administrations have inconsistent policies towards agriculture plus people's apathy towards the plight of the hardworking peasants really did not help the agricultural sector in the country.

agriculture may only contribute 20 percent of the total GDP (manufacturing and industry contributes the majority) but it directly or indirectly employs roughly 70 percent of the population. you ignore agriculture and you placed the lives of many Filipinos instantly in hell.

we must help agriculture develop in this country. the Philippines must be, at least, self-sufficient when it comes to its need for food. :exactly:
"To secure peace is to prepare for war." - Carl Von Clausewitz
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SIRIKITTONG
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Yes of course; but one can also see this importation as the signs of the Philippines moving towards more of a service economy, rather than agrarian based. As what Saver said, it is the outcome of industrialization.
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mRsuaVE
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many thai students came to study at UP Los Baños in the 1970s, they apparently applied their learnings at the premier agriculture college in the Philippines very well, now thailand is a net exporter of rice.


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