Prospects And Challenges: Rice Tariffication Law's Influence On Region III Philippines Rice Industry

Abstract

The control of the National Food Authority (NFA) over imports has caused the government to be responsible for its losses, which have kept farmers in poverty and made Filipinos pay more for rice. This led to the enactment of Republic Act No. 11203, also known as the Rice Tariffication Law (RTL), in February 2019. Through this, the limitations, and quotas on the amount of rice importation were lifted, in addition to the 35% import tariff put in place. This has led to a flood of low-priced rice from other countries, which benefits mostly consumers. This paper discusses how RTL affects the costs of producing rice and the earnings of local producers in Region III. The study used a quantitative method to figure out how the variables related to each other and how RTL affected the cost of inputs, the cost of labor, the cost of harvesting, the cost of post-harvesting, cost minimization, and profit maximization. A structured survey questionnaire was used to collect the data. Researchers used the descriptive type of research in this study. The results show that there is a weak but significant relationship between how the respondents assess the costs of rice production and how the Rice Tariffication Law affects the earnings of local producers in Region III.