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PN 2017-07: Quantitative Restriction on Rice Imports: Issues and Alternatives

This 2017, the Philippines' quantitative restriction (QR) on rice, which allows the government to limit the volume of rice that could be imported each year, will expire. As such, local rice producers are expected to suffer from the adverse effects of cheap rice imports. This Policy Note examines the impact of QR on rice imports and presents policy options for the Philippine government given the looming deadline for converting QR into tariffs. Among others, it finds that the rice trade policy in the Philippines is highly protectionist. As a result, the retail price of rice has been kept excessively above the world price, making rice less affordable to consumers. It recommends the adoption of tariffication, with revenues earmarked as safety net for rice farmers. It also suggests a 35-percent tariff rate as the appropriate tariff equivalent.

Philippine Institute for Development Studies
Authors Keywords
Briones, Roehlano M.; Galang, Ivory Myka R.; Tolin, Lovely Ann C.; Philippines; tariff; agriculture; rice farmers; rice tariffication; rice imports; quantitative restrictions; QR; rice trade policy;
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