MMDA: EO 41 impact to be felt during holidays

MANILA, Philippines — The impact of Executive Order 41 suspending the collection of local government units (LGUs)’ pass-through fees may be felt during the holiday season, according to the Metropolitan Manila Development Authority (MMDA).

“Perhaps in the coming months, we will feel the impact, especially before Christmas. There will be a lot of deliveries, fast commerce and people will receive their bonuses,” MMDA acting Chairman Romando Artes said in Filipino yesterday.

President Marcos issued EO 41 on Sept. 25, directing LGUs to suspend the collection of pass-through fees on national roads and collection of any form of fees for all types of vehicles transporting goods.

EO 41 covers sticker fees, discharging fees, delivery fees, market fees, toll fees, entry fees or Mayor’s Permit fees that are imposed on all motor vehicles transporting goods and passing through any local public roads constructed and funded by LGUs.

The Metro Manila Council, the policymaking body of the MMDA, also passed on Oct. 6 a resolution to implement EO 41, which MMC president and San Juan Mayor Francis Zamora said will help reduce the prices of basic commodities.

Earlier, Interior Secretary Benhur Abalos asked the Union of Local Authorities of the Philippines (ULAP) to support the implementation of EO 41.

“The DILG (Department of the Interior and Local Government) recognizes that LGUs are essential partners of the national government in achieving national development goals. We urge ULAP to mobilize support for EO 41 to facilitate the seamless flow of goods and services throughout the country,” he said.

Abalos met with ULAP national president Quirino Gov. Dax Cua and other league officials and asked them to pass resolutions of support for EO 41. Cua and the Philippine Councilors’ League passed a resolution in support of the directive.

Importation

Meanwhile, farmers’ group Philippine Chamber of Agriculture and Food Inc. (PCAFI) said that as long as the government continues to give incentives to imports, it “can never encourage people to increase production.”

“Philippine Statistics Authority (PSA) data show that for the past 10 years, our agriculture sector has been growing at an average of 0.8 percent compared to the growth of the Philippine population of 1.5 to 1.6 percent. Unless our production exceeds our population growth, we will always be in short supply of food,” said PCAFI president Danilo Fausto.

He added that lower tariffs on imported farm products, particularly rice, pork and chicken, do not benefit consumers.

“Our economic managers and premier economists justify increased imports in order to feed the greater good. For them, slaughtering the farmers for the benefit of feeding 110 million of our population is a better choice,” he said.

Rice subsidy

Sen. Sherwin Gatchalian has suggested a targeted rice subsidy program in the next three to six months, as he urged the government to address the challenges posed by the rising prices of basic commodities.

The PSA’s September inflation data showed a 6.9 percent inflation rate for the bottom 30 percent income households, significantly higher than the 6.1 percent inflation experienced by all households.

The inflation rate is higher than the 5.6 percent in August and averaged 7.3 percent in the nine months to September.

“Modest changes in the prices of food and non-alcoholic beverages will have more dent on the bottom 30 percent income households since their priority focuses on subsistence. This is where the government should concentrate its efforts – assisting these bottom 30 percent households cope with increasing prices of their vital needs,” Gatchalian said.

He noted that the price of rice had the most significant impact on the overall Consumer Price Index basket.

“We hope such an initiative will ensure that the most vulnerable households have steady access to affordable rice,” he added. – Bella Cariaso, Jose Rodel Clapano