Are kickbacks why gov’t wants to import rice?

It’s illegal for government to import rice. Yet the National Food Authority announced last month that it intends to do just that. It even claimed to have secured President Ferdinand Marcos Jr.’s approval.

Days later, however, a Department of Agriculture official debunked NFA’s plan. “NFA importation is not possible,” said Usec. Mercedita Sombilla. “We didn’t discuss importation; the President knows that.”

Still, anything goes with the DA and attached agencies like NFA. In late February for instance, the Sugar Regulatory Administration set for bidding the importation of 440,000 tons of refined sweetener. Senior Usec. Domingo Panganiban then announced he already chose since January only three importers from a three-page list.

“Government-sponsored cartel,” Senator Risa Hontiveros branded that sham bidding. Ignoring her, Panganiban instructed SRA to clear 6,500 tons earlier seized by Customs. Worth P650 million, the contraband was brought in by one of the three favored traders in early February, before SRA even decided the 440,000-ton necessity.

Marcos Jr. is secretary of agriculture. As such, he chairs NFA, SRA and other DA affiliates. Subordinates wangle his consent to make the crooked look straight.

The 2019 Rice Tariffication Law (RA 11203) forbade government from rice trading. Only private individuals or groups may now import rice at 35 percent duty.

NFA is limited to buffer stocking for emergencies like typhoon, earthquake, volcanic eruption, crop failure. It must procure such hedge stock from Filipino farmers, not foreigners.

NFA needs 330,000 tons buffer this 2023. It says it may not be able to buy enough from local farmers. Will it spend its P9-billion budget on imports by hook or by crook?

That P9 billion is money of the Filipino people meant to benefit Filipino farmers. Importing will enrich traders in Vietnam, Thailand, Cambodia, China and India.

Could the reason be kickbacks, commissions, “tong-pats”?  Plundering from rice imports is an old racket of NFA, DA, Malacañang officials and spouses. They pocket millions of dollars or billions of pesos.

The 330,000 tons is 6.6 million 50-kilo sacks of rice. Usual overprice is $10 or P540 per sack. Crooks can skim $66 million or P3.5 billion.

More dirty money is made from the sack itself: $1 or P54 apiece. That’s another $6.6 million or P350 million from the sacks alone.

Officials extort millions more pesos from subcontracted cargo handlers, shippers, haulers, truckers to 16 NFA regional warehouses.

Alibi for government’s illegal rice import is the sudden rise in retail price. But government itself caused the jump by recently announcing that it expected sellers to add on P5 per kilo. That was a cue for retailers to do just that.

A scheme reportedly is being devised for the illegal import. NFA is not to front. Instead, the government-owned Philippine International Trading Corp. could be used. Cartelists will bring in not 25 percent broken but special grains, for sale to hotels at premium price. They will then replace the contraband with low-grade rice to NFA. Megabucks from mega-scam.

Four major food producers associations have warned NFA and DA against importing. Don’t break the law, chorused former agriculture chief Leonardo Montemayor of the Federation of Free Farmers, ex-congressman Rafael Mariano of Kilusang Magbubukid ng Pilipinas, Cathy Estavillo of Bantay Bigas and Jayson Cainglet of Samahang Industriya ng Agrikultura.

NFA and DA are ignoring their duty. They must help Filipino farmers. Buy domestic produce. Provide irrigation, training, fertilizers, pesticides, fungicides. Mechanize drying and improve milling so that more than a measly 65 percent rice is derived from every 50-kilo sack of palay, aromatic at that. Refrigerate rice at 21 degrees Centigrade to prevent bukbok (weevil).

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