IBON News / April 9, 2008
Reference: Rosario Bella Guzman (IBON executive editor)

LIFTING RICE IMPORT QUOTA WON'T BRING DOWN RICE PRICES
'Why make the culprit the solution?' think-tank asks gov't

Malacaņang's decision to lift rice import quota will not bring down rice
prices but will only hugely benefit rice traders and give them further
control over prices and the distribution of rice, said independent
think-tank IBON Foundation.

With greater access to rice imports, private traders stand to benefit from
the removal of rice quota especially since local cartels have not been
dismantled and continue to contribute to artificial shortages in the
country.

Moreover, lifting the import quota will only strengthen the country's
dependence on rice imports.

"Importation has worsened the country's rice crisis, and by importing more
to address the current rice insecurity is an illogical solution," said
IBON executive editor Rosario Bella Guzman. "Why make the culprit the
solution?"

Focusing on measures that will seriously improve local rice production and
self-sufficiency remains the most sensible step in addressing the rice
crisis. Recognizing that that the sector's backward state and trade
liberalization are the reasons behind the crisis will result in more
substantial solutions other than importation, said Guzman. (end)

IBON Foundation, Inc. is an independent development institution
established in 1978 that provides research, education, publications,
information work and advocacy support on socioeconomic issues.