NINETEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
S.B. No.
SENATE
642
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•22 JUL14 P 4 ‘00
RtCElVtD BY;
Introduced by SENATOR IMEE R. MARCOS
AN ACT
AMENDING REPUBLIC ACT NO. 8178 OR THE 
"AGRICULTURAL TARIFFICATION ACT OF 1996," AS AMENDED
EXPLANATORY NOTE
The passage of the Rice Tariffication Act last Februaiy 2019 resulted in a decline 
of rice retail price from PhP 40.57 per kilo in 2018 to PhP 37.60 per kilo in 2021. 
However, large scale rice importation has resulted in a decrease of the farmgate price 
of dry palay, from PhP 20.06 per kilo in 2018 to PhP 16.76 per kilo in 2021 and PhP 
17.23 per kilo In April 2022. This Is despite the increase In the cost of rice production 
associated with higher fertilizer and petroleum prices.
While the Philippines' compliance with its World Trade Organization (WTO) 
obligation to impose a bound tariff rate system through the Rice Tariffication Act Is 
Important, recent experience asserts government's role In managing, regulating, and 
even intervening in national rice supplies to guarantee food security and farmers' 
income. As a fundamental Filipino staple, the crucial, political, and economic role that 
rice plays in Filipino society can neither be overstated or left unregulated.
This bill seeks firstly to expand the function of the national rice buffer to cover 
both natural catastrophes and commodity crises. It explicitly defines the power of the 
President to automatically undertake safeguards and other measures in the event of 
both a rice shortage, as predicted to happen In the near future, and the rice surplus, 
as endured through February 2019. Financial assistance Is also sought for farmers 
displaced by wholesale importation and other impacts of agricultural modernization.
For the abovementioned urgent reasons, the passage of this bill Is sought.
^We‘ h-
IMEE R. MARCOS


NINETEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
S.B. No.
SENATE
642
S4 I
o{ t!)t
’22 JUL 14 P4 ’00
RKCEIVhD BV;
Introduced by SENATOR IMEE R. MARCOS
AN ACT
AMENDING REPUBLIC ACT NO. 8178 OR THE 
"AGRICULTURAL TARIFFICATION ACT OF 1996," AS AMENDED
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled:
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SECTION 1. Section 3 (e) of R.A. No. 8178 is hereby amended to read as
follows:
"SEC. 3 (e) 'Buffer Stuck' refers to the optimal level cf rice 
inventory that shall be maintained at ALL TIMES FOR USE 
DURING EMERGENCIES, IN ORDER [any given time to- be 
used for Gmcrgeney situations and] to sustain the disaster relief 
programs of the government during natural or man-made 
calamities, AS WELL AS DURING COMMODITY MARKET 
CRISES, FOR THE PURPOSE OF STABILIZING PRICES IN 
THE COMMUNITY MARKET AND ENSURING FOOD 
SECURITY;"
XXX."
SEC. 2. Section 7 (a) of R.A. No. 8178 is hereby amended to read as follows:
"Sec. 7. Powers of the President - Consistent with the Philippine 
national Interest and the objective of safeguarding Filipino 
farmers and consumers, the President is hereby empowered to 
act with full delegated authority subject to the provisions of the 
CMTA in the following circumstances:


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"(a) The President may increase, reduce, revise, or adjust 
existing rates of import duty up to the bound rate committed by 
the Philippines under the WTO Agreement on Agriculture and 
under the ATIGA, including any necessary change in classification 
applicable to the importation of rice: Provided, That the power 
herein delegated to the President shall only be exercised when 
Congress is not in session: Provided, further. That any order 
issued by the President adjusting the applied tariff rates shall 
take effect fifteen (15) days after publication;
(b) In the event of any imminent or forecasted shortage, or such 
other situation requiring government intervention, the President 
is empowered for a limited period and/or a specified volume, to 
allow the importation at a lower applied tariff rate to address the 
situation. Such order shall take effect immediately and can only 
be issued when Congress is not in session;
HOWEVER, WHEN THERE IS AN EXCESSIVE SUPPLY OF 
IMPORTED OR LOCAL RICE RESULTING IN A CRASH IN 
LOCAL RICE PRICES, THE PRESIDENT MAY SIMILARLY 
STOP OR PROHIBIT FURTHER IMPORTATION FOR A 
LIMITED PERIOD AND FOR SPECIFIED VOLUME UNTIL 
SUCH TIME AS BOTH RICE SUPPLY AND PRICES 
STABILIZE; and
(c) In case the calculated out-quota tariff rate referred to under 
Section 6 (c) of this Act exceeds one hundred percent (i00%), 
the provision of Paragraph 1, Section 1608(a) of the CMTA shall 
also not apply.
The power herein delegated to the President may be withdrawn 
or terminated by Congress through a Joint Resolution."
SEC. 3. Section 8 of R.A. No. 8178 is hereby amended to read as follows:
"SEC. 8. Maintenance of Rice Buffer Stock. - The NFA shall, in 
accordance with the IMPLEMENTING rules, regulations, and 
procedures to be proinulgated, maintain AND MANAGE AN


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OPTIONAL [sufficient] rice buffer stock [to be sourced selety 
fro m I oca I farmers] ■"
SEC 4. Sections 13 (a) and (d) of R.A. 8178 is hereby amended to 
read as follows:
"(a) Rice Farmer Financial Assistance - A portion of the excess 
rice tariff revenues shall be released to the DA and shall be used 
for providing direct financial assistance to rice farmers who are 
farming two (2) hectares and below regardless of whether they 
continue farming rice or not as compensation for the projected 
reduction or loss of farm income arising from the tariffication of 
the quantitative import restrictions on rice. FARMWORKERS 
DISPLACED BY FARM MECHANIZATION AND OTHER 
MCDEIINIZATION SCHEMES, LISTED IN THE REGISTRY 
SYSTEM FOR BASIC SECTORS IN AGRICULTURE (RSBSA) 
ARE ALSO ENTITLED TO DIRECT FINANCIAL 
ASSISTANCE;
XXX
(d) Crop Diversification Program - [A portion of the excess tariff 
revenues shall be released to the DA and-shali be used for
preduc-tivity enhancement] TWENTY PERCENT (20%) OF 
THE RICE FUND SHALL BE MADE AVAILABLE FOR 
PRODUCTION-ENHANCEMENT programs for rice farmers 
seeking to diversify production [towards] TO other crops[.], 
POULTRY, LIVESTOCK, AND AQUACULTURE."
SEC. 5. Sections 14 of R.A. 8178 is hereby amended to read as follows:
"Sec. I'-L Beneficiaries of the Rice Fund. - The beneficiaries of 
the Rice Fund shall be those farmers and farmworkers and their 
dependents listed in the Registry System for Basic Sectors In 
Agriculture (RSBSA), and rice cooperatives and associations 
accredited by the DA AND OTHER KEY STAKEHOLDERS OF 
THE RICE VALUE CHAIN, INCLUDIK'G INPUT SUPPLIERS, 
SERVICE PROVIDERS, RICE MILLERS, AND RICE-BASED


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FOOD MANUFACTURERS. Within one hundred eighty (180) 
days from the effectivity of this Act, the DA. in consultation with 
farmers’ cooperatives and organizations and LGUs, shall validate 
and update the masterlist of eligible beneficiaries to ensure that 
those listed are legitimate farmers, farmworkers and rice 
cooperatives and associations.
XXX
SEC. 6. Sections 15 of R.A. 11203 is hereby amended to read as follows:
"Sec. 15. Rice Industry Roadmap. - Upon the effectivity of this 
Act, the DA, together with the NEDA, Department of Finance 
(DOF), DBM, DAR, National Irrigation Administration (NIA), 
TESDA, PCIC, National Anti-Poverty Commission (NAPC) Farmer 
Sectoral Council Representative and other government agencies 
concerned. Including rice farmer representatives, shall be given 
a maximum of one hundred eighty (180) days to formulate and 
adopt the rice roadmap to restructure the government's delivery 
of support services for the agricultural rice sector.
"The following principles shall govern the development and 
implementation of the roadmap for the rice industry:
(A) SHIFT THE RICE TOWARDS THE IMMEDIATE ACCESS 
OF RICE FARMERS TO CAPITAL MARKETS, VIUH THE 
END OF DOUBLING THEIR INCOME WITHIN FIVE (5) 
YEARS;
n[(a)] (B) Raise sustainable Investments in the rice Industry 
particularly [eft] WITH THE DEVELOPMENT OF [rice suppoft] 
RURAL infrastructure SUCH AS FARM TO MARKET, 
IRRIGATION, and post-harvest facilities;
"[(b)] (C) Improve the productivity, efficiency and profitability 
of small rice farmers and landless farmworkers;


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"[(c)] (D) Strengthen research, [en^] development [programs 
that-will enhance--thG—resiliency of the rice-industry] AND
EXTENSION SERVICES ALONG SUSTAINABLE FARMING 
TECHNOLOGIES;
(E) PROVIDE AND PROMOTE BACKWARD AND FORWARD 
LINKAGES OF AGRICULTURE TO INDUSTRIES AND TO 
THE LOCAL MARKETS;
"[(d)] (F) Preserve and enhance the rice production capabilities 
of future generations;
"[(e)] (G) Provide accessible, targeted and technology-oriented 
support services that cover the entire value chain;
"[(f)] (H) Set up responsible, participatory and effective 
governance mechanisms; [and]
"[(g)] (I) Address impact of income loss caused by rice 
tariffica;:ion[,];
(J) 
ENFORCE THE LAWS AGAINST LARGE-SCALE 
AGRICULTURAL SMUGGLING, ANTI-DUMPING OF 
FOREIGN AGRICULTURAL PRODUCTS AND RELATED 
GOVERNMENT REGULATIONS TO PREVENT DAMAGE TO 
THE LOCAL RICE INDUSTRY;
(K) AGGRESSIVELY UNDERTAKE SOIL AND WATER 
RESOURCE DEVELOPMENT THROUGH REHABILITATION, 
REGENERATION AND CONSERVATION OF WATERSHEDS 
AND AQUIFER iN TANDEM WITH . HE MATIONAl GRID 
CORPORATION OF THE PHILIPPINES (NCGP) OF THE 
DEPARTMENT OF ENVIRONMENT AND NATURAL 
RESOURCES (DENR) AND THE LOCAL GOVERNMENT 
UNITS (LGUS);


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(L) PROMOTE DIVERSIFIED FARMING SYSTEMS IN 
ORDER TO DEVELOP ON-FARM AND OFF-FARM 
LIVELIHOOD SOURCES FOR FARMERS.
X X X."
SEC. 7. Separability Clause. - If for any reason any part or provision of this Act 
shall be deemed unconstitutional or invalid, the other sections or provisions hereof shall 
not be affected and shall remain in force and effect.
SEC. 8. Repealing Clause. - All laws, decrees, executive issuances, rules and 
regulations inconsistent with this Act are hereby repealed or modified accordingly.
SEC. 9. Effectivity. - This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in a newspaper of general circulation.
Approved,