AGRICULTURE Secretary Francisco P. Tiu Laurel, Jr. said the Philippines is prepared to turn to other rice suppliers if Vietnam challenges the government’s plan to suspend rice imports for 60 days.
Speaking before the House committee on agriculture, Mr. Laurel said: “I would like to openly warn Vietnam: Please do not try to do this to the Philippines. If they insist on that, we will find ways. We won’t buy from Vietnam.”
The Vietnam Food Association asked its trade ministry to challenge the Philippine import suspension which starts in September, citing the harm to Vietnam’s rice industry, Reuters reported last week.
Mr. Laurel said the suspension is designed to provide relief to rice farmers during a record harvest, with farmgate prices sometimes falling to levels well below their production costs.
The Philippines is Vietnam’s top rice export market, shipping about 2.44 million metric tons (MMT) in the first seven months of 2025.
Asked which suppliers could step in if the Philippines seeks alternatives to Vietnam, Mr. Laurel told reporters: “I just came from India (which wants) to take a big share of the Vietnamese market. Myanmar is just starting to export to the Philippines and their production is also huge. Cambodia also.”
Mr. Laurel said President Ferdinand R. Marcos, Jr. is open to extending the 60-day import freeze if more is needed to “protect farmers.”
“The 60-day import halt might be extended to 90 days to allow for full recovery,” he said.
The Philippine Statistics Authority (PSA) reported that in the first six months, output of palay (unmilled rice) hit 9.08 MMT, up 6.41%.
The average farmgate price of palay fell 33.5% year on year in July to average P16.40 per kilo, according to the PSA.
“(The President is) also considering raising the tariff, but no decision has been made yet,” Mr. Laurel said.
The 60-day suspension is an opportunity to assess rice tariff levels, he said. “At least we have two months to decide while there are no imports.”
Mr. Marcos last year signed an executive order that lowered rice import tariffs to 15% from 35% to tame inflation. It took effect in July 2024, and is subject to review every four months until 2028.
Mr. Laurel recommended that the government gradually hike the tariff rates to prevent disrupting the market. “We have declared our official position (in favor of adjusting) the tariff from 15% to 25% first, and then 35% maybe months later.”
It is unlikely the Philippines will face consequences from the World Trade Organization (WTO) if a challenge is filed there, Mr. Laurel said.
“Even if the stoppage lasts two months, or even three, by the time anyone files a complaint, (the WTO) will not have made a decision as it has no adjudication body,” he said.
“We have to protect our farmers, and we will do what is needed,” he added. “National interest (outweighs) WTO rules, per its rule.” — Kenneth Christiane L. Basilio
