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Bu-lat-lat (boo-lat-lat) verb: to
search, probe, investigate, inquire; to unearth facts
Vol. V, No.
13
May 8- 14, 2005 Quezon City, Philippines |
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Filipino Farmers Face More Risks under New
WTO Commitment
The impending WTO decision is again
another disastrous commitment that will bring serious implications for
farmers' livelihood and the country's food security. The local market will
be awash with more cheap imported rice -- a deathblow for poor Filipino
farmers already beleaguered by competition from cheap rice imports.
By IBON
Features
Posted by Bulatlat
The good news: The Philippines' request to extend the quantitative
restrictions (QR) on rice under the World Trade Organization (WTO) will
likely be granted. The bad news: The request, even if granted, comes with
more burdensome obligations that practically make the extension
meaningless.
In March 2004, the country informed the WTO of its intent to continue the
QR on rice imports, set to expire on June 30 this year. After months of
negotiations, Philippine negotiators agreed to increase the minimum access
volume (MAV) of rice for the seven-year extension of the special treatment
for rice. This means that from the current MAV of 142,204 metric tons, the
country will have to increase the MAV for rice to 359,000 metric tons and
keep it at this level until 2012.
The Philippines will also give country-specific quotas to its trade
partners. China, for instance, was granted an export quota of 25,000
metric tons of rice yearly. Nine countries, including China, have
negotiated for concessions in exchange for supporting the
Philippines'
bid to extend the rice QR.
The extension of the rice QR is supposed to give some protection for
Filipino rice farmers from cheaper rice imports. But with the increased
MAV and export quotas, the rice QR extension becomes an empty provision.
The impending WTO decision is again another disastrous commitment that
will bring serious implications for farmers' livelihood and the country's
food security. The local market will be awash with more cheap imported
rice -- a deathblow for poor Filipino farmers already beleaguered by
competition from cheap rice imports.
This month alone, the National Food Authority plans to import 400,000 tons
of rice, bringing this year's total rice imports to 1.48 million metric
tons. This is already some 14.5 percent of current domestic
consumption estimated at 28,000 tons a day or 10.22 million metric tons
every year.
The nine WTO member countries that have agreed to the extension and
negotiated for concessions are Australia, Canada, Pakistan, Argentina,
India, China, and Egypt. The United States and Thailand are still
negotiating for their demands. There are speculations that the United
States wants to include non-rice related issues in the talks. Posted by
Bulatlat
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