IBON to Arroyo: Ensure rice QR retention, stand up for food sovereignty : QC IMC

IBON renews its call to the GMA government to retain the quantitative restriction (QR) on rice imports, as the international community awaits the World Trade Organization’s “drop dead” July 30-deadline for a Framework Agreement to revive talks stalled in Cancun last year.

The circulated July16-draft package of frameworks already elicited flak as it basically reflects the wishes of developed countries like the United States and the European Union.

“On agriculture, the staggering domestic supports and export subsidies of developed countries are allowed to continue without major reduction,” IBON executive director Rosario Bella Guzman says, “despite developing countries’ complaint that these subsidies artificially reduce market price of agricultural products and pave the way for export dumping.”

Developing countries are also being compelled to agree to further tariff reductions, including fresh reduction on industrial tariffs referred to as non-agricultural market access or NAMA.

“If a framework for negotiations is reached as planned, it will undoubtedly further entrench agricultural dumping and corporate domination in food and agriculture,” warns Guzman.

“This prevailing wind in WTO talks will also likely undermine the Philippines’ attempt to retain the QR on rice imports, especially if the country’s trade negotiators go through the motions of negotiating with rice-exporting countries without political will,” she added.

In 1995, the Philippines was able to obtain special treatment for rice to maintain the QR and delayed tariffication for 10 years. This exemption under Annex 5 of the Agreement on Agriculture is set to expire on June 30, 2005.

The lifting of the QR would allow the unlimited entry of cheaper rice from WTO rice-exporting countries. Local farmers are complaining that cheap imported rice is ruining their livelihood because this meant depressed farmgate prices. Peasant organizations are opposing tariffication of the QR because tariffs will not be enough to protect domestic farmers.

“The Arroyo government should ensure retention of rice QR and stand up for people’s food sovereignty. This is crucial as Philippine negotiators admit that government sees the possibility of not maintaining the QR if it cannot afford the concessions demanded,” Guzman says.

The Philippines is currently negotiating with eight countries, namely, Australia, Argentina, Canada, China, India, Pakistan, Thailand and the US, opposed to the rice QR extension.

“Government must truly fight for the welfare of the millions of farmers and peasants dependent on rice production. The consequences of the full liberalization of the rice sector exceed whatever concessions the government is afraid of. After all, it has the sovereign right to refuse demands inimical to the national interest,” argues Guzman.

Government should thus reject the WTO draft package of frameworks and instead push for the following: a moratorium on liberalization commitments and new agreements; the right to raise tariffs and restore QRs in sensitive and distressed sectors; the elimination of obligatory access to markets (minimum market access, i.e. imports up to 5% of domestic consumption); the right to provide subsidies and other support to its farmers and producers; and the elimination of all forms of direct and indirect export subsidies.