Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/127032
Authors: 
Briones, Roehlano M.
Dela Pena, Beulah
Year of Publication: 
2015
Series/Report no.: 
PIDS Discussion Paper Series 2015-04
Abstract: 
The rice sector is regulated by the National Food Authority, with imports under a statutory monopoly. Consistent with previous studies done on the rice supply chain, a rapid appraisal finds that the domestic paddy and rice supply chain is highly competitive. Entry into import business is however severely curtailed. Welfare analysis indicates that in 2013, if quantitative restrictions were eliminated and rice imports were allowed to freely enter the country, rice imports would have increased tenfold, bringing down the retail price of rice to PHP 19.80/kg from PHP 33.08/kg. Consumer surplus would have increased by PHP 178 billion, compared to a PHP 34 billion reduction in producer surplus, for a net social benefit of PHP 138 billion. This paper recommends tariffication, i.e., liberalized importation policy with moderate tariffs.
Subjects: 
competition policy
Philippines
rice policy
agricultural marketing
welfare analysis
Document Type: 
Working Paper

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