
RICE importers remained under scrutiny as the House Quinta Comm, also known as the Murang Pagkain Super-Comm, continued its probe into their role in sustaining high rice prices despite a reported landed cost of P36 per kilo.
During Tuesday’s hearing of the joint panel, chaired by Albay 2nd District Rep. Joey Sarte Salceda, lawmakers called for deeper investigations into possible collusion and price manipulation in the rice industry.
Marikina 2nd District Rep. Stella Luz Quimbo questioned the assertion that importers were not contributing to high prices, citing earlier findings by the House Committee on Agriculture and Food, chaired by Quezon 1st District Rep. Mark Enverga, regarding the onion cartel.
“Let’s just not dismiss hastily the possibility na merong cartel, may collusion, may magic na nangyayari sa presyo ng bigas at may pagsasabwatan na ang pwedeng involved diyan ay ang mga importers,” Quimbo said.
“Kung P36 ang landed cost ng importers, bakit hindi natin nakikita ang P36 rice in the market? That’s the mystery. Something is happening,” she pointed out.
Quimbo, acting chairperson of the powerful House Committee on Appropriations, noted similarities between rising rice prices and the onion cartel, where importers and traders manipulated supply by controlling both local and imported stocks.
A representative of the Philippine Competition Commission (PCC) reported ongoing investigations into rice importers operating in areas with significant imports but stagnant or high prices.
“We see the areas with deficiencies are also the places with high imports and the prices are not moving down, so we look into those importers in those areas,” PCC Enforcement Office Director Christian Loren Delos Santos explained.
He confirmed that some importers have been identified but refrained from naming them while inquiries continue.
Quimbo pressed for more action, pointing out that the expectation of cheaper rice from imports has not materialized.
“Dun sa mga lugar kung saan maraming rice importers ay natuklasan ninyo ay dun din ang mga presyo ng bigas ay hindi bumababa,” she said.
Quimbo warned that importers might be leveraging both imported and local rice stocks to control prices, echoing patterns seen in the onion cartel investigation.
“If the importing entity is also the one that purchases the local produce, then they now control both local and imported, which was what we found with the onion cartel,” she said.
Bulacan 2nd District Rep. Tina Pancho agreed, as she highlighted the cascading effects of the pricing decisions of importers on the supply chain.
“I agree with the Hon. Stella Quimbo that we cannot disregard the participation of importer kung bakit nagkaroon tayo ng price increase,” Pancho argued.
“Ang importer ang magdi-dictate ng price eh,” Pancho added, explaining how costs from importers pass through wholesalers, retailers and ultimately to consumers.
But Salceda pointed out that imported rice only accounts for 22% of the country’s supply, compared to 78% sourced locally.
“How can 22% dictate 78%? Then it’s not the importer anymore,” Salceda said.
He nevertheless acknowledged the need for thorough scrutiny of the financial and operational practices of rice importers.
Salceda disclosed that the Anti-Money Laundering Council (AMLC) and the Bureau of Internal Revenue (BIR) are investigating rice importers to uncover any illegal profits or undeclared earnings.
“If we cannot catch them by their declarations here, we will catch them by [ALMC],” Salceda said.
He also confirmed that bank records and tax filings of importers are being examined.
“Pinatingnan na rin natin sa BIR para klaro if they’re making obscene profits or if not they’re not declaring. So we’ll do an Al Capone. We will catch them where it hurts,” Salceda said.
AGAP Party-list Rep. Nicanor Briones called for stronger enforcement measures to address the P13 to P14 disparity between reduced tariff rates and the world market price of rice.
“Malinaw na merong hinahanap tayong P7 ang effect ng baba ng 20% tariff, P7 din sa pagbaba ng world market price. ’Di natin pwede sabihin na walang kumita o nagsamantala,” Briones said.
He proposed creating an enforcement task force under the Anti-Agricultural Economic Sabotage Act to investigate profiteering in the rice market.
The committee had earlier identified as top rice importers Bly Agri Venture Trading, Atara Marketing Inc., Orison Free Enterprise Inc., Macman Rice and Corn Trading, King B Company, Sodatrade Corp., Lucky Buy and Sell, Vitram Marketing Inc., Nan Stu Agri Traders and RBS Universal Grains Traders Corp.
During Tuesday’s hearing, Enverga raised serious concerns about the status and legitimacy of Orison Free Enterprise Inc.
The company, which imported 205 million kilos of rice last year, was flagged for discrepancies in its registered address and its questionable importation activities.
According to Bureau of Customs (BOC) Assistant Commissioner Vincent Philip Maronilla, Orison is no longer operational at its declared address in Quiapo, Manila.
Maronilla noted that while their intelligence division located the corporation’s responsible officer, a barangay certification confirmed that the company is not present at its declared address.
A representative from the Bureau of Plant Industry (BPI) further revealed that Orison had been issued a show-cause order for submitting inaccurate information during its licensing process.
The company’s operations have since been suspended, and no applications for importation permits for 2025 have been filed.
Enverga, co-chair of the Quinta Comm, directed the BOC and the National Bureau of Investigation to verify the company’s legitimacy and investigate its importation records.
He also requested documentation of Orison’s sanitary and phytosanitary import clearance for 2023 and 2022 to assess its past activities.
Meanwhile, Quimbo called on the PCC to finalize its onion cartel case to establish its credibility in addressing similar issues in the rice market.
“Once you’ve been able to finally make a decision on the onion cartel case, maniniwala na kami na kaya niyo pala,” Quimbo said.
“Tingin ko talaga sila ang makaka-solve ng rice cartel problem or mystery,” she stressed