Friday, May 02, 2008

The Philippines: OREC betrays ASEAN solidarity

GMA ADVISER SAYS RICE CARTEL PROPOSAL BETRAYS ASEAN SOLIDARITY

MANILA, MAY 2, 2008 (STAR) By Paolo Romero - President Arroyo’s economic adviser strongly opposed yesterday proposals to create a rice cartel among rice-producing nations in the region.

Albay Gov. Joey Salceda said from the standpoint of national interest, the proposal of Thai Prime Minister Samak Sundaravej to create a rice cartel to include Cambodia, Myanmar and Laos similar to the Organization of Petroleum Exporting Countries that tries to sets crude oil prices is “clearly a betrayal of Asean solidarity.”

He said an “organization of rice exporting countries (OREC) would control 75 percent of tradeable (rice) surplus in the region.”

“That’s what friends are for in the Asean,” Salceda told The STAR. “In crunch time, you only have yourself to rely on and to blame. Life is cruel.”

He said the only way for the Philippines to address the food situation is to “put real money in agriculture and take care of our farmers and go for rice sufficiency.”

Salceda said the emergence of OREC has a clarifying effect on what “we as a nation should value.” He said the proposed rice cartel makes rice sufficiency a categorical imperative.

President Arroyo had reiterated her assurance of the country’s secure food supply as the government works to stabilize prices of basic commodities.

Press Secretary Ignacio Bunye said the first priority of Mrs. Arroyo is to put food on the table for Filipinos, particularly the poor.

Meantime, Rep. Abraham Mitra believes the advantage that may probably be brought about by five nations to create an Opec-type rice cartel is that it will force the Philippines – once a top rice exporter – to now be self-sufficient.

“One good thing that OREC will probably bring is it will force us to grow more food. If we have the resources to grow rice, then there is no reason why we should allow ourselves to be a hostage of any cartel,” said Mitra.

The congressman, who heads the House committee on agriculture, reminded the government that “we have control over our agricultural policy, and that is to start to be insular-looking when it comes to rice and food security.”

“We are entering an era in which the saying ‘No man is an island’ can be applied no more to rice. At least on this staple, we must strive to grow all our needs,” Mitra said.

He said there is no longer any point in the “previous school of thought” that the country can use its vast tract of land resources “for more lucrative agricultural and non-agricultural purposes, and use the income to buy cheap rice abroad.”

In a statement, Mitra said the “initial rice price shocks” would lead the Philippines to eventually overcome “supply gaps” in the staple. “Necessity is the mother of rice production.”

“To its credit, government is moving towards that direction (self-sufficiency). Funds are being released, agencies are mobilized. Once shunned as a poor cousin of high-value crops like asparagus, rice is again the star of the agriculture program,” he said.

Mitra, on the other hand, allayed fears that the rice production drive would lead to “monocropping” and the eventual loss of the “rich variety of Philippine agriculture.”

With Delon Porcalla

2 comments:

Anonymous said...

I am glad Philippines think self reliance which will not hurt them in the long run. But I also think they are being to negative about the forming the Rice cartel. I can be good for members for the rice exporting countries but since Phillippines is also a member of ASEAN it should not be that much hurt. Surely Thailand will be the leader in the cartel and they are the one to benefit the most. But all in all it can be good for ASEAN as a whole.

Anonymous said...

There is no rice shortage just a shortage of money. poor filipinos income does not increase at the same rate at the food increase. People need to learn to eat other produce as their staple which may even be more nutritious than rice.