DA warns it can penalize violators of rice price cap without turning to courts

RICE IMPORTERS and retailers violating the government’s temporary price cap on imported rice will be subject to administrative penalties on the Department of Agriculture’s (DA) own authority, on top of criminal prosecution under Republic Act No. 7581, the DA said.

Agriculture Secretary Francisco P. Tiu Laurel, Jr., added on Friday that price controls will likely extend beyond the initial period of 30 days.

“The effects of the (Iran) crisis are not limited to 30 days,” he said, noting the strong possibility of a one- to two-month extension.

President Ferdinand R. Marcos, Jr. capped prices for imported rice — specifically the main import variety containing 5% broken grains — claiming that dealers are imposing unwarranted retail markups despite falling global prices and reduced tariffs.

The DA warned in a statement that it has the power to impose administrative sanctions over and above court action, including shuttering non-compliant establishments temporarily or permanently, seizing non-compliant products, and revoking business permits and licenses. Administrative fines ranging from P1,000 to P1 million may be levied separately from the criminal charges.

The threat of penalties represents a step up from earlier voluntary pricing recommendations that relied on retailer cooperation.

Under the Price Act, violations involving basic necessities are subject to imprisonment of one to 10 years, and fines of between P5,000 and P1 million, or both at the court’s discretion. Corporate officers can also be held personally liable for company violations. — Pierce Oel A. Montalvo