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United States Tariff Exemption To Bring Relief To Farmers, Producers

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The Department of Agriculture (DA) expects Philippine farm exports to gain a significant competitive edge in the United States after Washington, DC decided to exempt more products from the 19 percent reciprocal tariff.

DA Assistant Secretary Arnel De Mesa, in a Bagong Pilipinas interview on Wednesday, said the expanded exemption would directly benefit Filipino farmers and agri-exporters.

“Ang inaasahan natin dito po ay ang pagtaas ng agricultural export sa US, dahil po mahigit sa 200 kategorya ng agricultural products ang exempted, hindi na po tayo sasailalim doon sa 19 percent US reciprocal tariff at ang pagbibigay ng karagdagang exemption ay magbibigay ng agarang ginhawa sa mga Pilipinong magsasaka at agri-product exporters po natin (We expect here an increase in agricultural exports to the US because more than 200 categories of agricultural products are exempted, we will no longer be subject to the 19 percent US reciprocal tariff and the granting of additional exemptions will provide immediate relief to Filipino farmers and agri-product exporters),” he said.

De Mesa said reducing market entry costs would make Philippine products more attractive to US buyers.

He noted that there are no limits to the volume or value of exports that can benefit from the tariff waiver.

In 2024, he said, the Philippines exported USD12.12 billion worth of goods to the US, with a big percentage from coconut-based products that are now part of the newly exempted categories.

Based on the US government announcement on Nov. 14, included in the exemption are coconut oil, prepared or preserved coconuts, and desiccated coconuts; fruit juices; processed pineapples; bananas, other than pulp; dried guavas, mangoes, and mangosteen; frozen tuna fillets; rice wafer products; and confectionery products.

Before the latest US decision, other Philippine agricultural products that are already exempted from the tariff include coffee, tea, cocoa and spices, oranges, tomatoes, beef, and select fertilizers. (PNA)