Senator Risa Hontiveros has called on the Senate to conduct a thorough and immediate investigation into the “sudden and aggressive” rice importation of Planters Products Inc. (PPI), noting that the agency’s latest questionable moves could further hurt the country’s farmers already reeling from the impact of the Middle East war and the predicted super El Niño.

In particular, Hontiveros questioned PPI’s capacity to import over 86,000 metric tons of rice in less than a year, considering that its audited financial statements for Fiscal Year 2023 to 2024—submitted to the Securities and Exchange Commission (SEC) in August 2025—showed an equity of P536-million, with the company also reporting a net loss for the same period.

“I call on this chamber to conduct a thorough and immediate investigation into these highly questionable importations so we can determine if these actions are legal. Were public funds used and are now at risk? Were permits hastened and exemptions granted?" Hontiveros said in her privilege speech during plenary session on Wednesday, May 6, 2026.

“Our farmers are already burdened by rising input costs, low farmgate prices, and the worsening impacts of climate change.  Now, the Middle East war and the predicted super El Nino are driving them to despair,” she pointed out.

“Sabi nga ng isang magsasakang nakausap ko sa Bani, Pangasinan, natatamlayan na silang magtanim dahil hindi lamang mababa ang presyo ng palay pero luging-lugi na sila sa taas ng presyo ng gasoline at mga inputs (A farmer I spoke to in Bani, Pangasinan said that they are reluctant to plant because not only are the prices of rice low but they are also suffering losses due to the high prices of gasoline and inputs),” she pointed out.

Moreover, she said a Senate inquiry would also help ascertain whether PPI is a private institution or a government owned and controlled corporation (GOCC) to check if it complies with rice procurement laws, because government-to-government (G2G) transactions are tariff-free and if PPI is a private company, it would be required to pay the taxes.

“Let us remember that PPI’s status as a corporation remains questionable to this day. Historically, it was rescued from bankruptcy during the first Marcos administration through a fertilizer levy, imposed on Filipino farmers – P10 per every bag of fertilizer sold.  In March 2008, the  Supreme Court in the case Planters Products, Incorporated vs Fertiphil Corporation GR 166006 stated that PPI, Inc. is a private corporation and declared the Letter of Instruction (LOI 1465,  dated June 3, 1985 that imposed the levy unconstitutional as it stood to benefit a private entity. The levies are public funds and therefore should be used for a public purpose,” she explained.

“However, and this is what perplexes me and many of our fellow farmers, Mr. President. The majority of PPI’s shares held, 79.24% of them are held by Planters Products FOUNDATION, Inc. chaired by no less than the Secretary of the Department of Agriculture and includes government officials in its  Board of Trustees according to LOI 1428, dated September 22,1984,” she said.

“In its website, the DA describes PPI as a sequestered company under the administration of the Department. Sequestered because suspected of ill-gotten wealth and crony capitalism,” she further pointed out.

“So ano ba talaga ang (So what is the truth about) PPI, Mr. President? (Ist this a) Private ba o government-owned and controlled corporation? Because if it is private, why does it appear to enjoy preferential treatment in getting the necessary  phytosanitary permits from the Bureau of Plant Industry (BPI)? And if it is a GOCC, is it using money from the budget, borrowing from GFIs, or getting its imports using trade or supplier credit? Does the government have a guarantee if PPI cannot pay?” asked Hontiveros.

The lawmaker said if public funds were indeed used to finance PPI’s rice imports as a private company, it should be able to produce a competitive bidding required under the New Procurement Act. But if it is a GOCC, the DA secretary should clarify if it was designated to import rice from India in compliance with the amended Rice Tariffication Law.

However, Hontiveros said a news report from Times of India, dated April 1, 2025 was quoted as saying that the Telangana Civil Supplies Corp. Ltd. was able to sign a memorandum of understanding (MOU) with PPI “representing the Philippine government” to formalize the agreement.

“Ito bang surge of rice imports by PPI from other countries such as Vietnam, aside from India, are G2G transactions or private transactions? I am asking these questions because of the financial implications. G2G transactions are tariff-free.  If PPI is a GOCC, then it can enjoy this privilege. However, if PPI is a private company,  it is required to pay the tariff,” she stressed.