Washington hopes Taiwan would allow rice imports from the US, but food security is the government’s priority, Vice Premier Cheng Li-chiun (鄭麗君) said yesterday in response to questions about the possible impacts of large US rice imports to Taiwan.
Premier Cho Jung-tai (卓榮泰) was yesterday asked to report to the Legislative Yuan “the progress, directions and principles of Taiwan’s tariff negotiations with the US and its possible impact on industries.”
Democratic Progressive Party (DPP) Legislator Chen Kuan-ting (陳冠廷) said that food security cannot be compromised, as Yunlin County, Chiayi County and Tainan are important rice producing areas, adding that Taiwan should learn a lesson from Japan, which yielded to US rice imports and incurred the resentment of farmers.
Photo: Wang Yi-sung, Taipei Times
If Taiwan allows low-cost US rice to be imported, it would affect domestic rice prices, and the public grain purchase price would need to be adjusted, he said.
He also asked whether the government has any plans to upgrade Taiwan’s rice industry.
Minister of Agriculture Chen Junne-jih (陳駿季) said the ministry this year launched a rice grain food security enhancement plan, and farmers are satisfied with the good farmgate prices, adding that this should be protected.
The trade negotiation is not over yet, so both sides would continue to communicate, and the government would protect the agricultural products that secure food safety, he said.
Cheng said that sensitive agricultural items would involve food security, and while the US hopes that Taiwan would open its market, food security is the government’s main priority.
The government cannot reveal all items in detail at this time, as it might affect negotiations, she said, adding that complementary items could be included for consideration.
If there are other import items that could be replaced, they could also be considered, and food security and industrial interests would be considered comprehensively in the trade talks, Cheng said.
Chen Kuan-ting asked if large amounts of low-cost US chicken meat exports to Taiwan would affect the domestic chicken meat industry, to which Chen Junne-jih replied that imported broiler chickens account for about 35 percent of chicken meat consumed in Taiwan, and that they were mostly imported from the US, so there is already imported US broiler chicken in the market.
The imported broiler chicken are all special parts, which differentiates it from the domestically produced chicken consumer market, he said, adding that the ministry would continue to maintain market segmentation.
Asked about how the government would help small and medium-sized enterprises (SMEs) navigate the impact of US tariffs, Cho said that aside from the financial support from the revitalization and development program for SMEs, the government would also help lower the companies’ fiscal and tax-related costs, and assist them in transforming and upgrading.
Cheng said that there is also export finance, and a research-and-development subsidy to help SMEs upgrade — up to NT$5 million (US$164,204) for a company and NT$40 million for industry alliances.
Since the US tariffs were announced in early April, Cho had instructed the creation of a comprehensive support plan, which was later expanded from NT$88 billion to NT$93 billion, she said, adding that she hoped that about NT$20 billion would be used for enhanced support for agriculture, machine tools and certain industries.
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