Sultan Kudarat 2nd District Representative Horacio Suansing Jr. has urged the Bureau of Internal Revenue (BIR) and the Philippine Competition Commission (PCC) to investigate Davao-based businessman Stewart Santiago and his companies, Nance II AgriTraders and Davao Solar Best Corporation, over significant discrepancies in their rice importation records.
During a hearing of the Murang Pagkain super committee on Wednesday, Suansing highlighted the need for accountability and transparency in rice importation, citing alarming mismatches between the data from the Bureau of Customs (BOC) and the Bureau of Plant Industry (BPI).
According to Suansing, the BPI issued Sanitary and Phytosanitary Import Clearances (SPSICs) for only 48,852 metric tons of rice in 2022. However, BOC records revealed that Santiago’s companies imported a total of 348,011 metric tons, leaving a discrepancy of 299,159 metric tons.
“Per BOC records, Nance II and Davao Solar Best imported a total volume of 348,011 metric tons. But the problem, Mr. Chair, as per BPI data, they were only issued SPSICs for 48,852 metric tons. There is a discrepancy of 299,159 metric tons. Hindi ito nadeklara. May discrepancy,” Suansing emphasized.
He stressed the urgency of addressing the issue, adding, “‘Pag tinotal mo itong dalawang korporasyon, meron 299,159 metric tons na discrepancy. Para sa akin, Mr. Chair, kailangang ayusin ito.”
Tax Compliance Questioned
Suansing also scrutinized Santiago regarding his companies’ tax compliance. Records presented at the hearing showed that Nance II AgriTraders and Davao Solar Best paid P2.8 billion in duties and taxes in 2023, with smaller amounts in previous years.
Santiago explained that his companies operate on slim profit margins of P1 to P1.50 per kilogram of imported rice, relying on high import volumes for profitability.
However, Suansing questioned whether these margins were accurately declared, saying, “Kung piso lang ang kita per kilo, patingnan natin sa BIR kung ang piso na ‘yan, deklarado.”
Monitoring Lapses and Anti-Competitive Behavior
The lawmaker also criticized the Department of Agriculture (DA) and the BPI for alleged lapses in monitoring rice imports, calling on the PCC to examine possible anti-competitive practices by the companies.
“Ito kasing number one ang Nance II, number six itong Davao Solar Best. Pag kinumbine mo sila, halos 10% ng buong importation ng Pilipinas hawak nila. So I would like to solicit the comment of the [PCC],” Suansing stated.
The PCC pledged to review the companies’ activities and submit their findings to the committee.
This investigation comes at a time when the government is intensifying efforts to ensure fairness and accountability in the agriculture sector amid concerns about food security and price stability.
