By Adrian H. Halili, A reporter
The Ministry of Agriculture on Thursday said it may declare an emergency for the supply of rice as the price of the grain remains stubbornly high.
Agriculture Secretary Francisco P. Tiu Laurel, Jr. He said he expects the release of the local rice stock from the National Food Authority (NFA) in the first week of February, as it awaits the submission of the National Price Coordinating Council (NPCC) recommendation calling for the declaration of a food security emergency.
“I don’t have any.”frecommendations from the NPCC at the moment, the details are still in the working group. But when it comes to my desk, there is a good chance that we will announce it, so that we can release the NFA shares,” he told reporters during a visit to the market in Pasig City.
“Once I receive it, I will contact the President again for his comments,” he added.
The NPCC has passed a resolution urging the DA to declare a rice food emergency, which will pave the way for the NFA to revive.lease buffer stock to stabilize prices.
Under Republic Act (RA) No. 12708 or the Agricultural Tax Act, the Secretary of Agriculture may declare a food security emergency in the event of a shortage of rice supply or an abnormal increase in prices.
Rice prices remain stubbornly high despite low import costs.
According to DA prices in Metro Manila markets as of Jan. 15, a kilo of imported special rice was between P53 and P65 compared to P58 and P65 per kilo last year.
The price of imported rice stood at P50-P60 per kilo since Jan. 15 from P54-P62 per kilo last year.
On the other hand, imported milled rice is currently between P44 and P52, while imported milled rice is at P40 to P48 per kilo.
The Secretary of Commerce, Maria Cristina Aldeguer-Roque, who chairs the NPCC, said the decision was made due to the dramatic increase in the price of rice seen since 2023.
“All markets must follow the DA’s instructions to reduce the prices of imported rice for consumers and, at the same time, protect the seller, the seller, and the seller,” he told the media.
Mr. Tiu Laurel said the DA needs to release the buffer stock from the NFA warehouses, which has reached 300,000 metric tons, before the harvest season.
“Harvest time is coming. Therefore, if our warehouses are full, we will not be able to buy from farmers at a good price. We need to sell it quickly,” said Mr Tiu Laurel.
When the NFA buffer stock is released, Mr. Tiu Laurel said the rice will be sold to local government units (LGU), Kadiwa, Armed Forces of the Philippines, Philippine National Police, and other government agencies.
Last week, the DA said it is looking to sell some NFA of old rice to LGUs to free up storage space before the rice harvest season.
The NFA will have a purchase price for palay, or unmilled rice, ranging from P21 to P23 per clean and dry kilo, according to an Agriculture department official.
The NFA will set a retail price of P36 per kilo for LGUs in February and it will be further reduced to P33 per kilo in March.
PART PRICE
Meanwhile, Mr. Tiu Laurel said the higher suggested retail price (SRP) for imported rice, which will be implemented in Metro Manila starting Jan. 20, will also deal with higher rice prices.
The DA will set a higher SRP of P58 per kilo for imported rice with 5% broken grains, a move it says will lower the selling price of imported rice.
“Every two to three weeks the (higher SRP) can be fixed until March,” said Mr. Tiu Laurel told reporters.
“After two to three weeks we can adjust it to P55 per kilo, after another two weeks maybe P52 per kilo. If the land price drops too much, it could be P50 per kilo soon,” he added.
Mr. Tiu Laurel said importers and traders had previously agreed to a profit of P10 per kilo.
“Actually, I also discussed with private companies about this, we had a meeting with vendors, importers, DTI (Department of Trade and Industry), PCC (Philippine Competition Commission), BIR (Bureau of Internal Revenue), and everyone,” he said. “This decision to focus on P58 was a decision that was not made unfairly. It is done through consultation.”
Asked to comment, the National Manager of the Federation of Free Farmers, Raul Q. Montemayor, said there is no need to declare a state of emergency for rice food security due to sufficient domestic supply.
“I don’t think there is an emergency for national food supply in rice. There is no shortage of supply, there is no crisis, the harvest will start again in March, and the prices, while still high, are actually going down a little,” said Mr. Montemayor in a Viber message.
He added that the government has failed to follow the traders from other countries who bring in profits, wholesalers and retailers.
“Instead of going after them, the government instead chose to exploit the law (RA 12708), so it gives them a legal basis to release NFA stocks to LGUs in an effort to lower prices,” he said.
In a Viber message, former Agriculture Secretary Fermin D. Adriano said the limited NFA stock may not be enough to influence rice prices.
“It is a very limited stock compared to the hands of the rice cartel, which controls about 70% of the total,” said Mr Adriano. – with ideas from Kyle Aristophere T. Atienza
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