D.A. expects palay farmgate prices to rise as PBBM extends rice import ban

FOOD PRODUCERS. Farmers work in a rice field in Barangay Hubangon, Mahinog, Camiguin on May 1, 2024. (Photo courtesy: Joan Bondoc / PNA / FILE)

By Brian Campued

The Department of Agriculture (D.A.) expressed hope that the extension of the rice import ban would continue to raise farmgate prices of palay as the country expects to post a record-high harvest by the end of the year.

This as President Ferdinand R. Marcos Jr. signed Executive Order (EO) No. 102, extending the suspension of importation of regular-milled and well-milled rice from Oct. 31 until Dec. 31, 2025 to protect local farmers against downward price pressures from imported rice, sustain market stability, and safeguard consumer welfare.

Marcos Jr. directed D.A., Department of Economy, Planning and Development (DEPDev), and Department of Trade and Industry (DTI) to convene within 30 days from the effectivity of the EO to evaluate the effects of the suspension of rice importation on domestic rice supply and prices.

The agencies are likewise tasked to submit a joint recommendation to the President, through the Executive Secretary, within 15 days after their assessment.

In a press briefing at Malacañang on Tuesday, Agriculture ASec. Arnel De Mesa said that they expect farmgate prices to continue increasing if the import ban remains in place until the end of the year, as it would also help local farmers sell their palay at a fair and reasonable price.

According to De Mesa, from P8 to P10 per kilo in previous weeks, farmgate prices have now reached P14 to P17 per kilo—and even up to P20 per kilo in some areas—since the import ban took effect in September.

“Inaasahan natin kasi iyong production cost ay nasa P13 to P14, so iyong expectation nila para sa sariwa ay nasa P17 at doon naman sa dry and clean, at least, nasa mga P21 hanggang P23,” he said.

Record-high harvest

Meanwhile, De Mesa said the country may reach 20.2 million metric tons (MT) of palay by the end of 2025—surpassing the previous record-high of 20.06 million MT in 2023.

He clarified that the projection already accounts for the effects of calamities, with around 7.5 million MT of palay expected to be harvested in the last quarter of the year.

“Puwede pa itong tumaas depende doon sa magiging epekto ng bagyo and hopefully wala na pong masyado,” he said.

De Mesa assured that Typhoon Tino would have no significant impact on the rice sector as it crosses parts of the Visayas—except for Iloilo, which is a key rice-producing area.

“Then again, karamihan ay naka-harvest na rin so it will not have much impact, especially sa ating rice industry,” he noted.

-jpv

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