By Stephanie Sevillano | Philippine News Agency
The Department of Agriculture (DA) on Monday backed the proposed amendments to Republic Act 11203 or the Rice Tariffication Law (RTL) to allow the National Food Authority (NFA) to sell rice to markets at a lower price.
The DA issued the statement after President Ferdinand R. Marcos Jr. said he would certify the proposed amendments to RTL as urgent, considering that the NFA’s mandate is now limited to national buffer stocking under RTL.
In an ambush interview, Agriculture Assistant Secretary Arnel de Mesa said the legislative action may be favorable in preparation for the looming La Niña and other emergency cases.
“Supportive ang DA dun. Mas maganda kung may ganitong provision lalo na kung may emergency cases. Mas maganda kung makaka-intervene ang NFA and DA doon sa market,” de Mesa said.
Former Agriculture Secretary Emmanuel Piñol also expressed support for the urgent amendment of RTL, saying the NFA may sell rice at around P40 per kilogram to P45/kg.
Piñol said that at this range, although higher than the original P27/kg, the subsidized price is much lower than the current offer of private traders who typically double the market price.
“I think it is the moral obligation of government to provide an option for the poor consumers na puwede nilang takbuhan at makabili sila ng bigas na makakain nila three times a day. And that is an obligation of government,” he said in a separate interview at the Bagong Pilipinas Ngayon.
Piñol also lauded Marcos for the urgency to correct a “flawed legislation” that enabled “rice cartel or mafias” to control market prices.
“Kailangan ibalik sa supervision ng gobyerno iyong rice industry. We cannot allow the state of food of the Filipinos to be controlled by the rice cartel. And I would like to thank the President for this,” he said.
He added the P20-billion excess tariffs collection from rice importation is nothing compared to around “P68 billion worth of additional expense” shouldered by rice consumers.
NFA rice
Meanwhile, de Mesa said the NFA Council has earlier approved a selling price of rice 20 percent lower than the prevailing market price.
“So halimbawa, P50 ang na-monitor na price minus 20 percent. So that’s minus P10,” he said, suggesting it shall be around P40 per kilogram considering the current market prices.
The 20-percent markdown is applicable if the NFA has three to six months of stocks, he said.
“So, kung more than six months naman at pwede pa, ay 30 percent lower naman than the prevailing market price na na-monitor ng PSA (Philippine Statistics Authority),” de Mesa added.
He said this may be a win-win solution considering that the NFA’s buying, drying and milling costs range from P37/kg to P39/kg.
The average farmgate price of palay (unhusked rice) is pegged at P26.9/kg, with other prices varying from P23/kg to P30/kg per area.
As of Monday, the prevailing market price of local regular milled rice in Metro Manila is pegged at P50/kg, and P48 to P55/kg for local well-milled rice; while the imported rice is set at P48 to P51/kg and P51 to P54/kg for regular and well-milled rice, respectively.
