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The Palace reiterates its support for reinstating the NFA’s direct rice import powers to create a robust market.

Malacañang Backs Stronger NFA Market Powers

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Malacañang on Wednesday expressed support for the restoration of the National Food Authority’s (NFA) power to directly import rice to strengthen its market capability.

In a press briefing, Palace Press Officer Claire Castro acknowledged the challenges faced by the grains agency after it lost the power to import rice directly due to the Rice Tariffication Law.

She said the NFA is now hampered by the requirement to go through local government units (LGUs) before acting on rice importation needs.

“Maganda sana po kung mabigyan muli ng authority ang NFA kasi nawalan po talaga sila ng power para po umangkat ng bigas. Sa ngayon po, lahat ng gagawin ng NFA dapat munang dumaan sa LGU. Hindi kasi nakakadiretso ang mga farmers, daraan muna sila sa LGUs (It would be better if the NFA will have its power to directly import rice back. At present, everything they do must go through the LGUs. The farmers cannot go directly to them),” Castro said.

Castro said the NFA should have more direct control over rice imports to better respond to market needs and support local farmers.

“Mas maganda po talaga na mas mabigyan ng power ang NFA. I hope mapag-aralan ito ng Kongreso, itong Rice Tariffication Act, para maayos at mabigyan ng tamang authority ang NFA (It would really be better for the NFA to have that power again. I hope Congress could review the Rice Tariffication Act to once again empower the NFA),” she said.

The Department of Agriculture has been calling for the restoration of the NFA’s market regulatory functions as a means of making rice cheaper.

The Rice Tariffication Law, enacted in 2019, liberalized rice imports and removed the NFA’s authority to intervene in the rice market, replacing it with a system of tariffs.

The law barred the NFA from releasing its rice reserves onto the market. It also revoked the NFA’s licensing powers over rice market participants.

However, the law has been met with criticism for reducing the NFA’s ability to regulate rice prices and ensure adequate supply, particularly during lean months. (PNA)