More than 50 local government units (LGUs) are interested in procuring rice stocks from the National Food Authority (NFA) shortly after the declaration of a food security emergency for rice, the Department of Agriculture (DA) reported Monday.
“Sa ngayon, marami nang LGUs na nag-signify ng intent but lumalabas sa procedure na may kailangang gawin (For now, there are many LGUs which signified their intent but there’s still procedure needed to be accomplished),” DA Secretary Francisco Tiu Laurel Jr. said in a Palace briefing.
The agriculture chief refers to the documentation requisitions between the NFA, Food Terminal Incorporated (FTI), and LGUs.
According to the DA, interested LGUs were logged in various areas across the country including Metro Manila, Calabarzon, Mimaropa, Bicol, Western and Central Visayas, Zamboanga Peninsula, and in Davao region.
The NFA earlier said it is ready to release its stocks to LGUs, other government agencies, and government-owned and controlled corporations (GOCCs) at PHP33 per kilogram, which may be sold to consumers at PHP35/kg.
Besides rice stock release under the food security emergency, more spaces are expected to be freed in NFA warehouses under the declaration, which consequently will give way to more palay buying amid the local harvest season.
Retail prices of rice may also be influenced with the availability of PHP35/kg well-milled NFA rice, the DA said.
It earlier expressed hopes to bring down prices closer to the PHP41/kg to the PHP45/kg level before July 2023 or the onset of the upward trend of rice retail prices in the country.
P49/kg. rice by March
The DA chief, meanwhile, said commercial rice prices may drop to PHP49/kg. by March 1, as new rice stocks are expected to arrive from some Southeast Asian countries.
Tiu Laurel said the DA had discussions with rice importers, traders and retailers, conveying its request for them to reduce rice prices to more reasonable levels.
The current Manufacturer’s Suggested Retail Price (MSRP) is PHP55/kg., following the DA’s approval of the disposal of old stocks.
“By February 15 ngayon, ang MSRP natin will be PHP52. By March 1, hopefully, nakabili na sila ng bagong stocks mula sa Vietnam or Myanmar or Cambodia na mas mura, kaya ang MSRP natin by March 1 is PHP49 (By Feb. 15, our MSRP is PHP52. By March 1, hopefully, they are able to buy new stocks from Vietnam, Myanmar or Cambodia which is cheaper. So we are able to come up with an MSRP of PHP49 by March 1),” Laurel said.
The DA chief also expects the MSRP of premium 5 percent broken rice from PHP64/kg. to PHP49/kg. by March 1.
In June last year, President Ferdinand R. Marcos Jr. issued Executive Order 62, which modified the nomenclature and tariff rates on various products to ensure a continuous supply of goods and to protect the purchasing power of the Filipino people.
Laurel said the government’s target price for triggering an adjustment in the rice tariff would be between PHP42 and PHP45/kg.
“Puwede nang i-review at i-recommend (It can be reviewed or recommended) for restoration or maybe not a full restoration, it can be from 15 to 20 or 15 to 25 or full 35 (percent). Depende na sa sitwasyon. Depende sa (It would depend on the situation. It would depend on) consultations with everybody,” Laurel said. (PNA)
