Rice market prices decreases by P4-P5
Domestic retail and wholesale price of rice have decreased compared to the price levels last year, down by 10-13 percent year-on-year or around PhP4.20-5.20/kilo.
Though it has been a subject of the public’s criticism due to the plummeting price of palay, the Rice Liberalization Act has brought down the price of rice in the market as compared to the previous year’s price. This is due to the higher inventory, increasing by 31.9 percent in July 2019.
“The Rice Liberalization Act (RLA) continues to help increase rice supply in the country. This allows more Filipinos to access cheaper rice. This is especially helpful since a large number of families spends almost 30 percent of their total food expenditure on rice,” NEDA Undersecretary for Policy and Planning and currently Officer-in-Charge (OIC) Rosemarie G. Edillon said.
The RLA also known as the Rice Tarrification Law, signed into law six months ago, aims to improve food security in the country, strengthen the rice industry, and promote a more competitive domestic rice market.
Since the enactment of this law, local farmers have been complaining about the declining farmgate price of palay. Part of what the government will earn through tarrifs will go to the Rice Competitive Enhancement Fund which will have an annual budget of P10 billion.
“There is a need to fast-track the rollout of the programs and projects under the Rice Competitive Enhancement Fund to support the farmers against dropping palay farmgate prices,” Edillon said.