Prices of commercial rice are expected to go down to as low as P49 per kilo by March as the staple grain continues to fetch lower prices on the world market, Agriculture Secretary Francisco Tiu Laurel said yesterday.
In a briefing at the presidential palace, Laurel said the current Manufacturer’s Suggested Retail Price (MSRP) for rice is P55 per kilo, which is expected to drop to P52 per kilo by February 15, and eventually, to P49 effective March 1.
In December, the department met with rice importers, traders, and retailers and asked them to reduce their rice prices to more reasonable levels, but some traders had asked for more time to dispose of their old stocks and recover their investment, a plan which the government approved.
Laurel said premium rice imported from Vietnam, Myanmar, or Cambodia, are coming in soon and this is expected to lower the price to P49 from P64 .
“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 P49 (By March 1, hopefully, they would have already acquired new stocks from Vietnam or Myanmar or Cambodia, which are cheaper, which is why the MSRP by March 1 is P49),” he said.
Laurel last week declared a food security emergency on rice based on the recommendation of the National Price Coordinating Council.
The emergency declaration would allow the release of rice buffer stocks held by the NFA to stabilize prices and ensure that rice is accessible to consumers.
Meanwhile, the National Food Authority (NFA) is expected to roll out its rice stock to local government units (LGUs) by next week.
Laurel said at least 50 LGus have already signified their interest to sell the NFA rice at P35 per kilo.
As this developed, Laurel said restoring the tariff rates on imported rice to 35 percent would only be likely if the prices of the staple grain drops to a range of P42 per kilo to P45 per kilo.
“(About) P42 to P45 per kilo, somewhere there. And puwede ng i-review at i-recommend for restoration or maybe not full restoration, it can be from 15 to 20 or 15 to 25 or full 35, depende na sa sitwasyon. Depende sa consultations with everybody (About P42 to P45 per kilo, somewhere there. We can already review and recommend for restoration — or maybe not full restoration — it can be from 15 to 20 or 15 to 25 or full 35, depending on the situation. Depending on the consultations with everybody),” he said.
President Ferdinand Marcos Jr., through Executive Order 62, last year reduced the tariff on imported rice to 15 percent from 35 percent with the idea of reducing prices and increasing supply.
