The Department of Agriculture (DA) is considering a P50 price cap on imported rice as ongoing tensions in the Middle East continue to affect the Philippines’ rice supply and pricing.
During an interview on DZRH’s Dos Por Dos Friday, DA Assistant Secretary Arnel De Mesa said the proposed P50 cap for imported rice, including 5% broken and premium varieties, remains reasonable for traders.
However, he cautioned that adjustments may be necessary if the dollar exchange rate, freight costs, or international rice prices continue to rise.
“Target kasi doon nga, ma-set initially at 50 pesos. Ano lang ito, para lang sa imported price, yung 5% broken, yung premium,” De Mesa said.
“Reasonable pa naman ngayon yung 50 pesos. There will be adjustments. Depende doon kung patuloy na tataas yung ating presyo ng dollar, yung dollar-peso exchange rate, yung freight cost, at yung presyo sa international market.”
De Mesa clarified that the proposed cap applies to rice that has already arrived in the country.
“Bago pa yung mga additional na mga concerns natin ngayon. Depende kung tataas pa lalo yung presyo ng dollar, yung freight cost kasi ang laki na nung itinas, halos doble na,” he said.
The DA also reported that farmgate prices of local palay vary by region, influenced by daily market fluctuations.
According to De Mesa, rice prices in Nueva Ecija are around P24 per kilo, while other areas see slight decreases.
“Araw-araw nagbabago yung presyo ng farmgate pero kumpara sa mga nakaranganihan, sobrang ganda na presyo ng palay ngayon,” De Mesa said.
He added that these rice grain prices help explain the higher cost of local rice in markets.
“Reasonable yung presyohan kung ang presyo ng tuyo ay nasa mga 25 pesos on average. Yung ating well-milled nasa 50 pesos. So yun yung nakikita natin sa palengke which is reasonable,” De Mesa said.
He also noted that the lowest palay prices monitored in Luzon are around P18 to P19 per kilo, significantly higher than the P15 per kilo reported in past years, signaling better earnings for farmers this harvest season.
