DA mulls brand-free rice importations
Laurel has also suggested auditing rice traders’ financial records to ensure fair pricing practices
(FILE PHOTO)
Photo from PNA
Daily TribuneLaurel has also suggested auditing rice traders’ financial records to ensure fair pricing practices
(FILE PHOTO)
Photo from PNA
The Department of Agriculture (DA) on Monday said it is considering removing brand labels from imported rice due to price manipulation by some industry players.
“After conducting a series of market visits, we have reason to believe that some retailers and traders are intentionally confusing Filipino consumers with branded imports to justify the high prices of rice,” Agriculture Secretary Francisco Tiu Laurel Jr. said.
In addition to removing the brand names, rice labels such as “premium” and “special” on imported rice will also be removed, as they are believed to be used to justify inflated prices.
Locally produced rice will be exempt from this rule to protect the domestic market.
Laurel emphasized that “importing rice is not a right but a privilege.”
“If traders are unwilling to follow our regulations, we will withhold their permits for rice importation,” he said.
DA data showed that a markup of P6 to P8 per kilo on the landed cost of imported rice was “sufficient to profitably sustain the operations of all parties in the supply chain.”
“For example, if rice is purchased from Vietnam at an all-in cost of P40 per kilo, the consumer price should not exceed P48 per kilo,” the DA said in a statement.
Measures to address the rice price volatility, including invoking a food security emergency under the amended Rice Tariffication Law that would allow the release of buffer stocks from the National Food Authority to stabilize prices, are also being considered.
Laurel has also suggested an audit of rice traders’ financial records by the Bureau of Internal Revenue to ensure fair pricing practices, as well as the monitoring of the rice prices in the markets by the Department of Trade and Industry.