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 now 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.

Label Removal
In addition to removing 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, “Importing rice is not a right but a privilege.”

“If traders are unwilling to follow our regulations, we will withhold permits for rice importation," he added.

DA data show that a markup of P6 to P8 per kilo on the landed cost of imported rice is “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 department said in a statement.

Measures to address 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 auditing rice traders’ financial records to ensure fair pricing practices, as well as price monitoring of rice in markets, which will be coordinated by the Bureau of Internal Revenue and the Department of Trade and Industry, respectively.