The National Food Authority (NFA) on Wednesday assured farmers it will buy palay at competitive prices as the harvest season approaches.

"Maganda ang presyuhan namin. 'Di hamak na mas mataas ng P4 hanggang P5 kumpara sa trader. Sa ngayon, bumibili kami ng P23. Alam na alam naman po namin na ang production cost ay nasa P14 hanggang P15 lang," says NFA Administrator Larry Lacson in a televised interview.

(Our [buying] prices are good, significantly higher by P4 to P5 compared to traders. Right now, we are buying at P23. We know very well that the production cost is only P14 to P15.)

Based on its current buying price, the NFA procures fresh or wet palay at P17 to P23 per kilogram, and clean, dry palay at P23 to P30 per kilogram.

Meanwhile, the maximum suggested retail price of imported rice is set to drop today to P55 per kilo from P58 per kilo, following the declaration of a food security emergency on Monday. The price reduction aims to stabilize rice prices and alleviate inflationary pressures on basic commodities.