Consumers will pay less for imported rice as the Department of Agriculture (DA) will reduce the maximum suggested retail price (MSRP) to P45 per kilo.

Agriculture Secretary Francisco P. Tiu Laurel Jr. said on Wednesday the price cut, which followed consultations with industry stakeholders, will take effect on Monday, 31 March.

“At this level, the retail price of imported rice will decrease by P19 per kilo compared to its price before we implemented the MSRP on 20 January,” Laurel said.

Before the MSRP was introduced, imported rice was sold at P64 per kilo despite lower global prices, tariff cuts, and a stronger peso.

The Philippine Statistics Authority said the MSRP helped bring down rice prices and contributed to the 2.1-percent inflation rate in March which was lower than market and central bank forecasts.

Global rice prices have dropped to their lowest in two years, with some varieties below $380 per metric ton. The cost of Vietnam’s 5-percent broken rice, the Philippines’ main import, has also fallen to $490 per metric ton, around $200 cheaper than in December.

Food Terminal Inc. data shows the landed cost of imported DT8 rice in March was P32 to P34 per kilo, allowing room for further price reductions.

To recall, President Ferdinand Marcos Jr. ordered a rice tariff reduction from 35 percent to 15 percent starting July 2024.