The Department of Agriculture (DA) is putting on hold a planned reduction in the maximum suggested retail price (MSRP) of imported rice, as global tensions and a spike in oil prices threaten to drive up costs across the food supply chain.

Agriculture Secretary Francisco Tiu Laurel Jr. announced Monday that the price adjustment – initially set to take effect on 1 July – will be postponed due to mounting uncertainty in international markets.

“We’ll likely delay the rollout by a month or two to gain a clearer picture of where global prices are heading,” Tiu Laurel said.

The DA earlier proposed lowering the MSRP of 5 percent broken imported rice from P45 to P43 per kilo. However, the secretary said recent U.S. airstrikes on Iranian nuclear facilities, and Iran’s threat to close the Strait of Hormuz, have added fresh volatility to the global oil market – a development that could ripple across agriculture.

Although oil is not a direct input in fertilizer production, Tiu Laurel explained that natural gas – derived from oil refining – is vital in manufacturing ammonia, a key component of nitrogen fertilizers. The rising cost of fuel also drives up logistics and freight expenses, especially for imported food products.

“The market is extremely fluid. Any forecast I make now might not be accurate even an hour later,” he said.

The DA chief warned that fisherfolk are already being hit by soaring fuel costs, while farmers may face higher fertilizer prices in the next planting season, despite current supplies being secured. Elevated transport costs are also expected to impact the pricing of other imported commodities.

Tiu Laurel said the DA is still eyeing an August implementation for an MSRP on imported pork but noted that the final price point will depend on how market conditions evolve in the coming weeks.