DA eyeing rice price cap

The Department of Agriculture (DA) is considering imposing a price cap on imported rice after flagging what it described as “unreasonable” price increases in the market.

Agriculture Secretary Francisco Tiu Laurel Jr. said retailers have been selling imported rice at P55 to P58 per kilo, despite estimates the price should only be P45 to P48 per kilo based on current costs.

“A modest increase may be reasonable, but what we are seeing is an unreasonable spike in the price of imported rice, especially since its current cost remains relatively low,” Laurel told reporters.

The DA is studying a P50-per-kilo price ceiling, although Laurel said the proposal would need to undergo legal review before it can be recommended to President Ferdinand Marcos Jr.

While the price cap is under consideration, the agency has started selling lower-priced rice in an attempt to counter the high retail prices.

The DA said the proposed cap would apply only to imported rice, leaving locally produced rice outside the policy to avoid affecting farmers’ earnings during the harvest season.

Meanwhile, Laurel said fish prices will remain stable for now due to ample supply, but warned of possible increases in the coming months if oil shocks in the Middle East continue to disrupt supply chains.