The Department of Agriculture is looking to implement a suggested retail price of P53 per kilogram for locally produced rice to ensure fair market prices for consumers and farmers.

This proposal follows President Ferdinand Marcos Jr.'s recent approval of a 30-day, mandatory P50 per kilogram price cap on 5 percent broken imported rice, a move meant to address price increases and prevent market abuse amid the ongoing Middle East fuel crisis.

Agriculture Secretary Francisco Tiu Laurel Jr. stated Tuesday that the formal order regarding the local rice SRP will be released shortly after consultations with stakeholders are finalized.

"The computations, as of the moment, is about P53 per kilo, we're just finalizing the figures." Tiu Laurel said.

However, he noted that the benchmark might vary depending on the area.

"Maybe this will be more regional. We're studying it well because we don't want our millers and local rice traders to be affected," he said.

The agriculture secretary clarified that the local rate is strictly a consumer benchmark, differing from the punitive mandatory ceiling placed on imported grains.

"This is not a price ceiling. It's just a guide for consumers on fair local rice prices," Tiu Laurel said. "Definitely, it's non-binding. It will be just a suggestion to guide our consumers on what the price should be."

Because it is an SRP, market players are still permitted to sell at lower prices, allowing others in the value chain to earn reasonable margins.

“I’ve consulted rice millers and industry groups, and P53 per kilo is acceptable,” Tiu Laurel said.

According to the department's latest price monitoring in Metro Manila, local premium rice currently ranges from P50 to P60 per kilo, while local well-milled and regular-milled rice both average P50 per kilo.

Meanwhile, full enforcement of the P50 price cap on imported rice is slated to begin next week, giving retailers and consumers time to adjust. The cap could also be prolonged depending on global conditions.

"Even if the war is over there, the effect of the crisis is not limited to 30 days, it might affect us till the end of the year," Tiu Laurel explained. "So, there is a good chance that the price cut may be extended for another month or two."