Rice price cap stays — Farmers want Diokno out over tariff proposal

The Department of Trade and Industry on Monday said Executive Order 39 which put a cap on the prices of regular and well-milled rice will stay as its possible lifting was still being discussed.

DTI's statement came as the Department of Agriculture, concurrently headed by President Ferdinand Marcos Jr., announced that 1.4-million metric tons will be added this month to the country's rice supply.

The bulk of the 1.4-million metric tons will come from local farmers, who have started harvesting their crop, and not from imports, the DA said.

"Our supply remains stable. Farmers are expected to produce 1.3-million metric tons this October," said Bureau of Plant Industry Director Gerald Glenn Panganiban in a radio interview.

DTI Secretary Alfredo Pascual earlier said they will continue to monitor compliance with EO 39 — which capped the price of regular-milled rice at P41 per kilo and well-milled rice at P45 per kilo — until it is lifted by the President.

Tillers seek Diokno ouster

Also on Monday, Finance Secretary Benjamin Diokno said the government was presently discussing his proposal to lower rice import tariffs as part of a comprehensive strategy to stabilize the staple grain's retail prices.

Diokno's statement came as farmers from different provinces protested in front of the Department of Finance to denounce his proposal and seek his ouster from the DoF.

Diokno told reporters the review was also to prepare for a potential rice shortage due to the impact of the extended dry season caused by the El Niño weather phenomenon.

"As discussions are underway, the DoF maintains its support for an appropriate policy response that promotes the greatest good for the greatest number of Filipinos," Diokno said.

Palay pricing

Meanwhile, the National Food Authority Council said on Monday it has set a new selling price range for palay to increase the income of farmers while stabilizing supply.

"I called for a meeting of the NFA Council to discuss how we can adjust the purchasing price of rice, both wet and dry, because we need to reevaluate the situation," President Marcos said following a meeting by the NFA Council which he chairs.

"That's exactly what we discussed, and we decided that the buying price of the NFA from now on will be P19 to P23 (per kilo) for dry and P16 to P19 for wet palay. That was the decision of the NFA Council," he said.

The President said the palay selling price range and the retail rice price cap would stabilize the end-users' costs for the commodity.

The originally proposed P25 and P20 per kilo, respectively, for palay buying prices were too high and would spike retail prices, according to the NFA. It said the new price range would balance the profit of farmers and the rice affordability of the public.

The agency said that if the buying price of dry palay was set at P23, the procurement fund needed would be P15 billion at the maximum, while if it is pegged at P25, P16 billion would be needed for palay procurement.

The DA said it would support the NFA proposal, but at P23 a kilo as P25 would be too high.

Cash assistance turnout

Asked by the President how the NFA's buying price would influence the market, National Economic and Development Authority Secretary Arsenio Balisacan said that at the farmgate level, the NFA procurement will be concentrated in areas where there is excess supply relative to local demand.

"In that case, it can help elevate the farmgate price," Balisacan said.

Meanwhile, DTI Region IV said the first round of cash assistance distribution under the Department of Social Welfare and Development's Sustainable Livelihood Program on 13-14 September generated a 100-percent turnout.

More local government units in the province of Iloilo will have their respective payouts in the coming weeks.

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