The Department of Agriculture (DA) on Wednesday, February 19, kicked off the distribution of rice stocks from the National Food Authority (NFA) to local government units (LGUs) committed to addressing the recently declared food security emergency. This move aims to combat the steep rise in rice prices that start in July 2023.
Agriculture Secretary Francisco P. Tiu Laurel Jr. led the ceremonial release at the NFA warehouse in Valenzuela City, where 1,000 sacks of 50-kilo rice were handed over to San Juan City, one of the Metro Manila LGUs participating in the initiative to temper rice prices.
In response to the food security emergency declaration, the NFA plans to release at least 25,000 metric tons of rice per month through Food Terminal Inc. (FTI). This initiative seeks to restore domestic rice prices to pre-July 2023 levels, when global rice prices began rising due to India’s decision to ban non-basmati rice exports in August 2023 and increased demand from rice-importing countries fearing the impact of El Niño on global rice production in 2024.
Although global rice prices have reverted to pre-July 2023 levels after El Niño and India’s export ban was lifted in September, local prices remain high, even with President Ferdinand Marcos Jr.’s decision to reduce the tariff from 35% to 15% last July.
Despite efforts to lower rice prices, the DA assured that the NFA will continue supporting local rice farmers through its rice procurement program. The NFA has been allocated P9 billion for palay procurement this year and has remaining funds from the previous year, which will help increase the volume of rice it buys from local farmers.
The NFA Council, chaired by Secretary Tiu Laurel, raised the palay buying price last year to P17-P30 per kilo, up from the 2023 price range of P16 to P23 per kilo.
“We expect to purchase more palay and assist more farmers by offering fair prices. We also hope that more LGUs will join us in distributing NFA rice in their areas,” Secretary Tiu Laurel said.
NFA Deputy Administrator John Robert Hermano announced that 67 LGUs nationwide have already expressed interest in partnering with the DA for NFA rice distribution within their jurisdictions. San Juan City, for example, plans to sell its allocated 5,000 sacks of NFA rice to residents at a base price of P33 per kilo.
“Our goal is to offer affordable rice to our citizens, and this initiative brings us closer to making it accessible. I am grateful to the DA, NFA, and ATI for helping us provide affordable rice to the people,” said San Juan City Mayor Francisco Javier Zamora, who also serves as president of the Metro Manila Council (MMC).
The Provincial Government of Camarines Sur has also partnered with the DA to secure 25,000 sacks of rice, which will be distributed through Kadiwa Centers across the province. This effort aims to support Bicolanos who were severely affected by last year’s typhoons.
“We fully support this program. While Camarines Sur is one of the top six rice producers, this initiative is a crucial step toward stabilizing prices and protecting consumers,” said Camarines Sur 2nd District Congressman Luis Raymund Villafuerte Jr.
LGUs interested in selling NFA rice are encouraged to coordinate with the DA to initiate their partnership request. If needed, they will receive a 30-day credit from FTI to cover the cost of the rice, facilitating quicker processing and providing a buffer period for payment.
To ensure compliance, Secretary Tiu Laurel emphasized that monitoring efforts will be implemented to prevent the resale of NFA rice at higher prices, with enforcement responsibility resting on the partner LGUs. ### (Krystelle Ymari A. Vergara, DA-AFID)
