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Prices of palay and well-milled rice continue to increase

Published Mar 3, 2018 12:00 am
By Madelaine B. Miraflor As the government still fails to supply cheaper rice in the market, the price of well-milled rice still keeps on going up. Philippine Statistics Authority (PSA) reported that during the third week of February, the average price of well-milled rice at the wholesale trade stands at P40.33 per kilogram (/kg), a price mark-up of 0.90 percent from its level a week ago at P39.9/kg. Similarly, it picked up 4.45 percent from previous year’s quotation of P38.61/kg. This was amid the issue of National Food Authority (NFA) running out of buffer stocks, which had recently gone down to its lowest monthly level in 10 years. As it runs out of supply, the state-run grains agency proceeded to stop supplying NFA rice nationwide, now forcing Filipinos to buy commercial rice, which is normally more expensive. Priority is now given to the Department of Social Welfare and Development (DSWD) and other relief agencies of the government. It is estimated that there are about 6 to 10 million Filipinos who buy NFA rice. PSA also said that the average retail price of well-milled rice during the week was pegged at P43.10/kg, which was higher by 0.56 percent from previous week’s level and by 3.46 percent from its price a year ago.  At the same time, regular milled rice posts higher prices at both wholesale and retail trades. The average wholesale price of regular milled rice stood at P36.90/kg this week, which was higher by 0.82 percent from previous week’s quotation and by 6.31 percent from a year ago level. At the retail trade, the average price of regular milled rice at R39.31/kg went up by 0.46 percent during the week. Relative to the same period in the previous year, it also climbed .01 percent. Farmgate price of palay during the week also increased at a faster rate than previous week. This week’s average farmgate price of palay at P19.93 /kg posted an increment of 1.53 percent from previous week’s level and 8.08 percent from a year ago of P18.44 /kg. Presidential Spokesman Harry Roque said a couple of days ago that officials of the NFA could either resign or face dismissal if they fail to perform their job of ensuring the country’s supply of affordable rice. At a recent Senate hearing, Senator Cynthia Villar reprimanded NFA administrator Jason Aquino for sowing panic when the agency announced a shortage of affordable rice, that later led to higher prices. Villar, chair of the Senate committee on agriculture and food, criticized Aquino for failing to clarify the shortage of the NFA stocks was different from the country’s rice supply. NFA now has a pending request at the NFA Council, which has the authority to approve rice import transactions, to adjust the timetable of the importation of 250,000 metric tons of rice to a much earlier date.
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