THE PRICE IS RICE AS PER D.A.

Buying prices for dry palay (paddy rice) in Cagayan Valley and Central Luzon, the country’s top-producing areas reached P19 per kilo, at par with the maximum buying price set by the National Food Authority (NFA).

As per the report conducted by the Philippine Rice Information System (PRiSM), from September 16-30, 2020, prices of palay averaged P18 per kilo (/kg) in the former, and P19/kg in the latter, respectively accounting for roughly 19 percent (%) and 12.5% of the total national harvest in 2019 at 18.8 million metric tons (MMT).

The same PRiSM report also said that the price for freshly-harvested palay in the two regions averaged P14/kg.

In a virtual press conference, Agriculture Secretary William Dar said prevailing palay prices in the Philippines towards the end of the second semester 2020 were actually higher than in previous years.

Grains traders and middlemen usually buy wet or freshly-harvested palay, with high moisture content or MC, at 35% to 40% lower than dried grains at 14% MC, as they shoulder the costs of hauling, transportation, and drying.

The NFA, an attached corporation of the Department of Agriculutre, buys wet palay at pro-rata basis, and offers free transport at designated barangays, said DA-NFA Administrator Judy Carol Dansal. Dry palay, on the other hand, goes for 14% MC at P19/kg nationwide.

An online system developed in 2013-2018 in collaboration with the DA, Philippine Rice Insitute (PhilRice), International Rice Research Institute (IRRI) and Swiss technology firm, Sarmap, the aim of the PRiSM project is to consolidate and present accurate, timely, and location-specific information on the status of rice crops.

Through accurate estimates on rice areas and yields, forecasts on planting dates, and assessments on crop health, it provides the DA management vital information to support strategic policy decision-making on the country’s rice industry and food value chain.

The PRiSM survey was conducted in 16 regions, among 219 respondents, composed of farmers, traders, and millers. It also considered palay price monitoring reports from DA-regional field offices and provincial and municipal local government units.

A separate survey conducted by the Philippine Statistics Authority (PSA) in the last two weeks of September showed that farmgate prices of palay were at P17.12/kg, 5.8% higher than P16.18/kg in 2019, for the same period.

“We base our analysis and decisions using more reliable data. Bumababa tayo sa mga communities to monitor and ensure that our interventions are in place and benefit our farmers,” the DA chief stated. “The interest groups, along with former DA officials, have exaggerated data on palay to push for the amendment or repeal of the RTL. They are resurrecting old arguments against RTL.”

Interest groups, led by the Federation of Free Farmers (FFF), have been calling for the review and repeal of the RTL, as claim palay prices continue to drop and rice importation remains unregulated by the government.

“Our PRiSM data debunks the disinformation waged by interest groups against the rice tariffication law (RTL), blaming it for the decline in prices of palay,” added secretary Dar.

“Makikita dito na hindi nagkakalayo ang data na ginagamit ng gobyerno, and definitely the reality is, hindi kasing baba ang presyo ng palay as interest groups claim on social media,” Secretary Dar said.