Manila: The Department of Agriculture (DA) on Friday condemned reports of some rice traders allegedly exploiting farmers during the end of the harvest season, following allegations that fresh, wet palay (unhusked rice) is being purchased at PHP5 per kg in Nueva Ecija.

According to Philippines News Agency, the report, initially highlighted by the Samahang Industriya ng Agrikultura (SINAG), has prompted the DA to initiate an investigation into the issue. DA spokesperson Assistant Secretary Arnel de Mesa, in a press briefing, described the situation as a significant abuse by traders. He warned that if the allegations are substantiated, those involved could face profiteering charges.

He stated that Secretary Francisco Tiu Laurel Jr. has instructed the National Food Authority (NFA) and the regional field office to verify the claims. "If that's true, we will identify who the traders are buying at that price and report it because that's really an abuse," de Mesa emphasized.

De Mesa also mentioned that investigations into previous reports of low traders' prices are still underway. Meanwhile, the agency is working on introducing a minimum farmgate price for palay, anticipated to be implemented in the next harvest season between mid-September and October.

He highlighted the significance of House Bill No. 1, or the proposed Rice Industry and Consumer Empowerment (RICE) Act, which aims to support the enforcement of a floor price. The DA has yet to establish the exact floor price for the palay farmgate amount.