Manila: The Department of Agriculture (DA) is set to hold consultations with farmers and lawmakers in a bid to strengthen the government's response to unscrupulous rice traders. The move came after Agriculture Secretary Francisco Tiu Laurel Jr. ordered on-the-ground consultations in preparation for the deliberations of House Bill No. 1 or the RICE Act that seeks to amend the Rice Tariffication Law and restore regulatory powers to the National Food Authority (NFA).
According to Philippines News Agency, Tiu Laurel emphasized that consultations would help the government understand the challenges faced by farmers, especially amid allegations that the P20 rice program is causing a decline in palay prices. Tiu Laurel refuted claims that the P20 rice program is responsible for the drop in prices, asserting that the program, known as 'Benteng Bigas Meron (BBM) Na', is designed to clear aging rice stocks from NFA warehouses and facilitate better procurement of palay from farmers.
Tiu Laurel stated, "Selling rice at PHP20 per kilo helps decongest NFA warehouses, allowing us to buy more palay from farmers. Every bag of rice sold at PHP20 frees up space for two sacks of palay, which we can purchase at better prices than what private traders offer." This initiative contrasts with the prices of private traders, which dropped to as low as PHP7 per kg in some regions, as reported by the Samahang Industriya ng Agrikultura (SINAG). Meanwhile, the NFA's buying price ranges from PHP17 per kg for fresh and wet palay to PHP24 per kg for clean and dry.
As of June 30, the NFA has already surpassed its first-semester procurement target by 149 percent, filling warehouse capacity to its limits. Key figures leading the nationwide consultations include DA Undersecretary for Operations Roger Navarro, National Rice Industry Development Program Undersecretary Chris Morales, NFA Administrator Larry Lacson, and Food Terminal Inc. president Joseph Lo.
Tiu Laurel highlighted that the proposed RICE Act, endorsed by former House Speaker Leyte First District Rep. Martin Romualdez as the top priority measure, aims to address profiteering and hoarding in the rice industry. He stated, "No less than House Speaker Martin Romualdez has endorsed the proposed Rice Act, designating it as House Bill No. 1. This underscores the House of Representatives' strong commitment to correcting flaws in the Rice Tariffication Law, loopholes that have been exploited by unscrupulous traders to the detriment of our farmers."