Government ready to lift rice price caps

MANILA, Philippines — The government is ready to lift the price ceilings it imposed on rice due to decreasing prices in the global and domestic markets and the expected increase in the supply of the food commodity, the Department of Agriculture (DA) said yesterday.

Speaking to reporters at Malacañang, DA – Bureau of Plant Industry Director Gerald Glenn Panganiban said it would be up to President Marcos to decide whether to lift the price caps, which took effect last Sept. 5.

“The recommendation, of course, was, because of these indicators, I think it is positive, it can be done,” Panganiban said. “From our parameters, it seems that we are ready (to lift the price ceilings). But of course, it’s all upon the President to decide on it.”

Panganiban said agencies had presented the status of their compliance with Executive Order (EO) 39 during a sectoral meeting yesterday in Malacañang.

The EO set the price cap on regular milled rice at P41 per kilogram and that of the well-milled rice at P45 per kilogram.

“And then we are expecting an increased supply of our local harvest coming this last quarter – for October, November and then the rest of the year. And the favorable factors externally (have) been reported, a drop in the export prices of rice in the global market has also been reported,” he added.

According to Panganiban, the government is expecting almost 1.9 million metric tons of rice this month, which will be enough for 74 days. In September, the supply of rice was only good for 52 days.

Asked when the price ceiling on rice would be lifted, the agriculture official replied: “I cannot say the duration but the indications point to that, so we will just keep you updated as soon as there will be a decision.”

Panganiban said the lifting of the rice price caps was a joint recommendation of the agriculture and trade departments.

In a Facebook post, Radio Television Malacañang said the National Economic and Development Authority supports the proposed lifting of the price cap, but is recommending several interventions to complement the move.

These include providing logistics support to rice traders, financial assistance to Filipino farmers and unconditional rice price