Lower rice prices to be felt in October – DA

MANILA, Philippines — The benefit of Executive Order No. 62 on lowering tariff on imported rice can only be felt in October as the retail price of local rice remains cheaper compared to those of imported grains more than a month after the EO took effect on July 7, Agriculture Secretary Francisco Tiu Laurel said yesterday.

“There was a slight decrease but we cannot expect (a drop in the retail price of imported rice) as the effectivity of the new tariff rate was only July 7,” Tiu Laurel said.

“There are so many (rice) stocks bought by the importers from January to June of this year at a very high price at 35 percent (tariff) so we cannot really expect that the retail price of imported rice will go down. By October, we can feel the decrease in the retail price of rice,” Tiu Laurel said.

Tiu Laurel said that the retail price of regular milled rice ranged between P46 and P48 per kilo, and well-milled rice between P51 and P53 per kilo.

“It is not immediate that after you decrease the tariff to 15 percent, tomorrow you can enjoy the cheap retail price of rice. That’s not the case. It is impossible as the importers still need to sell their old stocks,” he added.

EO 62 reduced the tariff on imported rice to 15 percent from 35 percent.

Based on monitoring of the DA in Metro Manila markets, the retail price of local regular milled rice ranged between P46 and P50 per kilo; local well-milled rice, between P48 and 54 per kilo; local premium rice, between P50 and P58 per kilo and local special rice, between P55 and P66 per kilo.

Imported regular milled rice price ranged between P46 and P50 per kilo; imported well-milled rice, between P51 and P55 per kilo; imported premium rice, between P53 and P60 and imported special rice, between P55 and P65 per kilo.