Rice farmers may soon be able to sell their newly harvested palay at a higher price.
National Food Authority (NFA) Administrator Larry Lacson said Thursday that the agency is verifying reports about low prices of fresh or wet palay. “Pinapa-monitor ko na. May mga reports na rin tayo nabasa na may P13 daw, may P14,” he said. “So the logical thing to do is verify kung totoo. Kung totoo ‘yan na bumababa na ng ganyan na level, sa ngayon we have to act as NFA, as a government entity, to help alleviate ‘yung presyo ng palay.”
(I am having it monitored. We are seeing reports of P13, of P14 [per kilo]. So the logical thing to do is verify if it’s true. If it’s true that the price has gone down to that level, we have to act as the NFA, as a government entity, to help alleviate the prices of palay.)
The current NFA buying price of wet palay is pegged at P18 to P19 per kilo, while dry is pegged at P23 per kilo.
“We may may increase the buying price of palay next week kung ma-verify namin na talagang bumagsak na ‘yan,” Lacson added.
“Initally I’m thinking of at least one-peso increase next week para lang ma-calibrate natin ‘yung presyo sa merkado [to calibrate the price on the market]. Ia-adjust natin ‘yan so that mga magsasaka natin may option na mas mataas ang presyo [We will adjust that so that the farmers will have the option to increase prices].”
The said increase would translate to about P5000 additional income for farmers. At the same time, Lacson said, this would prompt traders to buy palay at higher prices.
“Doon naman sa ibang traders na namimili kung kami ay nag-increase ng piso ang difference na ng presyo namin sa kanila ay dalawang piso na, tatlong piso or even higher. Saan pupunta ang magsasaka? Pupunta sa NFA, hindi sa trader. Kung si trader kailangan niya ng palay hahabol siya ng presyo,” Lacson explained.
(If we increase by P1 our price difference to theirs would be P2, P3 or even higher. Where would the farmers go? They would go to the NFA, not to the trader. If the trader needs palay they would have to keep up with the price.)
This year the NFA hopes to buy around 545,000 metric tons of palay or over 300,000 metric tons in rice form.
Last week, the Department of Agriculture (DA) began releasing NFA rice stocks to local government units (LGUs) weeks after the declaration of food security emergency, which prompted the grains agency to open its warehouses and sell its stocks in a bid to tame retail prices of the staple.
