Department of Agriculture Boosts Local Rice Markets with Expanded Kadiwa Initiative
QUEZON CITY — The Department of Agriculture (DA) announced on Tuesday that the expansion of its Kadiwa initiative, coupled with the PHP29 and Rice for All programs, is set to exert greater influence on lowering retail rice prices across the Philippines.
According to Philippines News Agency, the increase in Kadiwa sites should enhance the program’s market impact, particularly in areas close to these sites, encouraging more competitive pricing among local retailers. “If you have more areas operating Kadiwa, the influence on the market will be larger. Especially those near Kadiwa sites, there’s more chance that they will offer regular prices close to that of Kadiwa,” De Mesa explained during a phone interview.
The push for broader Kadiwa operations comes as rice inflation in the Philippines showed a decline to 20.9 percent in July from 22.5 percent in June, as per the Philippine Statistics Authority (PSA). “We are delighted that more retailers are selling rice at PHP45 per kilogram in local markets. Some are even selling for PHP42 per kilogram,” De Mesa noted, attributing the price drop to a combination of DA interventions, the P29 and Rice for All programs, and falling international rice prices.
Current rice prices in Metro Manila range between PHP45 to PHP50 per kilogram for local regular milled rice and PHP47 to PHP55 for well-milled rice. Imported rice prices are slightly higher, with regular milled rice selling between PHP46 to PHP48 per kilogram and well-milled rice between PHP51 to PHP53.
De Mesa remains optimistic about further price reductions in the coming months due to the lower tariffs on imported rice, now at 15 percent. He highlighted the P29 program’s role in selling aging but quality rice stocks from the National Food Authority (NFA) for PHP29 per kilogram to vulnerable sectors such as members of the Pantawid Pamilyang Pilipino Program (4Ps), senior citizens, persons with disabilities (PWD), and solo parents; and the PHP45 per kilogram price for commercial well-milled rice through the Rice for All program at Kadiwa sites.
The DA currently operates these programs at 17 Kadiwa sites across various locations including Quezon City, Manila, Taguig City, Las Piñas, Marikina, Caloocan, Valenzuela, Malabon, Navotas, Bulacan, Antipolo City, Cavite, and Laguna, with plans to expand to Cebu, Maguindanao, and Sulu by August.
Furthermore, DA Secretary Francisco Tiu Laurel Jr. announced a review of the Masagana Rice Industry Development Program aimed at enhancing local palay production and increasing farmers’ income through improved seeds, expanded irrigation, and adjusted rice cropping schedules. The DA aims for rice yields to reach up to 7.5 metric tons per hectare with the right inputs and technologies, compared to the current national average of approximately 4.17 metric tons per hectare.