Brunei News Gazette

Post: Philippines Agriculture Department Aims to Launch Subsidized Rice Sale at PHP29/kg in August

Manila - The Department of Agriculture (DA) announced on Friday that it could begin selling government-subsidized rice for PHP29 per kilogram as early as August, pending legislative amendments.

According to Philippines News Agency, this initiative has been previously implemented through the National Irrigation Administration's contract farming with farmers' cooperatives and associations. "That's possible, of course, there will be a subsidy from the government. We've already done that before in some areas," de Mesa stated.

De Mesa elaborated that the affordability of the rice could be achieved by reducing production costs, including the provision of free seedlings, fertilizers, machinery, and waived irrigation service fees through partnerships with the Philippine Center for Postharvest Development and Mechanization (PhilMech) and other entities.

He indicated that the subsidized rice program might be rolled out in collaboration with the National Food Authority (NFA) once the proposed amendments to the Rice Tariffication Law (RTL) are approved. "We are studying and working hard on this, hopefully by August, especially if the amendments are passed," de Mesa added.

The urgency of these amendments has been underscored by President Ferdinand R. Marcos Jr., who has certified the proposed RTL amendment as a priority, aiming to stabilize rice prices in the market.

The proposed legislative changes would allow the sale of NFA rice only through government agencies, outlets of registered women's groups or cooperatives, consumer groups, similar associations recognized by the Securities and Exchange Commission, and Kadiwa stores. Currently, the NFA's role is confined to maintaining national rice reserves for buffer stocking.