BY DOMINIQUE GABRIEL G. BAÑAGA
BACOLOD City – Local farmers are grunting over the low price of palay ranging between P15 and P17 per kilo, according to Negros Occidental governor Eugenio Jose Lacson.
While the National Food Authority (NFA) is reported to be purchasing palay (with moisture content of 14%) at a higher price of P19 per kilo, it is not doing so in rice farms but transact at its office.
In a radio interview, Lacson pointed out that the proposal of President Ferdinand “Bongbong” Marcos Jr. to lower the price of rice to P20 per kilo would be impossible to accomplish, especially if the palay prices continue to increase.
Lacson admitted that “middlemen” play a big part. Millers do not engage in retail and are instead relying on the middlemen to not increase the price of rice.
The governor also noted that the government could intervene if the price of rice continues to increase.
Earlier in June, Lacson pointed out that it would be a challenge for Marcos to bring the price of rice down to P20 per kilogram.
“If the rice is at P20 at retail, what will be the price of palay?” Lacson questioned.
The governor said he’d like to see it happen, but he doesn’t know how they could implement it without hurting the rice farmers.
On the other hand, then-Department of Agrarian Reform Secretary Bernie Cruz said that it is possible to bring down the price of rice to P20 per kilo, although it would not be seen until at least early 2023.
Cruz noted that it is possible as long as Marcos heeds their proposal. The proposal includes mega farms and fully mechanizing large hectares of land to further maximize rice production.
However, former Agriculture secretary William Dar has a different opinion, saying it is not yet possible.
Among the factors Dar pointed out that could affect the proposal include the current Russo-Ukrainian War, as the conflict has caused a price increase on fertilizer and fuel, and as a result, the price of palay has soared to P14.80 per kilo.
Dar said that the farmgate price, or when you purchase the palay, at 14 percent moisture content is at P19 per kilo.
“With this data, it’s not yet possible,” Dar said./PN
