12-9-2023 (MANILA) The Philippine government is contemplating the removal of the price ceiling on rice within the next two weeks as the country’s local harvests begin to come in, announced Trade Secretary Alfredo Pascual.
Pascual informed reporters during an event in Manila on Monday that the price cap, which was implemented last week, was necessary to prevent further increases in rice costs. He also mentioned that the Philippines, being one of the world’s largest purchasers of rice, is currently engaged in discussions with major rice exporter Vietnam regarding potential imports.
In August, the Philippines experienced the highest rice inflation rate in nearly five years, rekindling memories of a 2018 shock that led to the lifting of a long-standing limit on imports. President Ferdinand Marcos Jr., who also serves as the country’s agriculture chief, enforced the cap on rice prices starting from September 5th as a measure to counter an “alarming” surge in retail costs amid reports of hoarding by traders.
Pascual stated that approximately 95% of retailers have complied with the price cap, and his agency has issued warnings to those who failed to comply.
Agriculture Undersecretary Leo Sebastian expressed optimism, projecting that domestic rough rice production would exceed 11 million metric tons in the second half of 2023. He further stated that if there are no severe typhoons in the remaining months of the year, the country hopes to achieve an output of 20 million metric tons, as per a statement from Marcos’s communications office on Sunday.
This forecast follows last year’s output of 19.76 million metric tons and a 3% increase in production during the first half of this year, reaching 9 million metric tons.
Pascual also suggested that the head of the National Economic and Development Authority, Arsenio Balisacan, would be a suitable candidate to lead the Department of Agriculture if Marcos decides to step down from the position.
Chinese (Simplified)
Filipino
Indonesian
Malay
Thai