President Marcos announced that the National Food Authority (NFA) Council had set a new price range for buying palay in response to the changing production and market conditions.

Marcos said this following his meeting with the NFA Council, which he heads, on Monday, Sept. 18.

In a video message, the President said the buying price for the dry palay is now P23 from P19 and P19 for the wet palay from the previous P16.

He added that the move aimed to improve farmers' income and ensure a sufficient supply of the staple.

“Yung wet at saka ‘yung dry, ay kailangan nating tingnan dahil nagbago na ang sitwasyon (We needed to look into the wet and dry palay because the situation changed)," Marcos said.

“So, mayroon na silang pagkikitaan. At bukod pa roon, nandiyan na yung price cap para maikalma natin itong nangyayari sa rice prices (They will now start earning. We also have a price cap to control the rice prices),” he added.

According to the NFA, the originally proposed P20 and P25 buying prices were just too high and would spike retail prices. It said the newly decided price range balances farmers' profit and will not affect the retail prices as much.

The agency said that if the new buying price of dry palay is at P23, the procurement fund needed will be P15 billion at the maximum, while if it is pegged at P25, P16 billion will be required for palay procurement.

To ensure that the imported rice will not enter the market since it should only serve as a buffer, the NFA said the buffer is only for the poor. It likewise promised to supply poor households to put less pressure on the price in the market.

At the same time, the NFA said it is also looking at providing physical rice stock instead of cash assistance.

For its part, the Department of Agriculture (DA) said it would support the NFA proposal but at a level of P23 a kilo. The agency added that farmers are happy with P22 or P23.