Farmers’ groups blast PSA, economic team for ‘misleading claims’ on rice price reduction


 

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(MB FILE PHOTO)

Farmers’ groups Samahang Industriya ng Agrikultura (SINAG) and Federation of Free Farmers (FFF) have criticized the Philippine Statistics Authority (PSA) and the government's economic team, accusing them of misleading the public regarding the recent rice inflation slowdown.

On Sept. 5, the Philippine Statistics Authority (PSA) said the rice inflation slowed in August, attributing the decrease to a combination of base effects and lower tariffs on imported rice. The PSA chief and National Statistician Claire Dennis Mapa said rice inflation clocked in at 14.7 percent last month from 20.9 percent in July.

SINAG Chairperson Rosendo So said that the reduction in rice inflation does not equate to lower rice prices, contrary to what the PSA and the economic team suggest.

"Rice prices remain high; in some areas, they have even increased," said So.

SINAG and FFF have questioned the economic team's narrative, demanding clarity on why the government insists on a drop in prices when, in reality, consumers continue to feel the burden of rising costs.

The SINAG chairperson pointed out that regular-milled rice is scarce in most outlets.

He also raised concerns over unfulfilled promises from key officials, including National Economic and Development Authority (NEDA) Secretary Arsenio Balisacan, who had assured the public of a P29 per kilo price for rice.

“Nasaan ang pangakong ₱29 per kilo ni Secretary Arsenio Balisacan? Nasaan ang pangako ng mga importers na bababa ang presyo ng bigas ng ₱6 to ₱8 per kilo nung nakaraang buwan pa dapat (Where is Secretary Balisacan’s promised ₱29 per kilo rice? Where are the promises of importers who claimed rice prices would drop by ₱6 to ₱8 per kilo last month)? So asked.

Jayson Cainglet, the executive director of SINAG, said the NEDA chief should advise President Marcos to revoke or rescind EO 62.

Despite commending the efforts of the Department of Agriculture (DA), particularly Secretary Francisco Tiu Laurel Jr., to curb rice prices, So maintained that tariff reduction under Executive Order (EO) 62 has not led to cheaper rice.

“It’s been two months since EO 62 took effect, but we don’t see rice getting cheaper," he said.

So argued that rice exporters, particularly from Vietnam, have only increased their prices, with Vietnamese rice now costing more than Thailand's.

“Vietnam is now charging $15 more per ton for 5 percent broken rice and $28 more per ton for 25 percent broken rice than Thailand," he said in Filipino.

As such, So noted that the global demand for rice has increased while domestic production in many rice-producing countries has declined, further driving up prices.

He warned that rice exporters, particularly from Vietnam, stand to profit from the surge in demand, while the local market bears the brunt of the price hike.

Vietnam is projected to earn at least $5 billion from rice exports this year, So said.

"Strategic government intervention in production, post-production, and marketing can lower rice prices without the need for tariff cuts," So stated.

As of Sept. 6, the DA’s price monitoring indicated that the cheapest rice available in Metro Manila was P47 per kilo, while the most expensive sold for P65.