Saturday, November 24, 2007 NFA increases buying price of palay, rice
GOOD news to palay farmers but bad news to rice consumers in the country.
The National Food Authority has increased its buying price for palay from P10 per kilo to P11 per kilo to help farmers cope up with the rising cost of living, said Antonio dela Cruz, NFA director for Southern Mindanao region.
He urged farmers to take advantage of the increase that is "timely" in the wake of rising costs of fuel and various food commodities.
"The National Government has seen the need to address the plight of our farmers who are suffering from the increase of basic goods caused by the series of hikes in fuel prices. Moreover, the high cost of farm inputs has caused the decrease in the production income of the Filipino farmers," dela Cruz said.
He noted that aside from the increase in the buying price of palay, a farmer who will deliver his produce to the government-run grains agency will enjoy P.25 per kilo incentive.
The cooperative where the farmer is a member will also get another P.25 per kilo incentive as part of the agency's Cooperative Development Incentive Fund program, he added.
Under the structure of NFA, General Santos City and Sarangani province are still part of Southern Mindanao, which covers the Davao Region.
General Santos, dubbed the "Tuna Capital of the Philippines," and Sarangani fall under the political geography of Central Mindanao.
But while there was an increase in the grains agency's buying rate for palay, price of rice produced or imported by the NFA was also adjusted.
Dianne Silva, NFA-Southern Mindanao assistant regional director, said the agency's rice products will now be bought P.25 higher per kilo.
"The adjustment took effect only last Monday. The NFA is now selling well-milled local and imported rice at P16.75 per kilo to retailers while end consumers could have them at P18.25 per kilo," she said.
Silva said NFA rice, patronized mostly by low-income earners, can be bought at accredited retail outlets inside major public markets as well as in "Tindahan Natin" outlets in various villages.
In an interview, she noted the price increase in NFA rice is to offset the social cost relative to the increase in buying price of palay.
Silva said the price of NFA rice in the region is still relatively lower than those produced by private traders in the area with the latter's ordinary rice ranging from P20 to 22 per kilo and P23 to P25 per kilo for special varieties.
She added that buying price of palay by private traders is playing between P9 to P9.50 per kilo for wet and additional one peso for dry products. (BSS)
