MABALACAT CITY --- Amid the destructive dry spell across the country, Anakpawis Party-list Representative Ariel “Ka Ayik” Casilao called on the government to increase the farm gate price of palay to P20 per kilo on areas declared under “state of calamity.”
Republic Act 10121 or Philippine Disaster Risk Reduction and Management Act sets on its Section 17 Remedial Measures, the price control provision, especially the monitoring, prevention and control of overpricing and profiteering.
“We call on the government to control the farm gate price of palay in calamity areas, to protect the farmers from profiteering and exploitation of traders,” Casilao said.
Raising the farm gate price of palay to P20 per kilo has been demanded by farmers for many years and it is provisioned in House Bill 8512 Rice Industry Development Act (Rida) bill filed by Casilao.
The lawmkaer said farmers are being “sandwiched” by the impact of the dry spell and underpricing by private traders of palay harvests on calamity areas worsening their socio-economic standing.
The government has reported dwindling farm gate price across the country falling as P18.87 per kilo this April, from P20.55 last year. Farmers reported depressed farm gate prices such as in Nueva Ecija P13 to P14 per kilo, Isabela at P16, Laguna at P14 to 15, and South Cotabato at P14 per kilo.
Some 43 local government units (LGUs) all over the country had declared state of calamity.
“The government should also enforce control of the retail price of rice in calamity-stricken areas, to ease the impact of the loss of livelihood of farmers and other sectors relying on agriculture,” the lawmaker said.
The lawmaker said that retail price of rice should be at most P38 per kilo, if based on the average farm gate applying the “rule of thumb” of the National Food Authority (NFA).
“Why are we finding rice being sold at P40 and higher, when palay prices are already falling down, on top of the impact of the drought, and the government has yet to decisively act on the prices,” he added.
Casilao said the government’s framework on addressing the calamity is evidently liberalized, or frigid on price intervention.