The Manila Times
RICE prices may reach P60 to P62 per kilo by September, primarily due to rising fertilizer costs and global supply pressures, Agriculture Secretary Francisco Tiu Laurel Jr. said Wednesday during a hearing of the Protect Ad-Hoc Committee at the Senate. Responding to questions from senators on whether agricultural prices are expected to rise in the coming months, Tiu Laurel pointed to a sharp increase in fertilizer prices as a key factor that will affect the next harvest season. “Fertilizer prices have jumped from around P1,650 to as much as P3,000. Because of this, rice prices are expected to increase by the next harvest season, which is around September,” Tiu Laurel said. Currently, the average retail price of rice stands at about P50 per kilo, up from P42 before the global disruptions caused by the war in the Middle East and the resulting supply chain issues. Based on Department of Agriculture (DA) projections, this could rise to between P60 and P62 per kilo if traditional farming practices continue and farmers remain dependent on urea-based fertilizers. Despite the projected increase, Tiu Laurel emphasized that President Ferdinand Marcos Jr. has directed the DA to find ways to stabilize and lower rice prices. “One of our priorities is to bring down the average price, while still allowing a range of options — from premium rice to more affordable varieties,” he said. Among the strategies being explored is a rice blending program that mixes imported and locally produced rice at a ratio of 70 percent local, 30 percent imported. The goal is to lower retail prices while supporting local farmers. By blending cheaper imported rice with more expensive local varieties, officials hope to reduce the overall market price without undermining domestic production. Another proposal involves mixing rice with white corn, which is significantly cheaper. The suggested ratio is 50 percent rice and 50 percent white corn. The estimated sustainable farmgate price for rice is P22/kg (wet) and P27/kg (dry). Tiu Laurel said initial trials within the DA have shown promising results. “I’ve been eating it personally for a week. If prepared properly, you can hardly tell the difference,” he said, adding that increasing water content during cooking improves texture and taste. The practice, while traditional in some regions like Cebu, has yet to gain widespread acceptance in Luzon. Officials acknowledged the challenge of balancing consumer affordability with farmer profitability. With rising input costs, farmers need higher farmgate prices to sustain production, which inevitably pushes retail prices upward. “We want both local and imported rice to move hand in hand,” Tiu Laurel said. “The goal is to stabilize prices while ensuring our farmers can still earn.”
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