The Market Monitor Minding the Nation's Business
President Ferdinand R. Marcos Jr. emphasized the need for a food security emergency declaration to address the rising rice prices and ensure the market operates effectively.
“We have done everything to lower rice prices, but the market is not being allowed to function properly,” he explained when asked last week about the Department of Agriculture’s (DA) plan to declare a food security emergency.
The President noted that despite efforts to reduce production costs, rice prices remain high, disrupting the natural demand and supply balance. “Even if we lower all inputs, the selling price is still high,” he said, adding that the government needs to intervene to reduce prices and eliminate market inefficiencies.
Marcos also pointed to illegal practices affecting the rice market, which Congress is currently investigating.
Agriculture Secretary Francisco Tiu Laurel Jr. plans to declare a food security emergency by the end of January in response to the National Price Coordinating Council’s (NPCC) recommendation.
This measure aims to address persistently high rice prices despite global price reductions and tariff cuts ordered by the President.
Under the declaration, the National Food Authority (NFA) will sell rice stocks to local government units (LGUs) and other government agencies at reduced prices, clear NFA warehouse space, and support local farmers by procuring palay for the upcoming harvest season.