The Market Monitor Minding the Nation's Business
By Rose de la Cruz
Despite the government’s claims that farmgate prices are at P18 to P24 per kg., the more realistic report is coming from farmers who are complaining that current farmgate prices are driving them to their graves.
In a radio interview, the Magsasaka Partylist said at least three Nueva Ecija– the country’s rice bowl for decades now– farmers said low palay prices have been driven to death based on its chairman Angel Joseph Cabatbat.
Even in Facebook, Dann Bolos– a model farmer of Nueva Ecija whose previous above-normal high yields from planting hybrid became an inspiration to his peers– posted in early March that ; “Kawawang magsasaka utang ang sandigan. More interest ang hantungan. Bottom line, hindi nakabayad.”.
Next he posted: “ Dry crop palay price 15.00 pesos/kilo. Paano sa tag-ulan?? Magtatanim pa ba tayo,??, para malugi ng malugi,,!!@#”
Nueva Ecija farmers are planning to hold a protest on Saturday, March 22, at the Quezon Bypass Road to call the attention of the public on their plight. Up to 150,000 farmers are expected to participate.
Former Agriculture Secretary Leonardo Q. Montemayor, who has been actively criticizing the lack of government support to the farmers, has confirmed the reports of such depressed farmgate prices– on account both of manipulation by traders and loan sharks (with whom farmers borrow production inputs loans) and the lack or absence of support from the DA.
Montemayor said he has confirmed the reports that three farmers have died from misery during his meetings with farmers in Guimba and Talavera towns in Nueva Ecija. (Both towns are considered the more progressive municipalities in the province), how much more for the remote towns.
Three farmers confirmed that they never see an agriculture technician nor someone from the region and the main office visiting or talking to them. Only a few technicians from inputs (seeds and chemical and organic fertilizers)- providers visit their fields to plant their signages but don’t even give them samples to test in their farms.
Montemayor said palay prices are currently at P15 per kilogram (kg) or lower, which leaves farmers in despair as they fail to pay their debts.
But a DA official claimed that average palay prices in Central Luzon are at P22/kg to P23/kg, as reported by the Philippine Rice Research Institute (PhilRice).
Administrator Larry Lacson of the National Food Authority earlier claimed that rice millers are buying clean and dry palay at P20/kg to P22/kg, while fresh or wet palay is P5 lower per kilogram.
The NFA also raised its palay buying price earlier this month to P18/kg for fresh palay and P24/kg for clean and dry palay.
Montemayor pointed to the “unlimited importation of cheap rice,” for the low palay prices, especially now that the harvest season is currently ongoing.
In 2019, the Philippine government implemented Republic Act (RA) 11203, or the Rice Tariffication Law (RTL), which lifted the quantitative import restriction on rice and replaced it with tariffs instead.