NFA wants to increase buying price of palay
State-run National Food Authority (NFA) said it intends to increase the government’s buying price of palay in order to boost its local procurement moving forward.
Grains Marketing Operations Division Rocky L. Valdez said that NFA will propose the said move to economic managers even if the NFA Council already decided to deny the proposal.
“We presented the proposal during the NFA Council meeting last Friday but, initially, the council did not push through with the new bid,” Valdez said.
“Malaki kasi magiging impact nito sa inflation and so it is necessary to refer it to the economic managers,” he added.
Until the proposal remains off the table, the government could only buy palay from local farmers for P17 per kilogram (kg) , lower than the export price of P19 to P20 per kg.
The NFA said it may now be confronted with challenges to set a buying price for unmilled rice at a competitive range with local traders.
“Palagay ko mahirapan kami makabili ng domestic sources dahil ang prevailing export price ngayon mga P19 – P20 per kilogram sa mga naunang nagaani ngayon, mga naghharvest na regions. Yung dry ha. Ngayon mataas. Di kami makapagcompete sa presyo kaya most likely, makabili man kami from palayan, mga loyal farmers na gustong tumulong nalang sa bufferstocking namin,” Valdez further said.