Farmers, traders agree on setting price cap for rice
Agriculture Secretary Emmanuel Piñol said stakeholders of the rice industry agreed to join hands to address the “messy” rice supply and pricing situation in the country by observing a Suggested Buying Price (SBP) for farmers’ produce and a Suggested Retail Price (SRP) for rice sold in the market.
Piñol explained that the SBP means that traders will observe a base price and a ceiling price in buying farmers’ produce so that the farmers will be protected and that there would be no uncontrolled “pricing war” in palay procurement.
SRP, on the other hand, will ensure that the traders and retailers do not sell rice at prices unreasonable rates.
“Rice importers also agreed to bring down the retail price of imported rice in the market and ask their wholesale buyers to advise the retailers to sell it at prices lower than local commercial rice,” Piñol said.
The SRP on rice will be implemented immediately by the last week of October. This, since the traders requested for a two-week grace period so they could dispose of the stocks they bought at higher prices.
As initially agreed, here are the expected SRPs by the end of October:
– Regular Milled Rice – P39 per kilo;
– Well-Milled Rice – P42 per kilo;
– Long Grains Head Rice – P44 per kilo;
– Heirloom and Organic Rice to be agreed upon
The stakeholders agreed to meet again on October 18 to finalize the SRP and the SBP.