A legislator has opposed the plan of the National Food Authority to increase the price of NFA rice from P27 per kilo to P33 to P35 per kilo.
Anakpawis Rep. Ariel Casilao said that the proposed increase “will deliver a staggering blow to poor consumers who are still reeling from the price spikes of goods and services in the last 11 months.”
“It is unjust and basically anti-poor. NFA is very wrong to assume that a P6 to P8 increase in its products is acceptable,” he said.
“That agency was created mainly to cater to the needs of the poor, those who can’t afford to buy commercial rice. The proposed increase is against its basic mandate,” Casilao added.
Casilao joined consumer group Bantay Bigas in accusing the NFA of setting the stage for a shortage of its rice supply to justify raising rice prices.
During the height of rice crisis this year, the NFA was found to have refused to procure palay from rice farmers, creating a shortage of rice in the local market that forced consumers to buy rice from commercial outlets at higher prices, the lawmaker said.
“I cannot understand where the NFA is coming from and heading to. Early on, they said, ‘let’s flood the market with rice imports to lower rice prices.’ Now that the rice imports have arrived, the NFA is proposing to increase the price of its rice. The logic behind all these escapes me,” Casilao said.
Last week, the congressional bicameral committee passed the Rice Tariffication Bill which government said would tame price increases in rice.
But Bantay Bigas claimed the enactment of that enrolled bill will only open the local market to unlimited imported rice, thus adversely affecting millions of local rice producers.
Once enacted into law, the NFA will stand to lose P160 million in revenues as well as the removal of the agency’s regulatory powers. Around 400 NFA employees will also be left jobless.
Casilao said local farmers and consumers are the biggest losers under the Rice Tariffication Bill even as there is no assurance of affordable and steady rice supply in the market.
“The NFA’s mandate is to ensure affordable price of rice. It should follow its mandate of catering ordinary Filipinos, mostly the poor who cannot buy commercial rice in the market. Despite its GOCC character, NFA should continue to sell cheaper price of rice,” Casilao said.
