The P20 per kilo of rice price target can be attained only if the country increases its rice production, National Economic and Development Authority (NEDA) Secretary Arsenio
Balisacan said on Wednesday
The official said that what drives low rice prices are “increases in productivity.”
He noted that usually, rice production in the Philippines is about four tons per hectare, which is low, compared to seven tons in other countries. Balisacan said this low price of rice could still be possible, adding that if the government does not increase rice production, local farmers will suffer.
“Our President [made] a promise to reduce the price of rice. That has to be taken in the context that we will do is to increase productivity, because if we reduce the prices of rice at that level without commensurate increase in productivity, who will suffer?” Balicasan, quoted by GMA News, said.
“It’s the farmers that we are trying to protect, right? So, we should be very careful, that you are looking at this game as comprehensive manner as possible,” Balisacan said.
Balisacan also pointed out the need to invest in irrigation, modern high-yielding varieties, pest control and in logistics.
Bringing down the rice price to P20 per kilo was the campaign promise of President Ferdinand Marcos Jr., who also sits as Department of Agriculture (DA) Secretary.
The DA recently admitted that bringing rice prices down to P20 per kilo “may not be part of the agency’s plan” but that “price reduction is the (administration’s) aspiration.”
DA Undersecretary Leocadio Sebastian admitted this to legislators during the agency’s budget hearing upon questioning from Deputy Minority Leader and Basilan Rep. Mujiv Hataman.
Sebastian attended the hearing at the House of Representatives to defend the DA’s proposed P181-billion budget for 2024.
Hataman stressed that “the self-sufficiency plan should include the price.”
“It is not enough for the rice to be available, it should be affordable, especially since the President is the DA chief and this is his campaign promise,” Hataman said in Filipino.
But Sebastian could not give a direct answer to Hataman, saying: “Iyong P20 per kilo [of rice], medyo mahirap (The P20 per kilo price is rather hard to achieve).”
Hataman then pressed DA officials if bringing down rice prices to P20 per kilo was part of the department’s plan.
He added the P20 per kilo rice promise was “our goal post when it comes to reducing the cost.”