Farm gate prices of palay have begun to rise in six of the country’s 13 key rice-producing regions a week after President Ferdinand Marcos Jr. announced a two-month suspension of rice imports starting September 1, data from the National Food Authority showed.
Agriculture Secretary Francisco Tiu Laurel Jr. said the government is closely tracking market reactions to the import ban, which was imposed after palay prices fell to as low as P8 per kilo – well below the estimated P12 production cost for efficient farmers.
“If palay prices remain low during the ban, we may consider extending it or recommend that President Marcos increase tariffs. If prices rise, we could shorten the ban,” he said.
Global rice prices have weakened this year after India lifted its export ban on non-basmati rice, bumper harvests boosted supply in major exporting countries, and import tariffs eased.
These conditions have encouraged Philippine importers to buy more rice from sources such as Vietnam.
From April to May alone, nearly 970,000 metric tons, equivalent to almost three months of consumption, were imported despite record domestic harvests.
Palay output reached 9.08 million metric tons in the first half of 2025, putting the Department of Agriculture on track for a record 20.46 million tons this year.
“The objective of the import ban is to bring palay prices to levels that ensure farmers’ income. The steady rise in palay prices is a relief. We just hope that other players in the industry will do their part by not spreading speculation,” said NFA administrator Larry Lacson.
NFA monitoring showed traders’ buying prices for dry palay rose 0.3 to 2.6 percent since late July in Central Luzon, Bicol, Central Visayas, and parts of Mindanao.
Average farm gate prices ranged from P16.98 per kilo in Central Luzon to P20.59 in Southern Mindanao, while prices were steady at P16.52 in Southern Tagalog and P17.60 in Western Visayas.
In contrast, prices declined in Ilocos, Cagayan Valley, Eastern Visayas, Northern Mindanao, and BARMM, with the lowest at P14.43 observed in Cagayan Valley.
