THE Department of Agriculture (DA) said it is expecting a further drop in the maximum suggested retail price (MSRP) of rice due to declining global rice prices and strengthening of the peso.
The government may bring the MSRP to P45 per kilo for imported rice varieties consisting of 5% broken grains in late March from P49, Agriculture Secretary Francisco Tiu Laurel, Jr. told reporters late Monday.
The peso closed at P57.90 to the dollar on Monday, strengthening from its P57.995 on Friday finish.
Mr. Laurel in late February said the DA will apply the MSRP “more selectively” since the prices of imported rice “were already lower than the MSRP” in “some provinces.”
The first MSRP was set at P58 per kilo on Jan. 20.
The retail price for 5% broken rice was P62-P64 per kilo before the MSRP order, which Mr. Laurel said has been effective in influencing market prices.
The government lowered the tariff on rice imports to 15% last year, promising “substantial drops” in rice prices by January.
“From vegetables to rice, prices have declined,” Mr. Laurel said. “Our MSRP is really working.”
The DA declared a national rice emergency, citing an “extraordinary” spike in the prices of the staple grain despite lower tariffs for imports.
A food security emergency declaration — a power given to the DA under Republic Act 12708 or the Agricultural Tariffication Act — triggers the release of rice reserves from National Food Authority warehouses to stabilize prices.
Rice imports hit an all-time high of nearly 4.7 million metric tons in 2024, in the face of inadequate domestic production.
In mid-January, Mr. Laurel said the government does not plan to rely as heavily on imports to bring down high rice prices, which he said are also caused by profiteering. — Kyle Aristophere T. Atienza
