A House leader criticized the Department of Agriculture (DA), led by Secretary Francisco Tiu Laurel Jr. for setting the maximum suggested retail price (MSRP) for rice at P58 per kilo, calling the figure “unrealistic” and “a disservice to consumers”.
Deputy majority leader Janette Garin expressed her frustration during the hearing of the Quinta Comm, or the Murang Pagkain Supercommittee, and accused the DA of failing to address key issues in the rice supply chain that have driven up prices.
The panel, chaired by Albay 2nd District Rep. Joey Sarte Salceda, decided to invite Laurel to the next hearing.
Garin, who is the Iloilo 1st District representative, said the MSRP should have been lower after the price of regular milled rice dropped.
Salceda questioned DA undersecretary Asis Perez on the basis of the P58 per kilo MSRP, as he noted that the cost of imported rice has gone down to between P44 and P47, while the buying price for palay (unmilled rice) has fallen as well.
Garin said that in an inspection and consultation with the wholesalers in Bulacan, “it was announced in the media by no other than Sec. Kiko Tiu Laurel together with the DA family that they will bring down the price of rice to P45 to P49, parang P49 yung premium.”
She stressed that this did not happen.
“How can we control the price of rice when the agency that is supposed to guide us is pegging it at a high price?” Garin asked.
She cited reports showing that the landed cost of imported rice ranged from P35 to P39 per kilo, significantly lower than the DA’s MSRP.
Even with logistics and markups, she argued, rice should not exceed P45 to P49 per kilo at retail.
Perez defended the P58 MSRP as part of a pilot program for Metro Manila, stating that it was designed to address higher rice prices in the area, reportedly ranging from P62 to P64 per kilo.
Perez said the P58 price “is based on the landed cost of imported rice, plus a reasonable mark-up for all those involved in the distribution chain, mahaba po ‘yang chain na yan.”
Garin dismissed this explanation, calling it a “wrong solution” that fails to tackle the root causes of high rice prices.
She also accused the DA of neglecting its responsibility to monitor and regulate the supply chain, alleging that collusion among traders and monopolistic practices among retailers were inflating prices.
She reiterated her call for the National Bureau of Investigation to probe the matter.
She criticized the DA’s method for setting the MSRP, arguing that it was based on inflated market prices rather than actual production costs and reasonable margins.
“Collusion among the traders, monopoly among the retailers in the market, and our government officials who are supposed to look into this not really doing their job. These are the problems we need to solve,” she declared.
The Quinta Comm is tasked with addressing the systemic challenges of soaring food prices, smuggling, price manipulation, and hunger—issues that have left millions of Filipinos struggling to access affordable and secure food.
Formed under House Resolution (HR) No. 254, introduced by Speaker Ferdinand Martin Romualdez, this supercommittee brings together five key committees to identify gaps in government programs and hold accountable those responsible for market abuses, a House press release said.
The joint panel is composed of the committees on Ways and Means, Trade and Industry, Agriculture and Food, Social Services, and the Special Committee on Food Security. ||
