DA to LGUs: Activate local price monitoring councils to avoid overpriced rice, local goods

Guests from the Department of Agriculture in Central (DA-7) discuss the various issues concerning the price monitoring on commercial rice during the Kapihan sa PIA-7 at Machay Building, Gorordo Avenue in Cebu City on May 22, 2019. Guests are Gerry Avila, chief engineer of DA-7’s Agri Business/Marketing Division (second from left), Cheryl Dela Victoria (center) and Melquiades Ibarra (2nd from right) of DA-7 information office. | CDND Photo Futch Inso

CEBU CITY, Philippines — The Department of Agriculture in Central Visayas (DA-7) has appealed to local government units (LGUs) to activate their Local Price Coordinating Councils (LPCC) in order to monitor prices of local commodities especially rice.

Gerry Avila, chief engineer of the Agri-Business/Marketing division of DA-7, said they are making this appeal after the National Food Authority (NFA) lost its regulatory function on commercial rice due to the passage of Republic Act (R.A.) 11203 or the Rice Liberation Act.

Avila said they continue to conduct monitoring activities on the price of commercial rice but they cannot penalize traders and retailers who are selling overpriced rice.

Avila said the Local Price Coordinating Councils can imposed sanctions toward erring rice traders and retailers.

Avila said NFA has no longer authority to regulate the price of commercial rice after R.A. 11203 was passed into a law. It has now focused on buffer stocking supply by procuring locally-produced rice.

The Local Price Coordinating Council is composed of representatives from the Department of Trade and Industry (DTI), DA and other agencies. The council is headed by the mayor in the case of cities and municipalities, and the governor in the provincial level.

In their recent monitoring activities, Avila said they have observed a reduction in the price of commercial rice in the market.

Avila said they observed that consumers can purchase well-milled at a price range of P48 to P49 per kilo when the price range used to be between P51 to P52 per kilo.

Regular-milled rice is sold at P44 to P45 per kilo.

Avila, however, said that the price of commercial rice in Central Visayas is higher compared to Metro Manila.

Avila said DA Secretary Manny Piñol wanted to impose an SRP on commercial rice. But the SRP that was set for Central Visayas had the same price as Manila, which was opposed by the Grain Retailers Confederation of the Philippines (Grecon).

Grecon members in the Visayas complained because 90% of the rice products in Cebu are sourced from Luzon, which means that wholesalers are paying for the transportation and logistical costs. / celr