Farmers’ groups and agricultural producers have backed a proposed measure seeking to restore some of the National Food Authority’s (NFA) powers to intervene in the rice market, saying stronger government action is needed to stabilize prices and protect both farmers and consumers.
The proposal was discussed during a hearing of the House Committee on Agriculture and Food on a substitute bill consolidating 26 measures under the proposed Rice
Industry and Consumer Empowerment Act, or RICE Act.
The measure seeks to address continuing concerns over unstable rice prices, weak palay procurement, and market conditions that farmers’ groups said have favored traders, importers, and wholesalers more than local producers.
Former Speaker Ferdinand Martin Romualdez, principal author of House Bill No. 1, said
persistent price instability and warehouse congestion have made it necessary to return some of the NFA’s original regulatory and market intervention powers.
“Given the persistent price instability, warehouse congestion, and weakened palay procurement, there is now a compelling need to restore to the NFA some, two if not all, of its original regulatory and market intervention powers,” the Leyte solon said.
Federation of Free Farmers representative Raul Montemayor told the committee that rice prices were more stable before the Rice Tariffication Law, when the NFA was allowed to sell rice stocks to influence market prices.
“Ngayon po, malikot ang galaw ng presyo ng bigas, up and down,” Montemayor said.
He said unstable rice prices hurt consumers, including many rice farmers who still buy the staple they produce. He added that middlemen, traders, importers, and wholesalers have benefited the most under the current rice trade regime.
Montemayor urged lawmakers to retain effective policies from both the pre- and post-Rice Tariffication Law periods while removing practices that failed to protect farmers and consumers.
The Samahang Industriya ng Agrikultura (SINAG) also supported expanding the NFA’s authority to buy palay directly from local farmers, especially when farmgate prices fall.
SINAG executive director Jayson Cainglet said the NFA should be able to procure up to 10 percent of the harvest when prices are low to help influence market prices and support farmers.
“Pag maganda ang presyo, well and good for the farmers. Pero ’pag mababa, the NFA should procure as much as 10 percent to influence prices,” Cainglet said.
However, SINAG opposed the restoration of the NFA’s trading and importation powers, saying government procurement should prioritize palay and rice from Filipino farmers.
Cainglet said rice importation benefits foreign producers and should not be the main tool for stabilizing the domestic market.
Committee chairperson Quezon Rep. Mark Enverga gave concerned agencies until next week to submit their position papers on the substitute bill.
The committee said it intends to finalize the proposed law soon and bring it to the House plenary for consideration.