CLARK FREEPORT — Farmers across the country are now bearing the weight of a “Calvary” in the face of Holy Week as the effect of Rice Liberalization Law has allegedly trickled down to them in the form of “depressed farm gate prices.”
Anakpawis Partylist Rep. Ariel Casilao said farmers nationwide have been adversely affected by farm gate prices as low as P12 per kilo which he described as “early Calvary” for them.
“They see Republic Act 11203 or the Rice Liberalization Law as reason for this early crucifixion,” he said in a statement yesterday. He noted that while farm gate prices of rice have plunged, retail prices have risen despite recent rice imports.
Casilao said “bureaucrat capitalists in the administration are jumping for joy for the enactment of this law, at the cost of throwing the future and livelihood of millions of farmers in the country into oblivion.”
He noted a “tagibang” or unbalanced decline in the prices of palay or the farmgate price and the retail price.
Casilao cited the Philippine Statistics Authority noting the average farm gate price of rice at P18.87 per kilo in the fourth week of March, while for well-milled and regular-milled rice the price was noted at P44.22 and P40.02 per kilo, respectively.
“Compared to last year’s price, farmgate price has now declined by 8.4 percent from P20.46, while well-milled and regular-milled rice even increased, by 1.7 percent from P43.46, and by 0.7 percent from P39.74 per kilo, respectively,” he said.
“How does farmgate price decline when retail price goes up amid drumbeating that liberalization would result to cheaper retail prices?” he asked.
Casilao noted that “if the National Food Authority is computing the supposed retail price based on the farmgate price, the retail price should be only around P38 per kilo. Even if private traders add around 70 percent to farmgate price, the cost should only be around P32 per kilo.”
“The current retail prices are high compared to declining farmgate prices, thus, the Rice Liberalization Law seems to be a failure,” he said.
The government approved the importation of more than 700,000 metric tons last quarter, while it is estimated that total imported rice for the year could reach to 2.3 million metric tons.
Casilao urged the people “to scrutinize these trends to avoid being scammed by government propaganda favoring the liberalization of the rice industry.”
“At this early phase, some farmers have already ceased cultivating rice as they as pushed to bankruptcy by rice importation which has failed to pull rice prices down,” he said.
Casilao said the country is now threatened with food insecurity because of almost total dependence on importation.
“Many sectors have been neglecting this catastrophe waiting to happen. The peasant sector could eventually retreat to the ‘subsistence’ production, where they cultivate rice only for their own consumption while urban-based consumers are left waiting for imported rice and eventually become victims of profiteering by big foreign monopoly traders,” he warned.