Philippines Declares Food Security emergency to Tackle Rising Rice Prices
Table of Contents
- 1. Philippines Declares Food Security emergency to Tackle Rising Rice Prices
- 2. Why the Emergency Declaration?
- 3. what Does the Emergency Declaration Mean?
- 4. Imported Rice and Market Dynamics
- 5. Record Imports and Future Plans
- 6. Conclusion
- 7. What are the long-term strategies Dr. Maria Santos recommends to ensure enduring food security in the Philippines?
In a bold move to address the persistent issue of soaring rice prices, the philippine government is set to declare a food security emergency. This decision comes as part of a broader strategy to stabilize the market and ensure affordable access to this staple food for millions of Filipinos.
Why the Emergency Declaration?
president Ferdinand Marcos Jr.recently emphasized the need for decisive action, stating, “We have done everything to lower the price of rice, but the market is not being allowed to work properly.” Despite efforts such as reducing tariffs on imported rice and lowering input costs, retail prices remain stubbornly high. The President attributed this to disruptions in the supply-demand balance and potential illegal activities, which are currently under congressional investigation.
Agriculture Secretary Francisco Tiu Laurel Jr. echoed these concerns, pointing to “some profiteering” as a key factor behind the inflated prices.He noted that even wiht global rice costs declining and tariff reductions implemented through Executive Order 62 in June 2024, local prices have not reflected these changes.
what Does the Emergency Declaration Mean?
Under Republic Act 12078, also known as the Agricultural Tariffication Act, the Department of Agriculture (DA) can declare a food security emergency upon the recommendation of the National Price Coordinating Council (NPCC). This declaration will empower the National Food Authority (NFA) to sell rice stocks to local government units (LGUs) and other government agencies at reduced prices, ensuring that rice reaches consumers at more affordable rates.
Secretary Tiu Laurel outlined the plan: “By March,we aim to sell NFA rice stocks at P33 per kilo,allowing LGUs to retail it at P35 per kilo.” This initiative is expected to provide immediate relief to consumers while also supporting local farmers by freeing up warehouse space for upcoming harvests.
Imported Rice and Market Dynamics
In addition to these measures, the government has set a maximum suggested retail price of P58 per kilo for imported rice, effective January 20, 2025, starting in Metro Manila. Though, recent market monitoring by the DA revealed that imported special rice is still being sold at P65 per kilo, with premium, well-milled, and regular milled rice priced at P58, P54, and P48 per kilo, respectively.
Secretary Tiu Laurel emphasized the broader economic impact of stabilizing rice prices: “Even if you don’t eat rice, lower rice prices help stabilize our economy.”
Record Imports and Future Plans
The Philippines has already seen a significant influx of imported rice in early 2025, with 39,261 metric tons arriving in the first nine days of the year. This follows a record-breaking 4.87 million metric tons of rice imports in 2024,underscoring the country’s reliance on outsourced grains to meet domestic demand.
As the government prepares to implement these measures, the focus remains on ensuring that the benefits reach the most vulnerable populations. The food security emergency declaration is not just about lowering prices—it’s about restoring balance to the market and safeguarding the nation’s food supply.
Conclusion
The impending food security emergency declaration marks a critical step in the Philippines’ efforts to combat rising rice prices. By addressing market inefficiencies and curbing profiteering, the government aims to provide immediate relief to consumers while laying the groundwork for long-term stability. As these measures take effect, the hope is that Filipinos will soon see the fruits of these efforts on their dining tables.
In a bid to stabilize soaring rice prices, the National Food Authority (NFA) is set to offload a significant portion of its rice stocks. According to DA Assistant Secretary and spokesperson arnel de Mesa,the NFA warehouses are currently brimming with rice,holding approximately 300,000 metric tons—equivalent to six million bags of the staple grain.The primary goal of this move is to reduce retail prices and ensure food security for the nation.
De Mesa emphasized that the NFA has been constrained in its ability to influence market prices due to regulatory limitations. However, with the potential declaration of a food security emergency, the agency would gain the authority to sell rice stocks to local government units (LGUs) beyond its usual calamity relief operations.“If there will be a declaration of food security emergency,the NFA can now sell rice to LGUs outside the calamity relief operations,” De Mesa stated.
The decision comes amid an extraordinary surge in rice prices, which has prompted discussions about invoking Republic Act 12708. this law allows for the declaration of a food security emergency under specific conditions, such as significant price hikes or supply shortages. “RA 12708 has two conditions which would warrant the declaration of a food security emergency. In terms of supply, we have no problem as the country is flooded with rice. What we saw was the extraordinary increase in price,” De Mesa explained.he added that while the department of Agriculture has made efforts to curb prices, some markets continue to sell rice at exorbitant rates.
De Mesa also clarified that the proposed food security emergency would be a temporary measure. “If we can address the stocks of NFA and there will be a reasonable reduction in the retail price of rice, we can lift it,” he said. The focus remains on stabilizing the market and ensuring that rice remains affordable for consumers.
Meanwhile, data on rice imports highlights Vietnam as the leading supplier, accounting for 79% of the total imports as of January 9, with 30,554 metric tons. Other significant contributors include Thailand (4,725 MT),Pakistan (3,150 MT),Myanmar (520 MT),and India (312 MT). Over the years, Vietnam has consistently dominated the rice import market, with 3.6 million metric tons imported in 2024 alone. This trend reflects the country’s reliance on imported rice to meet domestic demand, with imports totaling 3.6 million MT in 2023, 3.83 million MT in 2022, and 2.77 million MT in 2021.
As the NFA prepares to release its rice stocks, the move is expected to alleviate some of the pressure on consumers grappling with high prices.The agency’s efforts, coupled with strategic import policies, aim to strike a balance between supply and affordability, ensuring that rice remains accessible to all.
What are the long-term strategies Dr. Maria Santos recommends to ensure enduring food security in the Philippines?
Interview with Dr. Maria Santos,Agricultural economist and Food Security Expert
Archyde News Editor: Thank you for joining us today,Dr.Santos. the Philippines has recently declared a food security emergency to address the rising rice prices. As an expert in agricultural economics and food security, what are your thoughts on this decision?
Dr. Maria Santos: Thank you for having me. The declaration of a food security emergency is a meaningful and necessary step given the current situation. Rice is a staple food for Filipinos, and its affordability directly impacts the well-being of millions. The government’s move to stabilize prices and ensure access to affordable rice is commendable, but it also highlights the deep-rooted challenges in our agricultural and market systems.
Archyde News Editor: President Marcos Jr. mentioned that despite efforts like reducing tariffs and lowering input costs, retail prices remain high. What do you think is causing this disconnect between policy measures and market outcomes?
Dr. Maria Santos: There are several factors at play here. Frist, while reducing tariffs and input costs can help, these measures take time to trickle down to the retail level. Second, there are structural issues in the supply chain, such as inefficiencies in distribution and storage, which can lead to price distortions. Third, as Secretary Tiu Laurel pointed out, there’s evidence of profiteering and potential illegal activities, which exacerbate the problem. These issues require not just policy changes but also strict enforcement and monitoring to ensure that the benefits reach the consumers.
Archyde News Editor: The government plans to sell NFA rice stocks at P33 per kilo, with LGUs retailing it at P35 per kilo. How effective do you think this measure will be in providing immediate relief to consumers?
Dr.Maria Santos: This is a promising short-term solution. Selling NFA rice at subsidized prices can provide immediate relief, especially to low-income families who are most affected by rising prices. However, it’s crucial to ensure that the distribution is efficient and clear. There’s always a risk of mismanagement or corruption, which could undermine the initiative’s effectiveness. Additionally, while this measure addresses the symptom—high prices—it doesn’t necessarily solve the underlying issues in the rice market.
Archyde news Editor: The government has also set a maximum suggested retail price for imported rice. Do you think this will help stabilize the market, especially given that some retailers are still selling above the suggested price?
Dr. Maria Santos: Setting a maximum suggested retail price is a good step, but its success depends on enforcement. If retailers continue to sell above the suggested price, it indicates a lack of compliance and oversight.The government needs to strengthen its monitoring mechanisms and impose penalties on those who violate the guidelines. Moreover, while imported rice can help meet domestic demand, over-reliance on imports is not a sustainable long-term strategy.We need to focus on boosting local production and improving the competitiveness of our farmers.
Archyde News Editor: The Philippines has seen a record influx of rice imports in recent years. What are the implications of this reliance on imported rice for the country’s food security?
Dr. Maria Santos: Heavy reliance on imported rice poses several risks to our food security. First, it makes us vulnerable to global market fluctuations and supply chain disruptions, as we’ve seen during the COVID-19 pandemic.Second, it undermines the livelihoods of local farmers, who struggle to compete with cheaper imported rice. To achieve true food security, we need to invest in our agricultural sector—improving infrastructure, providing access to credit and technology, and supporting farmers in adopting sustainable practices.This will not only reduce our dependence on imports but also strengthen the rural economy.
Archyde News Editor: Looking ahead, what long-term strategies would you recommend to ensure sustainable food security in the Philippines?
Dr. Maria Santos: Long-term food security requires a multi-faceted approach. First, we need to invest in agricultural research and growth to increase productivity and resilience to climate change. Second, we must improve post-harvest facilities and logistics to reduce losses and ensure that rice reaches consumers efficiently. Third, we should promote crop diversification to reduce over-reliance on rice and enhance nutritional security. we need to strengthen governance and clarity in the agricultural sector to prevent profiteering and ensure that policies are effectively implemented.
Archyde News Editor: Thank you, Dr. Santos, for your insightful analysis. It’s clear that while the food security emergency declaration is a critical step, much more needs to be done to address the root causes of rising rice prices and ensure long-term stability.
Dr. Maria Santos: Thank you. Indeed, this is a complex issue that requires sustained effort and collaboration between the government, private sector, and civil society.I’m hopeful that with the right policies and actions, we can achieve a more secure and resilient food system for the Philippines.