Agri group OKs rice price cap, says ₱45 rice per kilo possible during harvest season

Metro Manila (CNN Philippines, September 5) — Agricultural group Samahang Industriya ng Agrikultura (Sinag) on Monday expressed support for the government's implementation of a rice price cap, saying ₱45 rice per kilo is possible during the harvest season which will peak in October.

"We support this price cap. Nakita naman natin na kaya ng harvest season na maibigay 'yong presyong ₱45 pesos [We have seen that rice can be sold at ₱45 per kilo during the harvest season]," Sinag President Rosenso So said in an interview with CNN Philippines' The Final Word.

He added that the anticipated decrease in rice prices can be attributed to lower fertilizer prices, which ranges from ₱1,600 to ₱2,700, during the December and June planting season.

"Itong price cap na ₱45 is higher than 'yong dati na ₱42. Sa tingin naman namin, just 'yong presyo na mabibili sa magsasaka [This price cap of ₱45 is higher than the previous one of ₱42. We think it's a fair price for farmers]," So said.

A group of rice traders, on the other hand, urged the government to delay the implementation of the price cap to allow traders to sell off their remaining rice stocks which were purchased at higher prices.

READ: Gov't urged to defer rice price cap, provide immediate aid to traders

Rice retailer Alfonso Flores earlier told CNN Philippines that traders would be hit hard by the order.

"'Yung stock namin bigas, mataas pa…Halos dalawandaan kasi ang mawawala sa amin per sako," he said. "Handa naman kami tumupad sa usapang ganun na ₱41 ang maging presyuhan. Kailangan lang talaga namin, makakita kami ng mababang bigas."

[Translation: Our rice stock is still high…We will lose almost ₱200 per sack. We're ready to follow the ₱41 price cap. We just need to find cheaper rice sources.]

The order setting a nationwide price ceiling on rice will take effect on Tuesday, Sept. 5.