Lower rice retail prices seen

The Department of Agriculture (DA) is expect-ing retail prices of rice to decline as re-tailers seek to compete with the government's P20-per-kilo rice program, which is now available across a number of cities and mu-nicipalities.

- BY DEXTER BARRO II

DA Assistant Secretary Arnel de Mesa said the agency has received reports that certain retailers are voluntarily bringing down the price of their rice.

De Mesa said the move is meant to attract customers who are now opting to buy the P20 rice at Kadiwa ng Pangulo (KNP) stores.

Essentially, he said, this is the power of market intervention, as over 250,000 metric tons (MT) of buffer stocks from the National Food Authority (NFA) are being redirected to the market.

However, while he acknowledged that this is a “good effect” of the program, De Mesa said the agency will look into the unintended conse-quences of the price decline among retailers and farmers.