The Department of Agriculture (DA) will implement a suggested retail price (SRP) of P53 per kilogram for local rice as a guide for consumers. According to Agriculture Secretary Francisco Tiu Laurel Jr., the DA and rice stakeholders have reached an agreement to balance farmers' income and consumers' purchasing power.
SRP Not a Price Ceiling
The secretary clarified that this is not a price ceiling but merely a guide for consumers on the appropriate price of local rice. Meanwhile, the P50 per kilogram price cap for imported five-percent broken rice remains in effect for 30 days starting May 15.
Basis of Price Cap
The secretary explained that the P50 price cap is based on the landed import cost of P37 to P38 per kilogram. According to Laurel, there is still sufficient allowance for logistics, spoilage, and reasonable profit for importers, traders, and retailers.
He added that the full implementation of the imported rice price cap will begin next week to give retailers and consumers enough time to adjust.
