Rice prices softening since October despite El Niño – NEDA chief

Rice prices have been declining since October 2015 even though the country has been going through the ravages of El Niño, Socioeconomic Planning Secretary Emmanuel Esguerra said on Tuesday.
 
“While drought usually entails low production leading to high agricultural product prices, inflation data show that prices of food, particularly rice, have been low and stable in the past months,” he said during a press briefing with other agencies that form part of the El Niño Task Force.
 
He said rice prices were down by 1.7 percent in March from the previous year, then by 2.0 percent from February, noting that prices of the commodity have been softening since October 2015.
 
Renan Dalisay, administrator of the National Food Administration (NFA), said during the same briefing the supply of has been stable despite the impact of El Niño. As of Tuesday, the rice buffer stock is good for 34 days nationwide.
 
“Stable po ang presyo ng bigas. In fact, bumababa kasi stable po ang supply,” he said.
 
Dalisay noted the adequate supply came on the heels of preparations based on the 1998 El Niño scenario when supply dropped 24 percent drop. The rains in November and December also helped a lot, since farmers were able to plant rice and harvest by January to February.

Only 10% decline
 
“Sa aming records, nasa 10 percent na lang [ang bagsak ng rice supply]. Kung 24 percent ang pinaghandaan mo, at 10 percent pa lang iyong nagiging bawas doon sa aming pinaghandaan, nagiging enough buffer stock po ito,” he said.
 
Dalisay pointed out that the country has not yet imported any rice for 2016.
 
“Hanggang ngayon po, this year, hindi pa po tayo nag-aangkat. Ang dumating lang po dito, end of March, is part ng 750,000 na part ng na-contract last year. Iyong 250,000 arrived last quarter; 500,000 arrived first quarter of 2016,” he said.
 
Agriculture Undersecretary for Operations, Marketing, and Agribusiness Emerson Palad said only 225,272 metric tons (MT) of rice were lost in the first quarter of 2016. The expectation was900,000 MT.
 
The intensity of the El Niño has on the wane starting April, said Dr. Vicente Malano said, officer in charge of the Philippine Atmospheric, Geophysical and Astronomical Services Administration (PAGASA).

However, the phenomenon will be felt until third week of May. Shortly thereafter, the rainy season will begin, Malano added. – VDS, GMA News