Workers load sacks of imported rice from Thailand and Vietnam on a truck in Manila in October 2024 for transport to various dealers and distributors. 鈥擣ile photo by Richard A. Reyes | Philippine Daily Inquirer
MANILA, Philippines 鈥� House Speaker Martin Romualdez seeks the formation of a 鈥渕ega government task force鈥� to run after rice price manipulators and greedy traders.
鈥淎 call to immediate action is needed to force a decrease in rice prices for the benefit of the Filipino consumer,鈥� Romualdez said in a statement on Sunday.
He issued the statement after Albay 2nd District Rep. Joey Salceda, who chairs the House ways and means committee, uncovered evidence of collusion and price manipulation in the rice industry, despite reduced import tariffs and oversupply of rice in the country.
According to Romualdez, the proposed task force may be composed of representatives from the Department of Agriculture, the Department of Justice (DOJ), the National Bureau of Investigation, the Bureau of Customs, the Bureau of Internal Revenue, and the Department of Trade and Industry.
搁贰础顿:听NBI asked to check middlemen鈥檚 role in manipulating food prices
搁贰础顿:听Revised rice tariff law triples farmers鈥� support fund to P30B
Its functions will include conducting inventories, checking compliance with tax laws and regulations, inspecting warehouses, and padlocking any erring business establishments.
The task force will also submit a monthly report to Congress as part of its oversight functions, Romualdez said.
鈥淭he findings of the quinta comm expose a serious betrayal of public trust. The Filipino people are paying unnecessarily high prices for rice, which should now be at P35 to P40 per kilo, due to oversupply and tariff reductions. This blatant manipulation is unacceptable,鈥� he went on.
鈥淲e will not allow this exploitation to continue. The House of Representatives will dismantle this cartel, ensure accountability, and protect both consumers and our farmers,鈥� he added.
鈥楧isturbing pattern鈥�
During the recent hearings of the quinta comm, or the super committee, on making food cheaper, lawmakers revealed a 鈥渄isturbing pattern鈥� of price-fixing and hoarding among rice importers and traders.
Data presented by the Philippine Statistics Authority (PSA) indicated an oversupply of rice, with the demand-supply ratio dropping from 82.5 percent to 69.4 percent this year, according to Romualdez.
However, it reported that the price of regular-milled rice decreased only slightly from P50.40 per kilogram to P50.16 in October to P49.44 in early November.
Marikina City Rep. Stella Quimbo said rice prices remained 鈥渁rtificially high鈥� despite an abundant supply and the reduced import tariffs under Executive Order 62.
鈥淭he rice stocks are more than enough, but the prices are not going down. It is clear that there is collusion between importers and traders,鈥� Quimbo said in Filipino.
Meanwhile, Salceda emphasized that rice prices should have already stabilized at P35 per kilogram, given the significant drop in the landed cost of imported rice, which now averages P33.95 per kilogram.
鈥淭he data is clear: The true price of rice should be P35 per kilo. The high prices in the market are due to manipulation,鈥� Salceda said in Filipino.
With this, Romualdez further called on the DOJ and the Philippine Competition Commission to conduct a formal investigation into the possible existence of a rice cartel in the country.
鈥淭his is not just an economic issue. It鈥檚 a matter of food security and national stability. The House will use all its powers to hold these cartels accountable, protect our farmers, and bring affordable rice to Filipino households,鈥� he said.