DA forms TWG for food security emergency

MANILA, Philippines — The Department of Agriculture (DA) has formed a technical working group (TWG) to formulate the implementing rules for the release of National Food Authority (NFA) rice stocks once the government officially declares a food security emergency on the staple.

Agriculture Secretary Francisco Tiu Laurel Jr. issued Special Order (SO) 139 that ordered the creation of the TWG that would formulate the implementing guidelines of Section 6 of Republic Act 12078.

The provision concerns the powers of the DA on rice price stabilization and supply regulation that empowers the agriculture secretary to declare a food security emergency on rice upon the recommendation of the National Price Coordinating Council (NPCC). 

Under the law, the declaration of the emergency situation must be due to a supply shortage or an extraordinary increase in rice prices.

“To ensure the effective implementation of Section 6 of RA 12078, a TWG is hereby created and constituted to draft the implementing guidelines,” Tiu Laurel said.

Under a food security emergency situation, the NFA will be allowed to sell its existing rice buffer stock in specified areas to influence prevailing market prices. 

The TWG will be chaired by Agriculture Undersecretary for Policy, Planning and Regulations Asis Perez and co-chaired by Agriculture Undersecretary for Rice Industry Development Christopher Morales. NFA administrator Larry Lacson will serve as the TWG’s vice chairperson.

The members of the TWG will come from the different units of the DA such as policy research service, agribusiness and marketing assistance service, national rice program, legal service, office of the secretary and the Philippine Rice Research Institute.

Aside from crafting the implementing guidelines of Section 6, the TWG will also develop the parameters and formula for determining a rice supply shortage or an extraordinary increase in rice prices. 

The TWG will also coordinate with the NPCC to ensure inter-agency alignment while also facilitating consultations with relevant stakeholders to gather insights and recommendation in the drafting of the implementing guidelines.

Lastly, the TWG must perform other relevant tasks that may arise in connection with the preparation of the implementing guidelines.

The SO also created a secretariat that will provide technical and administrative support to the TWG including preparation of reports, organization of meetings and documentation of activities.

The declaration of the food security emergency is seen by the DA as a way to not just pull down prevailing retail rice prices but also relieve the NFA’s warehouses and thereby, enable the grains agency to procure palay in the upcoming dry season harvest.

Last week, the NPCC approved in principle the recommendation to the DA to declare a food security emergency on rice. However, the NPCC is still completing the signatures needed to issue a formal recommendation.

The DA is still awaiting the formal recommendation from the NPCC to be able to declare the food security emergency.

Nonetheless, Tiu Laurel said he still sees the declaration made by Feb. 1, which would give enough time for the NFA to release its stocks before they start aging. The NFA estimates that the number of its aging rice stocks would reach 700,000 50-kilogram bags by next month.