Our rice, our fall

I remember one Cebuano business leader who threw the idea of increasing rice imports to combat the country's growing malnutrition and to also help quell the hoarding of rice by unscrupulous traders. The idea may be "too ahead" or bold during that time (more or less five years ago) but it's never too late to take the idea at least with a grain of salt or rice, now that hunger lurks just about any corner in this country. 

According to the National Food Authority (NFA), we source about 90 percent of our rice requirements locally but prices are higher here or between 24 to 33 (and still rising!) pesos per kilo when compared to our Asean neighbors. The average per kilo there plays around 9 to 13 pesos at the retail shelves. That's why when you visit Thailand or Vietnam it is not uncommon to find eateries that offer "bottomless" rice! 

I don't have the numbers to explain the disparity. But my hunch is that, we are still backward technology-wise aggravated by the repurposing of agricultural lands by landowners to escape from the Agrarian Reform Program. So in effect, we see less and less arable land for rice production marginalizing all the more the ordinary farmer.

Since rice importation is mostly restricted, and regulation is lenient at the farmgates, middlemen or euphemistically "traders" exploit any way they can to keep prices at a bargain on any season. And since most farmers don't have access to formal lending, middlemen encumber farmers with unnecessary and high interest loans.   As soon as the rice goes out, it's now "sky is the limit." Each leg in the "distribution chain" profits from the cost of logistic (transport, warehousing and etc) and believe it or not, this one whole distribution chain is usually owned by a single trader.

Hoarding is another natural tendency for these stoic and insensitive traders in the staple business to keep profits always at the comfortable levels they want. When NFA inventories go low, that means opportunity for "profit on top of profit." And by the way, ever wondered why you see NFA-labeled bags clutter in rice warehouse? You bet, it's NFA fake rice. Yes fake.

Here's another old trick that still works today. Branded or high-priced ones are opened and mixed with the low-grade rice then resealed. They are what they call sinambugan or adulterated. You can never tell because they too do research!  Now that's again another extra profit. I almost forgot. Ever have an idea who the rice smugglers are? Your guess is as good as mine.

To keep supplies steady is not enough as a goal. "Extra inventory" should be the larger goal and this can only be achieved through importation to keep hoarding and smuggling at bay.

And no matter what, government should provide the subsidies (like what most countries do): increase farm gate prices to help boost production and NFA inventories and match commercial buyers; access to credit facilities and government-provided farm inputs such as fertilizer and equipment as well as post-harvest facilities. And most of all, we must revisit the Agrarian Reform Program to quell deliberate conversion of arable lands to commercial or residential development.

*  *  *

Sometimes it's an advantage to be a Cebuano. Cebuanos are used to the hard times having been despised as a region for its non-conformity to the lifestyle or aversion to the kind of governance "Imperial Manila" does. And I think that's one of the reasons Cebuanos don't feel the impact of the rice crisis because most of us eat corn in lieu of rice as a staple.

Boholanos who equally share the same experience as the Cebuanos, are generally corn-eaters.

Aside it's cheaper, corn is a superior alternative for rice. Consumer Guide Publications International, Ltd., says that corn is a low-fat complex carbohydrate that deserves a regular place on any healthy table. "Corn is a surprising source of several vitamins, including folic acid, niacin, and vitamin C. The folic acid in corn is now known to be an important factor in preventing neural-tube birth defects. It's just as important in preventing heart disease, according to studies that show folic acid can prevent a buildup of homocysteine, an amino acid, in the body. Long-term elevation of homocysteine has been linked to higher rates of heart disease; folic acid helps break it down.

Corn for the rice crisis, why not?

Send emails to [email protected]