NFA secures P9B for rice purchase

CEBU, Philippines — The National Food Authority (NFA) has secured the release of the remaining P9-billion budget for palay procurement this year to help support farmers during the rainy season.

Agriculture Sec. Francisco Laurel Jr., who chairs the NFA Council, said that the Budget Department will release the amount in equal installments over the final three months of the year.

“The NFA will have enough funds to support rice farmers through the wet season, which is critical for their livelihoods during this challenging period,” Laurel said in a statement.

NFA Administrator Larry Lacson also said that the timely release of the budget will enable the agency to buy approximately 7.2 million 50-kilo bags of grains at a price of P25 per kilo.

“This volume aligns well with the NFA’s wet season palay procurement target of 6.4 million to 8.7 million bags,” Lacson added.

Recently, the NFA has adjusted its buying price range for rice grains, lowering from the previous P25 to P27 per kilo.

“We recognize the need to balance farmer support with consumer needs, and this adjustment is a step toward achieving that goal,” Secretary Laurel said.

Laurel also assured that farmers would still see a favorable return on their efforts.

Back in June, the NFA Council had raised the buying price of rice grains to a range of P17 to P30 per kilo, up from last year’s P16 to P23 per kilo to help the NFA compete with private traders and bolstering the country’s rice buffer stock.

Administrator Lacson pointed out that the NFA’s recent decision to increase the selling price to the Department of Social Welfare and Development and other government agencies to P38 per kilo, along with the projected savings from the purchase of grains contained in farmers’ sacks, could lead to additional funds for  procurement.

“These measures could save hundreds of millions of pesos, enabling us to purchase more grains from rice farmers,” Lacson said. –/DGI (FREEMAN)