DA sells rice for P43/kg

Metro Manila, Philippines — The government began selling rice in its Kadiwa stores for as low as P43 per kilogram on Friday, Oct. 11, with the Department of Agriculture (DA) assuring of enough stocks until early 2025.

The DA also opened 20 more Kadiwa sites across Metro Manila and Laguna selling cheap rice.

Kadiwa stores sold rice at P45 when the program began in August in 21 Kadiwa centers in Metro Manila, Bulacan, Cavite, Laguna, and Rizal. The stocks are well-milled rice from importers and local traders. 

“Base sa run-rate niya, meron na kami stocks hanggang Enero, Pebrero para sa 40 stores,” Agriculture Secretary Francisco Tiu Laurel Jr. told reporters during the Kadiwa store opening in Mandaluyong City.

“Unless na biglang naging popular ito talaga — at hopefully nga maging popular at sumipa ‘yung pagbili ng tao — then I'm confident we can supply,” he added.

[Translation: Based on the program’s run-rate, we have stocks until January-February 2025 for the 41 stores. Unless this becomes popular — but hopefully this becomes popular — then I’m confident we can supply.]

He explained this was not subsidized rice and was computed through cost-plus pricing, meant to “pressure” those who sell well-milled rice higher than the expected range of P45 to P47.

“In light of recent market trends, where the retail price of rice has been steadily decreasing, adjustments have been made to maintain the program’s competitiveness,” the DA said in a briefer on Thursday.

“Kadiwa prices are typically 13% to 20% lower than those at the nearest markets where the Kadiwa centers are located,” it added.

As of Oct. 9, well-milled rice, both local and imported, was sold in Metro Manila markets at P45 to P55, based on government price monitoring.

September inflation also showed the rate of rice price increase dropping to 5.7% from 14.7% in the previous month, the first single digit for the year. 

President Ferdinand Marcos Jr. in June issued Executive Order 62 that halved the tariff on rice imports to 15% from 35% in a bid to lower prices of the grain.

The DA is also selling subsidized rice in Kadiwa centers at P29 for vulnerable sectors, sourced from aging stocks of the National Food Authority.

As of Oct. 9, the DA sold 126,225 kilograms of rice under the Rice-for-All program with around P5.68 million in sales, according to its briefer.

Around 722,919 kilograms of rice under the P29 Program have been purchased by more than 140,000 households with P20.96 million sales.