In a significant move for rice consumers, Agriculture Secretary Francisco P. Tiu Laurel Jr. announced on Friday that the Department of Agriculture (DA) will gradually lower the maximum suggested retail price (MSRP) for imported rice in the coming weeks. Starting 5 February, the MSRP will drop to P55 per kilo, with further reductions to P52 by 15 February. By 1 March, the price could fall to P49 per kilo, provided global prices remain stable.
The price reduction follows the government’s decision last year to slash the rice tariff from 35 percent to 15 percent, and a decline in global rice prices. However, some rice varieties, including Japanese black rice, basmati, and locally produced rice, will not be affected by the MSRP.
The DA’s approach is cautious, aiming for a steady transition to avoid destabilizing the local rice industry. “We cannot shock the market,” Tiu Laurel explained, referring to the need for a gradual reduction to prevent business disruptions.
Industry analysts are optimistic that the price drop will continue, especially with lower global rice prices from countries like Vietnam. Tiu Laurel also highlighted the importance of early communication with traders and retailers, giving them time to adjust to the new prices.
The DA is working with the Department of Trade and Industry (DTI) on new rice labeling guidelines, which will eventually include MSRPs for different rice types.
