Farm gate prices of palay posted a modest recovery in November, offering some relief to rice farmers after months of sharp declines. Data from the Philippine Statistics Authority (PSA) showed the national average palay price rose to P16.92 per kilo, up 6.5 percent from P15.89 in October.
The rebound follows government intervention after palay prices in some producing areas plunged to below P10 per kilo earlier this year. In September, President Ferdinand Marcos Jr. approved a two-month freeze on rice imports, acting on the recommendation of the Department of Agriculture, to cushion farmers ahead of the wet season harvest. The measure was later extended for another two months until the end of 2025, signaling a stronger stance to stabilize farm incomes.
Despite the month-on-month improvement, palay prices remain well below last year’s levels. PSA data showed November prices were nearly 17 percent lower than the P20.28 per kilo recorded in the same period in 2024. Prices last year were buoyed by tighter global supply and heightened demand following El Niño-induced production concerns. This year, improved harvests in major rice-producing countries have led to a decline in global rice prices, exerting pressure on domestic markets.
Price movements also varied widely across regions. In November, Calabarzon recorded the lowest average farm gate price at P13.25 per kilo, while the Bangsamoro Autonomous Region in Muslim Mindanao posted the highest at P20.36 per kilo.
Most regions saw prices edge higher from October levels, underscoring the impact of tighter import controls. Central Visayas was the exception, with average palay prices slipping 4.2 percent month-on-month to P18.43 per kilo. The Bicol region also recorded a decline, with prices easing 3.0 percent to P15.16 per kilo.
While the recent uptick suggests policy support is gaining traction, industry watchers say sustained gains will depend on managing imports alongside improving productivity and lowering production costs, as global rice prices are expected to remain subdued in the near term.
