Agriculture Secretary Francisco P. Tiu Laurel Jr. said the maximum suggested retail price (MSRP) for 5 percent broken imported rice will remain at P43 per kilo for now, while the government completes the procedure for a higher import tariff. Tiu Laurel said the planned increase in rice import duties to 20 percent from the current 15 percent is set to be implemented on January 16 to comply with regulatory and procedural requirements. Any adjustment in the MSRP will be considered only after the higher tariff is implemented, he said.
“We have to complete the process before raising the tariff,” Tiu Laurel said, stressing that price changes must follow, not precede, formal policy action. The decision comes as the government continues efforts to stabilize palay prices after years of pressure from heavy rice imports. President Ferdinand Marcos Jr. ordered a four-month moratorium on rice importation starting in September to support farmgate prices during the peak wet-season harvest, which began in October.
Rice imports reached about 4.8 million metric tons last year, a volume that dragged palay prices down to as low as P8 per kilo in some areas before the ban. Since the import freeze took effect, palay prices have recovered, rising to around P17 per kilo for wet palay and about P23 per kilo for dry palay in several producing regions.
The Department of Agriculture and rice industry stakeholders have since agreed on tighter import management, particularly during the summer harvest, when domestic production peaks and millers are expected to help support farmgate prices. Once the import ban expires on December 31, an initial volume of 500,000 metric tons of rice will be allowed into the country. Of this, about 50,000 metric tons will be allocated to Food Terminals Inc.
Tiu Laurel, who also chairs the National Food Authority (NFA) Council, said the NFA plans to buy wet palay at P17 per kilo and dry palay at P21 per kilo during the harvest season that starts around March. He expects private traders to offer higher prices, supported by the higher tariff and more controlled import volumes. For now, retail prices will remain steady.
“The January MSRP will stay at P43 because the duty is still 15 percent,” Tiu Laurel said, adding that the temporary price hold is meant to avoid confusion in the market while the tariff adjustment is finalized.
He said the government will carefully time its announcements to prevent speculation, noting that exporters and traders will be formally informed only after the tariff increase is officially issued. Coordination with customs is also underway to ensure a smooth transition once the higher duty takes effect.
For consumers, the unchanged P43 MSRP provides short-term price stability, even as the government prepares to recalibrate rice import policy to better balance farmer incomes and food affordability.
