MANILA, Philippines — The Department of Agriculture (DA) will begin selling well-milled rice stocks from the National Food Authority (NFA) at P33 per kilogram, following the declaration of a food security emergency for rice.

The new selling price is P2 lower than the initial target price of P35 per kilogram for local government units (LGUs), other government agencies, and government-owned and -controlled corporations.

NFA acting department manager Roy Untiveros said the price adjustment aims to accelerate the release of rice stocks from the NFA.

“We really have to release the stocks of NFA so we can create more space to accommodate naman iyong (the) incoming palay deliveries from the farmers,” he said as cited in a PNA report.

Despite the move, the NFA is expected to incur estimated losses ranging from P12 to P15 per kilogram, amounting to about P1.8 billion to P2.2 billion. 

The agency needs to release at least 150,000 metric tons, or 150 million kilograms, of well-milled rice stocks within the next six months.

Untiveros clarified that the DA, through the Food Terminal Incorporated, will handle the sales and receive the P33 per kilogram revenue from LGUs.

“Malinaw po doon sa Republic Act 12078 na ang NFA po ay hindi authorized to sell its stocks. So malinaw po doon na sinabi na the DA may sell the NFA stocks,” he said.

The NFA has also started coordinating with LGUs for rice stock allocation.

Untiveros said the NFA has sent 53 letters to LGUs and is awaiting their response to determine which ones are interested in participating.

LGUs in Metro Manila and Cavite have already expressed interest in securing NFA rice allocations.

For consumers, NFA rice stocks will be available at Kadiwa ng Pangulo centers and kiosks in Metro Manila until the second week of February.