MANILA—Farm gate prices of palay have begun to climb in six of the country’s 13 key rice-producing regions, a week after President Ferdinand Marcos Jr. ordered a two-month suspension of rice importation starting September 1, data from the National Food Authority (NFA) showed.

Agriculture Secretary Francisco P. Tiu Laurel Jr. said the government is closely monitoring the market’s response to the impending ban, which was prompted by reports of farm gate prices plunging to as low as ₱8 per kilo—well below the estimated production cost of around ₱12 per kilo for efficient farmers.

“We are watching the market’s response to the rice import suspension very closely,” Tiu Laurel said. “If palay prices remain low during the ban, we may consider extending it, or recommend that President Marcos increase tariffs. And if prices of palay rise, we could shorten the ban.”

The suspension comes as global rice prices have dropped compared to 2024, following India’s lifting of its export ban on non-basmati rice last September, bumper harvests in major exporters, weaker demand, and reduced tariffs. These conditions encouraged importers to purchase heavily from Vietnam and other suppliers.

In April and May alone, rice importers shipped in nearly 970,000 metric tons—equivalent to almost three months’ consumption—despite a record domestic harvest. The Philippines’ palay output reached 9.08 million metric tons in the first half of 2025, with the Department of Agriculture targeting a historic 20.46 million tons for the year.

NFA Administrator Larry Lacson said the price uptick is a welcome sign for farmers. “The objective of the import ban is to allow the price of palay to a level that will give the farmers income, and the steady rise of palay price is a relief. We just hope that the other players in the industry will do their share by not taking advantage by spreading speculations,” he said.

According to NFA monitoring, traders’ buying prices for dry palay rose by 0.3 to 2.6 percent in Central Luzon—including major producer Nueva Ecija—Bicol, Central Visayas, and parts of Mindanao since late July, just before the ban was announced. Average prices ranged from ₱16.98 per kilo in Central Luzon to ₱20.59 in Southern Mindanao. Prices held steady at ₱16.52 in Southern Tagalog and ₱17.60 in Western Visayas.

However, prices dropped sharply in Ilocos, Cagayan Valley, Eastern Visayas, Northern Mindanao, and BARMM, with rates ranging from ₱14.43 per kilo in Cagayan Valley to ₱21.67 in BARMM.