LAWMAKERS on Tuesday accused rice importers and traders of colluding to manipulate prices despite reduced import tariffs and an oversupply of rice, forcing Filipino consumers to bear the burden of artificially inflated costs.
During the House Quinta Comm hearing or the Murang Pagkain Supercommittee, formed under House Resolution (HR) No. 254 introduced by Speaker Ferdinand Martin G. Romualdez, Marikina City 2nd District Rep. Stella Quimbo and AGAP Party-list Rep. Nicanor Briones laid bare a pattern of hoarding, shared ownership among top importers and profiteering.
Citing data from the Philippine Statistics Authority (PSA), Quimbo highlighted the disconnect between market conditions and prices, noting that the demand-supply ratio for rice dropped from 82.5% in 2023 to 69% in 2024, clearly indicating an oversupply.
“May excess supply. Kung ano ang kailangan natin na bigas ay mas mababa sa kung ano ang meron tayo. At kapag may excess supply, dapat bumaba ang presyo. Pero bakit hindi bumababa?” Quimbo, senior vice chairperson of the House Committee on Appropriations, told the mega panel tasked with identifying gaps in government programs and holding those responsible for market abuses accountable.
Quimbo described the situation as a clear case of collusion. “Nakita natin sa presentation ng PSA, klarong-klaro na merong pagsasabwatan,” she said.
Government data showed that as of Nov. 1, the country’s total rice stock inventory was estimated at 2.5 million metric tons—a 25% increase from the previous year.
According to Quimbo, importers and traders collectively profited a staggering P13 billion after rice import tariffs were slashed from 35% to 15% under Executive Order (EO) No. 62.
Instead of passing on the savings to consumers, she said, the group hoarded stocks to artificially drive up rice prices.
“Nasa kamay ‘yan ng importers at traders na yumaman po ng P13 billion dahil sa pagbaba ng taripa. Pero wini-withhold nila ang rice stocks sa ngayon,” Quimbo said.
While the landed price of imported rice dropped by P11 per kilo year-on-year, domestic prices rose from P51 to P55.30, exposing market inefficiencies.
At the same time, the gap between landed and domestic prices widened drastically, from P3 per kilo in 2023 to P20 in 2024, signaling potential manipulation or inefficiencies in the supply chain.
Quimbo argued that prices should stabilize at around P35 per kilo, even with reasonable profit margins.
“Dapat nasa bandang P35. Pero ngayon, malinaw na ito ay pagsasamantala,” she declared.
Briones supported Quimbo’s accusations by exposing shared ownership among top rice importers.
He identified two major importers—RBS Universal Grains Traders Corp. and Sodatrade Corp.—that collectively imported 273,000 metric tons of rice.
“‘Pag tiningnan mo, ang mga may-ari ay iisa [lamang]. Ibig sabihin, dito palang malinaw na may sabwatan,” Briones said, describing how such arrangements consolidate control over the market.
He also pointed out the oversupply in the country’s rice stocks, noting that the inventory had significantly increased, providing a much longer supply than usual.
“Napakarami nating bigas, pero nasaan? Tinatago ba? Inalam niyo ba kung nasaan ang bigas na ‘yan?” Briones asked, criticizing the Department of Agriculture’s lack of action to investigate these stockpiles.
Briones also called out the failure of EO 62, which reduced tariffs but failed to deliver on its promise of lower rice prices.
He stressed that hoarding has dire consequences for both farmers and consumers.
Briones argued that importers’ refusal to release stocks leaves farmers struggling to sell their palay at fair prices.
Quimbo emphasized that Filipino families are unfairly paying the price for this manipulation.
“Pakawalan na nila ang rice stocks nang sa gayon bumaba na ang presyo. Maawa naman sila sa taong bayan!” she demanded.
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