A LAWMAKER from Albay said the surprisingly low inflation in September figures gives the Marcos administration plenty of room to pursue more ambitious spending programs in economic and social services.
House and Ways Committee Chair and Albay 2nd District Representative Joey Salceda said It also gives the Bangko Sentral ng Pilipinas (BSP) much room for it to maneuver when the US Federal and other central banks inevitably adjust their interest rate levels.
“Low food inflation was due to massive disinflation in fruits and vegetables and slight reduction in prices for fish. Sugar inflation, which usually was in the mid-20s over the past months, was also negative, indicating that prices may be normalizing” Salceda said.
“We must remain vigilant about rice inflation, which the poor tend to be most sensitive to. Rice is still at 5.7 percent—we could still improve this figure” he further stressed.
Salceda explains that the October harvest season should further lower the levels. it should also watch out for corn prices, at 6.9 percent inflation, given its key importance as an input to meat, poultry, and fish prices.
He also pointed out that the House of Representatives has already established a five-committee panel on food security and food prices.
“My Committee, the Committee on Ways and Means, will be the principal Committee for this effort. Other constituent committees are Trade and Industry, Food and Agriculture, Social Services, and Special Committee on Food Security” Salceda said.
Salceda’s Quint-Comm will have a four tangible goals:
1. Chart a path to P20/kg rice;
2. Increase the annual GVA growth in agriculture to at least 2 percent, so that it catches up with our population growth;
3. Reduce agricultural production losses from as much as 30 percent to 15 percent (and halve the post-harvest losses in vegetables and fruits from 42% and 28% respectively, to about half of each number);
4. Bring livestock and poultry prices in Philippines to regionally competitive levels
“We hope to make real and structural improvements to our food systems, similar to the numerous accomplishments of the House Joint Hearings on Senior Citizens and PWD benefits earlier this year” Salceda said.
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