DTI: Government ready to respond to El Niño effects

MANILA, Philippines — The government is ready to address the impact of the El Niño dry spell on the price of commodities, the Department of Trade and Industry (DTI) reported yesterday. 

Trade Undersecretary Ruth Castelo noted that a prolonged El Niño drought could raise the prices of goods. 

“The possibility of a stronger and prolonged El Niño episode together with the continued rise in global crude oil prices provide upside price pressures over the near term and this is why government needs to be ready,” Castelo said at a press briefing in Malacañang.

“The NPCC (National Price Coordinating Council) will particularly do a close watch on the effects of El Niño on the price and supply of agricultural products,” she added. 

Castelo said the Suking Tindahan and P-to-C (producer-to-consumer) program would be intensified to ensure consumers’ access to affordable goods. 

“We are also closely coordinating with the Department of Agriculture to give us the authority to be able to monitor agricultural products,” she added.  

Castelo said the drought in some regions has halted the production of agricultural products, especially vegetables. 

“If there is low production in the countryside, supply will decrease and then prices will go higher because there is less supply,” the trade official said. 

“We want to minimize the effects. There will definitely be effects on agricultural products, we cannot deny that,” she added. 

Agriculture damage caused by El Niño has exceeded P5 billion, according to official data. The phenomenon has affected more than 177,000 agricultural areas and 164,000 farmers.