NFA to auction 60,000 MT aging rice stocks

MANILA, Philippines —  The National Food Authority (NFA) will auction up to 60,000 metric tons (MT) of aging rice stocks starting next month until October, the Department of Agriculture said yesterday.

The DA said the move aims to prevent spoilage, free up warehouse space and help stabilize supply following a government-ordered import suspension.

Agriculture Secretary Francisco Tiu Laurel Jr., who chairs the NFA Council, said the measure supports President Marcos’ directive to halt rice imports for two months beginning Sept. 1 to lift palay prices during the peak harvest season.

“We’re essentially hitting three birds with one stone: avoiding supply shortfalls, clearing space so NFA can buy more palay from local farmers and preventing spoilage of aging rice,” Tiu Laurel said.

He clarified that the rice stocks to be auctioned are only those classified as “aging” – starting in the third month after milling, or supply that is at least two months old.

NFA Administrator Larry Lacson said government relief agencies would have priority access to the rice stock in September before the public auction, which will follow a graduated pricing scheme, with floor prices ranging from P27.96 to P25.01 per kilo depending on storage duration.

The DA said the NFA’s current buffer stock stands at 450,000 MT, equivalent to 12 days of national demand in case of emergencies.

The planned auction covers about 1.2 million sacks of rice, or roughly 13 percent of the buffer.

An earlier proposal to auction palay was dropped due to low market prices, according to acting NFA department manager Roy Untiveros.

The DA said it hopes the auction will balance market stability, warehouse efficiency and farmer support.