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Monday, April 14, 2008

 

Rice, flour to flood markets

Plan an alternative to declaring ‘emergency’

By Katrina Mennen A. Valdez, Reporter

Government plans to flood the market with basic commodities in a bid to allay public jitters over soaring world prices of rice and flour, a Cabinet official said.

Flooding the market with flour and rice and other goods is a better alternative to declaring a state of emergency, said Secretary Peter Favila of the Department of Trade and Industry in a media briefing late Friday.

“This move will appease the consumer public that indeed there is enough supply of rice and flour—only that, these are more expensive now,” he said.

“[We] have sufficient supply of rice and flour,” he added. “There is only a need to improve the distribution system.”

Favila downplayed China’s decision last week not to ship 150,000 metric tons of flour to the Philippines, because the Chinese themselves are seeing high demand for this commodity. The Philippines has sufficient flour supply for the next three months, the secretary added.

“The demand for flour is at four million bags a month, and according to the inventory submitted by the Philippine Association of Flour Millers, [we] have more than 10 million bags,” he said. A bag of flour weighs 25 kilograms.

Favila said flour importers have assured him that by September this year, the price of flour will go down. He added that the Philippines could import flour from Australia to replace the forgone allocation from China.

Plus, there are alternative kinds of flour available locally, such as coconut flour. Favila added that government is also looking at using squash and cassava as substitute materials for flour, particularly in making pan de sal.

The alternative flours will be available in powder form, and Secretary Estrella Alabastro and others at the Department of Science and Technology are working to ensure that the nutrient content will not be compromised, Favila said.

He added that the Department of Agriculture recently tied up with the Department of Social Welfare and Development in identifying the areas where the poorest of the poor live. “These people are the ones who gravely need the government’s help through the National Food Authority, which is [government’s] service-oriented agency.”

Contributing factors

Overpopulation and climate change are the contributing factors to the brewing food crisis in the Philippines, said former Agriculture Secretary and now Sorsogon Rep. Sonny Escudero at the weekly Kapihan sa Sulo on Saturday.

Back when the Philippine population was just 53 million, the government didn’t have problems satisfying the demands of its people, Escudero said. But with the population swelling to 86 million—some say it’s more like 90 million—he said it will be harder for the Philippines to be self-sufficient in rice.

Over the long run, government must invest on agriculture, the congressman said. “Give priority to agriculture.”

Escudero also emphasized the need for irrigated lands. Irrigation allows farmers to harvest five times every two years.

Palace confident

Malacañang is confident that President Arroyo will remain in power despite the looming crisis, contrary to speculations that the food-price increases could lead to her removal from office.

Chief Presidential Legal Counsel Sergio Apostol said the President is not like Haiti Prime Minister Jacques Edouard Alexis, who was ousted because of his failure to address the food crisis in his country. Alexis was removed from office Saturday for failing to boost food production and his refusal to set a timetable for the departure of UN peacekeepers from Haiti.

“We don’t have a food shortage,” Apostol said. “So, no comparison; that will not happen to us because our government officials from the President down to the Cabinet are working hard to find a solution.”

Government has been adopting measures to boost the country’s food supply, particularly rice, and ensuring that the government-subsidized grain remains affordable and is directly delivered to the people, he said.

Declaring a state of emergency remains unlikely because it’s not necessary at this time, he said. “There is no reason yet for that,” Apostol said.

The President’s critics warned that the plan to increase the selling price of rice sold by the National Food Authority could trigger protests and threaten her presidency.

They described the plan as “the last straw that would lead to the ouster” of President Arroyo.
-- With Maiden Bernaldez and Angelo S. Samonte

   

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