News Details

NFA to Sell 60,000 MT of Aging Rice to Support Farmers and Stabilize Supply

NPO

•

August 31, 2025

MANILA-The National Food Authority (NFA) is set to auction off up to 60,000 metric tons (MT) of aging rice stocks between September and October to prevent spoilage, free up storage space, and sustain rice supply amid the temporary suspension of imports.

According to Agriculture Secretary Francisco P. Tiu Laurel Jr., who chairs the NFA Council, the auction is in line with President Ferdinand Marcos Jr.’s directive to suspend rice imports for two months starting Sept. 1, a measure designed to raise farmgate prices during peak harvest season.

“This initiative allows us to avoid supply shortfalls, clear space so NFA can buy more palay from local farmers, and prevent spoilage of aging rice,” Tiu Laurel explained.

Before the public auction, government relief agencies will be given priority to purchase the rice in September, said NFA Administrator Larry Lacson. Only rice stored for at least two months qualifies for auction.

The sale will adopt a graduated pricing scheme, with floor prices ranging from ₱27.96 to ₱25.01 per kilo, depending on storage duration. Rice is classified as “aging” once it reaches its third month from milling.

At present, NFA holds a buffer stock of 450,000 MT, sufficient for around 12 days of national consumption in emergencies. The upcoming auction—equivalent to 1.2 million sacks of rice—represents about 13 percent of reserves.

An earlier plan to auction palay was dropped due to low market demand, noted Acting NFA Department Manager Roy Untiveros.

With harvest season nearing, the NFA said the auction will help balance market stability, improve warehouse efficiency, and boost farmer support.

NPO News Team I DA-PR