Government officials said Monday they do not expect the food riots which have erupted in other countries this month to occur in the Philippines following the sharp increase in the price of rice.
The Cabinet will take up the rice crisis in Tuesday's meeting. A new distribution system for low-cost National Food Authority rice that may be implemented this week for 625,000 poor families in Metro Manila will be among the issues to be discussed.
President Arroyo gave her go signal for a wage increase to help workers cope with higher food prices, while US rice imports, to be sold at P25 per kilo, will soon be sold in government retail outlets.
No social unrest seen
In MalacaГ±ang, Deputy Presidential Spokesperson Lorelei Fajardo said she did not think the rice crisis would lead to social unrest since the government has taken steps to improve food security.
Defense Secretary Gilbert Teodoro told reporters Monday he does not see "food riots" happening in the Philippines, noting that this has never happened in recent history.
"We don't see any immediate threats to national security whether caused by this rice crisis or otherwise," Teodoro said.
Rice prices have soared by up to 30 percent since the end of 2007 amid concerns about tight global supply, hoarding and rising demand from consumers spooked by the possibility of shortages.
But there has been no tension and the government has assured the public that there will be sufficient supply.
"What we see occurring in other countries, I do not see here," Teodoro said.
The Philippines is the world's biggest importer of rice and has been most exposed to a leap in international prices, which have more than doubled since the start of the year.
Worldwide, the surge in food prices has caused tensions in several parts of the globe. Haiti's government fell on Saturday after more than a week of riots over food prices.
Last Saturday, workers in Bangladesh rioted for hours over soaring food costs, and at least 50 people were hurt.
The United Nations Food and Agriculture Organization has said 37 countries could be facing a food crisis.
US imported rice at P25 per kilo
One of the new measures to be implemented is the distribution of rice imported from the US, which will sell at P25 per kilo.
NFA retailers will sell the US rice in markets in Metro Manila, Cebu and Davao starting this week.
This was confirmed by officials of the Confederation of Grains Retailers Association after an emergency meeting with Department of Agriculture Secretary Arthur Yap Sunday.
CGRA president Teresa Alegado said the mid-range-priced rice is important in markets to lessen the number of people lining up for the P18.25 per kilo NFA rice, which is usually sourced from Southeast Asian countries.
Thousands of sacks of American rice are already at the Subic Bay Freeport and are already being readied for distribution to markets in the National Capital Region, Metro Cebu and Metro Davao.
Middle-income earners are also flocking to buy the cheaper NFA rice because of the lack of mid-range-priced rice varieties -- those with prices ranging from P22-P28 per kilo.
The presence of P25-per-kilo rice eases the demand for P18.25 per kilo NFA rice, Alegado said.
"If I am a retailer, why would I increase my prices if I have competition? So that would bring prices down," Alegado said.
In order to ensure that the P25-per-kilo commercial variety is not mixed with the more expensive ones, separate stalls will be put up inside markets where these would be sold to alleviate the long lines at NFA outlets.
Wage hike expected
In an effort to help wage earners cope with rising food costs, the President called on Monday for the reconvening of wage boards to discuss a possible wage hike to help workers cope with rising inflation.
"Because of the increasing cost of fuel and rice we're calling for a meeting of the regional wage boards all over the country so that every region can discuss how we can help the workers cope with the rising world prices of oil and rice," she said in a speech.
Arroyo is expected to sign off on a 10 percent increase in the basic pay of national government employees on May 1. The increase, effective from July 1 and similar to one granted in 2007, will cost around 24 billion pesos per year.
No to emergency powers
Meanwhile, a resolution was introduced in the Senate for a summit of Southeast Asia's leaders for discussions on rice. A resolution in the House of Representatives called for granting Mrs. Arroyo special powers to deal with hoarding and corruption.
But the Office of the President said it does not believe emergency powers are needed at this point.
"I am sure that the lawmakers are well meaning but such grant is hardly necessary in dealing with this logistical problem. Rice is starting to come in. The Philippines is much better positioned than countries where problems have been reported," Press Secretary Ignacio Bunye said in a statement.
Bunye said that the rice supply situation in the country will be "considerably" eased by a "better distribution network, with the support of the religious groups and local government executives."
The national government has tapped local governments and faith-based groups such as the Catholic church's social unit in the distribution of government-subsidized rice primarily for the benefit of an estimated 625,000 poor families in Metro Manila.
Yap said the DA has enlisted the support of these institutions since "respective poverty maps that will enable the DA to determine exactly where the NFA rice will have to be distributed to cover these poor families."
New rice access card
To stop households from hoarding rice supplies, Yap said the national government and Metro Manila's 17 mayors will meet to discuss the Family Access Card system to control selling at National Food Authority outlets in the metropolis.
The meeting, which takes place Monday evening, will discuss the implementation of the new distribution system within the week.
The DA will implement the system after TV news reports from last week showed families able to buy more than the five kilos of NFA rice that each family is allowed per day.
Yap showed ABS-CBN News pictures of families caught by the agency hoarding rice during inspections at households in Tayuman, Tondo, Manila Sunday.
"We're ensuring, based on our stocks, sufficient. You'll be given . You won't go hungry, you'll have rice. That's the NFA's assurance. But please, no hoarding," Yap said.
Cards to show purchase record
In the system, each family will be required to register at the local office of the Department of Social Welfare and Development where they will be issued a Family Access Card.
The card will be issued in the name of one family member, and it will be stamped by the NFA retail outlet upon purchase, indicating the number of kilos of rice purchased.
"If you want to buy, let's say, ten kilos, so we will mark your card ten times. So if you return tomorrow, we could tell you, 'you already have ten kilos of your allocation," Yap explained.
The family can only use the card at NFA outlets located at the place where they registered as residents, he said.
"As I've said, if we will give this to the local governments so that they could distribute , they should have a system where they would really know those who are 'food poor' or vulnerable families in their areas. If not, they can be taken advantage of," Yap said.
The NFA prioritizes service to families considered "food poor", or a family of five with a collective income of P150 a day.
Not a rationing measure
Yap said the measure is not a means of "rationing" rice supplies, but is a measure to prevent household hoarding.
As of the NFA's latest tally, there are more rice stored in households compared to rice stocks held by the NFA and those in markets and retail outlets.
Household stocks, according to the NFA, currently amount to 1,134,000 metric tons this April.
On the other hand, commercial outlets have 411,000 metric tons, and the NFA warehouse in Manila only has 397,000 metric tons of rice stocks.
The system was first discussed by the DA, the NFA, Department of Social Welfare and Development, the Metro Manila Mayors' League, and the Catholic Bishops' Conference of the Philippines in a meeting last Saturday.
Outside Metro Manila, too
Aside from Metro Manila, Yap ordered the NFA to intensify the distribution of government-subsidized rice stocks in the countrys 12 highly populated areas.
These are: Metro Manila, Baguio City , Lucena City; Legaspi City, Albay; Tacloban City; Bacolod City; Cebu City; Dumaguete City; Davao City; Cagayan de Oro; Zamboanga City and General Santos City.
Master plan for food security
Yap also announced recently that the DA was teaming up with former DA chiefs and other farm experts in crafting a masterplan to guarantee the stable supply not only of rice but other food crops as well between now and 2010.
Yap said a food production masterplan is being drawn up by the DA with experts from the Philippine Rice Research Institute and the University of the Philippines in Los Banos along with the Eminent Persons Group, which will help oversee the implementation of Malacanangs P43.7 billion package of intervention measures for Philippine agriculture.
Among the members of the newly formed Eminent Persons Group are former DA secretaries Domingo Panganiban, Carlos Dominguez, Robert Sebastian and Salvador Escudero III, who is now a congressman; former agriculture undersecretary Apolinario Bautista; ex-NFA Administrator Gregorio Tan; Philrice Exec. Dir. Leocadio Sebastian; Dr. Emil Javier of the National Academy for Science and Technology , Dr. Leo Gonzalez of Strive Foundation; and former PhilRice director Dr. Santiago Obien.
Yap said that among the measures that the DA is now studying is the expansion of the subsidy program for seeds and fertilizers and the involvement of local government units in palay production, particularly in the countrys 37 biggest palay-growing provinces.
He said these were among the recommendations made by the Eminent Persons Group during a meeting last week to discuss ways on how to efficiently implement Malacanangs heightened commitment to guarantee food security.
The creation of this group followed President Arroyos announcement of her P43.7 billion package of intervention measures to further boost farm productivity and cushion the impact on Filipinos of the emerging global food crunch.
This P43.7-billion package, which was unveiled at the National Food Summit last April 4 and dubbed FIELDS, will focus on Fertilizer, Irrigation, Education and training of farmers and fisherfolk, Loans, Dryers and other postharvest facilities, and Seeds of the high-yielding, hybrid varieties. With reports from ABS-CBN News, Reuters
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