Senator Francis “Kiko” Pangilinan is seeking a proper mechanism to define rice profiteering and its impact on farmers and local rice production.
Speaking during the second public hearing of the Committee on Agriculture, Food, and Agrarian Reform joint with the Committees on Finance and Ways and Means, the senator inquired about the clear and proper definition of rice profiteering to effectively go after abusive rice traders and hoarders.
“In other words, kung gusto natin protektahan or bigyan ng fighting chance yung ating magpapalay, paano natin made-determine? Ano nga ba ang profiteering sa usapin na iyon?,” he asked.
The senator led the hearing on the possible amendments to the Rice Tariffication Law (RTL) on Wednesday, August 27.
Pangilinan’s remarks came amid reports that traders have been low-balling rice farmers by buying their produce less than the cost of its production.
The senator, who now chairs the Senate Committee on Agriculture, asked how the law can establish that buying palay from farmers at P5 per kilo and then selling it for P40 to P45 per kilo in the market is profiteering.
Traders are reportedly buying rice from local farmers at P5 to P10 per kilo despite farmers spending P14 to P17 per kilo as capital.
“Nagre-reklamo tayo masyado mura P5 isang kilo lugi. Bakit naman P5? Kumikita kasi ng malaki etc. Well, it’s all speculative. Walang science in determinining magkano talaga kinikita kapag binili ng P5 isang kilo,” he lamented.
He explained that a proper mechanism for defining rice profiteering and its inclusion in the RTL amendment would help protect farmers and their livelihoods.
One of Pangilinan’s first moves in his return to the Senate is to file a resolution seeking an investigation into the RTL and any amendments that must be made after he said it failed to meet its two objectives: lowering the prices of rice and uplifting the lives of farmers.