The nationwide average farm-gate price of dry palay (unmilled rice) as of mid-December grew by 1.06 percent to a two-month high of P16.14 per kilogram, latest Philippine Statistics Authority (PSA) data showed.
Preliminary PSA data also indicated that the latest average quotation was slightly higher than the P15.97 per kg recorded in the first week of December.
“Similarly, it moved up further at an annual rate of 2.2 percent from its average price of P15.79 per kg in the same week of the previous year,” the PSA report recently showed.
Historical PSA data showed that this is the highest average quotation for dry palay nationwide since the P15.76 per kg recorded in the first week of October, when most farmers started harvesting their crop.
The highest average price of dry palay (14 percent moisture content) was recorded in Eastern Visayas region at P17.65 per kg while the lowest average price was reported in Caraga Region at P14.55 per kg, according to PSA data.
Despite the uptick in dry palay prices, both the wholesale and retail prices of well-milled and regular-milled rice declined during the period, according to the PSA.
“The average wholesale price of well-milled rice went down to P37.42 per kg or by 0.2 percent this week, from its previous week’s level of P37.5 per kg. However, it rose at an annual rate of 0.9 percent, from its average price of P37.08 per kg during the same period of the previous year,” it said.
“At the retail trade, the average price of well-milled rice decreased to P41.01 per kg or by 0.3 percent during the period, compared with its level of P41.13 per kg in the previous week. It also declined at an annual rate of 0.9 percent, from its average price of P41.39 per kg in the same week of the previous year,” it added.
PSA report indicated that the wholesale price of regular-milled rice fell slightly to P33.42 per kg from the previous week’s P33.46 per kg while retail price also declined to P36.21 per kg from P36.29 per kg in the first week of December.
“On the contrary, it recorded an annual rate of 1.6 percent, from its average price of P32.91 per kg in the same week of the previous year,” PSA said.
“Meanwhile, [retail price of regular-milled rice] picked up at an annual rate of 0.2 percent, from P36.13 per kg during the same week of the previous year.”
The PSA earlier projected that the country will end 2020 with a record rice output despite the series of typhoons that battered the farm sector last year.
Data from the agency indicated that the country would produce 19.44 million metric tons (MMT) of palay by the end of 2020. While the agency adjusted downward its estimated production in the October-to-December period to 7.54 MMT, the volume is still higher than the 7.49 MMT produced in 2019.
Full-year 2020 palay output could grow by 3.3 percent from 2019’s 18.814 MMT, historical PSA data showed.
PSA data also showed that probable total output last year may eclipse the record-high production of 19.276 MMT in 2017.
On a milled equivalent basis, total rice output in 2020 could reach 12.71 MMT, based on the BusinessMirror’s computation using PSA’s benchmark figures.