Data from the Philippines Statistics Authority (PSA) showed the average farm gate price of palay has declined to a new eight-year low during the latter part of September.
The existing purchase price of dry palay fell to P15.83 per kilogram (kg), which is about P29.3% lower than the P22.36 per kg last year.
“The average farm-gate price of palay dropped further to P15.82 per kg or by 0.9 percent during the week relative to its previous week’s level of P15.96 per kg,” the PSA stated in its price in a published monitoring report on Wednesday.
The current price of palay is the lowest since the prices hit P15.83 per kg in the second week of December 2011. Aside from that, this is the second time palay buying price reached an eight-year low.
PSA data also revealed that the national average price of dry palay was at P10 per kg recorded in Bulacan whereas the highest as at P20.40 per kg in the province of Surigao del Sur.
Moreover, it showed dealers in the Autonomous Region in Muslim Mindanao (ARMM) offered to purchase rice at an average of P12.50 per kg while those in Central Visayas recommended an average of P19.10 per kg.
Within Central Luzon, however, Pampanga traders offered to get unhusked rice at P12 per kg, which is lower than the average production cost of palay nowadays. And according to the PSA data, rice farmers spend P12.42 average to yield a kilo of palay.