The age-old problem in the Philippine rice industry continues, with farmers receiving low prices for their palay despite high production costs, while consumers pay high retail prices for the staple, according to a report by Philstar Biz.
The report highlights the persistent gap between farm-gate and retail prices, leaving farmers with thin margins and consumers bearing the brunt of expensive rice. This situation is often attributed to supply chain inefficiencies and the involvement of multiple middlemen.
As a staple food, rice prices are a major driver of inflation and household spending in the Philippines. Without meaningful intervention to streamline the supply chain and support farmers, the same old story of low palay prices and high retail costs is likely to continue.