Price ceilings will also hurt farmers, experts say | ABS-CBN
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Price ceilings will also hurt farmers, experts say
Price ceilings will also hurt farmers, experts say
Jervis Manahan,
ABS-CBN News
Published Sep 11, 2023 06:21 PM PHT
MANILA - Agricultural economists from the University of the Philippines Los Baños said on Monday that price caps will hurt not just retailers, but also farmers.
MANILA - Agricultural economists from the University of the Philippines Los Baños said on Monday that price caps will hurt not just retailers, but also farmers.
UPLB Assistant Professor Geny Lapina said farmers would eventually have to adjust as farmgate prices will also be affected.
UPLB Assistant Professor Geny Lapina said farmers would eventually have to adjust as farmgate prices will also be affected.
"Yung impact ng price ceiling, it can get translated, affecting the farmgate prices. Ito yung tinatawag namin na price transmission," Lapina said.
"Yung impact ng price ceiling, it can get translated, affecting the farmgate prices. Ito yung tinatawag namin na price transmission," Lapina said.
"We have some anecdotal reports from colleagues na mukang tinatamaan ang farmgate prices. Because the farmers have to adjust. They are the ones that need to adjust their prices because of the situation," he added.
"We have some anecdotal reports from colleagues na mukang tinatamaan ang farmgate prices. Because the farmers have to adjust. They are the ones that need to adjust their prices because of the situation," he added.
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They also said imposition of price ceilings will also not be an effective tool in tempering the rising price of rice.
They also said imposition of price ceilings will also not be an effective tool in tempering the rising price of rice.
"Hindi kasi mareresolba ng price caps ang problema ng pagtaas ng presyo ng bigas, remember that the market for rice in the Philippines is highly distorted, marami siyang layers from production to distribution. Hindi siya parang bigyan mo sya ng P41 tas P45, tapos na," said Asst. Prof. Luisito Abueg from UPLB's Department of Economics.
"Hindi kasi mareresolba ng price caps ang problema ng pagtaas ng presyo ng bigas, remember that the market for rice in the Philippines is highly distorted, marami siyang layers from production to distribution. Hindi siya parang bigyan mo sya ng P41 tas P45, tapos na," said Asst. Prof. Luisito Abueg from UPLB's Department of Economics.
Abueg said this might even result in bigger problems.
Abueg said this might even result in bigger problems.
"Historically, this is a repeat of what has happened in 1973, if you remember, na nag-impose ng sangkatutak na price cap hindi lang sa bigas, kundi pati sa asukal, kung saan-saan, so nagkaroon tayo ng shortage," he said.
"Historically, this is a repeat of what has happened in 1973, if you remember, na nag-impose ng sangkatutak na price cap hindi lang sa bigas, kundi pati sa asukal, kung saan-saan, so nagkaroon tayo ng shortage," he said.
"To the extent, wag naman sana, yung ganitong price cap, nag-iinduce sya ng black markets. Yung mga hindi maibentang bigas sa legal na paraan, binebenta nila yun sa underground markets," he added.
"To the extent, wag naman sana, yung ganitong price cap, nag-iinduce sya ng black markets. Yung mga hindi maibentang bigas sa legal na paraan, binebenta nila yun sa underground markets," he added.
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Distribution of cash aid for affected retailers continued in Navotas City and Parañaque on Monday.
Distribution of cash aid for affected retailers continued in Navotas City and Parañaque on Monday.
At least 161 beneficiaries received P15,000 in Navotas alone.
At least 161 beneficiaries received P15,000 in Navotas alone.
The Department of Social Welfare and Development said they want to finish the distribution as soon as possible before preparation for the barangay and SK elections come into full swing.
The Department of Social Welfare and Development said they want to finish the distribution as soon as possible before preparation for the barangay and SK elections come into full swing.
"Gusto natin as much as possible, mapabilis natin but then kung ma grant tayo ng exemption, we proceed tayo hanggang ma saturate natin yung lahat ng mga intended na beneficiaries. The September 14, it's not the deadline," said Asec. Romel Lopez, spokesperson of the DSWD.
"Gusto natin as much as possible, mapabilis natin but then kung ma grant tayo ng exemption, we proceed tayo hanggang ma saturate natin yung lahat ng mga intended na beneficiaries. The September 14, it's not the deadline," said Asec. Romel Lopez, spokesperson of the DSWD.
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