LGUs now allowed to buy NFA rice on credit, Palace says

LOCAL GOVERNMENT units (LGUs) can now purchase National Food Authority (NFA) rice on credit, Malacañang announced on Thursday.

This developed after Palace Press Officer and Presidential Communications Office Undersecretary Claire Castro met with Department of Agriculture (DA) Secretary Francisco Tiu Laurel Jr. on Wednesday.

In a press conference, Castro said he conveyed to Tiu Laurel the sentiment of other LGUs that cannot afford to buy NFA rice in bulk.

Castro said LGUs with insufficient funds need to coordinate with the Food Terminal Incorporated (FTI) for the credit purchase of NFA rice.

“Ang sabi sa atin ni DA Secretary Laurel, puwedeng kumuha ng bigas, utang, kausapin ang FTI (DA Secretary Laurel told us that LGUs can procure rice through loan and that they have to talk to the FTI),” she said.

“Puwede silang magbayad after. So ‘yun po ang good news. Hindi po kailangang maglabas ng cash ang LGUs na hindi po kakayanin na bumili kaagad ng NFA rice. So, makipag-ugnayan lang po sa FTI at sila po mabibigyan (They can pay later. So, that's the good news. LGUs that cannot afford to buy NFA rice right away do not need to come up with cash. So, just contact the FTI and they can avail of the rice),” Castro added.

Castro earlier advised LGUs to sell NFA rice at PHP33 per kg. instead of PHP35 to ease the consumers’ plight.

The NFA is implementing various strategies to decongest spaces in its warehouses for local palay (unhusked rice) procurement nationwide, amid the slow release of rice stocks to LGUs.

It earlier urged LGUs to hasten the procurement of NFA rice from the DA, through the FTI, under the food security emergency for rice.

Around 70 LGUs have signified their intent to purchase NFA rice. To date, only San Juan and Navotas in Metro Manila and Camarines Sur in the Bicol Region have secured initial NFA rice release. (Ruth Abbey Gita-Carlos)