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Friday, May 16, 2008

NFA closes 200 rice outlets in Bicol

LEGAZPI CITY—THE National Food Authority (NFA) closed at least 200 retail rice outlets in Bicol for overpricing, hoarding and other violations, NFA officials said yesterday.

Jose Guevarra, NFA assistant regional director, said 48 outlets were closed in Albay, 46 in Camarines Sur, 39 in Sorsogon, 32 in Camarines Norte, 30 in Catanduanes and five in Masbate.

Guevarra said the retailers were also facing other charges, like violations of the Consumer Act. Their accreditation have either been indefinitely suspended or cancelled outright, he said.

The most common offense was overpricing. Guevarra said some retailers sold government rice at P25, higher than its original price of P18.25.

Overpricing

“The selling without price tags is an attempt to fool the consumers while rice diversion involves the rebagging of NFA rice. Both boil down to overpricing,” Guevarra said.

He cited a 20-percent increase in the number of violators in late March, when the government became stricter in monitoring the distribution of rice.

By mid-April, he said, the number decreased, indicating the success of government monitoring.

Guevarra said the NFA quickly approved new permits to sell to retailers to ensure no disruption in distribution. Bicol has around 3,000 accredited rice outlets.

Three high-ranking NFA officials in Bicol are also facing administrative charges for allegedly colluding with dishonest traders.

Flood of complaints

Their cases were still being heard at the provincial level, where there are internal auditors, an investigation and prosecution directorate, and a hearing officer, Guevarra said.

He said the NFA had been receiving complaints through anonymous phone calls, letters and media reports. All are subject to investigation.

As of yesterday morning, Bicol had a buffer stock of 687,000 bags of NFA rice, good for 54 days.

An additional 304,000 bags are expected to arrive aboard two cargo ships at the Tabaco City International Port this weekend.

Maria Asagra, 38, of Barangay Cabagñan in Legazpi City is a constant buyer of government rice from the NFA truck that tours villages weekly.

She said she had never been a victim of overpricing since she was buying directly from the NFA. “I don’t buy NFA rice from the public market since the queues there are longer,” she said.

She said around 200 villagers in their place would buy rice from the NFA truck every Tuesday, the schedule of distribution in Cabagñan. Tickets are being distributed to the buyers.

Every purchase is limited to 4 kg but, Asagra said, she and her daughter would line up so the family would get 8 kg.

Guevarra said the price of commercial rice as of Tuesday ranged from P29 to P32 per kg, depending on the variety.

Rice supply worldwide was predicted to be tighter as a cyclone devastated rice farms in Burma and further put pressure on world supply of the staple.

The Philippine government effort to obtain bids for rice suppliers from Thailand and Vietnam failed as no bidder from either country took part in a recent tender. Ephraim Aguilar, Inquirer Southern Luzon

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