NFA reopens warehouse in Bulacan to support palay buying, rice buffer stock

May 26, 2025 , 05:49 PM

By Gabriel Kim Leal

(May 26, 2025) – The Department of Agriculture (DA) on Monday reopened the National Food Authority (NFA) warehouse in Malolos, Bulacan after major rehabilitation.

DA secretary Francisco Tiu-Laurel said the reopening aims to boost government rice procurement and support the P20 per kilo rice initiative.

“This long-overdue upgrade of a 45-year-old facility ensures that our hardworking rice farmers — especially in Bulacan — are no longer at the mercy of opportunistic traders,” said Laurel, who also chairs the NFA Council, in a media release.

“With this warehouse back in action, the NFA can continue buying palay at prices that truly reflect farmers’ efforts.”

The warehouse, first built in 1979, underwent a P10.4-million rehabilitation last December. The upgrades included modernized electrical systems, better ventilation, and safety improvements.

The DA said it can now store up to 70,000 bags of palay or rice, each weighing 50 kilos.

NFA administrator Larry Lacson said the project plays a major role in improving food security and stabilizing rice supply.

“This project is vital to fulfilling the NFA’s mandate of securing a reliable rice buffer stock, especially in times of crisis,” said Lacson.

To date, the NFA buys palay from local farmers at P18 to P24 per kilo—well above the P12 to P14 production cost. Some traders, especially during the warehouse’s closure, had reportedly offered farmers as little as P11.50 per kilo.

According to the DA, as of May 20, the NFA has 8.24 million bags of rice in stock, enough to feed the country for 11 days. Under the amended Rice Tariffication Law, the rice reserve target has been raised to 15 days of national consumption.

NFA rice continues to be sold at P20 per kilo through KADIWA outlets and selected local government units. The program, one of Pres. Ferdinand Marcos Jr.’s campaign promises, is expected to continue until the end of his term in June 2028.

Former agriculture secretary Leonardo Montemayor earlier warned that the government’s P20 per kilo rice program may not be sustainable and could end up hurting farmers.

(CD)

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