Thursday, May 15, 2008

Price crisis

People are standing in line for rice from the NFA (just in front of the City Hall of Davao City).

Minda News reported that "Prices of goods in Central Mindanao have averaged 10.8 percent in April, the highest inflation rate ever recorded". The average price for a kilo of rice increased from around 15 Peso to 30 Peso here in Davao only within the last two months! This affects especially people who are already struggling for survival because they have to pay twice as much as before. Davao City Mayor Rodrigo Duterte said "Lands that are used to be planted with rice and corn are now planted with bananas" (Davao Today). Meanwhile the government of President Gloria Macapagal-Arroyo assures the country that the public has enough supply of rice but does not address the problems that lie behind the recurring rice supply deficits. Instead the National Food Authority (NFA) sells imported rice at the price of 18.25 Peso a kilo. "The Philippines is the largest importer in the world" (Philippine Daily Inquirer) but the importation will only have a short term effect and can only fill the deficit this year. Not only the price for rice increased within the last two months but food in general like the prices of grains, corn or meat and fish. Fuel, light and water increased almost 10 percent during the last two months and the prices are surging for the following months. Just on monday there was a transportation strike in Davao City as well as in Manila. 

As a main filipino nourishment rice is an essential food component. Filipinos are proud of their rich and filling rice compaired with the cheap one from abroad. When you refer to a main dish in Bisaya the term "kan-on" (cooked or fried rice) is the main part while "sud-an" is just the side dish, therefore a meal is always "kan-on and ...". The rice price is expected to hit 40 Peso/kilo in the beginning of July. 

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