THE Department of Agriculture (DA) said it is seeking to reduce by about 30% the gap between farmgate and retail prices of major agricultural commodities by strengthening its use of real-time data.
Agriculture Secretary Francisco P. Tiu Laurel, Jr. said the DA hopes to complete within six months a more comprehensive system for monitoring prices, covering rice, corn, and high-value crops.
The DA currently provides daily retail price monitoring through its Bantay Presyo platform, but farmgate price data remain incomplete.
“The farmgate prices are what we are working on right now. We don’t have real-time data on farmgate prices nationwide. But I’m hopeful that after six months, we can complete that,” Mr. Laurel said at the Makati Business Club’s Agriculture and Food Security Summit late Tuesday.
Mr. Laurel said the DA has started compiling data on rice, corn, onion, and carrots, and is working to expand the system to cover farmgate prices of other commodities.
Mr. Laurel said real-time data will help the department ensure that farmers and consumers both benefit from the narrowing of the price gaps.
“If we see the trend in farmgate and retail prices, and the gap in between, we will be able to determine what should go to farmers and what should go to consumers,” he told reporters on the sidelines of the summit.
Citing onions as an example, Mr. Laurel said farmgate prices are between P35 and P50 per kilo in major producing areas such as Mindoro and Nueva Ecija, with retail prices at between P100 to P120.
He said improved data could help correct price distortions across the supply chain, like those observed in onions, which could eventually lead to lower retail prices and higher farmgate prices.
The DA recently completed a command center in February which consolidates information on crop production, imports, weather, and livestock inventory to help with planning and coordination.
It added that the center will help anticipate shortages, minimize instances of oversupply, and guide interventions across regions.
The DA is also exploring artificial intelligence tools to generate insights, simulate crop scenarios, and monitor price distortions. — Vonn Andrei E. Villamiel
