Profitable Use of SCF in a Policy Context : the Case of Rice Stockholding in the Philippines
AbstractThis paper documents the activities of the National Food Authority (NFA), particularly on rice marketing, in realizing its mandates of buying high and selling low. Because the Philippine agriculture is greatly affected by extreme climate events such as El Nio and La Nia, this paper highlights the importance of seasonal climate forecast (SCF) information as input to the formulation of various policy decisions of the NFA. Among these important policy decisions are : how much volume of paddy rice to procure from farmers to be able to defend its support price; how much volume of rice to maintain in order to achieve stability in the supply and consumer price, and; how much volume of rice, as well as when is the best time, to import to be able to position the optimal level of stocks in time for the lean season. It is also argued in the paper that importation has been playing a significant role in the rice supply-demand situation of the country since 1990, making it one of the most significant government interventions in the rice sector. Based on historical data assessment, some of the worst events in the past such as the 1995 rice crisis and over-importation during the 1997-1998 El Nio could have been avoided if policy decisions, particularly on the volume and timing of rice importation, were linked to SCF. Indeed, linking crop production and import decisions more systematically with SCF would enhance the usefulness of these forecasts at a more practical level.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by East Asian Bureau of Economic Research in its series Development Economics Working Papers with number 22686.
Date of creation: Jan 2009
Date of revision:
Contact details of provider:
Postal: JG Crawford Building #13, Asia Pacific School of Economics and Government, Australian National University, ACT 0200
Web page: http://www.eaber.org
More information through EDIRC
National Food Authority (NFA); seasonal climate forecast (SCF); rice; importation; storage; distribution;
Other versions of this item:
- Mina, Christian D. & Reyes, Celia M., 2009. "Profitable Use of SCF in a Policy Context: the Case of Rice Stockholding in the Philippines," Discussion Papers DP 2009-09, Philippine Institute for Development Studies.
- Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy
- Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade
- Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Mangabat, Minda C., 1999. "Effects of Trade Liberalization on Agriculture in the Philippines: Commodity Aspects," Working Papers 32689, United Nations Centre for Alleviation of Poverty Through Secondary Crops' Development in Asia and the Pacific (CAPSA).
- Kei Kajisa & Takamasa Akiyama, 2005. "The Evolution of Rice Price Policies over Four Decades: Thailand, Indonesia and the Philippines," Oxford Development Studies, Taylor & Francis Journals, vol. 33(2), pages 305-329.
- James A Roumasset, 2000. "Black-Hole Security," Working Papers 200005, University of Hawaii at Manoa, Department of Economics.
- Intal, Ponciano Jr. S. & Garcia, Marissa C., 2005.
"Rice and Philippine Politics,"
DP 2005-13, Philippine Institute for Development Studies.
- Senate Economic Planning Office SEPO, 2012. "Subsidizing the National Food Authority: Is It a Good Policy?," Working Papers id:4814, eSocialSciences.
- de Guzman, Rosalina G. & Mina, Christian D. & Crean, Jason & Parton, Kevin & Reyes, Celia M., 2009. "Incorporating Regional Rice Production Models in Rice Importation Simulation Model: a Stochastic Programming Approach," Discussion Papers DP 2009-28, Philippine Institute for Development Studies.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Shiro Armstrong).
If references are entirely missing, you can add them using this form.