Cielo Magno says she had to speak up vs. rice price cap

Former Finance Undersecretary Cielo Magno knew that speaking up against the government's rice price ceiling would have consequences.  Still, she said she can't just keep quiet about her misgivings about the policy.

When Executive Order 39 imposing the rice price ceiling was implemented, she posted a graph of the basic law of supply and demand online indicating that the order may lead to rice supply shortage.

"Hindi naman pwedeng manahimik na lang ako para mag stay ako. It’s just a title for me, mas important yung serbisyo na nagagawa natin sa lipunan," Magno said on a "24 Oras" report by Maki Pulido.

She said she knew as early as July that Malacanang wanted her out of the Department of Finance (DOF).

She said she accepted the offer of Finance Secretary Benajmin Diokno to take a break from the academe and join the bureaucracy as a way of serving the public.

"The number one consideration for me when I said yes to him is that regardless of who’s in Malacanang the interest of the people remains the same," Magno said.

GMA Integrated News is still trying to get the side of Diokno.  Earlier, he said Magno's tenure at the DOF will only be temporary.

Meanwhile, Magno said a shortage looms due to the price ceiling as those who have the means to buy rice might resort to hoarding.  Importers might also put off their plans to buy rice abroad because they will not be able to sell it at a good price.

The price of rice in the world market and local price production is inadequate, she said, as she pushed for the immediate lifting of the price cap.

"We really need to lift the price cap dahil wala itong magandang idudulot unless gusto natin humantong sa pagrarasyon ng bigas na nangyari na noong 70’s," she said.

Magno said a sustainable solution to the rice crisis is the government's support to the agricultural sector.

According to the Philippine Association of Sari-Sari Stores and Carinderia Owners, high prices not just of rice, but also of other needed stocks like meat, gas, and even plastics have raised business costs.

Business owners, however, had no liberty in raising product prices.

“Hanggat maari, kami umaaray. Wag din namin ipasa sa kanila yung sakit,” said the group's vice president Joan Hipolito.

The Federation of Free Farmers, meanwhile, said that the current rice crisis already happened in 2018, and that support and equipment must be provided to rice farmers to mitigate the crisis.

Meanwhile, the Metro Manila Council has expressed their support for the order in a resolution stating that the local government units will be providing support to local retailers. —Jiselle Anne Casucian/LDF, GMA Integrated News