Source: Sun Star.

A MALACAÑANG official said the Palace is eyeing coco flour and goat and carabao milk to compensate looming price hikes in bread and basic food items. Deputy presidential spokesman Anthony Golez Jr. also belied claims that the government is generating an “artificial” rice crisis as an excuse to import the commodity.

“The Department of Agriculture (DA) has identified and recommended to the president the use of coco flour as an alternative for flour. The president wants the supply of coconut increased. So now the DA is working on increasing coconut production to counter increases in the price of flour,” Golez said.

He also reiterated there is no need to declare a state of emergency over rice prices because the National Food Authority (NFA) declared there are still enough buffer stocks.

“A state of emergency is not proper at this time because by NFA standards we still have enough rice,” he said. Bakers' groups earlier cited the rising world prices of flour in imposing a new round of price hikes in bread, pastries and even noodles starting Tuesday. On the other hand, Golez said a meeting with representatives of the milk industry indicated prices of milk will be stable until May.

He said this prompted President Gloria Macapagal-Arroyo to order officials to identify other sources of milk, including goat and carabao milk.

“We will bring the goats and carabaos to the poorest provinces in the Philippines so people there can get their milk supplies directly,” he said.

As for coffee and canned meat, he said industries' associations told government representatives that prices of these commodities will be stable.

“Even prices of cooking oil had gone down from P72 to P62 per kilo,” the Palace aide said.

Meanwhile, Golez said officials led by Vice President Noli de Castro Jr. have been meeting with representatives of various industries to ensure price stability. He said de Castro and the officials told the industry representatives the government is ready to help them, including granting subsidies, if needed. “We cannot dictate what will happen, so we try to help however we can,” he said.