‘Mosquito Gang’ behind price manipulation of palay in Isabela

MANILA, Philippines - A group of foreign smalltime businessmen are said to be involved in the manipulation of palay prices in Isabela province, the second largest rice-producing province in the Philippines next to Nueva Ecija. In GMA’s 24 Oras, Ruth Cabal reported that these businessmen, which millers in the province call “Mosquito Gang," are also suspected to be involved in hoarding activities, resulting to increased prices of the country’s staple food. The television report said the gang’s operation involves sending agents to rice fields during harvest season to buy palay in wholesale directly from the farmers. Before, it was the farmers who go to buying stations to buy their palay. It also said these agents would usually come up with a large offer during the bidding, which often occurs right at the rice fields. This reportedly accounts to the high price of palay. The report added that the “Mosquito Gang" almost always wins the bidding, and since they buy in wholesale, they have complete control over the prices of palay. “Lucrative ito para sa kanila kaya dumadami sila (This has proven to be lucrative from them so their number increases)," Isabela governor Grace Padaca said. Also, there is also widespread doubt among the millers if these foreign businessmen are paying taxes to the government. “Kung bumili sila, mas mataas kasi wala silang binabayarang obligasyon (maybe they can afford to bid high because they don’t pay taxes)," said Victor Mauricio, a buying station owner. The report also noted that the price of palay in Isabela has increased in the last three days – from P14.50/kilo on Monday, to P15/kilo on Tuesday, and P15.20/kilo on Wednesday. Padaca said the local government is aware of the operations of the so-called “Mosquito Gang" and are monitoring them. She said they will act once they have gathered enough evidence to pin the group. - GMANews.TV