Assistance will cover those who own or rent machines
The Department of Agriculture (DA), led by secretary Francisco P. Tiu Laurel Jr. has approved P514.5 million in fuel subsidies for an estimated 160,000 farmers who own or rent machinery used in crop, livestock, and poultry production.
“This is just one of the many initiatives the Marcos administration is undertaking to alleviate the challenges faced by our farmers, who are the backbone of our economy and the key to achieving our food security goals,” said Agriculture secretary Francisco Tiu Laurel.
Speaker Ferdinand Martin Romualdez, on the other hand, vowed Sunday that the House of Representatives will do everything it can to help President Marcos Jr. attain his aspiration of rice self-sufficiency for the Philippines by the end of his term in 2028,
He said the end goal of the administration for the agriculture sector, particularly when it comes to assisting rice farmers, is self-sufficiency of the staplegrain.
Key agencies, such as the Department of Agriculture and National Irrigation Administration, are now putting in significant efforts to achieve a more efficient and productive agricultural sector, the Speaker stressed.
“We are converging all of this to make the use of funds more efficient. Previously, the DA had a program, the NIA had a program, and they didn’t seem to talk. But we are now talking. So we feel that at the end of this, we will have rice self-sufficiency. That is our aspiration,” he said.
“So this is an all-of-government approach so DA, NIA, the National Food Authority, of course the whole executive, (and) now the legislative, all together,” he added.
Eligible farmers registered in the Registry System for Basic Sectors in Agriculture (RSBSA) utilizing machinery and equipment will receive a one-time fuel subsidy of P3,000.
The subsidies will be distributed through cash cards issued by the Development Bank of the Philippines (DBP) and its financial technology partners.
Domestic pump prices are expected to increase by as much as P1.50 per liter tomorrow, the fourth consecutive week of oil price hikes, reflecting the movement of prices in the world oil market.
Department of Energy (DOE) director Rodela Romero said that based on the four-day trading in the Mean of Platts Singapore, the benchmark used by oil importers gasoline pump prices are expected to increase by P1.25 to P1.50 per liter, diesel by P0.40 to P0.60 per liter and kerosene by P0.60 to P0.80 per liter.
“Geopolitical tensions in the Middle East, an unexpectedly large withdrawals in the US crude inventories, and optimistic forecasts for summer fuel demand have all contributed to pushing prices in oil products higher,” Romero said.
On July 2, 2024, the oil companies implemented an increase on the prices of gasoline, diesel and kerosene by P0.95, P0.65 and P0.35 per liter, respectively.
Year-to-date, total adjustment stand at a net increase of P9.25 per liter, P8.40 per liter and P1.75 per liter, respectively.
Oil prices have been going up for the past three weeks with gasoline going up by a total of P3.20 per liter, diesel by P4.15 per liter and kerosene by P3.30 per liter.
Data from the DOE showed that pump prices in the National Capital Region range from P54 to P86.77 per liter for gasoline, P52 to P81.70 per liter for diesel and P74.04 to P84.04 per liter for kerosene.
The disbursement of the fuel subsidies is contingent upon the Department of Energy’s (DOE) certification that the average monthly price of Dubai crude oil, based on the Mean of Platts Singapore (MOPS), has reached or exceeded $80 per barrel.
Given the current market trends, with Dubai crude oil prices consistently above $80 per barrel, the distribution of subsidies is expected to begin later this month.
The allocation for the program was derived under the 2024 General Appropriations Act. The DA’s Bureau of Agricultural and Fisheries Engineering (BAFE) and Regional Field Offices (RFOs) will oversee the implementation of the project.
The fuel subsidy program forms part of the government’s commitment to providing immediate financial relief to farmers affected by increased production costs due to high fuel prices.
The DA recognized that fuel support is crucial to ensuring a stable and secure food supply for the nation. With Alena Mae S. Flores
