The National Food Authority in Southern Luzon said it has already paid farmers a total of P111,628,890 for the purchase of 107,854 bags of unmilled rice or palay in the region as of Oct. 28, 2018.
The farmers were encouraged to sell their produce to the NFA when the food agency started buying unmilled rice with an additional P3.00/kg buffer stocking incentive on top of the P17.00/kg buying support price and other incentives.
But former Deputy House Speaker Lorenzo Tañada warned the NFA that farmers would suffer losses and aggravate their poor condition following the increase in the prices of basic commodities.
“We know that rice importation has been the solution posed by the government’s economic managers to depress the prices of rice in the market, but this will result in very low farm gate prices of palay at this time that our palay farmers are now harvesting their produce,” Tañada said. “Have mercy on our local farmers because they need their income badly to recover from the high cost of fuel that they use for their water pumps and tractors during the planting season.”
Meanwhile, Ilocos Norte Gov. Imee Marcos praised the Duterte administration for speeding up its rice importation to ensure abundant supply and cheaper prices of the commodity.
“The inflow of the fourth quarter palay harvest will further increase supply to put a brake on the price spiral of rice until the first quarter of 2019,” she said.
Region 4 is one of the top rice-producing areas in the country. Occidental Mindoro registered the highest number of palay procured with 98,852 bags followed by Batangas with 5,794 bags, Oriental Mindoro with 2,531 bags, Laguna with 356 bags, Infanta with 286 bags and Palawan with 35 bags.
Farmers have started delivering more palay to the 40 buying stations across the region after the NFA implemented the additional P3.00/kg BSI since Oct. 12.
Of the P111.6 million paid by NFA-Region IV to the farmers, P91,675,900 went to actual cost of palay, P16,178,100 was for BSI and P3,774,890 for the other incentives.
As of October 28, 2018, NFA has already procured a total of 198,469 bags nationwide. Aside from the 279 buying stations located across the country, mobile teams are being deployed in far flung and remote areas to buy farmers produce. The food agency buys palay up to 30% moisture content.
With the extra P3.00/kg BSI, NFA OIC Administrator Tomas Escarez is optimistic that the food agency will be able to achieve its target of 2.6-million bags this year during the peak of the harvest season from November to December.