TAGBILARAN CITY, Bohol, (PIA) –Here is something Boholano rice farmers could think about: If in other provinces, the government through the National Food Authority (NFA) is buying palay from local farmers at P19.00 a kilo, here in Bohol, NFA could go as high as P25 a kilo.
For a premium amount of P6.00 and at a mulled total fund of P5million, Bohol allows the NFA to buy 16,667 50-kilo more bags of palay, according to NFA Bohol Branch Manager Pilita P. Barajan.
And as soon as the PLGU downloads the P5 million to the NFA, the government agency would immediately request for the government support price equivalent to the 16,667 bags at 50 kilos priced at P19.00 per kilo.
The P6.00 difference is an offer of the Provincial government through Governor Erico Aristotle Aumentado, who is signing a Memorandum of Agreement (MOA) with NFA to implement here the Palay Marketing Assistance for Legislators and Local Government Units (PALLGU) here.
With the PALLGU, local government units can put up a premium amount to top up the P19 government support price for NFA local palay procurement, under the agency’s new mandate under Republic Act 11203.
The same act which liberalizes the importation and exportation and trading of rice, lifts the quantitative import restriction of rice, has mandated that the NFA stop importing rice, but rather procure rice solely from local farmers and maintain an optimal level of rice inventory at any given time for emergency situations and sustain the government’s disaster relief programs, explains NGA Bohol branch manager Pilita Barajan.
The government has also see that the move can help farmers sell their palay, as grains marketing has been a perennial rice farmers’ problem, that they somehow are forced to sell their produce to traders who take advantage of the situation by offering them very low buying price especially during the peak of harvest season where supply is high, she explained during the recent Kapihan sa PIA.
Moreover, traders who see an opportunity to put the farmers in bondage offer fertilizers, mechanical farm equipment and post-harvest facilities for the farmers to use so their produce are tied to the very low buying prices, NFA sources added.
In this situation, the government through the NFA recognizes the need to help palay farmers market their produce and get a decent buying price by linking them with LGUS and legislators who can provide additional price support premium on top of the government procurement support price, Barajan continued.
Here comes PALLGU, which opens a window of opportunity for palay farmers to maximize their incomes and provide LGUS and legislators the perfect chance to expand their services to communities and farmer constituents.
For Bohol, Gov Aumentado, in consult with Provincial Administrator Aster Caberte, Executive Assistant for Agriculture Nunila Pinat and Provincial Budget Officer Peter Ross Retutal, mulls on the P6.00 top up premium for the 19.00 support price to increase NFAs buying rate to P25.00 a kilo of clean and dry palay.
For the MOA which would be signed soon, the NFA is bound to also designate an NFA warehouse and buying station for the local farmers to bring their palay, inform the PLGU if 75% of the top-up fund has been consumed, the volume of palay procured, including the names of farmer-beneficiaries enrolled in the program.
On the other hand, for Bohol, through a Letter of Intent to NFA details its premium top-up amount, the volume of palay procurement funded ad the beneficiaries for the fund; be they individual farmers or farmers organizations.
And while the PLGU is tasked to inform the farmer beneficiaries of the program where to deliver their palay and to which warehouse, it also may allow the use of its dump trucks to allow farmers facilitated delivery to NFA buying stations.
In cases of Bohol’s disaster relief operations, the NFA makes available for Bohol the rice equivalent of palay stocks procured from the farmers for its local buffer stocking and relief response and food security.
With the Provincial Government’s support price, and the chance to help farmers get the most from their hard-earned harvest and for local traders to do away with their enslaving buying practices. (PIA-7/Bohol)
