Dar: P10-B RCEF to be fully obligated by Dec
Credit to Author: EIREENE JAIREE GOMEZ| Date: Tue, 22 Oct 2019 16:21:46 +0000
THE Rice Competitiveness Enhancement Fund (RCEF) amounting to P10 billion annually intended to increase rice farmers productivity and income, is expected to be fully obligated before the year ends, the Department of Agriculture (DA) said on Tuesday.
The RCEF will fund the Rice Competitiveness Enhancement Program (RCEP).
In a press conference in Quezon City, Agriculture Secretary William Dar said 32 percent of the total rice fund has been committed to its various components namely mechanization, seeds distribution, training and extension services, and credit.
In late September, the Department of Budget and Management (DBM) released P2.462 billion for the credit and seed program components.
Of the total, P2.038 billion was released to the Philippine Rice Research Institute (PhilRice) tasked to promote and distribute to farmers high-quality inbred rice seeds including NSIC Rc222, Rc160, Rc216, and 16 other location-specific varieties.
The DBM, through the Agricultural Credit Policy Council, also released P244 million to the Development Bank of the Philippines and P180 million to the Land Bank of the Philippines for the RCEF Credit Program to be loaned out to individual farmers and DA-accredited cooperatives and associations.
Dar debunked claims that the implementation of RCEP was lagging behind, even as Republic Act 11203 or the “Rice Tarrification Law” took effect on March 5, 2019.
“Talagang ito na yung panahon (This is really the time) that the proper implementation of the RCEP is being accelerated. This is the right time, this is the time of the year that such intervention must start. For the next six years, a properly implemented RCEP will make the rice farmers more productive, more competitive and more prosperous,” Dar explained, referring to the start of the main planting season for rice in the country.
Increasing yield
Dar explained there is a need to boost the national average yield of palay (unmilled rice) by “combining both the hybrids and the inbred seeds program” so Filipino rice farmers could compete with their Southeast Asian counterparts, particularly from Vietnam and Thailand, the region’s top rice exporters.
“We hope to elevate the yield average to five to six metric tons over a number of years,” he said.
Currently, the country’s national average yield is at 4 metric tons per hectare.
“This is not the first time that DA is distributing machineries. So to some extent, they (farmers) have something to use for this planting season. What will happen will be more distribution of machineries. So it will be on time,” Dar said.
Under RA 11203, the Philippine Center for Postharvest Development and Mechanization (PhilMech) will be distributing farm machineries and postharvest facilities to some 1,200 to 1,600 farmers’ cooperatives and associations (FCAs). PhilMech Director Baldwin Jallorina said a total of 589 FCAs have been identified as beneficiaries nationwide.
Of the P5-billion allocation for PhilMech, Jallorina said P2.1 billion has already been issued through Special Allotment Release Order, which will be used to procure the initial set of machineries.
The Philippines’ mechanization level is currently 2.31 horsepower per hectare, significantly lower than that of rice-producing countries like Thailand and Vietnam which are highly subsidized by their governments.
By the end of six years, Dar said the DA is aiming to reduce the cost of producing palay from P12 per kilo to P6 per kilo.