Rice watchdog group “Bantay Bigas” urges the government to give rice farmers direct subsidies to help them cope with increased palay production costs.
“Nanawagan tayo ng at least 15,000 pesos na direct subsidy mula sa pamahalaan para sa mga magsasaka para ma-cover ‘yung cost of fertilizer na ginagamit ng mga magsasaka,” Bantay Bigas spokesperson Cathy Estavillo told Dobol B TV on Saturday.
(We have called for at least 15,000 pesos direct subsidy from the government for farmers to cover the cost of fertilizer used by farmers.)
The P10 billion Rice Competitiveness Enhancement Fund (RCEF) established under the Rice Tariffication Law, according to Estavillo, is insufficient to assist rice producers.
The RCEF is made up of the following elements:
- P5 billion a year for rice farm machinery and equipment
- P3 billion for rice seed propagation
- P1 billion credit line for rice farmers
- P1 billion for extension services
Bantay Bigas group seeks P15K aid for farmers
In addition to the P10 billion expected from imported rice, President Rodrigo Duterte established a P5,000 financial aid program for farmers with less than two hectares of land.
Despite the more significant production costs, rice producers are selling their produce at lower prices due to the inflow of imported rice, according to Estavillo.
In addition, the inflow of imported rice did not assist cut retail costs, as the group saw the price of typical well-milled rice rise from P38 to P40 per kilo.
According to Estavillo, the rise in retail rice prices is due to the continuous increase in fuel prices.
To avoid additional price increases, the group recommended the government stop the collection of excise taxes on fuel and implement a price restriction on essential commodities.
The Department of Energy (DOE) stated Monday that amending the Oil Deregulation Law before the conclusion of President Rodrigo Duterte’s term may be challenging due to lawmakers’ attention on the impending elections.
The review of the Oil Deregulation Law is still being debated in both chambers of Congress, according to DOE Undersecretary Gerardo Erquiza Jr., with only months left before the present administration’s term ends.
Visit our Facebook page for more news updates.