By Manny Piñol
The first P1-Billion of the P10-B initial funding for the Rice Competitiveness Enhancement Program (RCEP) could now be accessed by rice farmers for the establishment of mechanical dryers.
The P1-B came from the Department of Agriculture’s Agricultural Credit Policy Council (ACPC) which received the funds as part of the government’s P5-B support for the Rice Program in 2018.
Although it was originally intended as additional funds for Easy Access Credit for Rice Farmers, the DA-ACPC agreed to turn over the amount to the Land Bank of the Philippines and the Development Bank of the Philippines as initial funding for the RCEP.
During the Management Committee Meeting of the DA in Guimaras Province two weeks ago, LBP and DBP officials who were asked to present their proposed loan programs for the P1-B that they will be getting from the Rice Competitiveness Enhancement Fund (RCEF) agreed to focus the amount for the establishment of dryers in rice production areas.
Under the RCEF, LBP and DBP will be getting P1-B or 10% of the fund every year for the next 6 years for credit.
The Philippine Centre for Mechanisation (PhilMech) will get 50% or an initial P5-B, the Philippine Rice Research Institute (PhilRice) will get P3-B for Inbred Seeds, Technical Skills Development Authority (TESDA) will get P700-M for farmers skills training while the Agricultural Training Institute (ATI), PhilMech and PhilRice will each get P100-M for farmers training program.
The remaining P9-B of the P10-B fund is expected to be released by the Department of Budget and Management before the start of the last planting season by October 2019.
Officials of the LBP and DBP who were present during the MANCOM said that the fund for dryers could be accessed by farmers cooperatives, irrigators’ associations, farmers associations, small water irrigation service association (SWISA) and Agrarian Reform Beneficiaries Organisation (ARBO) at 2% interest per year without any collateral.
The loan package could include mechanical or solar dryers with sheds and will be payable in 6 years, which is the duration of the RCEP.
The DA-ACPC will help farmers accomplish all the requirements for the loan through the Provincial Loan Facilitation Teams already deployed in the provinces.
Farmers are advised to coordinate with the nearest DA Regional Office so they will be guided on how to submit documents for the loans.
Dryers, both mechanical and solar, have always been a concern of rice farmers who are forced to sell their fresh harvest at discounted prices.
The problem becomes worse when the harvest season would be marked by rains as rice would be damaged.
The estimated post-harvest losses of the Philippine Rice Industry is about 14%, which if computed against the 19-million metric tons of harvest last year meant losses amounted to an estimated 2.6-million metric tons.
The DA aims to establish drying facilities in all rice production areas of the country before the end of the term of President Rody Duterte.
(All photos of mechanical dryers were downloaded from the Facebook page of Jeremiah Jover.)
More Stories
Bamboo Goat House Model Now Ready For Occupancy!
What A Stupid Question! 🤣🤣🤣
Breadfruit Grows Fast In My Dreamed Food Forest!