THE Department of Agriculture (DA) said expanding the National Food Authority’s (NFA) procurement activities will ensure that more farmers receive fair prices for their rice or corn.
Agriculture Secretary Francisco P. Tiu Laurel, Jr. said in a statement issued by the DA that such reforms will form part of the DA’s suggested amendments to the Rice Tariffication Law of 2019.
Undersecretary for Operations and Agri-Fisheries Mechanization Roger V. Navarro said more NFA procurement guarantees fair prices for farmers, especially during the wet season.
The NFA purchases grain at higher prices than private traders, though budget and storage constraints limit it to procuring only a fraction of the harvest. Private traders can undercut the NFA price because the availability of imported rice erodes any leverage enjoyed by farmers selling their palay (unmilled rice).
Giving the NFA authority to purchase corn will strengthen feed production and benefit the poultry and livestock industries, Mr. Laurel said.
Yellow corn is a key component in animal feed, accounting for 46% of livestock feed and 62% of poultry feed.
Mr. Laurel added that the procurement of rice processed via government-funded Rice Processing Systems (RPS) will ensure markets for farming cooperatives.
“We must make these multi-million-peso facilities work for the farmers they were meant to serve,” he said. — Andre Christopher H. Alampay
