SATURDAY |AUGUST 23, 2008 | PHILIPPINES

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No diversion, re-bagged rice
for farmers’ organizations: NFA


NATIONAL Food Authority administrator Jessup P. Navarro clarified that the imported rice stocks allegedly being re-bagged are actually part of the rice allocated to farmers’ organizations (FOs) under the agency’s Institutionalized Farmers as Distributor (IFAD) program.

Navarro made the clarification in the wake of a complaint by rice millers in Pangasinan that the P25-per-kilo NFA rice is being re-bagged and sold at P32 per kilo in the market. The Pangasinan rice millers said the re-bagging is being done not only in their province but also in Isabela, Bulacan, and even in Metro Manila.

Navarro said the IFAD program gives FOs the opportunity to directly participate in the distribution of imported rice. "While the NFA is tasked to ensure food security and stability of the staple food, the farmers as our partners in the program are allowed to do the rice distribution under certain rules and regulations," he said.

Navarro said that under the general guidelines for the program this year, part of the volume that NFA sells during the lean months shall be allocated for FOs to distribute to "enhance the farmers’ entrepreneurial and marketing capability." He said the IFAD program allows FOs to buy rice stocks from NFA-designated warehouses. This year, he said the NFA has allocated 1 million bags for IFAD and identified the warehouses designated as stock withdrawal points.

He said the total volume has been pro-rated per region, with 30 percent of the million bags allocated to FOs without palay deliveries and 70 percent to FOs with palay deliveries.

This year’s IFAD allocations were released in three tranches: 25 percent in June, 35 percent in July, and 40 percent this August. All the allocations are NFA commercial grade rice sold at P25/kg or P1,250/bag. "Rice being sold under IFAD are no longer considered NFA’s but the farmers’," Navarro pointed out.

He also emphasized that for control measures and to avoid suspicion that the stocks are being diverted, all IFAD issuances will have to be re-bagged using FOs’ empty sacks at the NFA issuing warehouse.

"All empty sacks used in the re-bagging are even marked "IFAD Program" in bold letters to distinguish them from the issuance under the regular distribution. Original empty sacks recovered from re-bagging shall be retained by NFA," Navarro stressed.

He said FOs’ allocations shall be paid, withdrawn and sold only in areas or provinces where the farmers’ organizations are based unless authorized by the NFA central office or the concerned issuing provincial office. Prior to the rice withdrawal, the local provincial offices are advised to coordinate and inform the local National Bureau of Investigation about the FOs that will withdraw their IFAD allocations to avoid suspicion of stock diversion. Other government agencies, including the Departments of Trade and Agriculture are also informed of the IFAD releases. – Irma Isip

 


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