NFA seeks early release of P2.6-B for palay procurement

National Food Authority Administrator Arthur C. Yap has authorized the early release of P2.6 billion procurement fund in a bid to break the pact palay procurement records of the NFA.

Yap said he wants NFA to be first in the palay buying arena and the early fund remittance to all field offices of the agency is a signal for early aggressive buying this cropping season. The NFA has earmarked a total of P7 billion for palay procurement this year.

Starting this March, NFA buys clean and dry palay at P10 per kg or one peso higher than the previous price. This is exclusive of the additional P0.50 per kg incentive for drying, transportation and cooperative development giving the farmers a total of P10.50 per kg price for their produce.

"This is why I am positive that we will be able to serve more farmers and buy a higher volume of their harvest to beef up our food security stocks," Yap said.

The agency is targeting to buy 337,933 MT or 6,758,650 bags of palay for the January to June cropping. Latest procurement data show that the agency has so far bought a total of 17,831 MT or 356,636 bags of 50 kg since January this year.

Yap reported that among the regions, Southern Tagalog has so far bought the highest volume of palay at 127,197 bags since the start of the year. It is followed by Western Visayas with 89,320 bags and Ilocos Region with 72,205 bags. "We have also positioned 422 buying stations in the heavy production areas of the country," he added. This will be complemented by the mobile procurement teams to serve far-flung areas.

The field offices of the agency were also instructed to strictly procure palay in conformity with the prescribed quality standard specifications of the agency. Revalidation of the farmers passbooks had also been undertaken to ensure proper documentation prior to procurement of their harvest. The passbook proves the legitimacy of the farmers of the NFA’s thrust to serve them.