Gov’t earmarks fund to draw young agri entrepreneurs

The government is shelling out P30 million this year for the Young Farmers Program (YFP) which aims to encourage agriculture graduates to become agriculture-based entrepreneurs.

Sen. Ramon Magsaysay Jr., chairman of the Senate committee on agriculture, said the Department of Budget and Management already approved the release of the P30-million fund.

Magsaysay pushed for the creation of the YFP, a novel agricultural funding program that seeks to transform young graduates of agriculture, fisheries and other related courses, as well as budding entrepreneurs, to engage in agribusiness.

Under the program, the government will assist participating entrepreneurs in securing loans representing 60 percent of the total capital needed for their proposed agribusiness projects.

On the other hand, 25 percent of their required capital will be provided as a grant while the balance of 15 percent will be the borrower’s equity.

"With the approval of fund release for the YFP, we can expect that more small and medium agribusiness enterprises will be established and more jobs would be generated especially in the countryside. This will also enhance the competitiveness of the agriculture and fishery sectors in the local and foreign markets," Magsaysay said.

At the same time, the program seeks to encourage agricultural graduates to establish themselves in profitable agribusiness enterprises.

"This way, we can prevent the departure of young farm forces for urban centers by generating more employment opportunities in the countryside," he added.

The YFP has two components: The Young Farmers Entrepreneurs (YFE) and the Young Farmers Volunteer (YFV).

The YFE provides assistance, specifically financing, to young graduates and budding entrepreneurs who are interested in putting up agribusiness enterprises.

The YFV on the other hand, are young agriculture and fishery graduates who will serve as extension workers and promote potential investment areas in the agriculture and fishery sectors.