DA exec explains high price quote for biofertilizer

MANILA, Philippines — A ranking official of the Department of Agriculture (DA) explained yesterday that the controversial Memorandum Order No. 32 on the use of biofertilizer was crafted in April when retail prices of urea were still high.

The official made the clarification after a farmers’ group said the P2,000 per bag cost of biofertilizer was overpriced compared to the P500 per bag being offered at the University of the Philippines Los Baños.

“When we were crafting the memo in April, the price monitoring of the Fertilizer and Pesticide Authority on urea fertilizer was still high during that time… Now if the retail prices went down to P1,100 (per bag) as they said, what we will do is to compare the prices and we will still have the procurement process,” Agriculture Undersecretary for rice industry development Leocadio Sebastian said in a radio interview.

He also gave assurance that no fertilizer scam will happen in the implementation of MO 32.

“If you intend to commit a scam, you will not issue guidelines. It (MO 32) is very transparent, very fair… If you commit a scam, there will be no guidelines, you will just talk to those who will participate in the bidding, influence it and just put specifications,” Sebastian said.

On April 27, 2023, Sebastian signed MO 32 that sets the guidelines on the distribution and use of biofertilizers.

Farmers’ group Samahang Industriya ng Agrikultura president Rosendo So has warned of another fertilizer scam with the implementation of MO 32.

He maintained that the memorandum was flawed because the cost of urea is now only at P1,100 per bag compared to P2,000 per bag for biofertilizer.

According to So, based on his initial information, the DA targets to allocate P1 billion for the procurement of biofertilizer.

So wrote separate letters to President Marcos and Sen. Cynthia Villar, who heads the Senate committee on agriculture and food, urging them to move for the revocation of MO 32.

So said the farmers should be given the choice if they prefer urea fertilizer or biofertilizer.

“Vouchers should be given instead so that the farmers will have a choice if they want urea or biofertilizer. The farmers should decide on what to use to increase their production,” he said.

Review

At the Senate, Sen. Imee Marcos urged the DA to review MO 32, saying that farmers should be given the choice of fertilizer to use so as not to reduce their yield.

“Rice farmers know best what fertilizers to use. The government should maintain the system of giving them cash vouchers for fertilizer subsidies,” Marcos said.

“Biofertilizers benefit soil ecosystems but can they duplicate past levels of rice production? Biofertilizers still need to be tested on a sufficient scale to prove that rice production costs can be lowered and better harvests achieved,” the senator added.

Meanwhile, Agriculture Assistant Secretary and spokesman Kristine Evangelista said the agency will address the reported disorderly sale of P25 per kilo of rice at a Kadiwa outlet in Quezon.

Consumers complained of starting to line up as early as 3 a.m. but were not able to buy the staple due to limited slots.

Evangelista said the selling of P25 kilo of rice was an initiative of farmers and not the DA.

“We will check the system in the selling and we will try to encourage the farmers to bring more sacks of rice,” Evangelista said. “We will talk to the farmers if they can bring more as this is not subsidized by the government.”

Evangelista added that the DA only offers free space for the farmers’ organization at the Kadiwa. She added that the selling of P25 per kilo of rice at Kadiwa will depend on stocks.

Based on monitoring of the DA on Monday, the retail price of local regular milled rice ranged between P34 and P42 per kilo; local well-milled rice, between P39 and P46 per kilo; local premium rice, between P42 and P50 per kilo.

The retail price of imported regular milled rice ranged between P37 and P38 per kilo; imported well-milled rice, between P40 and P46 per kilo; imported premium rice, between P43 and P52 per kilo and imported special rice, between P50 and P58 per kilo. – Paolo Romero, Delon Porcalla