
By Brian Jules Campued
The government will need to invest about P93 billion to build more post-harvest facilities to prevent wastage and lower prices of key agricultural products, Agriculture Secretary Francisco Tiu Laurel Jr. said Tuesday, Jan. 16.
If the infrastructures were built in the next three years, the country could save about P10.7 billion per year in terms of rice and corn wastage, Laurel added.
“Because we’re losing about 12.7% to 15% of our rice production due to lack of post-harvest [facilities]. So, sa rice and corn pa lang na post-harvest, P93 billion na,” the agriculture chief said in a press briefing in Malacañang.
“Sa cold storage, my budget this year is only P1 billion so ipo-focus ko lahat iyon sa apat na cold storage to address that vegetable issue, but that can only cover part of Luzon.”
Solving the problem of cold storage nationwide will require an additional P5 billion, he added.
Meanwhile, the Department of Agriculture is also eyeing to establish more post-harvest facilities in Concepcion, Tarlac; Dumangas, Iloilo; and Musuan, Maramag, Bukidnon similar to the 120-metric tons capacity of one facility set to rise in Dingras, Ilocos Norte.
Laurel also said the agency’s projects under the Masagana Agri-Food Infrastructure Modernization (MAFIM) Program include building 196 dryers, 48 silos, 221 warehouses, 57 rice mills, 24 corn mills, and 638 handling equipment nationwide.
Infrastructure projects such as ports, agri-industrial ports, and cold storage facilities will also be built to address overproduction of some vegetables of which 30% is wasted due to poor logistic systems in the food supply chain.
“If we can lessen or hopefully almost eliminate iyong losses na iyon, that will be equivalent to at least 10% to 15% less cost sa ating mga vegetables and high-value crops like fruits,” he noted.
Meanwhile, when asked by President Ferdinand Marcos Jr. regarding its plan to remedy the oversupply of vegetables and subsequent wastage, the agency said it would coordinate with farmers and their cooperatives to build pallet position cold storage facilities for high value crops and vegetables to address said concern.
“That’s the main reason why I went to the FTI (Food Terminal Inc.) last Friday to see what is available sa FTI. And to address that situation, we will be building a 5,000 pallet position cold storage for high-value crops and vegetables…to serve only the cooperatives and the farmers in our country para nga ma-address iyan,” Laurel added.
He likewise hoped the facilities would be available by around June next year.
The government also needs to invest heavily in farm-to-market-roads and irrigation facilities to boost its rice self-sufficiency goals and to ensure availability of agricultural products set at affordable prices, the DA chief said.
“In terms of irrigation system, the government has to invest P1.2 trillion to fully irrigate the country’s 1.2 million hectares of unirrigated land.”
Sufficient rice supply
The DA assured the public that there is sufficient rice supply in the country based on inventories made in December and January in addition to the upcoming rice imports.
“As far as supply is concerned we have enough supply of rice – December, medyo healthy ang ating stocks. January is healthy, there’s additional rice coming,” the agriculture chief stated.
“But as far as the price is concerned, mahirap ma-predict, ang problema iyong world price is tumataas eh ‘no dahil sa El Niño.”
Laurel added that they are planning to have an ending rice stock of 20 million tons like the previous year since the possible effects of the El Niño phenomenon is likely to persist until April.
A Memorandum of Agreement (MOA) had also been drafted regarding the five-year agreement with Vietnam which included guaranteeing rice supply to the Philippines even during calamities.
Laurel hopes both nations could sign the MOA during the President’s visit to Vietnam later this month. – cf