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PIA Press Release
2009/10/02

Kalinga given 100,000 bags of corn procurement quota

by L. Lopez

Tabuk, Kalinga (2 October) -- As a government measure to cushion the impact on farmers of the very low price of corn this cropping, Agriculture Secretary Arthur Yap ordered the National Food Authority (NFA) to buy up to 100,000 bags from corn farmers here.

Yap gave the directive after consulting with Department of Agriculture (DA) officials and farmer leaders of Region 2, which is supplying a large volume of corn to feed millers in the country.

This cropping, corn price tremendously dropped to P5/kilo from the previous P10.50-P12.00/kilo. Farmers told Yap that with the prevailing price, it would be impossible for them to recover their production cost.

In the province, Provincial Agriculturist Gerry Jose said the 100,000 procurement quota would be enough to accommodate the production of corn farmers this cropping estimated to be about five tons.

With the directive, NFA-Kalinga resumes its corn procurement from farmers who have existing pass-books.

The price offered to individual farmers is P10.40/kilo, while farmer cooperatives are offered P10.70/kilo, with the 30 centavo mark-up given to the cooperative as incentive.

Corn traders in the province who also lost their business this cropping said the demand for corn by feed millers of the country went down because of the cheaper wheat taken as substitute, which affected corn price.

We could not afford to buy at a price higher than what is dictated at the market, because we also depend on the prices of other bigger traders, outside the province, who buy our products, local traders explained. (PIA-Kalinga) [top]

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