Creation of watchdog on fertilizers urged

Local corn growers are urging the creation of a fertilizer oversight/watchdog group that would monitor and recommend changes in the price of fertilizers.

According to Benito M. Domingo, president of Cornworld Breeding Systems Corp., there is a need for a consumer fertilizer oversight/watchdog group similar to the Consumer Oil Price Watch (COPW) group of industrialist Raul Concepcion.

Since fertilizers are actually based from crude oil, Domingo said, its prices also fluctuate.

As of August, the Bureau of Agricultural Statistics monitored the price of urea fertilizer at P1,922 per sack, 4.96 percent increase from the price level in July and almost 100 percent higher compared to year-ago levels.

The oversight/watchdog group, Domingo said, would monitor prices and post bulletins fertilizer price changes.

Fertilizer prices, Domingo said, should be carefully monitored especially since it is a vital component in agricultural production.

A number of farmers, Domingo said, are struggling to increase or even maintain their production output because of the increasing cost of inputs such as fertilizers.

Domingo complained that because of the high cost of production, corn growers are earning very low margins with the aggravating decision of the National Food Authority (NFA) to peg the buying price for yellow corn at just P11.50 per kilogram.

“That is too low,” Domingo said.

Because of high production cost and the low NFA buying price, Domingo agreed with other corn growers that some may be discouraged to increase production.

A lower local production of corn, Domingo warned, would only lead to a shortage.

A local corn production shortage, in turn, Domingo said, would force imports that are still prohibitively priced.

Government, thus, Domingo said, should address the issue of stabilizing fertilizer prices, increasing corn and agricultural production to avoid resorting to more expensive importations.