MANILA, Philippines — The National Food Authority (NFA) continues to improve its local procurement, buying 11.52 million bags of palay (unhusked rice) as more farmers sell their produce following the steep drop in palay prices.
NFA procured palay from local farmers nationwide, mostly from Central Luzon, Southern Tagalog and Cagayan Valley.
Judy Dansal, NFA administrator, is optimistic the agency will be able to hit its target of 14.46 million bags before the main harvest ends this year.
“We have already achieved 80 percent of our target. The main crop traditionally yields 70 percent of the total annual production. Normally, we buy more from farmers during the last quarter of the year. We are hopeful, we will hit our target,” Dansal said.
The daily average procurement rate is recorded at 125,754 bags.
Since the start of the main cropping season last September, more farmers have taken advantage of NFA’s support price of P19 per kilogram of palay.
Based on NFA’s monitoring, the prevailing farm price of palay is only P16 per kilo and even lower in some areas.
NFA buys palay based on the equivalent net weight factor such as moisture content, purity and discoloration and damage of the palay.
The agency has relaxed its requirements to allow more farmers to sell to the agency. Individual farmers can sell a maximum of 200 bags in their first walk-in transaction with the NFA.
Due to the high volume of palay deliveries in NFA warehouses and buying stations, the agency has opted to lease private warehouses for extra storage particularly in Abra, Ilocos Sur, La Union, and Pangasinan.
NFA has distributed 13.17 million bags of rice since January this year at a daily average of 32,733 bags at P27 per kilo.
Dansal said NFA continues to conduct regular rice distribution schemes even as it prepares for the implementation of the rice subsidy program for beneficiaries of the Pantawid Pamilyang Pilipino Program.
Aside from selling rice through existing outlets, NFA is conducting mobile sales to various markets whether accredited or not.
It has also set up stationary outlets in NFA compounds to cater to more consumers. Sale to government institutions like Bureau of Corrections, Bureau of Jail Management and Penology, Department of Social Welfare and Development, and other agencies also continues.