PCAFI pushes for subsidy and farm sector

CEBU, Philippines — The Philippine Chamber of Agriculture & Food Inc., (PCAFI) is calling on the government to provide subsidy to the country’s farm sector.

PCAFI president Danilo V. Fausto said that the Duterte administration should zero in on a policy adopted by the United States and China pouring significant subsidy for the farm sector.

On Dec. 20, 2018, the US passed another Farm Bill into law granting subsidies to both producers and consumers in the amount of US$867 billion in the next five years.

“It must be noted that these are federal subsidies and do not include those granted at the State level,” said PCAFI.

The private farm group made this call as it reiterates its opposition to the rice import liberalization bill SB 1998, and urged Duterte administration to pour full subsidy in a “Filipino Farmers First” policy rather than supporting foreign farmers.

PCAFI believes that allowing imports to flood the Philippines’ rice market is not a “magic wand” that will just push down rice prices in the interest of consumers.

It will have tremendously numerous adverse repercussions and will abandon Filipino rice farmers.  Investments in rice farming will collapse.

The rice import liberalization is proposed under SB 1998 led by Senator Cynthia Villar,  which replaces quantitative restriction on rice with tariffs.

Providing subsidies to farmers has been the success track of countries – US and China-- that have become leaders in agriculture, added Fausto.

“Subsidies in one form or another have been the template for other countries with successful agricultural sectors.  Strangely, since 1995, our policymakers and some of those in the academe have been silent regarding the issue of subsidies. (FREEMAN)