The Market Monitor Minding the Nation's Business
The National Food Authority will build modern post-harvest facilities to prevent rice wastage as it is poised to implement its P93-billion infrastructure modernization program in the coming years.
NFA Administrator Larry Lacson said the first phase of the project will be bid out before the year ends.
“Once completed, these infrastructures will not only provide modern facilities, more importantly, it will save our farmers 10 billion a year because of rice wastage due to lack of post-harvest facilities,” said Lacson.
Lacson added: “The P93-billion project is a multi-year program. This year, we have P5 billion; next year, we have P5.3 billion, so hopefully, before 2028 ends, all the needed funding will be provided”.
The NFA Administrator also revealed that the agency is set to construct and repair 46 of its facilities.
He admitted that of the 288 warehouses nationwide, at least 245 are functional.
“At least 136 warehouses will be repaired to accommodate the equipment that will be purchased for next year like drying machines, rice mills, and silos,” he said.
Lacson said that the NFA targets to procure at least 6.4 million to 8.7 million bags of rice as the main harvest has started.
“We started implementing the P30 per kilo buying price of palay on April 22 and by June 30, we already surpassed our first half-year target by 107 percent. As of September, we have procured four million bags (of rice). With this we have significantly increased our stocks in our warehouses nationwide,” he noted.
According to Lacson, the rice stocks can last up to five days.
He expressed confidence that the NFA will achieve its target of palay procurement as long as the rains will not be severe.
Lacson said that NFA is buying dry palay from farmers at between P24 and P30 a kilo.
He has said that he has requested at least P9 billion from the Department of Budget and Management so that the NFA can procure palay from the farmers. He also noted that the main harvest has started and is expected to peak in October.