Wednesday, August 06, 2008 Arroyo wants fertilizer subsidy program intensified
PRESIDENT Gloria Macapagal-Arroyo has ordered the intensified implementation of the fertilizer subsidy for farmers following the continued rise in the prices of fertilizer, Presidential Management Staff chief Cerge Remonde said.
Remonde said Arroyo issued the directive during the National Economic and Development Authority (Neda) Cabinet group meeting after Agriculture Secretary Arthur Yap reported that while there is enough supply of rice until December, there could be a problem on food security on a long-term basis.
"Right now because of spike in fuel, fertilizer has constituted 30 percent of rice production cost," he said, adding that the high cost of fertilizer has a big impact on the rice price structure.
He said the President wants a sustained and intensified fertilizer subsidy program especially in "rice-growing" provinces in time for the ongoing planting season.
"The government will continue what it is doing to in order to ensure that the people will have enough rice supply," he added.
Press Secretary Jesus Dureza said the prices and supply of rice is already stable at present, but there are concerns that farmers are being discouraged to continue planting due to the lower cost of rice and higher price of fertilizer.
"We have already done enough to stabilize the prices and supply of rice. Now, the concern is the problem is long-term food security," he said.
On proposals to reduce the price of the National Food Authority-subsidized P18.25 rice, Dureza said there was a lengthy discussion about it but the consensus was "let's keep everything in place." (JMR/Sunnex)
