Press Release
March 26, 2008

Villar moves to end NFA monopoly on rice importation

Senate President Manny Villar today said the looming rice crisis brings to fore the needed reforms that have to be implemented in the agriculture sector, including the system giving the National Food Authority (NFA) the sole responsibility to import rice into the country.

"This exclusivity clause that authorizes only the NFA to import rice has to be repealed. Attended by allegations of corruption, the system no longer works and has to be reformed to include other sectors of society," Villar said.

In filing Senate Bill 1897, Villar said the authority of importing rice should be given to farmer cooperatives and organizations as "a way to increase their income."

"The farming sector has always been at the receiving end of any importation as this tends to dampen or lower the price of palay resulting in no or low income for our farmers. If their collective organization is given the privilege of doing rice importation, they are given an opportunity to earn additional income," Villar said.

The measure also proposes to put NFA funds to use only in purchasing locally produced palay or farmer imports for food security requirements of the country, he added.

"Marami sa mga magsasaka ang hindi na ginaganahang magtanim dahil sa kulang na kulang ang kanilang kinikita at napakamahal ng mga pangangailangan para sa pagtatanim tulad ng abono at pesticide. Hangarin ng panukalang ito na masiguro na diretso ang mga pakinabang sa mga magsasaka at hindi sa mga trader lamang," Villar said.

The bill also mandates NFA to use its funds to procure locally-produced palay from the local farming community in order to further motivate the farmers to increase their productivity.

"The government keeps on harping on economic growth. This measure intends to bring the benefits of economic gains directly to the people and make these government pronouncements believable. This will instill reform to the neglected agricultural sector where still a majority of Filipinos belong," he said.

With the country plagued by a looming rice crisis, the Senate president appealed to parties involved in the rice business not to take advantage of the situation and ensure that price of rice remains stable and realistic.

"Sa mga panahong ito ay mahalaga na huwag nating isipin masyado ang tutubuin natin mula sa pagkain ng ating mga kababayan. Napakahalaga na hindi masyadong tataas ang presyo ng bigas. Sa akin, mas malaking problema kung magkakaroon tayo ng malaking deficit sa bigas," Villar said.

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