Farmers prefer to sell produce to private traders despite NFA’s higher buying price

Cabarroguis, Quirino (13 August) — The National Food Authority (NFA) here has disclosed that their accomplishment for palay procurement from January to June 30, 2009 is only 1,880 bags over its target of 21,000 bags, representing only 0.22 percent participation to production for the first semester.

Based on the accomplishment report of NFA, (a copy of which was obtained by PIA), farmers still prefer to sell their stocks to private traders with an average ex-farm prices ranging from P15-P16/kg of clean and dry palay of ordinary variety despite the better price of P18.25 being offered by NFA.

The report further stated that majority of farmers could not sell their produce to NFA due to the absence of mechanical dryers which could be used for drying the palay during rainy seasons.

NFA has four (4) existing mechanical dryers with a total capacity of 335 bags per day. These dryers are located at Maddela FLGC, Diffun FLGC and GID 2 warehouse at Cabarroguis, Quirino.

Private traders are taking advantage of procuring wet stocks at low prices because they have their own mechanical dryers which could be used to process their procured wet stocks.

The report also said that farmers have no choice except to deliver their produce to the private traders whom they owed much for their farm inputs and other family expenses.

It further stated that this has been a long practice of small farmers in the province thus living standards of these farmers could hardly be uplifted. (PIA 2)