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    Editorials:

    Illustration by Jimbo Albano

    Where are the safety nets?

    THE Agricultural Competitiveness Enhancement Fund (Acef) was part of the government’s response to the popular demand for “safety nets” following the decision in the mid-1990s of then-President Fidel Ramos and his allies in Congress to open up the Philippine economy to global free trade under the so-called Uruguay Round.

    Consisting of duties collected from the importation of agricultural products under the minimum access volume mechanism, the Acef was created in 1996. It was supposed to help our farmers withstand the flood of imports and even develop their ability to compete with produce from overseas.

    The Acef was made possible by Republic Act 8178, also known as the Agricultural Tariffication Act. At the operational level, the minimum amount of Acef assistance was set at P3 million and a maximum amount was supposed to have been established by the Acef executive committee with the technical assistance of the Program Development Service of the Department of Agriculture (DA).

    The Acef was offered to various public and private entities seeking to support and improve agriculture and fisheries, including local governments; state universities and colleges; DA units from staff bureaus, regional field units, including the regional integrated agricultural research centers and regional fisheries research and development centers, attached agencies and controlled corporations, Office of the Secretary’s service units and programs and the general public.

    Since its enactment, the Acef was able to raise some P10 billion—but by the time RA 8178 was to have lapsed in December, it was found that only a little more than P3 billion had actually been spent. That notwithstanding, Congress and Malacañang moved to give the Acef a new lease on life.

    In his sponsorship speech urging the Acef’s extension, Sen. Edgardo Angara pointed out: “Without access to credit, small farmers will have a hard time surviving the period before harvest and invest in more seeds or equipment.”

    He added: “What makes the Acef special is that it provides credit to small farmers and [fishermen] at zero-interest and without collateral.”

    In February President Arroyo signed the law extending the term of the Acef to 2015. Among other things, the amendment prevented the return of some P6 billion or so in unused Acef money to the National Treasury.

    The Acef’s extension delighted Agriculture Secretary Arthur Yap. He said it would help his department attain its goal of helping small farmers move beyond primary agriculture and into value-added higher-earning enterprises.

    Yap added that the extended Acef program will also help the DA significantly reduce postharvest losses that cut back on agricultural productivity and farm incomes, thereby “boosting agricultural productivity [and] improving… the profitability of farming and fishing, especially for its small stakeholders.”

    The Acef was extended weeks before high rice prices suddenly shocked the nation. Now with the cost of the national staple skyrocketing, the question begs to be asked: So what has the fund been good for?

    As rice prices continued to increase, Sen. Manuel Roxas II complained that over the last nine years the Acef’s impact on the farming sector has been less than significant. Now that it has been granted seven more years, the remaining fund should go to strengthening production, he added.

    As if the underutilization of the Acef were not bad enough, of the P3 billion worth of loans thus far released, only 3 percent has gone to projects related to rice production—prompting Roxas to say: “It’s high time that we review how the Acef is being used.”

    Evidently, the Acef has yet to live up to its original billing as a safety net. Since its adoption, Filipinos have seen the importation of rice and other produce mount. The construction of irrigation, farm-to-market roads, postharvest equipment and facilities, as well as the availability of extension credit, research and development and other similar forms of assistance—all of which the fund’s proponents promised—have not kept pace with growing demand at both farm and marketplace.

    True, Yap deserves credit for helping raise the output of rice farmers. Still, congressional oversight of how he and his department use the Acef to improve agricultural productivity needs to be intensified.

    If may not be as bad as the plunder of public funds, but the underutilization of resources allocated to achieve food security comes pretty close.

     

    Boost output

    As the country continues to reel from the shock of high rice prices, the time has come for DA officials and other authorities to take a good look at the so-called system of rice intensification, or SRI for short.

    As a method for increasing rice yields, SRI was invented by a Jesuit priest, Henri de Laulanie, in Madagascar in 1983. Later, Norman Uphoff, director of the International Institute for Food, Agriculture and Development at Cornell University in Ithaca, New York, from 1990 to 2005, helped spread SRI from Madagascar to other countries.

    Uphoff saw how farmers in Madagascar, whose yields used to average 2 tons a hectare, began to harvest 8 tons per hectare with SRI. Uphoff was quickly persuaded of the merits of the system, and in 1997 he started to promote SRI in Asia.

    As of 2007 the beneficial effects of SRI methods have been documented in 28 countries, most recently in Bhutan, Iraq, Iran and Zambia. Governments in the largest rice-producing countries—China, India and Indonesia—are now said to be supporting SRI extension. In India, SRI concepts and practices have reportedly also been applied with success to such crops as sugar cane, finger millet and wheat.

    In the Philippines, one of the promoters of SRI is IT engineer-cum-social activist Robert Verzola. In a 2004 paper titled “SRI: Practices and Results in the Philippines,” he found the average yield of SRI trials to be 6.13 tons a hectare—or 104-percent more than the national average of 3 tons each hectare.

    Worldwide, Verzola said, yield gains from SRI have ranged from 14 percent in China to 209 percent in Gambia. The practices that attained these yields include; use of younger seedlings; one seedling per hill and wider spacing between hills; avoiding seedling-root damage; moist, not flooded, rice fields; regular use of mechanical weeder; and compost instead of chemical fertilizers.

    Verzola and his associates have invited the media and other parties to see for themselves how SRI has boosted rice production at farms in Malolos, Bulacan, and Moncada, Tarlac. Perhaps our lawmakers and DA officials might also want to take Verzola up on his invitation.

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