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    IRRI’s advice; Shimao’s dreams

    The global rice crisis will not abate until 2010 and will take another five to 10 years before settling down.

    This is the informed judgment of the experts at the world-renowned International Rice Research Institute (IRRI) based in Los Baños, Laguna, as advised by no less than professor Elizabeth Woods, who chairs the agency’s board of trustees.

    Herself a scientist and an expert on the world food situation, Woods also indicated that rice prices will continue to rise for sometime as production fails to keep up with soaring demand.

    The Woods statement jibes with similar assessments from the UN Food and Agriculture Organization (FAO) and other experts, local and overseas, and should finally bring the “blame and accusatory rhetoric” from the usual suspects to responsible levels.

    Yes, there is indeed a looming rice crisis—or maybe even basic staples—worldwide, not just in the Philippines, brought about by a confluence of factors. But, as Woods explained, there is no reason to panic as “there are solutions and we can move forward.”

    As she emphasized, the current crisis has been brought about by “short-term methods of some rice-producing countries that need to improve their domestic production.”

    If that assessment rings a bell, it certainly should as it reflects our very own continuing inability to put together and fund on a sustained basis a holistic and streamlined approach to our agricultural and fisheries rehabilitation and enhancement programs.

    Yes, sir, despite all the talk about putting up “safety nets” after our entry into the World Trade Organization in the late ’90s and the twice-approved Afma budgets, our agricultural production, especially for the basic staples like rice, have simply failed to cope with soaring demand.

    This has engendered all sorts of coping measures from dumping inputs like crazy (read the “Joc-Joc Bolante” fertilizer frenzy) to induced, high-cost construction of mega irrigation-cum-power projects which were either delayed or nonperforming, such as the Casecnan and San Roque dams, and so on and so forth.

    In a word, every administration after 1986 has simply assumed that the highly successful Marcos-era Masagana 99 project, which enabled us to have rice surpluses for a number of years, will be automatically duplicated without a sweat. Well, that is not so for staples like rice and other highly vulnerable crops such as sugar and coconut, so we are now reaping the fruits of our collective neglect.    

    Which is why we are aghast by the incessant sniping by the usual suspects of the P43.7-billion FIELDS program aimed at rescuing and enhancing our agricultural and fisheries sectors unveiled by President Arroyo in the April 4 food summit.

    This long-overdue multibillion-peso intervention program proposes to address the basic problems besetting these sectors, from irrigation systems to key inputs (seeds and fertilizers), to low and accessible financing and marketing, to education and training, to postharvest facilities, to implements and equipment for fisher- folk and the like. In short, FIELDS is meant to finally put an end to all the wishful thinking (the sana mindset as some pundits put it) beloved by the critics to actual, real-life instruments to bring about a production renaissance in our farms, lakes, seas and rivers. If sustained, we have reason to believe such a rosy future is achievable.

    So, instead of pissing in the wind, as has been their wont, the critics should probably heed the IRRI experts such as Woods who advised all to “look for innovative solutions to supply and prices.” And that includes monitoring the supply flows and the money trails associated with the hoarders, profiteers and fund jugglers and their cohorts in and out of government, an undertaking which may well be in the critics’ alley.

    So, if they are as concerned as they say they are with alleviating the situation, they can be real partners in progress by conscientious assessment of the program, which the IRRI experts themselves find realistic and responsible by any standard.

    Shimao’s dreams

    If, as reported, Trade Secretary Peter Favila was the architect of that $2-billion investment proposed by the Shimao Group in the President’s visit to Hong Kong some days back, then it behooves him and his staff to take a second look at this hastily conjoined initiative.

    We have it on good standing that if the Shimao proposal pushes through unrefined or uncorrected, only the company and its backers, in and out of the Philippines, will probably benefit from the whole deal. They will, as the joke now swirling at the Bonifacio Global City area goes, be laughing all the way to the bank. And the joke is on us.

    Why so?

    Well, we are told the Shimao Group offered to pay P22,000 per square meter for the 7-hectare Bases Conversion and Development Authority property they propose to develop into a high- end mixed-use complex. The trouble is the agency which handles all the base lands for a host of stakeholders, especially the active military personnel and veterans, just concluded the sale of a smaller piece for P34,000 per square meter.

    To complicate matters, they have an outstanding offer from another big-time developer at the princely sum of P33,000 per square meter, or P11,000 more than Shimao’s. These are on record, and if Favila and his cohorts are reading this, they better run to their computers and put in a believable explanation to Mrs. Arroyo before their boo-boo gets to be the next “talk of the town” after that “Gucci Gang” blog.

    What prompted Favila to shepherd a decidedly sloppy proposition all the way to Malacañang, let the President witness the entire affair and then make a big splash out of a nonstarting arrangement remains a huge mystery up to this point.

    That is a no-no by any standard. I mean, P11,000 per square meter on a 70,000-square-meter property is a huge discount which is not simply given out without anything in return. Perhaps the Shimao group wangled some “sweeteners” on its total development package, which will offset, if not altogether enhance, the eventual share of the BCDA and the stakeholders.

    Perhaps their offer—which includes investments in other sectors—partakes of a total package, and the offsetting can be done somehow.

    We are ready to listen to Favila’s explanations. If there are a number of unreported details in the Shimao proposition which merits such a huge discount he better spell it out now. The sooner, the better.    

    E-mail: emman_delacruz@yahoo.com.

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