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THE
Department of Agriculture (DA) is batting for the
extension of the Agricultural Competitiveness
Enhancement Fund (Acef), the review of the Agriculture
and Fisheries Modernization Act (Afma) and the Agri-Agra
law in the 14th Congress.
Agriculture Secretary Arthur C. Yap said these were
among the 28 priority bills that Malacañang wants
Congress to approve.
Yap and
other producers in the farm sector have been pushing for
the extension of the Acef which would expire on December
31 of this year. The DA wants the Acef to be extended
until 2015.
Producers such as poultry raisers want the life span of
the Acef extended so they can access the funds which
have remained highly unused. Estimates place the Acef at
more than P5 billion.
The
Acef was established by virtue of Republic Act 8178 as
one of the safety-net measures to improve the farm
sector’s competitiveness as well as to protect local
farm producers from the impact of globalization.
Under
the scheme, tariff collections from products covered by
the minimum access volume (MAV) are channeled to the
Acef. The MAV covers products that member countries of
the World Trade Organization (WTO) committed to
liberalize.
Yap also
said the Afma, or Republic Act 8435, will be up for
review in Congress to determine whether the government
complied with its provisions.
Under
the Afma, the DA was supposed to have been given an
allocation of P19 billion a year on top of its usual
budget to develop the crops and fisheries sector.
The Agri-Agra
law, or Presidential Decree 717, will also be up for
review to determine how it can better help farmers avail
themselves of credit, especially from commercial banks.
Earlier,
Senator Loren Legarda has proposed Senate Bill 38 which
sought to allow banks to invest in government securities
as a form of alternative compliance under the agri-agra
law.
The Agri-Agra
law was created in 1975 to enhance the flow of credit to
agriculture. It mandates that all banks shall set aside
25 percent of their loanable funds for agricultural
credit, of which 10 percent is for the beneficiaries of
agrarian reform and 15 percent for agricultural credit. |