PhilMech reports 91.6% utilization rate for RCEF

THE Philippine Center for Postharvest Development and Mechanization (PhilMech) reported a 91.6-percent delivery rate for the machines procured under the Rice Competitiveness Enhancement Fund (RCEF) Mechanization Program.

The agency said it has distributed a total of 28,817 pieces of agricultural equipment since the start of the RCEF Mechanization Program in 2019 to March 3, 2024, and has obligated P24.9 billion for the procurement.

PhilMech Director Dionisio Alvindia said that they intend to finish distributing at least P30 billion worth of farm machines under the program.

The total number of agricultural equipment distributed consisted of 14,713 units of land preparation machines; 4,284 units of crop establishment technologies; 8,210 harvesting and threshing equipment; 768 drying technologies; and 842 milling equipment.

“These efforts are part of our commitment to ensure food security in the country which is part of the eight-point socioeconomic agenda of the government. PhilMech is delivering modern agriculture for a prosperous and new Philippines,” Alvindia said in a statement on Sunday.

From mid-2020 to March 3, PhilMech has delivered a total of 26,412 units of various agricultural equipment, benefiting 6,385 farmers cooperatives and associations (FCAs) and 368 local government units (LGUs), under the RCEF Mechanization Program.

The members of the FCAs and LGUs totals to almost 1 million farmers. Alvindia said that PhilMech has made significant progress in efforts to procure and distribute agricultural machinery to eligible FCAs and LGUs through the six-year RCEF Mechanization Program.

“Equally important is PhilMech’s training and capacitation of the FCAs and LGUs that received farm equipment, so they will be able to benefit from the technologies given to them, and operate these for many years,” said Alvindia.

RCEF is an annual allocation of P10 billion for six years starting from 2019 granted under the Republic Act 11203 or the “Rice Tariffication Law.” PhilMech receives an allocation of P5 billion annually from 2019 to 2024 for the mechanization program.

This funding is used to provide agricultural equipment to eligible FCAs and LGUs through the RCEF Mechanization Program, with all equipment being provided as grants or at no cost to recipients across the country.

Last week, Senate Committee on Agriculture and Food Chairman Cynthia Villar said that she will seek to double the annual allocation for the RCEF to P20 billion.

She also aims to extend the fund for another six years or until 2030, as the RCEF is scheduled to conclude this year after six years in operation.

Villar also emphasized that adjustments will be made based on the performance of the RCEF components, citing the substantial increase in rice tariff collections from the initially projected P12 billion to the current P30 billion, making it acceptable to raise the RCEF budget to P20 billion.