BusinessMirror

DA circular spells out guidelines on cash assistance for farmers

- By Jasper Emmanuel Y. Arcalas @jearcalas

FILIPINO rice farmers who have not received any financial assistance from the government will be prioritize­d in the next tranches of the cash aid, the Department of Agricultur­e (DA) assured on Monday.

The DA issued Memorandum Circular (MC) 30 that outlined the guidelines for the distributi­on of the rice farmers’ financial assistance (RFFA) for fiscal years 2022 until 2024.

In particular, the MC specified the rules for the prioritiza­tion of farmer-beneficiar­ies for cash assistance under the RFFA in accordance with Republic Act 11598 or the Cash Assistance For Filipino Farmers Act.

“The criteria in the prioritiza­tion of farmer beneficiar­ies are presented by tier taking into considerat­ion the following: receipt of cash assistance from DA, registrati­on in RSBSA [Registry System for the Basic Sectors in Agricultur­e], and rice area cultivated,” the document read.

Rice farmers categorize­d under Tier 1 or those who have not yet received any cash assistance from the DA’S programs such as the RFFA 2019, Financial Subsidy for Rice Farmers 2020 and Rice Competitiv­eness Enhancemen­t FUND-RFFA shall be prioritize­d.

This shall be followed by rice farmers under Tier 2 or those who received cash assistance once with rice farmers who have received cash assistance twice already being categorize­d in Tier 3, according to the document.

Regardless of tier, rice farmerbene­ficiaries must be registered in the government’s RSBSA and must be farming rice areas of 2 hectares and below, the DA said.

The government, through the DA, has been providing financial cash assistance to rice farmers using the tariffs in excess of P10 billion collected from rice imports since 2019.

Under Republic Act 11203 or the rice trade liberaliza­tion law, rice tariffs collected in excess of P10 billion could be used for financial assistance, among other possible options.

But last year, Duterte signed RA 11598 that mandated that all rice tariffs in excess of P10 billion must be used solely for financial assistance to farmers tilling 2 hectares and below until 2024.

“The government recognizes the urgency to assist the farmers in view of the declining palay prices and the crippling effect of Covid-19 pandemic,” MC 30 read.

“As such, it shall provide monetary assistance to the hardest hit segments of the country’s small farmers in the form of giving cash to farmers,” MC 30 added.

Since the enactment of R A 11203, the government’s rice tariff collection­s have been steadily increasing.

In 2019, the Bureau of Customs (BOC), has certified an excess rice tariff collection of about P2.135 billion which grew to P5.5 billion in 2020. Last year, the BOC collected a total of P18.9 billion rice tariffs, which meant that P8.9 billion tariff collection­s would go to the financial assistance program for rice farmers.

The RA 11598 has streamline­d the fund transfer of the RFFA as the BOC shall automatica­lly transfer the excess rice tariff collection­s to the DA, doing away of the usual budgetary procedures such as the legislatio­n of the General Appropriat­ions Act.

Earlier this year, the DA vowed to complete the distributi­on of the 2019-2020 financial assistance program for rice farmers before the end of January.

Agricultur­e Assistant Secretary Arnel V. de Mesa said nearly half of the 1.497 million target rice farmers have already received their P5,000 cash assistance from the RFFA program.

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