Villar to farmers: Borrow from gov’t banks, not 5-6
Senator Cynthia Villar encouraged farmers and fisherfolks to take advantage of loan facilities offered by state run banks instead of resorting to the 5-6 lending scheme.
Villar, chairperson of the Senate committee on food and agriculture, said that our farmers and fisherfolks have remained poor and this has to change by giving them access to affordable credit facility.
“Pwede naman sila mag loan sa Land Bank na mababa lang ang interest rate kaya lang mas gusto nila yung 5-6, walang negosyo na aasenso lugi tayo diyan,” said Villar.
The lady senator said that among the bills she sponsored is the enactment into law of Republic Act 10848 or the Act extending the period of implementation of the Agricultural Competitiveness Enhancement Fund (ACEF).
She said ACEF can provide a level playing field in terms of access to education and training as well as in opportunities to modernize and mechanize existing facilities or operations.
Under the ACEF Law, 80 percent of the fund would be set aside as a loan to micro and small entrepreneurs with minimal interest to make them more competitive, that P5 million maximum loan for cooperatives and associations and P2 million for individuals.
Villar explained that the purpose of the loan is for the acquisition and establishment of agri-based production and post-production machineries, equipment and facilities to achieve modern agricultural practices, including mechanized operation.
She added that aside from the ACEF law, another law that she sponsored that would help the agricultural sector is the Farm Tourism Development Law or Republic Act 10816, wherein it encourages small farms to convert it into a farm tourism site.
“Many of them are now managing their farms as a business. It has become a win-win situation for them—they farm, they accept tourists or visitors to their farms and for those who have a school or learning site, they can also accept trainees/students. So, that’s three sources of income and they do not even have to leave their farms,” said Villar during the 11th Charter Day Anniversary of the City of Naga, Cebu the other day.
She added that since the farm tourism law was passed in 2014, the country now has several farm schools.
In 2015, there were 380 farm schools; in 2016, 900 farm schools; in 2017, there were 1,325 farm schools, and this year, the country nearly has 2,000 farm schools.
Villar said that it is their goal to have a farm school in every town or city in the Philippines numbering 1,650.
“Ang ating mga farmers and fishermen, sila ang nagbibigay nang pagkain sa atin. Sila ang nagpapakain sa atin. Lahat tayo ay dapat pursigido ang pagsulong sa agrikultura. At naniniwala ako na masisiguro natin ang pag-unlad ng agrikultura sa ating bansa kung bubuwagin natin isa-isa ang mga balakid o hadlang sa pag-unlad at tagumpay ng mga kababayan natin na mga magsasaka,” said Villar.