Farmers need market access more than subsidy

The Department of Agriculture (DA) believes that farmers need to establish direct linkages and expand their access to retail markets, rather than rely on government subsidy to boost their incomes.

Director Ricardo Cachuela of the Bureau of Post Harvest Research and Extension, said direct market access eliminates the trading layers that jack up the cost of basic food stuff.

Cachuela said "providing subsidies for farmers to help boost their productivity is also among the priorities of the DA."

However, Cachuela said, "we cannot just ask our farmers to produce more without helping them find outlets where they can sell their products."

Cachuela was responding to a recent statement made by Benguet Governor Borromeo Melchor that Benguet farmers need subsidy, instead of new market outlets for their products, to enable them to become globally competitive.

He said the DA has a support package for small farmers and fisherfolk which include the provision of basic infrastructure such as farm-to-market roads, irrigation and postharvest facilities; technology transfer; research and development (R&D), and rural extension work.

Cachuela said tapping more markets where farmers can directly sell their produce remains one of the priorities of the DA to help eliminate unnecessary trading layers that shave off profits for small agricultural stakeholders and unduly increase prices of food staples when they reach retail outlets.

In the case of Benguet farmers, Cachuela noted that in response to the request of the provincial government, the DA has provided Benguet farmers with four cold storage facilities and one pre-cooling facility; four units of reefer trucks to help them transport their produce to Metro Manila and established the Huwarang Palengke scheme to enable vegetable growers to sell their produce without padding retail costs.

Moreover, a P70-million infrastructure program for Benguet is now in the pipeline, which would include rehabilitating major roads leading towards the province to help facilitate and speed up the transport of its agricultural products.

The DA is also putting in place minimal processing and packaging centers, tramlines, farm-to-market roads and techno-demo centers in Benguet, Cachuela added.

On top of these measures, the DA has also spent P40 million in the last five years on training, extension work and research and development programs for the benefit of Benguet farmers, Cachuela said.