Plan to include P120-B coco levy in 2014 budget bucked

MANILA, Philippines - Peasant groups are opposing the government’s plan to include P120 billion of the coconut levy funds in the 2014 national budget.

The Kilusang Magbubukid ng Pilipinas (KMP) and the claimants’ movement Coco Levy Funds Ibalik sa Amin (CLAIM) issued the statement following proposals made by Budget Secretary Florencio Abad.

Abad, in a memorandum issued earlier to agency heads, indicated the use of the coco levy funds starting in 2014 is one of the administration’s approaches to promote inclusive growth.

Abad’s memorandum said a proposed “integrated coconut industry and poverty reduction roadmap” is now with President Aquino.

“Abad’s plan to use the coconut levy funds will surely face small coconut farmers’ resistance nationwide. This so-called roadmap is the very same anti-coconut farmer program prepared by Joel Rocamora and the National Anti-Poverty Commission,” said KMP deputy secretary-general Wilfredo Marbella.

“This clearly demonstrates the present administration’s interest to use our money for graft-ridden programs like the controversial conditional cash transfer program, the Pantawid Pamilyang Pilipino Program, and the bogus Comprehensive Agrarian Reform Program Extension with Reforms (CARPER),” Marbella added.

In a dialogue earlier this year between CLAIM and the Presidential Commission on Good Government (PCGG), the commission said the P56.5 billion from the 27 percent from San Miguel Corp. is deposited in escrow by the PCGG at the Bureau of Treasury.

The P13.5-billion dividend earning is with the United Coconut Planters Bank deposited as special drawing account and earning 3.5 percent to 3.6 percent interest.

The KMP and CLAIM are pushing for the immediate cash distribution of the coco levy funds “in the form of social benefits including, but not limited to, pension benefits, medical and hospitalization benefits, maternity benefits, and educational assistance including scholarships, among others.”