The Department of Agriculture (DA) will ask Congress to enact a measure mandating the grant of incentives to businesses that would source agricultural products from Filipino farmers.
Agriculture Secretary Emmanuel F. Piñol said the plan to extend perks to manufacturers using local produce was hatched after the DA met with the Philippine Partnership for Sustainable Agriculture (PPSA), which floated the idea.
“The government extends incentives to foreign investors, such as tax holiday. Why do we not give the same to local investors? For one, there are local investors who wish to use local raw materials,” Piñol told reporters in an interview on Wednesday.
He added that the grant of incentives to firms purchasing local produce would help increase agricultural productivity, as this could encourage farmers to plant more.
During the meeting, Piñol said the PPSA had agreed to craft a proposal regarding the incentives that would be given to local firms and how these could be availed of. This proposal would be incorporated in the bill that will be drafted by the DA and presented to Congress before the end of the year.
“The PPSA had agreed to look into the best practices in other countries, such as in Thailand, and perhaps adopt them,” Piñol said. “I have already asked the legal department of the DA to draft the bill.”
He added the DA is eyeing Sens. Cynthia A. Villar, Loren B. Legarda and Francis N. Pangilinan, and Party-list Rep. Jose T. Panganiban Jr. of Anac-IP as sponsors of the bill.
Earlier, Piñol urged feed millers to reduce their purchases of imported feed wheat and corn so farmers would be encouraged to plant more corn. He said he would appeal to feed millers to buy local corn to boost its farm-gate price.
“If the feed millers will be patriotic enough to patronize local corn, then we can encourage our farmers to plant more,” he told reporters.
“Maybe there’s a difference in price, with locally produced ones being slightly higher, but it will contribute to greater progress and prosperity in the countryside,” Piñol added.
Image credits: Nonie Reyes