MALAYBALAY CITY (MindaNews/24 Sep) -- Corn farmers from around Northern Mindanao are gathering in Cagayan de Oro City Friday for a protest rally against the Department of Agriculture over the corn price crisis and to demand the resignation of Agriculture Sec. Arthur Yap, organizers said.

"Tag along people, bring many ‘Yap resign’ placards, let's join the rally," Alsula, a corn farmer himself, said.

Alsula said Yap should resign since he was not able to do something to protect the farmers who found themselves neglected when corn prices in the market plunged.

"He was not able to do something, which is the sentiment of our farmers. They have no protection. Despite our being an agricultural country, the farmers were neglected," he said.

Alsula said the government should no longer import feed wheat and allow no more zero tariffs.

"Congress should also pass a law that will protect our farmers," he added.

The Philippine Maize Federation Inc., which  two weeks ago initiated a dialogue with the Department of Agriculture-National Food Authority and Bukidnon's corn farmers, has confirmed participation and support for the rally.

Roger Navarro, PhilMaize chair, said they can't stop farmers from protesting.

"Much as we wanted to appease the farmers to give the DA a chance but it seems that Sec. Yap is not doing his part," Navarro said in a text message Thursday morning.

The Department of Agriculture (DA) announced on September 14 a two-tiered policy on the National Food Authority's purchasing price of yellow corn with a price mix following the approval by President Arroyo of P6.2 billion to allow the NFA to buy up to 600,000 metric tons of corn.

The decision imposed a 60-40 percent formula, based on each farmer's marketable surplus yield, Ma. Socorro Mellomida, public information officer of NFA Bukidnon, told MindaNews earlier.

She said the memo from NFA administrator Jessup Navarro dated September 11, which was received only on September 15, allowed NFA to buy at P13 per kilo 40 percent of what has remained of each farmer's limit of 560 bags of yellow corn grains. The remaining 60 percent would be bought at the prevailing P10 per kilo.

But PhilMaize’s Navarro, who earlier welcomed the decision, said the scheme is frustrating. "PhilMaize truly feels frustrated in the kind of scheme that the DA under Yap is doing to the farmers," he said.

He said while they restored the P13 support price in buying 300,000 metric tons more of yellow corn, it is only true for 40 percent of farmers' produce, while the majority or 60 percent will still be bought at P10 per kilo.

He said "effectively" the government is buying at an average price of P11.20 per kilo. Also, he said, NFA is not buying Class B grains as requested by farmers, due to lack of post harvest facilities.

"What is happening to the DA, they are not even paying price differentials on their deliveries at P10. Are they again trying to shortchange our farmers?" he asked.

He said the farmers have already been victimized by the DA's recommendation for the issuance of Executive Order 765, which has been largely blamed for the decrease in demand for corn brought by the importation of feed wheat due to the order's zero tariff policy.

PhilMaize has blamed the corn price problem to the issuance of Executive Order 765, which scrapped the 7-percent tariff on feed-grade wheat. The order allowed the entry of more than a million tons of feed wheat, an alternative to yellow corn.

The lifting of the tariff encouraged corn buyers to import feed wheat, eventually affecting local yellow corn trading that came in time for the harvest season for corn.

The effect was that market prices for corn plunged to around P7.50 to P8.50 per kilo, forcing the government to buy at a higher price of P13 in the hope of influencing the prevailing prices.

The increase in NFA buying price prompted corn producers to troop to NFA warehouses.

But in late August, NFA decreased its buying price to P10, causing an uproar in the corn industry. PhilMaize led the move to pressure the DA to restore the price back to P13, which led to the imposition of the two-tiered pricing scheme.

Alejandro Alesna, president of the 200-member Managok (Malaybalay City) Farmers' Multi Purpose Cooperative, earlier said farmers are not really better off with the decision. He said buying price is low while cost of farm inputs is high.

Navarro said the government should heed their call for greater budget for the government's corn program and better representation of the corn sector in policy making bodies affecting them.

He cited proper representation to rationalize the NFA Council, that the director of the government's corn program should have a seat in the board of the Corn Development Fund (CDF), and representation in the National Agribusiness Corporation.

He said the corn price crises as a result of EO 765 happened because the government did not consult the industry stakeholders.

"There was no consultation among farmers," he said even if Yap claimed there was.

The payment for the differential should be done immediately, he said.

"(After all) this is the fault of the government, not the farmers'," he said. (Walter I. Balane / MindaNews)

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