May 12, 2009

                              

 

The Philippine Seed Industry Association (PSIA) is opposing the proposed hybrid corn subsidy that may be implemented by the Department of Agriculture (DA) as this will not raise hybrid seed adoption and can only encourage corruption.

 

PSIA, dominated by multinational seed companies like Monsanto, Syngenta, and Pioneer Hi-Bred, said in a statement that their experience in the DA's previous corn subsidy programme did not show increased corn hybridisation rate in the country.

 

PSIA said that the programme will make farmers less competitive and more dependent on others regarding their livelihood, adding that it will also distract stakeholders from addressing problems in the country's corn sector such as the lack of credit.

 

PSIA noted that seed subsidy programmes are not effective as it does not address the root problem of farmers which is lack of access to credit and low adoption of right management practices that would increase their yields.

 

The Philippine Maize Federation Inc. (Philmaize) has earlier urged the government to increase corn subsidies so the sector can compete under a liberalised trade regime.

 

According to Philmaize President Roger Navarro, corn farmers only get PHP80 per tonne in government subsidies as compared to the rice sector, which gets PHP2,800 per tonne.

 

The DA, however, said it has stopped granting seed subsidies to help corn farmers compete and improve their yield per hectare.

 

Instead, the department said funds devoted to such subsidies would be used for post-harvest facilities, infrastructure support, and equipment such as seed dryers.