October 5, 2009
Philippine to buy US$1.4 million worth of corn
The Philippine National Food Authority (NFA) has set a goal of buying some 99,000 bags of corn worth PHP65 million (US$1.4 million) from the General Santos City (GenSan) and Sarangani areas until year-end, an agency official said.
NFA regional director for Southern Mindanao Tony dela Cruz said the procurement programme for corn grain now covers two classifications - Class A at PHP13 per kilogramme and Class B at PHP12 per kilogramme.
Dela Cruz said the variation in the corn buying is meant to accommodate the request of farmers to increase NFA's buying price back to PHP13 per kilogramme but for Class A corn.
According to him, Agriculture Secretary Arthur Yap acceded to the request of farmer leaders in a recent meeting last week in Manila to raise again NFA's buying price for corn.
Malou Misa, NFA statistician for Sarangani and GenSan, said private traders are buying corn at PHP7 a kilogramme, way below the price of the agency's support price leading farmers in droves to sell their corn to NFA.
But Misa said that NFA limits buying of corn from individual farmers up to three hectares only or 210 bags at 70 bags per hectare yield, while coop members may sell up to seven hectares or 4,900 bags.
NFA provincial operations officer Jun Hectin said the agency has bought a total of 20,933 bags since July - broken down as 8,787 bags of Class A corn and 12,146 bags for Class B corn, mostly yellow corn.
Hectin explained that Class A corn must have 97-percent purity, while below 94 percent is classified as Class B.
US$1 = PHP46.65 (Oct 5)
