In a bid to support farmers, President Ferdinand "Bongbong" Marcos Jr. met with officials from different government agencies to discuss the plan to import fertilizer for the year 2023.
In a statement, the Office of the Press Secretary (OPS) said the meeting with officials from the Department of Agriculture (DA), Department of Trade and Industry (DTI), and Philippine International Trading Corporation (PITC) happened in Malacañang on Monday, November 7.
It said the President convened the meeting to discuss various measures that will pave the way for the entry of cheaper fertilizers that will be given to farmers for free as a subsidy to support farmers and lower food prices.
PITC President and Chief Executive Officer Emmie Liza Perez-Chiong said her agency plans to buy an initial 150,000 metric tons of fertilizer this year from China at US$470 per MT from the current US$650 per MT through a government-to-government arrangement.
A memorandum of agreement between PTIC and DA is now being drafted, an essential requirement for the PTIC importation plan.
Another requirement for PTIC's fertilizer importation is a sovereign guaranty from the government-owned Landbank for a P1 billion credit line.
The President said he would sign the MOA between DA and PTIC this week.
The Chief Executive, meanwhile, directed Finance Secretary Benjamin Diokno to extend the sovereign guaranty to PITC's credit line from the Landbank.
"I will also ask LandBank to allow DA to use its idle warehouses for the stockpiling of fertilizers," Marcos said.
The PITC is the only state trading corporation in the country and has helped local businesses and agencies benefit from international trade since its establishment in 1973.
The DA has allotted P4.1 billion in subsidy to buy fertilizers to be given for free to farmers. With the much-lowered cost, DA can buy around 2.277 million bags of urea to be given to farmers through farmers' groups and cooperatives.
The government plans to import around 300,000 MT of fertilizer next year.
Aside from the PITC president and CEO, present during the meeting were DA Senior Undersecretary Domingo Panganiban and DTI Secretary Alfredo Pascual.