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Manila Bulletin devider Business devider Trade & Industry devider Farmers urge sustained crop insurance support

Farmers urge sustained crop insurance support

Published May 21, 2024 09:31 am

A farmers’ group has urged the government to sustain its support for crop insurance in view of El Nino and La Nina and likelihood of more severe weather disturbances in the coming years.

The Federation of Free Farmers (FFF) issued this statement following the recent issuance of Executive Order No. 60 by President Marcos reinstating the Philippine Crop Insurance Corp. (PCIC) to its original status as an attached agency of the Department of Agriculture (DA).

FFF Chairman Leonardo Montemayor expressed the farmer group’s gratitude to President Marcos and DA Secretary Francisco Tiu- Laurel, Jr. for heeding farmers’ clamor to return PCIC to the DA. With that, the group further urged the government to sustain its support for crop insurance in view of El Nino/La Nina and the likelihood of more severe weather disturbances in the coming years.

It could be recalled that in 2021, then President Rodrigo Duterte issued EO 148 moving the PCIC from the DA to the Department of Finance upon the recommendation of the country’s economic managers, who had raised concerns about the large subsidies and operating costs of the agency. Aside from designating the DoF Secretary as Chairman of the corporation, EO 148 reduced the number of small farmers representatives in the PCIC Board from three to only one.

“Crop insurance is an important component of the DA’s support program for farmers, and it is only logical that the PCIC be part of the DA family,” said Montemayor.

Earlier, the FFF had expressed concerns about delayed payments of claims and reduced benefits to farmers.

“Government support to the agency should not be considered primarily as a subsidy to farmers but more importantly as a means to ensure adequate food supply for the country,” said Montemayor.

PCIC was originally created by President Ferdinand Marcos in 1978 through Presidential Decree 1467 and later amended by Republic Act 8175 in 1995. The corporation compensates insured farmers if their produce are damaged by calamities, pests and/or diseases. PCIC’s operations are funded from premiums from farmers, lending institutions, and the government.

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Federation of Free Farmers (FFF)
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