Manila, The Philippines
May 9, 2007
USDA/FAS GAIN report RP 7024
Report highlights
The Philippine Department
of Agriculture (DA), in its quest for rice self-sufficiency,
will be extending seed subsidy to farmers planting hybrid
rice and certified seeds contrary to an earlier decision to
eliminate its hybrid rice seed subsidy made under the
previous DA leadership.
Department of Agriculture (DA)
Secretary Arthur C. Yap recently announced that, contrary to the
decision made under the previous DA leadership to remove the
rice seed subsidy (refer to GAIN 6062), the DA is extending its
rice seed subsidy in support of the GRP’s pursuit for rice
self-sufficiency.
The scope of the seed subsidy will
cover both hybrid rice and certified rice seeds. Subsidy for
hybrid rice seeds will be limited to rice farmers situated in a
national or communal irrigation system. Average yields are
expected to increase from 3-5 MT per hectare to 6 MT per hectare
in these areas. Subsidy on certified rice seed, on the other
hand, will be extended to rice farmers in rain-fed lowlands
where yields can increase from an average
rice yield of 3.5 MT per hectare to 4.5 MT per hectare.
The DA reportedly has allocated a
total of P664 million ($13.9 million) for the rice seed subsidy
consisting of P400 million ($8.4 million) for hybrid rice seeds
and P264 million ($5.5 million) for certified seeds this year.
The hybrid rice subsidy will cover a targeted area of 400,000
hectares or a P1,000 ($20.9) subsidy per hectare, while a P440
($9.2) subsidy per hectare will be extended over 600,000
hectares of certified rice.
Original report:
http://www.fas.usda.gov/gainfiles/200705/146281047.pdf
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