P1M in cash loans extended to rice farmers in Mayorga

By Provincial Media Relations Center
July 23, 2011

TACLOBAN CITY  –  Rice farmers in Mayorga, Leyte who are beneficiaries of the national government’s Pantawid Pamilyang Pilipino Program (4Ps) are set to receive more than P1.1 million in cash loans from the provincial government of Leyte under the ICOT-Rice Program.

The amount would help 67 farmers recover at least 109.25 hectares of rice farms in twelve barangays in Mayorga.

Leyte Governor Carlos Jericho Petilla disclosed the farmers-beneficiaries were chosen using the 4Ps program of the DSWD as one of the basis, to intensify the government’s convergence program initiatives.

The cash loan will be distributed in checks by the provincial government, while the Land Bank of the Philippines would also be on hand to readily cash out the checks in order for farmers to immediately make use of their loans.

The rains in February and March have submerged hectares of rice crops adding another round of losses to rice farmers that have already suffered the same fate, having replanting several times, since the start of wet season last September 2010.

The province’s Improving Crop Output by Technology Promotion (ICOT-P) Rice Program, which offers cash loans to rice farmers, is being made available particularly those with rice lands affected by the continuous rains.

Gov. Petilla said the ICOT-Rice cash loans is given out with the understanding that the affected farmers have already incurred debts with local financiers during their previous planting, and may not be able to pay-up their loans as their rice farms have previously already been flooded at the start of planting season.

This cash grant venture under the ICOT Rice Program is reportedly proving to be a big help to these farmers who were once the favorite preys of loan sharks in their areas.

Under the ICOT-Rice Program, production loan are given to farmers that amounts to P15,000 per hectare to cover the expenses for labor, seeds, fertilizers, insurance and pesticides.

The farmers would pay back their loans in terms of good quality palay which the provincial government would itself buy from the farmers computed P1 higher than the prevailing market price.