After long years of being an educator and a certified trainor on organic agriculture, Mang Nestor decided to retire upon reaching his golden age. He resolved to devote his time to his first love which is farming. Though still available for consultation and voluntary service as a trainor on organic farming, Mang Nestor says that there is less stress and pressure now that he takes care of his own agribusiness endeavour called EG Agro Eco Venture.

His farm, located in San Jose Extension, Brgy. Taclobo , Dumaguete City is where he grows his coffee and cacao seedlings. His two other farms located in Sibulan and Valencia towns, also in Dumaguete City is where he nurtures his fruits trees and timber trees seedlings. Mang Nestor’s time is fully devoted to producing coffee, cacao, coconut, rambutan, durian, mangosteen, lanzones and timber seedlings such as rubber.

Cooperative Bank of Negros Oriental’s (CBNO) invitation triggered the start of something big

An invitation from the Cooperative Bank of Negros Oriental (CBNO) General Manager Rey Gomez started it all, Mang Nestor recalls. He attended an orientation on the Agricultural Credit Policy Council’s (ACPC) Cooperative Banks Agri Lending Program (CBAP) organized by the CBNO in 2012. From the initial P100 thousand he loaned from the program in early 2013 to augment his capital, he was able to have a sales of P1.2 million by the end of the same year. In late 2013, he borrowed another P100 thousand to increase his seedling production. He projects sales of P1.5 million from his seedlings by the end of this year (2014).

The Cooperative Banks Agri Lending Program (CBAP)

The Cooperative Banks Agri Lending Program (CBAP) is one of the programs implemented by the ACPC under the Agro-Industry Modernization credit and Financing Program (AMCFP), the umbrella financing program of the government for agriculture and fisheries. The CBAP aims to provide funding support to cooperative banks that lend to small farmers and fisherfolk on a sustainable basis. Launched in 2011, the program adopted a scheme where special time deposits (STDs) are placed directly in partner cooperative banks, such as the Cooperative Bank of Negros Oriental. This scheme eliminates the need for wholesalers, thus enabling cooperative banks to expand their agri-fishery loan portfolio and reduce pass-on rates to farmer fisherfolk borrowers.

When asked what he liked about the CBAP, he says the orientation gave him a clear view of how the government tries to reach out to the farmers. He added that the monitoring by the staff of the CBNO and ACPC staff always puts him on his guard to ensure that the money he borrowed will be used for its purpose and will not be wasted. He adds that the requirements were easy to comply with and that the loan was released speedily. He is thankful that he is one of the beneficiaries of this program, and he hopes that more farmers will also benefit.

Mang Nestor says that the additional capital he borrowed from the CBAP enabled him to increase his seedlings production. Through this loan, he was able to hire three (3) regular employees and hire additional laborers to meet his delivery deadlines. He explained that he is able to secure the bulk of his orders of seedlings through government bidding. He says that most of his clients are local government units (LGUs), the Department of Agriculture (DA), Philippine Coconut Authority (PCA), Department Environment and of Natural Resources (DENR) and non-government organizations (NGOs), private organizations such as Nestle Corporation and civic groups. Orders from his company ranges from 1,000 to 50,000 seedlings per transaction. He says that each seedling costs between P5.00 to P30.00 per seedling depending on the size, kind (either coffee, cacao, fruits trees or timber seedlings) and variety. He is proud to say that his seedlings are organically grown, thus, he is able to command a higher price. Though he is yet to work on securing a certificate for growing organic seedlings, he says that he offers after sales monitoring and training, thus, his customers always come back to him for consultation after the sales.

Mang Nestor says that he envisions to establish a full blown nursery. His vision includes developing a one hectare farm planted with certified seeds. Though he admits he has a long way to go with the certification process which takes about 2-3 years and a capitalization of more than P1 million, he is slowly going towards attaining this dream.

Mang Nestor’s advice to would be farmers

“Sipag, tiyaga at dasal,” should be an inherent to would be farmer entrepreneurs, says Mang Nestor. He encourages farmers to observe the trends in the market. That is, do research if necessary on what is “in” citing organic farming and doing agribusiness that would help mitigate climate change. He said that in starting a business, one should start small and take small but well-thought calibrated steps.

He finds fulfilment in being able to create jobs for his community and share his knowledge and transfer technology to others. He believes that one should share his success with others.

A P2 billion allocation to be used in credit facilities under the Agro-Industry Modernization Credit and Financing Program (AMCFP) has been approved by Congress for 2015.

The appropriation is provided under Section 3 of the 2015 General Appropriations Act (GAA), which states:

This is the second time the government provided funding for agricredit for small farmers and fisherfolk under the administration of President Benigno S. Aquino III. In 2013, the government also allocated P1 billion for the attainment of inclusive growth through the AMCFP-Agricultural Fisheries Financing Program (AFFP). The AMCFP-AFFP’s goal is financial inclusion of the unbanked and underbanked sectors in agriculture.

Under the AMCFP-AFFP, small farmers and fisherfolk (SFF) registered in the RSBSA are eligible to avail themselves of agri-finance and agrimicrofinance loans through AFFP partner-GFIs like the Land Bank of the Philippines (LBP) and the People’s Credit and Finance Corporation (PCFC). The program, as of December 31, 2014, has already provided loans to 3,378 SFF in priority provinces with completed RSBSA.

The RSBSA is an electronic database of basic information on farmers, farm laborers and fishermen per province. The project is an interagency undertaking of the Department of Budget and Management (DBM), Department of Agriculture (DA), Department of Interior and Local Government (DILG), Department of Agrarian Reform (DAR), and the National Statistics Office (NSO). The RSBSA can be accessed through the National Anti-Poverty Commission (NAPC), which has been designated as repository of the said registry system.

The P2B fund for agri-fishery credit in 2015 will be used for the implementation of the following credit facilities: 1) DA-Landbank Sikat Saka Program; 2) ACPC-PCFC AFFP Agri-Microfinance Program (AMP); 3) Cooperative Banks Agri-Lending Program (CBAP); 4) Value Chain Financing Program (VCFP); 5) Calamity Assistance Program (CAP); and Climate Change Adaptation Financing Program (CAFP).

The Agro-Industry Modernization Credit and Financing Program (AMCFP) released 26.5% more loans in 2014 compared to 2013. The AMCFP released loans amounting to P1.44 billion over the period January to December 2014. Loans released by the program in 2013 amounted to P1.14 billion. The number of beneficiaries per year also increased by 56.5% with 36,016 borrowers in 2014 compared to 22,888 beneficiaries in 2013.

The AMCFP is the umbrella financing program of the Department of Agriculture (DA). Its implementation is overseen by the Agricultural Credit Policy Council (ACPC). Among the agri-fishery financing programs funded through the AMCFP are the Cooperative Banks Agri-Lending Program (CBAP), the Agri-Microfinance Program (AMP), the Sikat Saka Program, the Typhoon Pablo Special Credit Facility, the Agricultural Fisheries Financing Program (AFFP), and the Calamity Assistance Program.

Among the AMCFP programs, the Cooperative Banks Agri-Lending Program (CBAP) released the biggest amount of loans in 2014, with a total of P640.1 million (44.3% of the total loans released). This amount was able to finance the agri-fishery projects of 17,949 farmers and fisherfolk (49.8% of the total borrowers). The CBAPis a program that provides funding support to eligible cooperative banks in the form of special time deposits (STD). The program was implemented since September 2011. CBAP funds are used by participating cooperative banks to expand their small farm and fishing loan portfolio. CBAP loans for agricultural production or microfinance bear interest rates that do not exceed 15% per annum.

Second is the Sikat Saka Program jointly implemented by the DA and the Land Bank of the Philippines (LBP). The Sikat Saka released P543.2 million loans (37.6% of the total loans released) to 2,519 rice farmers (7.0% of the total borrowers) in 2014. Launched in January 2012 in the interest of attaining self-sufficiency in rice, the Sikat-Saka provides small farmers direct access to credit through their respective irrigator’s associations (IAs) to be used for palay production. Under this scheme, farmers are provided a lower interest rate of 15% per annum for the first two cycles. Then, for succeeding cycles, the rate goes down by 1% per cycle. The reduced interest rates are applied to those who fully pay their production loan on time. To familiarize farmers in the use of ‘modern’ banking technology, loans are being released though automated teller machines (ATMs).

Under the Agricultural Fisheries Financing Program (AFFP), P74.0 million in loans (5.1% of the total loans) was released to 3,378 borrowers (9.4% of the total borrowers) during its first year of implementation. The AFFP is one of the initiatives of the DA to help promote inclusive growth by providing financing assistance for small farmers and fisherfolk registered in the Registry System for Basic Sectors in Agriculture (RSBSA) of the program’s 41 priority poorest provinces. The program is being implemented through the Land Bank of the Philippines (LANDBANK) and the People’s Credit and Finance Corporation (PCFC). The Agri-Microfinance Program (AMP), on the other hand, was able to release P92.9 million (6.4% of the total loans released) to 8,038 farmers and fisherfolk or 22.3% of the total borrowers in 2014. The AMP is a joint program of the DA-ACPC with the People’s Credit and Finance Corporation (PCFC). Through the AMP, accredited microfinance institutions (MFIs) of the PCFC provide agri-micro loans to individual borrowers coming from small farm and/or fishing households. The program also gives priority to areas hit by natural calamities.

DA-ACPC Calamity Assistance Program, on the other hand, released P95.8 million in loans (6.6% of the total releases) to 4,132 beneficiaries (11.5% of the total borrowers). This incorporates the accomplishments under the earlier initiatives for typhoons Pablo and Yolanda, the Special Agricultural Financing for Farmers and Fisherfolk Affected by Typhoon Pablo and the Rehabilitation Program Agricultural/Fishery Households Affected by Typhoon Yolanda.

In 2013, the President directed all departments and other concerned government agencies to implement and execute rescue, recovery, relief and rehabilitation work in accordance with pertinent operational plans. Under Memorandum Circular No. 59 dated 26 November 2013, the President further directs all government owned and controlled corporations (GOCCs), which include government financial institutions (GFIs), to grant loan moratorium on the payment of outstanding loans and expedite the extension of and provide the necessary assistance relative to documentary submissions for interest-free loans to individuals and entities affected by the calamity. In response to the President’s directives and to complement the DA’s initiatives in providing rehabilitation support in typhoon affected areas, the ACPC implemented a rehabilitation support program that offers a one (1) year moratorium on payment of outstanding loans and provision of new loans with flexible requirements, terms and conditions to finance production and other livelihood activities of agricultural households affected by typhoons. The main objective of the rehabilitation program is to support the DA’s ‘early recovery program’ by providing financing assistance that will help agricultural households in affected areas regain their capacity to earn a living.

Specifically, the survey seeks to: i) identify the socio-economic characteristics of small farmers and fisherfolk registered in the Registry System of Basic Sectors in Agriculture (RSBSA) in the AMCFP AFFP priority areas; ii) examine the nature and extent of financial assistance currently being accessed from different sources by RSBSA-registered small farmers and fisherfolk in the AFFP priority areas; and iii) determine the credit needs of RSBSA-registered small farmers and fisherfolk in the AFFP priority areas.

The AMCFP-AFFP was initially funded with One Billion Pesos (P1,000,000,000) through the General Appropriations Act (GAA) of 2013. The program is intended as a flexible credit facility for the benefit of small farmers registered in the Registry System for Basic Sector in Agriculture (RSBSA). As such, the facility is considered as an alternative to the rigid and stringent credit facilities usually provided by banks. The goal of the AMCFP-AFFP is to contribute to the attainment of inclusive growth through financial inclusion of the unbanked and underbanked sectors in agriculture. Funding for the program was appropriated to the ACPC. The program is being implemented in partnership with the Land Bank of the Philippines (LBP) and the People’s Credit Finance Corporation (PCFC).

Through the benchmark assessment,conditions of the target clientele prior to program intervention shall be determined using relevant indicators. The baseline information that will be gathered shall serve as bases for measuring the impact of the program through changes happening over time, if any, in the socio-economic conditions of the program clientele, among others. The results of impact assessment, in turn, shall serve as bases for policy recommendations on improving program implementation and, possibly, for improving the design of future programs as well. The AMCFP-AFFP benchmark survey is being spearheaded by the ACPC’s Monitoring and Evaluation (M&E) Division headed by Cenon S. Atienza. Team leader for the project is Normando de Leon.

For the survey, a total of 2,460 RSBSA-listed farmers and fisherfolk shall be interviewed from 164 barangays and 82 municipalities in the 41 priority provinces.

The P3 billion loan funds were allocated to ACPC under the General Appropriations Act (GAA) of 2013 (P1 billion), and under the GAA of 2015 (P 2 billion).

Pursuant to the legislative provision “the ACPC, in coordination with government financial institutions (GFIs) or cooperative banks, shall formulate the guidelines for a streamlined and equitable access by the foregoing small farmers and fisherfolk to said credit facility”.  The loan funds shall be transferred GFIs or cooperative banks to be used exclusively for the establishment of a flexible credit facility for the benefit of small farmers and fisherfolk registered under the RSBSA.”

Thus, ACPC Governing Council approved on July 18, 2013, the establishment of the Agriculture and Fisheries Financing Program or AFFP. The AFFP is one of the Department of Agriculture’s initiatives to help promote inclusive growth by providing financing assistance for small farmers and fisherfolk.  The program’s Implementing Guidelines, on the other hand, were approved by DA Secretary and ACPC Chair, Proceso J. Alcala, on December 9, 2013 after going through a rigorous review process.

Of the P1 billion total amount, the ACPC turned P550 million funds to the Land Bank of the Philippines (LBP) and P450 Million to the People’s Credit and Finance Corporation (PCFC) for the implementation in 2014 of the AFFP.

The P2 billion fund, on the other hand, will be used for other programs being implemented by DA-ACPC under the AFFP. These are: 1) AFFP Sikat Saka II; 2) Agrarian Production Credit Program (APCP); 3) ACPC-PCFC AFFP Agri-Microfinance Program (AMP)-II; 4) Cooperative Banks Agri-Lending Program (CBAP) – II; 5) Value Chain Financing Program (VCFP);  and 6) Climate Change Adaptation Financing Program (CCAFP).

ACPC Executive Director Jovita M. Corpuz cited that the implementation of the AFFP intends to enhance “financial inclusion” of the rural poor – particularly those who belong to the agriculture sector – as a means to bring about more inclusive growth.  She said that insufficient access to financing by small farm and fishing households is seen as one of the biggest constraints for advancing both rural and agricultural development.  She added that “although the local banking sector is known to have more than sufficient funds for lending, access to these funds by smallholders in the agriculture sector remains constrained.”

The AFFP takes a holistic framework  as it not only provides credit for the whole agricultural supply chain and other livelihood activities, it is also supported with capacity building, technical assistance, credit guarantee, marketing, and monitoring and evaluation components in coordination with other concerned government agencies and institutions.

Under the AFFP, small farmers and fisherfolk (SFF) registered in the RSBSA are eligible to avail themselves of agri-finance and agri-microfinance loans through AFFP partner-GFIs like the LBP and the PCFC. The program, as of December 31, 2014, has already provided loans to 3,378 SFF in priority provinces with completed RSBSA.

The RSBSA is an electronic database of basic information on farmers, farm laborers and fishermen per province. The project is an interagency undertaking of the Department of Budget and Management (DBM), Department of Agriculture (DA), Department of Interior and Local Government (DILG), Department of Agrarian Reform (DAR), and the Philippine Statistics Authority (PSA).

The AFFP is one of the Department of Agriculture’s initiatives to help promote inclusive growth by providing financing assistance for small farmers and fisherfolk.

The ACPC Governing Council members signed ACPC Resolution No. 1, Series of 2015, approving the AMCFP – Agricultural-Fisheries Financing Program (Funded Under GAA 2015) Implementing Guidelines. As prescribed under Section 3 of the Fiscal Year 2015 General Appropriations Act (GAA), the implementing guidelines for a streamlined and equitable access of small farmers and fisherfolk to the P2 billion AMCFP-AFFP were formulated in coordination with partner financial institutions i.e., government financial institutions (GFIs) and cooperative banks. The said guidelines were reviewed and discussed by the Governing Council of the ACPC during the 61^st ACPC Governing Council Meeting on March 25, 2015.

The approved Implementing Guidelines on the AMCFP-AFFP covered the terms and provisions on the implementation of various agri-credit facilities under AMCFP such as the AFFP Sikat Saka II, ACPC-PCFC AFFP Agri-Microfinance Program (AMP), Cooperative Banks Agri-Lending Program (CBAP), Value Chain Financing Program (VCFP), Climate Change Adaptation Financing Program (CCAFP), as well as the DA’s Agrarian Production Credit Program (APCP). The resolution also contained the approving authority of applications and fund disbursement, which is governed by the DA’s General Memorandum Order No. 01 Series of 2015.

The ACPC Governing Council also approved Resolution No. 2, Series of 2015, approving the Department of Agriculture (DA)-ACPC Value Chain Financing Program (DA-ACPC VCFP) for small corn farmers in the priority provinces of the DA Corn Development Program.

The DA-ACPC VCFP was conceived following the discussion of the ACPC Governing Council for a credit scheme that has the potential in promoting inclusive growth in rural areas by enabling small farmers to improve their livelihoods and incomes through improved links in a value chain.

The ACPC Governing Council, during its 59^th meeting on October 27, 2014, approved ACPC’s proposed VCFP to cover priority provinces of the DA as well as other provinces that may be selected based on a set criteria. The VCFP will initially be implemented in the provinces of Zamboanga del Norte and Bukidnon.

The resolution outlined the features of the program, which include: 1) funding support to be provided in the form of loan which shall be matched by partner financial institutions with their own counterpart fund equivalent to at least the amount of loan availed under the program. The partner financial institutions shall utilize the proceeds of the loan including its own counterpart fund in extending value chain loans to eligible farmer-borrowers at their full credit risk; 2) open to financial institutions (banks) that will pass the eligibility criteria. The financial institutions shall be encouraged and assisted in availing credit guarantee (Agricultural Guarantee Fund Pool) and/or crop insurance (PCIC); and 3) an initial Program Fund in the amount of One Hundred Million Pesos (Php100,000,000.00) to be drawn against the AMCFP.

The ACPC Governing Council is chaired by the DA Secretary Proceso J. Alcala along with Bangko Sentral ng Pilipinas (BSP) Governor Amando M. Tetangco, Jr. as co-chair and Secretary Cesar V. Purisima of the Department of Finance (DoF), Secretary Florencio B. Abad of the Department of Budget and Management (DBM) and Director General Arsenio M. Balisacan of the National Economic Development Authority (NEDA) as members.

They are represented by DA Undersecretary Antonio A. Fleta, BSP Deputy Director General Nestor A. Espenilla, Jr., DoF Undersecretary Jeremias N. Paul, Jr., DBM Undersecretary Mario M. Relampagos, and NEDA Deputy Director General Emmanuel F. Esguerra.

Held on March 4-6, 2015 at the Midas Hotel in Manila, the workshop was attended by 75 participants from 8 countries composed of representatives of APRACA, International Fund for Agricultural Development (IFAD), Food and Agriculture Organization (FAO), national government departments/agencies engaged rural finance policies central banks, regulatory agencies, development banks, commercial banks, and other partner organizations from People’s Republic of China, India, Indonesia, Philippines, Thailand, Sri Lanka, Bangladesh and Cambodia. From the Philippines, key officials of the   Land Bank of the Philippines (Landbank),    Agricultural Credit Policy Council (ACPC),  Agricultural Guarantee Fund Pool (AGFP),  National Livelihood Development Corporation (NLDC), Bangko Sentral ng Pilipinas (BSP), among others, were present.

ACPC  Executive Director Jovita M Corpuz, who is also the  President of the Board of Trustees of APRACA-CENTRAB and  Executive Committee Member of APRACA, acknowledged representatives from attending financing institutions in the Philippines, specifically the finance triumvirate namely: agricultural credit, credit guarantee, and agricultural insurance. She also acknowledged the presence of representatives from the different member-countries. She likewise expressed her gratitude to IFAD, composed of delegates from its central office in Rome, headed by Ms Hoonae Kim, Director for the Asia-Pacific Division of IFAD, and Mr. Sana F.K. Jatta, Lead Portfolio Advisor for Asia and the Pacific Region. Ms Corpuz expressed her appreciation to IFAD for being on top of the RuFBeP Project which aims to increase access to credit of the marginalized sector through the documentation of best practices (e.g. microfinance in agriculture), as well as to APRACA-CENTRAB and ACPC, the host institution, for doing the legwork in preparation for the event.

The RuFBeP Project is a four-year (March 2014 to March 2018) IFAD grant project being implemented by the APRACA in five participating member countries which includes People’s Republic of China, India, Indonesia, the Philippines, and Thailand.

The project aims to sustainably reduce rural poverty and improve food security for rural communities in the Asia-Pacific region. Its purpose is to assist rural finance providers and governments in extending financial services on a sustainable basis, through the application of best practices suitable to their unique operating environments. More specifically, these best practices will be identified, studied, critically reviewed, and selectively piloted for adaptation and replicated and successfully scaled up by IFAD and other stakeholders involved in rural and agricultural finance.

The project aims to document pertinent cases of global best practices which could be used by the countries on the respective thematic areas identified/suggested by them. The themes to be covered under the Grant include savings, credit, innovative financial products, methodologies, legal structures, operational structures, management and governance, and the role of public and private sectors. An overarching theme is expanding knowledge management both within the Asia-Pacific region and internationally, particularly through the Regional Agricultural Credit Network of IFAD & APRACA.

The project seeks to achieve the following objectives:

• Global best practices in the identified themes are selected and rated in terms of appropriateness to the Asia-Pacific region.
• The best practices will be piloted and scaled up to test their effectiveness in projects sponsored by governments, IFAD, and other funders.
• A systematic structure for encouraging dialogue amongst the various policy makers on promoting the best practices in providing financial services to the rural poor will be created.
• Sharing of these best practices through workshops, conferences and knowledge hubs within APRACA network and outside.

The first dissemination workshop pursues provide a platform for the interested institutions involved in the RuFBeP Project to identify the best practices from their own country/ from other countries for piloting. The workshop also poised to serve as a regional forum to learn and exchange information on the best practices of rural finance being followed in various countries of this region and also discuss about the innovations and the challenges of the access to finance by the smallholders.

Key outcomes of the workshop included the five (5) country studies which provided resourceful information and analysis on the current status of rural financial service in the countries, existing critical rural finance issues and gaps within the national rural finance condition. The country studies documented 25 existing good practices in the countries in promoting inclusive financial services. Detailed discussions were conducted on the various best practices documented by the country working groups from 5 countries.

Through the workshop, the participants were able to understand the existing rural finance best practices in 5 project countries and relate these best practices under their unique operating environment and their relationship with the global best practices; generate inputs from the global experts to deepen the contents and strengthen the document; match the findings with the thematic focuses and issues of the selected countries for the Phase-2 of the project; formulate the working framework for piloting the best practices as accepted by the countries identified for the Phase-2;  finalize the focal point from the country team for pilot testing of the financial services/schemes and innovations and delineate specific responsibilities and tasks of project stakeholders; forge strategic partnerships and synergy among project stakeholders at both country and regional levels.

ACPC  Executive Director Jovita M Corpuz, also the  President of the Board of Trustees of APRACA-CENTRAB and  Executive Committee Member of APRACA, welcomed the participants to the  three-day dissemination workshop for the project “Documenting Global Best Practices on Sustainable Models of Pro-Poor Rural Financial Services in Developing Countries” (RuFBeP Project) held on March 4-6, 2015 at the Midas Hotel, Manila.

The three-day international workshop of the APRACA-IFAD project was attended by 75 participants, namely: five (5) country teams and their respective consultants from China, India, Indonesia, Philippines and Thailand; representatives of APRACA, led by its Secretary General Chamnong Siriwongyotha together with Mr.  Prasun Kumar Das (RuFBeP Project) and Marlowe Aquino (FinServAccess Project);  IFAD, composed of delegates from its central office in Rome, headed by Ms Hoonae Kim, Director for the Asia-Pacific Division and Mr. Sana F.K. Jatta, Lead Portfolio Advisor for Asia and the Pacific Region; and IFAD country programme officers from the respective countries;  APRACA Centre for Training and Research on Agricultural Banking (CENTRAB), headed by Ms Jovita M. Corpuz, president of the Board of Trustees, and Ms Lecira Juarez, Managing Director;  Agricultural Credit Policy Council (ACPC) of the Philippine Department of Agriculture (DA), the host institution for the workshop, which is likewise headed by its Executive Director Jovita Corpuz and ACPC officers and staff;  Officers from other APRACA member institutions in the Philippines including, among others, Ms Cecilia C. Borromeo, Executive Vice President of the Land Bank of the Philippines; Ms Edna Atienza, Program Manager of the Agricultural Guarantee Fund Pool (AGFP); Ms Gondelina G. Amata, President, National Livelihood Development Corporation; Ms Leny I. Sylvestre; and Managing Director, Bangko Sentral ng Pilipinas and delegates from the Food and Agriculture Organization (FAO) and other APRACA member institutions in Bangladesh, Sri Lanka and Cambodia.

Key outcomes of the workshop included the five (5) country studies which provided resourceful information and analysis on the current status of rural financial service in the countries, existing critical rural finance issues and gaps within the national rural finance condition.

Detailed discussions were conducted on the various best practices documented by the country working groups from the People’s Republic of China, India, Indonesia, Philippines and Thailand. Among those who participated in the discussions included delegates from IFAD’s central office in Rome, headed by Ms Hoonae Kim, Director for the Asia-Pacific Division and Mr. Sana F.K. Jatta, Lead Portfolio Advisor for Asia and the Pacific Region and IFAD country programme officers from the respective countries.

ACPC Executive Director Jovita M. Corpuz, also the  president of the Board of Trustees fot he APRACA Centre for Training and Research on Agricultural Banking (CENTRAB), (floral blouse) leads the discussion for the partcipipants from the Philippines composed of ACPC officers Deputy Exec. Directors Ramon C. Yedra and Jocleyn R. Badiola; Director Magdalena S. Casuga, Alvin Cabatu, Joel Matira with Dr. Gilberto M. Llanto.

Under the 1997 Agriculture and Fisheries Modernization Act (AFMA), government should have appropriated a funding of P2.0 billion for the Agro-Industry Modernization Credit and Financing Program (AMCFP) in the first year of its implementation. Subsequent supplemental funding for the AMCFP should have been P1.7 billion per year over the succeeding six years thereafter. Had this been followed, it should have resulted in P12.2 billion in total government funding for agri-fishery credit by the time the implementation of AFMa was terminated in 2004.

Yet, it was only during the PNoy Administration – sixteen years after the enactment of AFMA – that government finally allocated a budget for small farmers and fisherfolk credit. Prior to the PNoy Administration, the AMCFP was being implemented on a very limited scale through loan funds collected and consolidated by the Agricultural Credit Policy Council (ACPC) from previous agricultural credit programs that had already been terminated.

Here are the highlights of the PNoy Administration’s accomplishments in its strategy to make credit more accessible to small farmers and fisherfolk, as of February 2015:

1. Fresh Funding for Small Farmers and Fisherfolk Credit. Under the PNoy Administration, P1.0 billion was appropriated by the government in 2013 to the ACPC for the implementation of a flexible credit facility called the Agricultural Fisheries Financing Program (AFFP). In 2015, the ACPC was additionally appropriated an amount of P2.0 billion for the expansion of the same program. Presently, the AFFP is being implemented nationwide by the DA, through the ACPC, for the benefit of small farmers and fisherfolk who are registered in the Registry System of Basic Sectors in Agriculture (RSBSA). The AFFP now constitutes part of the AMCFP. Through the P3 billion funding provided for the AFFP, government loan funds for farmers and fisherfolk has increased by almost 400% in just 5 years of this Administration (Table 1).

Table1. Status of Funding for Small Farmers and Fisherfolk Credit

(As of 2010, 2013 and 2015)

2. Easier Access to Formal Financing Assistance for Small Farmers and Fisherfolk. Aside from the appropriation of fresh funding for agri-fishery credit, the PNoy Administration is also making formal loans for production and alternative livelihood more accessible to small farm and fishing households. Over the period 2011-2014, the PNoy Administration was able to steadily increase DA-ACPC loan releases to small farmers and fisherfolk (or farmers tilling 5 hectares or less; and fisherfolk using boats of 3 metric tons capacity or less) through the AFFP and other AMCFP programs, such as the Cooperative Banks Agricultural Lending Program (CBAP); the Agricultural Microfinance Program (AMP); and the Sikat-Saka Program for rice farmers. Credit has been made more accessible to small farmers and fisherfolk under these programs by introducing innovations and more flexibility in lending guidelines including, among others: direct lending by the Landbank of the Philippines to individual borrowers; the opening of ATM accounts for small farmers and fisherfolk; the relaxation of the People’s Credit and Finance Corporation’s (PCFC) accreditation criteria for partner microfinance organizations; and bringing down interest rates to as low as 15% p.a. for end-borrowers.

3. Increased Access to Formal Financing for Small Farmers and Fisherfolk. By 2014, the P2.0 billion amount of DA-ACPC loans released for the year to small farmers and fisherfolk was already 58% more than the total amount that was released in 2010. Over the period 2010-2014, the amount of loans released grew by an average of 30.5% annually (Table 2). Correspondingly, the 43,031 farmer and fisherfolk borrowers for the year 2014 constituted an increase of 26% compared to 2010. Over the period 2010-2014, the number of borrowers increased by an average of 9% annually (Table 3). Over a period of 5 years (from 2010 to February 2015), cumulative loan releases of government under the AMCFP had amounted to P6.3 billion, reaching 162,190 small farmer and fisherfolk borrowers. The trend of increase in loans released and number of beneficiaries is shown in Figure 1.

Table 2. Amount of Agri-fishery Loans Released and Percent Increase/Decrease per Year

               (2010-2014)

Table 3.  Number of Small Farmers and Fisherfolk Borrowers and Percent Increase/Decrease per Year (2010-2014)

4. Introduction of a Calamity Assistance Financing Program for Small Farmers and Fisherfolk Borrowers. For farmers and fisherfolk borrowers affected by natural calamities, the government, again through DA-ACPC, also introduced a Calamity Assistance Program in 2013, which allows lenders to give affected farmer and fisherfolk borrowers a moratorium on their loan payments, aside from giving them additional financing assistance for the rehabilitation of their farm and/or other affected livelihood. Over the period 2013-2014, total loan releases under the DA-ACPC Calamity Assistance Program has reached P123.81 million, providing loan relief and assistance to 4,745 farmer and fisherfolk borrowers in areas affected by typhoons and other natural calamities (Table 4).

Table 4.  Amount of Loans Released and Number of Borrowers under the DA-ACPC Calamity Assistance Program for Small Farmers and Fisherfolk (2010-Dec. 2014)

Department of Agriculture (DA) Secretary and ACPC Chair Proceso J. Alcala, together with Agricultural Credit Policy Council (ACPC) Executive Director Jovita M.  Corpuz, turned over a total of P300 M to partner cooperative banks for the implementation of  the Agriculture and Fisheries Financing Program – Cooperative Banks Agri-Lending Program II (CBAP II). The  check turn-over ceremony was held on September 30, 2015 at the ACPC Conference Room in Pasig City.

  Secretary Alcala signed the implementing guidelines of the Agriculture and Fisheries Financing Program (AFFP), of which the CBAP II  is one of the credit facilities with an allocation of P300 million. The AFFP, on the other hand, is one of the programs under the Agro-Industry Modernization Credit and Financing Program (AMCFP), the umbrella credit program of the DA for agriculture and fisheries.                           

The AFFP was approved by the ACPC Governing Council through Resolution No. 1, Series of 2015. The goal of the AMCFP-AFFP is to contribute to the attainment of inclusive growth through financial inclusion of the unbanked and underbanked sectors in agriculture.

The Cooperative Banks Agri-Lending Program (CBAP) - II intends to complement the current' wholesaler-retailer scheme of the AMCFP. Specifically the Program aims to provide concrete support by way of stable, low-cost funding support to cooperative banks that have demonstrated capacity to continually provide appropriate and incremental agricultural loans to SFF and lower down pass-on rates to SFF borrowers.

The Cooperative Banks Agri-Lending Program (CBAP) - II entails the extension of loans to eligible cooperative banks that shall, in turn, lend to small farmers and fisherfolk registered in the Registry System for Basic Sectors in Agriculture (RSBSA).  The cooperative banks shall lend at full credit risk using their existing workable agricultural loan products. The loan fund shall be matched by eligible cooperative banks with their own counterpart funds equivalent to at least the amount of loan fund availed for lending to individual SFF. The scheme would enable the cooperative banks to expand their agri-fishery loan portfolio while also lowering pass-on rates to small farmers and fisherfolk borrowers. With improved credit access, the program hopes to enhance farmers’ and fisherfolk’s production capacities, productivity and incomes. 

Under the CBAP II Program, funds are being deposited in thirteen (13) cooperative banks  for agri-lending. These include: First Isabela Cooperative Bank (P50M);  Cooperative Bank of Cotabato (P40M); Cooperative Bank of Misamis Oriental (P40M); Bukidnon Cooperative Bank (P30M); Ilocos Sur Cooperative Bank (P20M); Cooperative Bank of Ilocos Norte (P20M); Cooperative Bank of Bohol (P20M);  Cooperative Bank of Nueva Vizcaya (P20M); Cooperative Bank of Quezon Province (P20M); Cooperative Bank of Negros Oriental (P10M) ; Cooperative Bank of La Union (P10M);  Negros Cooperative Bank (P10M) and Occidental Mindoro Cooperative Bank (P10M).

Other programs being implemented by DA-ACPC under the AFFP are: 1) AFFP Sikat Saka II; 2) Agrarian Production Credit Program (APCP); 3) ACPC-PCFC AFFP Agri-Microfinance Program (AMP)- II; 4) Cooperative Banks Agri-Lending Program (CBAP) – II; 5) Climate Change Adaptation Financing Program (CCAFP); and 6) Value Chain Financing Program (VCFP).

Earlier in September, the DA-ACPC turned over P40 M to the Philippine Postal Savings Bank, Inc. (Postbank) for the implementation of  the AFFP-VCFP.  During the check turn-over ceremony, DA-ACPC Executive Director Jovita M. Corpuz, handed over the check to Postbank President and CEO Cesar N.  Sarino. The event was witnessed by ACPC Deputy Executive Director Ramon C. Yedra and other ACPC officers together with Postbank Senior Vice President Higinio C. Fabian and Postbank Manager Glenda Llanera. The AFFP-VCFP was conceptualized based on Sec. Alcala’s advocacy  to improve credit access from institutional sources for small farmers participating in an agribusiness value-chain. The initial funding of P40 million from ACPC will be used to support the implementation of a value-chain financing facility for farmers or groups of farmers registered in the RSBSA and with market tie-up with established buyers. The Postbank shall also match the loan fund with its own counterpart fund equivalent to at least the amount of loans availed under the Program.   The Program shall be implemented in  the priority areas of the DA, initially in the provinces of Bukidnon and Zamboanga del Norte.

Department of Agriculture (DA) Undersecretary Allan Q. Umali representing DA Secretary and  ACPC Chair Proceso J. Alcala, together with Agricultural Credit Policy Council (ACPC) Executive Director Jovita M.  Corpuz, and Ms Adeliza Gabalfin representing Department of Agrarian Reform Secretary Secretary Virgilio R. De Los Reyes turned over P500 M to the Landbank of the Philippines represented by its First Vice President Leila Martin for the expansion of funding support of  the Agrarian Production Credit Program (APCP). The check turn-over ceremony coincided with the celebration of ACPC’s 30^th Anniversary on April 30, 2016 at the Novotel Hotel in Quezon City.

The APCP, a joint program of the Department of Agriculture (DA), Department of Agrarian Reform (DAR) and Land Bank of the Philippines (Landbank) aims to provide credit support for crop production to newly organized and existing agrarian reform beneficiaries’ organizations (ARBOs) and farmers’ organizations (FOs) not qualified to avail themselves of loans under the regular credit windows of banks.

The program’s specific objectives are: 1) To provide credit assistance to ARBs or ARB household members through their respective organizations or  other conduits to support their individual or communal  crop production projects; 2) To ensure sustainable production of crops and increase the income of ARBs or their household members through other support services such as marketing, crop insurance, and farming facilities; and 3) To strengthen the ARBOs and improve the capabilities of ARBs through institutional capability building activities.

The APCP has three (3) components, namely: 1) Agricultural Production Credit; 2) Agricultural Production and Financial Management Support; and 3) Institutional Capacity Building.

Under the Agricultural Production Credit component, new and existing ARBs or ARB household members, particularly those who have recently acquired their landholdings through the Comprehensive Agrarian Reform Program Extension with Reforms (CARPER) will be provided with loans for crop production.  These  loans will be coursed through ARB organizations and FOs (other than ARBOs) that shall act as credit conduits for their respective members.

Under the Agricultural Production and Financial Management Support component, technical assistance relevant to the project/s financed shall be given to loan conduits.  This is to ensure the proper use of the loan by both the conduits and the ARB end-beneficiaries. The DA or other appropriate institutions/technical experts shall provide technical assistance for agricultural production management. These experts shall assess the farm requirements, recommend appropriate technologies and monitor farm production of the ARBs. Financial management assistance, on the other hand, will be done by deploying technical experts who shall assist the conduits in providing timely credit to end-beneficiaries.

Under the Institutional Capacity Building component, institutional strengthening will be given to eligible conduits to ensure their viability and sustainability. A package of interventions aimed at increasing their organizational maturity will be given to eligible conduits. This includes setting up organizational vision, operational policies, systems and procedures, and good governance. It will also facilitate enterprise development to guarantee the feasibility and profitability of agricultural production projects and other business services of the eligible conduits.

Loans released under the APCP as of December 2015 reached P1.9 billion benefitting 526 ARBOs or total of 31,036 agrarian reform beneficiaries (ARBs). It is envisioned that the additional P500 M funding support would benefit more ARBOs and ARBs.

The APCP is operationalized through its Program Management Committee (PMC) composed of DA Assistant Secretary Edilberto M. de Luna as chair, DAR Undersecretary Rosalina L. Bistoyong  as vice-chair, Landbank Executive Vice President Cecilia C. Borromeo as vice-chair, Department of Finance (DoF) Assistant Secretary Editha Z. Tan,  DENR Director Emelyne V. Talabis as members and Ms Lanie Factor of Task Force Mapalad and and Mr. John Bugaling of the Presidential Agrarian Reform Council (PARC) as Farmer Sector Representatives. The PMC is ably assisted by its Technical Working Group (TWG) composed of Agricultural Credit Policy Council (ACPC) Exec. Dir. Jovita M. Corpuz as chair, Landbank Vice President Leila C. Martin as vice-chair and DAR Director Susana E. Leones  and Mr Henry P. Pacis, National Coordinator of DENR-CARP as members. To assist both the PMC and the TWG in the performance of their tasks is the Program Secretariat composed of representatives from DA, ACPC, DAR and Landbank.

MBOs and micro-insurance, along with loan guarantee and value-chain financing, are regarded as among the more sustainable models of pro-poor rural financial services in the Philippines.

The concept of MBOs and how this helped them increase outreach to achieve financial inclusion was discussed during the forum by the Center for Agriculture and Rural Development Mutually Reinforcing Institutions (CARD MRI), Cooperative Bank of Misamis Oriental (CBMO), Land Bank of the Philippines (LBP), and Bangko Sentral ng Pilipinas (BSP). Financial inclusion is the provision of affordable financial services to marginalized sectors of the economy.

On the other hand, the policy dialogue on micro-insurance discussed ways of encouraging the development of microinsurance products suited to small farmers and fisherfolk. Invited resource persons from the Philippine Crop Insurance Corporation (PCIC), the Department of Finance (DoF), Microinsurance MBA Association of the Philippines, GM Bank of Luzon, and BUTIL Party-list shared their experiences, programs and products, and measures/strategy undertaken in the development of microinsurance.

Executive Director Jovita M. Corpuz, in her welcome message, said that 53 percent of farmers and fisherfolk are already borrowing from formal financial institutions as of 2015. In 2007, this was at 51.7 percent. However, she reminded everyone that the challenge is still the limited access to formal credit.

The policy forum also featured keynote messages from international guest speakers such as Dr. Prasun Kumar Das, Asia-Pacific Rural and Agricultural Credit Association (APRACA) Project Manager of the International Fund Agricultural Development (IFAD) project “Documenting Global Best Practices on Sustainable Models of Pro-Poor Rural Financial Services in Developing Countries” and Dr. William D. Dar, former Director General of the International Crops Research Institute for the Semi-Arid Tropics (ICRISAT) and former Agriculture Secretary.

In their respective presentations, Dr. Dar highlighted the importance of financing as a key ingredient in promoting inclusive growth, while Dr. Das called for scaling up of sustainable models of pro-poor financial services.

The policy forum was divided in two sessions: 1) Microbanking Organizations and Other Baking Organizations (facilitated by ACPC Deputy Executive Director Jocelyn Alma R. Badiola), and 2) Development of Microinsurance for the Rural Poor (facilitated by ACPC Deputy Executive Director Ramon C. Yedra).

Attended by 107 participants representing officers of financial institutions (rural/cooperative banks), DA-RFO 7 Regional Executive Director Angel C. Enriquez, DA-RFO for Negros Island Region Regional Executive Director Renato P. Manantan, DA-RFO 10 Regional Executive Director Lealyn A. Ramos, and DA-RFO 13 Regional Executive Director Edna M. Mabeza and representatives of other DA Regional Field Offices and bureaus/attached agencies, non-government organizations/people’s organizations, farmer organizations and associations, media, and other government agencies/institutions (DoF, Philippine Institute for Development Studies, Agricultural Guarantee Fund Pool, National Livelihood Development Corporation, National Economic Development Authority).

Regional Agri-Credit Desk Officers (RACDOs), ACPC’s partner in the regions, also attended the forum. They are DA-Cordillera Administrative Region (CAR) Florenda Pedro, DA-Region I’s Ma. Cristine De Leon, DA-Region II’s Vivien Delos Santos, DA-Region III’s William Valdez, DA-Region IV-A’s Teofista Garcia, DA-Region IV-B’s Nida San Juan, DA-Region V’s Ma. Adelina Losa, DA-Region VI’s Teresa Solis, DA-Region VII’s Gerry Avila, DA-Region IX’s Ferdinand Gamorot, DA-Region X’s Chedy Ansale, DA-Region XI’s Janet Dobli, and DA-Region XIII’s Clarence Malbasias.

The policy forum is part of the activities lined up to celebrate ACPC’s 30 years of enhancing credit delivery to small farmers and fisherfolk.

The Department of Agriculture-Agricultural Credit Policy Council (DA-ACPC) turned over P40 M to the Philippine Postal Savings Bank, Inc. (Postbank) for the implementation of the Agriculture and Fisheries Financing Program - Value Chain Financing Program (AFFP-VCFP) in a check turn-over ceremony held on September 18, 2015 at the ACPC Conference Room in Pasig City.

During the check turn-over ceremony, DA-ACPC Executive Director Jovita M. Corpuz, handed over the check to Postbank President and CEO Cesar N. Sarino. The event was witnessed by ACPC Deputy Executive Director Ramon C. Yedra together with Postbank Senior Vice President Higinio C. Fabian.

DA Secretary and ACPC Chair Proceso J. Alcala signed the implementing guidelines of the Agriculture and Fisheries Financing Program (AFFP), of which the VCFP is one of the credit facilities. The AFFP, on the other hand, is one of the programs under the Agro-Industry Modernization Credit and Financing Program (AMCFP), the umbrella credit program of the DA for agriculture and fisheries.

The AFFP-VCFP was approved by the ACPC Governing Council through Resolution No. 2, Series of 2015. The ACPC Governing Council’s approval of the AFFP-VCFP underscores the importance of putting in place a viable agricultural value-chain financing model that can be adopted by mainstream financing institutions.

The AFFP-VCFP was conceptualized based on Sec. Alcala’s advocacy to improve credit access from institutional sources for small farmers participating in an agribusiness value-chain. With improved credit access, the program hopes to enhance farmers’ production capacities, productivity and incomes. The program is also intended to contribute to the national government’s goal of promoting inclusive growth.

The value-chain approach capitalizes on existing business linkages between farmer-producers and buyers (processors/traders) to lessen the credit risk. The value-chain approach in agricultural financing is recognized globally as one of the financing schemes that have a potential for promoting inclusive growth in rural areas.

Under the AFFP-VCFP, the initial funding of P40 million from ACPC will be used to support the implementation of a value-chain financing facility for farmers or groups of farmers registered in the Registry System for Basic Sectors in Agriculture (RSBSA) and with market tie-up with established buyers. The Postbank shall also match the loan fund with its own counterpart fund equivalent to at least the amount of loans availed under the Program.

Postbank was selected to be the program partner for the AFFP-VCFP because it is presently already implementing a corn value-chain project (production-processing-bulk handling-marketing) with ZDMC Grains, Inc. (ZGI) in Zamboanga del Norte, which is aligned with the DA’s “Road Map” for corn development in Zamboanga del Norte and Bukidnon. The additional funding support from ACPC will enable Postbank to finance value-chain financing activities of small corn farmers in Zamboanga del Norte and Bukidnon that will provide the supply of corn grains needed by ZGI to ensure sustainability of the project and provide corn farmers access to low cost financing, thus, enhancing productivity and income.

Postbank will extend AFFP-VCFP loans at 15% interest per annum to corn farmer-producers who have established/existing market tie-ups with corn buyers.

The Program shall be implemented in the priority areas of the DA, initially in the provinces of Bukidnon and Zamboanga del Norte. Other provinces may be covered subject to criteria to be set by the DA. Sec. Alcala also wants other commodities such as cassava, rubber, banana, and cacao to later be considered for inclusion under the Program.

The Value Chain Financing Project will be implemented within a period of one year. Other programs being implemented by DA-ACPC under the AFFP are: 1) AFFP Sikat Saka II; 2) Agrarian Production Credit Program (APCP); 3) ACPC-PCFC AFFP Agri-Microfinance Program (AMP)- II; 4) Cooperative Banks Agri-Lending Program (CBAP) – II; 5) Value Chain Financing Program (VCFP); and 6) Climate Change Adaptation Financing Program (CCAFP).

The Department of Agriculture-Agricultural Credit Policy Council (DA-ACPC) turned over P40 M to the Philippine Postal Savings Bank, Inc. (Postbank) and P10 million to the Cooperative Bank of Bukidnon for the implementation of the Agriculture and Fisheries Financing Program - Value Chain Financing Program (AFFP-VCFP) in a check turn-over ceremony held in September 2015 at the ACPC Conference Room in Pasig City.

DA Secretary and ACPC Chair Proceso J. Alcala signed the implementing guidelines of the Agriculture and Fisheries Financing Program (AFFP), of which the VCFP is one of the credit facilities. The AFFP, on the other hand, is one of the programs under the Agro-Industry Modernization Credit and Financing Program (AMCFP), the umbrella credit program of the DA for agriculture and fisheries.

The AFFP-VCFP was approved by the ACPC Governing Council through Resolution No. 2, Series of 2015. The ACPC Governing Council’s approval of the AFFP-VCFP underscores  the importance of putting in place a viable agricultural value-chain financing model that can be adopted by mainstream financing institutions.

The AFFP-VCFP was conceptualized based on Sec. Alcala’s advocacy to improve credit access from institutional sources for small farmers participating in an agribusiness value-chain. With improved credit access, the program hopes to enhance farmers’ production capacities, productivity and incomes.  The program is also intended to contribute to the national government’s goal of promoting inclusive growth.

The value-chain approach capitalizes on existing business linkages between farmer-producers and buyers (processors/traders) to lessen the credit risk.  The value-chain approach in agricultural financing is recognized globally as one of the financing schemes that have a potential for promoting inclusive growth in rural areas.

Under the AFFP-VCFP, the initial funding of P50 million from ACPC will be used to support the implementation of a value-chain financing facility for farmers or groups of farmers registered in the Registry System for Basic Sectors in Agriculture (RSBSA) and with market tie-up with established buyers. The Postbank matched the loan fund with its own counterpart fund equivalent to at least the amount of loans availed under the Program.

Postbank was selected to be the program partner for the AFFP-VCFP because it is presently already implementing a corn value-chain project (production-processing-bulk handling-marketing) with ZDMC Grains, Inc. (ZGI) in Zamboanga del Norte, which is aligned with the DA’s “Road Map” for corn development in Zamboanga del Norte. The additional funding support from ACPC will enable Postbank to finance value-chain financing activities of small corn farmers in Zamboanga del Norte that will provide the supply of corn grains needed by ZGI to ensure sustainability of the project and provide corn farmers access to low cost financing, thus, enhancing productivity and income.

Postbank extends AFFP-VCFP loans at 15% interest per annum to corn farmer-producers who have established/existing market tie-ups with corn buyers.

The Bukidnon Cooperative Bank, on the other hand, was tapped to extend value-chain financing activities of small corn farmers in the province of Bukidnon.

The Program was implemented in the priority areas of the DA, initially in the provinces of Bukidnon and Zamboanga del Norte. Other provinces may be covered subject to criteria to be set by the DA. Sec. Alcala also wants other commodities such as cassava, rubber, banana, and cacao to later be considered for inclusion under the Program.

During the check turn-over ceremony, DA-ACPC Executive Director Jovita M. Corpuz, handed over the P40 M check to Postbank President and CEO Cesar N.  Sarino.. The event was witnessed by ACPC Deputy Executive Director Ramon C. Yedra and other ACPC officers together with Postbank Senior Vice President Higinio C. Fabian and     Postbank Manager Glenda Llanera. The P10 M check for the Bukidnon Cooperative Bank was handed over to its General Manager, Wilhelmia Ferrer.

The Value Chain Financing Project is implemented within a period of one year. Other programs being  implemented by DA-ACPC under the AFFP are: 1) AFFP Sikat Saka II; 2) Agrarian Production Credit Program (APCP); 3) ACPC-PCFC AFFP Agri-Microfinance Program (AMP); 4) Cooperative Banks Agri-Lending Program (CBAP) – II; 5) Value Chain Financing Program (VCFP);  and 6) Climate Change Adaptation Financing Program (CCAFP).

As of December 2015, P8.31 million was released by the Postbank and Cooperative Bank of Bukidnon benefiting 3 6 corn farmers.

The financial assistance provided in the form of soft loans are to be used by the farmers’ cooperatives as working capital for their rice trading activities – from procuring the rice produce of farmers to the processing and trading of milled rice. The loans are payable in 3 to 4 years and to be amortized semi-annually with a grace period of one year. The ACPC validated the RPCs to determine their operational condition and financing requirements.

The ACPC released a total of P13 million in the 3^rd quarter of 2016 to cooperative-recipients in three regions: P5.5 million to 7 cooperatives in Region 4B, P5 million to 9 cooperatives in Region 5, and P2.5 million to 5 cooperatives in Region 12. The loans helped finance production during the first cropping season.

Another P2.5 million is programmed to be released within 2016 to five (5) more cooperatives in Regions 3 and 12.

The DA RPCs are grains-processing and storage centers equipped with post-harvest facilities such as a multi-pass milling system (composed of rice hullers, aspirators, color sorter and length grader) and technologies to improve the efficiency of rice production, milling, drying and storage. Each facility has a minimum of 65 percent milling recovery compared to the 50% recovery rate of a single-pass rice mill of commercial millers thereby reducing postharvest losses. The RPCs also help in increasing farmers’ incomes by producing quality milled rice, improving distribution, and maximizing utilization of byproducts.

Under the National Rice Program, the DA constructed 170 RPCs nationwide to optimize the utilization of rice farms and labor productivity. The granting of RPCs to eligible farmers associations/organizations helped in reducing the dependence of small farmers to commercial rice millers and improve rice farmers income.

RPCs are classified according to their production capacity. The P6 million small-scale rice center or RPC-1 is equipped with a multi-pass miller with a 1.2 ton per hour output capacity and a warehouse. The medium-sized rice center or RPC-2 cost around P12 million and equipped with a two-ton per hour multi-pass miller and a warehouse.

The ACPC is also recommending to DA Secretary Piñol the approval of financing assistance for another 16 RPC-recipient cooperatives.

As the DA Secretary’s alternate in the Governing Council, Usec. Laviña is tasked with the responsibility of carrying out Secretary Piñol’s development agenda of providing faster and easier access to credit for marginalized farmers and fishers.

For this role, Usec. Laviña will again draw from her firsthand knowledge and experience in agriculture and fisheries that she has gained from a lifetime of learning.

Before joining the DA, Usec. Laviña untiringly worked for the promotion of agribusiness in Davao during her involvement in various professional/civic organizations and chambers. These include the Cacao Industry Development Association of Mindanao Inc. (CIDAMI) as founding Treasurer; President of the Floriculture Industry of Davao Inc. (FIDI); Treasurer of the Agricultural Development Board of Davao; Treasurer of Mindanao Orchid Society; Davao Food Processors Association; and Vice President for Agribusiness of the Davao City Chamber of Commerce and Industry Inc. (DCCCII).

Usec Laviña is no stranger to farming despite being a Davao City lass. As the eldest among the eight siblings of couple Virgilio Gonzales and Emily Bantolinao, her upbringing involved helping manage the family rice farm and fishponds in Davao del Norte where they raise tiger prawns and milkfish. She then ventured into high-value crops when the 30-hectare fishpond property was later sold. The family replaced it with a 35-hectare mango farm in Davao del Sur which Usec. Laviña intercropped with coffee and cacao. Wanting to broaden her management skills, she again ventured into aquaculture as one of the pioneers in catfish production in Davao City.

Usec. Laviña taught at the University of Immaculate Concepcion right after graduating with a degree in Pharmacy. An educator, she believes in the value of continuous learning. She received various trainings in business development which include international exposures on food safety and food packaging (Thailand; Beijing); market study (Japan; Hongkong), and partnership building for voluntary business support organizations (Australia).

These experiences and trainings strengthened her advocacy in promoting agri-enterprises in Davao. Usec. Laviña also hosted a television program in Davao titled Mag-Agri sa Dabaw where she helped in promoting agribusiness particularly in high value crops (banana, pineapple, mango, vegetables, coconut, oil palm, and herbal plants), livestock and poultry as well as aquaculture, organic farming, hydroponics, and others.

In a short time after being designated as High Value Crops and Rural Credit Undersecretary, Usec. Laviña, together with Secretary Piñol, was able to link farmers and fishers with big supermarkets and food chains. She is currently working with the onion farmers’ group to determine how much financing is needed for marketing purposes to implement the onion supply agreement with these volume buyers. She has also signified her intention to reduce the documentary requirements and interest rate on these loans.

Usec. Laviña is married to former Davao City Councilor and now newly-appointed National Irrigation Administration (NIA) Administrator Peter T. Laviña. They have four children: Lenin Angelo or LA, a 29-year old computer graphic artist; Roschelin or Muchy, the 27-year old marketing and communications graduate who is into modelling; Kyra Angeline or Angel, a 25-year old food technology graduate; and the youngest, Eccel Deo or XC, 17-year old marketing student.

The launching of PUNLA coincided with the visit of Sec. Pinol in Catarman and Borongan where he turned-over agri-fishery projects including motorized fiberglass fishing boats and gears, farm machineries, equipment and other agricultural inputs. A dialogue session “Tapatan” with farmers, fisherfolk, local chief executives, agricultural extension workers and other stakeholders was conducted during the event.

The PUNLA is a credit facility under the Agro-Industry Modernization Credit and Financing Program (AMCFP). It aims to address the financial needs of marginal farmers and fisherfolk for fast, convenient and affordable credit to strengthen delivery of agricultural credit and increase outreach to more small farmers and fishers. The program is grounded on four (4) strategic pillars, namely: (i) Make credit access easy and convenient; (ii) Bring down interest rates; (iii) Expand credit delivery channels; and (iv) Ensure sustainability of credit.

Non-collateralized loans for agri-fishery production and agri-microfinance will be made available to the marginalized farmers and fishers in the 10 poorest provinces in the country. Borrowers may avail themselves of up to P150,000 loan at 6-percent interest rate with one-year maturity. Farmers’ Organizations (FOs), cooperatives and non-government organizations (NGOs) will be tapped as lending conduits in the delivery of credit to intended beneficiaries of the program. Such lending conduits shall be supported and capacitated thru an Institutional Capacity Building (ICB) component to enable them to effectively implement the PUNLA credit system.

The initial amount of P200 million is allocated for the implementation of PUNLA in the 10 poorest provinces. The ACPC has created an ACPC Task Force for the PUNLA Program headed by ACPC Deputy Executive Director Ramon C. Yedra and composed of the designated provincial focal persons as follows:

1. Apayao – Adoracion G. Garcia
2. Eastern Samar – Rudyard R. Roxas
3. Western Samar – Bieth D. Gerardo
4. Northern Samar – Rufino T. Estrada, Jr
5. Negros Oriental – Noel Clarence M. Ducusin
6. Zamboanga del Norte – Alvin U. Cabato
7. Lanao del Sur – Dina T. Mejias
8. Cotabato –Joel Q. Matira
9. Sarangani – Charleston M. Dulay
10. Maguindano – Ronnie B. Tabucanon

The ACPC PUNLA Provincial Focal Persons are responsible in facilitating program implementation. The shall prepare the work plan and implementation targets for PUNLA in their respective assignments; coordinate with the DA-RFOs and provincial and municipal LGUs on the activities for the implementation of PUNLA and identify potential lending conduits , validate eligibility of interested applicants , assist eligible interested conduits in credit project proposal preparation, evaluate their capacity and funding requirements to implement proposed credit project and make recommendations for the purpose.

Other areas may be included as may be deemed critical for development intervention by the Department of Agriculture (DA).

Department of Agriculture (DA) Secretary and ACPC Chair Emmanuel F. Pinol, together with Agricultural Credit Policy Council (ACPC) Executive Director Jocelyn Alma R. Badiola launched the Program for Unified Lending to Agriculture Special Lending Facility for Marginal Farmers and Fisherfolk (PUNLA) in Catarman, Northern Samar and in Borongan, Eastern Samar on September 8 and 9, 2016, respectively.

Tapatan with Department of Agriculture (DA) Secretary and ACPC Chair Emmanuel F. Pinol

Secretary Piñol, along with other ACPC Governing Council members, approved the appointment of Exec. Dir. Badiola to the position of Executive Director of the ACPC on October 1, 2016. The ACPC Governing Council members are Governor Amando M. Tetangco, Jr. of the Bangko Sentral ng Pilipinas (BSP), Secretary Carlos G. Dominguez III of the Department of Finance (DoF), Secretary Benjamin E. Diokno of the Department of Budget and Management (DBM) and Director General Ernesto M. Pernia of the National Economic Development Authority (NEDA).

In nominating her to the other Council members, Secretary Piñol stated that he saw that “Ms Badiola has the qualifications and capabilities to carry out the mandates and programs of the ACPC.”

Exec. Dir. Badiola started working in 1985 as a Staff Researcher of the Technical Board for Agricultural Credit (TBAC) where she analyzed and interpreted processed data on lending operations of agricultural credit programs for policy-makers. She also participated in the conduct of field research work and surveys on rural finance projects.

“I can proudly say that I am among the pioneers of ACPC,” she declares. With the change of administration in 1986, the TBAC became the Agricultural Credit Policy Council (ACPC) and was attached to the Department of Agriculture (DA). In the initial years of ACPC, Jojo (as Ms Badiola is called) was appointed Senior Planning Officer, providing support to the Policy Development and Planning Staff (PDPS) in the conduct of research, monitoring and evaluation and policy advocacy activities until 1988. By 1989, she was appointed Chief of PDPS as Project Development Officer V. Then, she became the Director of PDPS. From 1997 to 2016, she has served as the Deputy Executive Director of ACPC for almost two decades. In May 2001 to August 2001, she was appointed as Officer-in-Charge of the ACPC.

In 2010, Ms. Badiola was appointed as Executive Director of the Congressional Oversight Committee in Agricultural and Fisheries Modernization (COCAFM) at the Senate of the Philippines until 2013 (on secondment from the ACPC as Deputy Executive Director). As Executive Director of COCAFM, she provided technical as well as secretariat support to the members of COCAFM both from the Senate and Congress in determining and discussing crucial issues affecting the agriculture and fisheries sector and of legislation in accordance with the provisions of AFMA.

In her 30 years of experience working in the government, Exec. Dir. Badiola, a Career Executive Officer (CESO), has done extensive work on policy research and advocacy on various development issues, capacity building, program development and/or packaging, project management including monitoring and evaluation, conceptualization and administration of farm/household surveys as well as linkaging with the legislative branch of government (senate and congress), national government agencies, multi-lateral and bilateral organizations.

She has done consultancy work for international institutions like the International Fund for Agricultural Development (IFAD), United Nations Development Program (UNDP), the World Bank, the International Finance Corportation (IFC), the United States Agency for International Development (USAID), the European Union, Japan Bank for International Cooperation (JBIC), Asian Productivity Organization (APO), the Asia Pacific Rural and Agricultural Credit Association (APRACA), CODESPA of Spain and non-government organizations in the Philippines. She has likewise been invited as resource speaker on various rural development issues in the Philippines and in other countries as well.

A rural finance/microfinance expert, Ms Badiola is on leave as part-time professor at the University of the Philippines Diliman Extension Program in Clark, Pampanga where she teaches Economics.

The cooperative banks with approved fund allocations are: Cooperative Bank of Ilocos Norte, Ilocos Sur Cooperative Bank, Cooperative Bank of La Union, Cooperative Bank of Nueva Vizcaya, First Isabela Cooperative Bank, Cooperative Bank of Negros Oriental, Cooperative Bank of Misamis Oriental, Bukidnon Cooperative Bank and Cooperative Bank of Cotabato. The cooperative banks have each executed a memorandum of agreement (MOA) with ACPC and have complied with all the documentary requirements for the release of their respective fund allocations within the month of September 2016 in accordance with the CCAFP cash program submitted to the Department of Budget and Management (DBM).

A total of P105 million fund has been approved in favor of ten cooperative banks that have applied under the CCAFP. The funds will be drawn against the P150 million CCAFP Fund under ACPC’s approved P2.0 billion in the General Appropriations Act (GAA) of 2015.

The CCAFP is a P150 million special credit facility to encourage adoption by non-ARB small farmers/fisherfolk of climate change adaptation practices and technologies such as planting of new crop varieties developed to withstand certain adverse effects of climate change (e.g. drought-tolerant, submergence-tolerant, early-maturing crops). The CCAFP will serve as a pre-disaster intervention focused on prevention and preparedness to complement ACPC’s Calamity Assistance Financing Program which serves as a post-disaster, quick response mechanism focusing on rehabilitation and recovery of agricultural households affected by extreme weather events and calamities.

Loans to small farmers/fisherfolk to encourage them to adopt the DA-recommended climate change adaptation practices and technologies will be extended through the cooperative banks. The Program will coordinate with concerned DA units for the provision of necessary technical support – such as identification of technologies to be promoted for financing, training and education on appropriate technologies and technology information materials.

The target beneficiaries are the small farmers and fisherfolk registered under the Registry System for Basic Sectors in Agriculture (RSBSA). Priority commodities to be financed by the program are rice, corn, livestock and poultry, coconut and other high value crops, fishery and other commodities prioritized by the DA. The CCAFP will be implemented in provinces covered by the 18 priority river basins in the country (Table 1) and the provinces affected by Typhoon Yolanda (Table 2).

CCAFP is part of the Adaptation and Mitigation Initiative in Agriculture (AMIA) being implemented by the DASWCCO. AMIA aims to establish resilient yet progressive agriculture and fishery livelihoods and communities through the provision of highly responsive agriculture and fishery support services. This will be done through the implementation of seven systems-wide mainstreaming programs: (1) Strategic mainstreaming climate change adaptation and mitigation in agriculture; (2) Climate Information System (CIS); (3) Philippine Adaptation and Mitigation in Agriculture Knowledge Toolbox; (4) Climate-Resilient Agriculture Infrastructure: (5) Adaptation Financing and Risk Transfer Instruments; (6) Climate-Resilient Agriculture and Fisheries Regulations; and (7) Climate-Resilient Agriculture and Fishery Extension System. CCAFP is under the Adaptation Financing and Risk Transfer Instruments of AMIA.

Table 1. Eighteen Major River Basins in the Philippines

Table 2. RSBSA-Provinces Affected by Typhoon Yolanda

PLEA is a special credit facility designed to address the financial needs of marginal and small farmers and fisherfolk for a fast, convenient and affordable credit. Non-collateralized loans for agri-fishery production will be provided under the PLEA through cooperative banks, cooperatives and non-government organizations (NGOs) as credit delivery channels (lending conduits). The program was launched in the town of Malimono which is considered as one of the country's poorest fishing and agriculture areas with a poverty incidence rate per family of 90%. P15 million was downloaded to the Malimono MPC by the ACPC for the program. The maximum loanable amount a farmer or fisherfolk can borrow under the PLEA Program is P50,000, depending on the type of agri-fishery commodity. The loan is payable from two to 10 years with an interest rate of 6% per annum or 0.5% per month (i.e., P3,000/year or P250/month for a P50,000 loan). Commodities financed under the PLEA are also covered with crop insurance by the Philippine Crop Insurance Corporation (PCIC).

Farmers and fisherfolk borrowers of the program are also be enrolled in the Juan Magsasaka at Mangingisda National Database System and will also be geo-tagged by the DA- Information Communications Technology Service (ICTS) to establish the location of their farms and fishing grounds. Aside from Malimono in Surigao del Norte, PLEA is also being piloted in other areas with high poverty incidence: 1) Bongabon, Nueva Ecija; 2) Wao, Lanao del Sur; 3) Banisilan, Cotabato; 4) Pitogo, Bohol; 5) Laguna de Bay; 6) Midsayap, Cotabato; 7) M’lang, Cotabato, 8) Isabela; and 9) Kalinga, 10) Koronadal, South Cotabato and other areas that have been identified for development intervention by the DA.

ACPC Executive Director Jocelyn Alma R. Badiola heads the Task Group for the implementation of the PLEA with Philippine Crop Insurance Corporation (PCIC) President Jovy Bernabe and DA – Information, Communications Technology Service Director Clint Hassan as members. Exec. Dir. Badiola went to Malimono for initial talks with the local government officials regarding PLEA on April 4-7, 2017, a few days after Sec. Piñol’s Biyaheng Bukid in Surigao del Norte, where Sec. Piñol introduced the PLEA to Malimono. Having grown up in a farm himself, Sec. Piñol conceptualized the program, which he knows is what the farmers and fisherfolk need for them to have access to better production inputs and equipment. PLEA is one of the programs of the DA that will help ensure sustained growth in the farming and fisheries sector, which, in the First Quarter of 2017 showed a spectacular growth of 5.28%. The program is considered by the DA as a crucial component for revitalizing the rural economy and addressing poverty in the countryside.

The first batch of 80 farmers from Marawi received P5, 000 cash each for subsistence (survival package) during the check turn-over on July 22, 2017 in Iligan City. Farmers and fisherfolk who are eligible to borrow under the SURE Assistance Program may avail themselves of P25, 000 loan to enable them to finance the requirements of rehabilitating their farming and/or fishing areas and other livelihood activities.

Implemented by the DA-ACPC, the SURE Assistance Program aims to support the government’s goal of helping agricultural households in calamity-affected areas regain their capacity to earn a living and provide immediate relief to small farmers and fisherfolk. Through the SURE Assistance Program, the DA-ACPC is hopeful that the loans would help the affected small farmers and fisherfolk, particularly those who had to leave their lands/fishing grounds due to attacks by the terrorist group, to recuperate despite the on-going feud in Marawi.

Eligible borrowers under the program are small farmers and fisherfolk listed under the Registry System of Basic Sectors in Agriculture (RSBSA) whose livelihood was affected by the calamity. The program offers 0% interest and a maximum loanable amount of P25, 000. Loans have a maturity period of up to 3 years as determined by the lending conduit depending on the gestation of the project financed and capacity of the borrower to repay the loan.

The check turn-over ceremonies was held on August 10, 2017 at Villa Caceres Hotel in Naga City. The ACPC is represented by its Monitoring and Evaluation Director Ma. Cristina G. Lopez, Program Development Officer Celedonio P. Pereyra, and Information Technology Officer Rumina A. Gil. The Department of Agriculture – Regional Field Office V (DA-RFO V) is represented by Regional Technical Director Rodel R. Tornilla, Agribusiness Marketing Assistance Division (AMAD) Chief Adelina A. Losa, and Agriculturist II Norbert Bryan S. Elgario during the turn-over ceremonies.

The six lending conduits tapped by the ACPC for the implementation of SURE in Camarines Sur and Catanduanes are: Camsur Multi-Purpose Cooperative in Pili, Camarines Sur; Magarao Multi-Purpose Cooperative of Barangay Casuray, Magarao, Camarines Sur; San Antonio Farmers Multi-Purpose Cooperative of Buhi, Camarines Sur; Sampaloc Multi-Purpose Cooperative of Gainza, Camarines Sur; Pinoy-Lingap Multi-Purpose Cooperative of Cavinta, Virac, Catanduanes and Maymatan Farmers Multi-Purpose Cooperative.

Mr.  Pereyra, presented the features of the SURE Assistance Program before the check turn-over ceremonies. The Managers/Chairs of the six lending conduits gave their messages regarding the program. Dir. Lopez gave a message on behalf of ACPC Exec. Dir. Jocelyn Alma R. Badiola. Also present during the check turn-over ceremonies were representatives of the municipalities of Camarines Sur and Catanduanes and officers of the six lending conduits.

The SURE Assistance Program is a post-disaster facility which provides loan assistance to calamity-affected small farmers and fisherfolk and their households through partner-financial institutions and/or lending conduits. Conceptualized by Department of Agriculture (DA) Secretary Manny F. Pinol, the SURE Assistance Program caters to small farmers and fishers whose livelihoods had been affected by calamities. Interest-free loans of not more than P25,000 per borrower are provided to eligible borrowers to finance the requirements of rehabilitating their farming and/or fishing or livelihood activities  including production inputs, repair of farm/fishery assets and acquisition of livestock/work animals.

The areas covered under the program are those areas declared under a state of calamity by the concerned local government units and validated by the DA and/or by the local office of the National Disaster Risk Reduction and Management Council (NDRRMC) to have sustained considerable damage to agriculture due to natural calamities. Typhoon Niña devastated three Bicol provinces and wrought heavy damage on the agriculture sector in December 2016. The number of farmers affected from the provinces of Camarines Sur, Catanduanes and Albay totaled to 82,793. The value of production loss was estimated at P4.1 billion.

The P10 million fund will cater to the production requirements of marginal and small farmers and fisherfolk in the Municipality of Pitogo, which is one of the 27 areas covered by the PLEA program.

The simple ceremony, attended by more than 200 locals from various barangays in Pitogo, also featured the Bureau of Fisheries & Aquatic Resources (BFAR) VII’s turn-over of 171 pump boat engines to identified recipients. The BFAR VII previously granted 171 fiber glass boats to the same grantees.  As committed by DA Secretary Emmanuel F. Piñol, 129 more boats and engines are expected to be given to local fishers.

Municipal Mayor Fernando Estavilla welcomed the support from the DA saying that the PLEA program will be a huge boost in the profit of their farmers and fishermen as it has a very minimal interest rate compared to other lending institutions. He assured the DA that the LGU, with the help of the BFAR Region VII, will constantly monitor the beneficiaries to make sure that the loans and the grants will be put to good use.

Mayor Estavilla added that since 70% to 80% of the locals are fishers, one of his top priorities is to make their island illegal-fishing free. Hence, he has created a task force that patrols within the municipal water 24/7 while also serving as a response team during disasters. As a result of the LGU’s efforts, Pitogo was the only municipality in Bohol that qualified for the DA-BFAR’s program called Malinis at Masaganang Karagatan (MMK), which will award coastal municipalities for their efforts in protecting and conserving marine environments.

“By providing easy credit, we hope to help make it easy for target beneficiaries to produce enough to support their daily needs and to produce more for a bigger harvest or a bigger catch in the future” said Undersecretary Evelyn Laviña of the DA-HVCRC in her speech read by her Chief of Staff, Atty. Joycel Panlilio.

During the activity, DA-ACPC’s Public Affairs and Communication Division Chief Emmalyn Guinto oriented the participants, who are mainly fisherfolk, on the PLEA program.

As discussed by Ms. Guinto, the purpose of the PLEA program is to finance the production of crops, livestock, poultry and the requirements in fishing activity. The loan limit is based on the project requirement and repayment capacity of the borrower as evaluated by the lending conduit up to P50,000 at 6% per annum or 0.5% per month.

On the other hand, Claims Adjustment Division Chief Aniceto Rebayla of the Philippine Crop Insurance Corporation provided a briefing on crop insurance for the PLEA program beneficiaries.

Meanwhile, BFAR Region VII Director Allan Poquita said that the financial support and the grant of fishing equipment will greatly help in the stability of the economy and will improve the lives of local fishers who can now sustainably supply products not only the local markets but also the nearby provinces.

“We would like to thank the DA-ACPC for entrusting us again as one of their partners for this loan disbursement”, said OCCCI Branch Manager Ginalyn Pala who also assured the ACPC that the financial assistance will strictly be extended to those who are qualified for the program.

Usec. Laviña guaranteed that the DA, through the ACPC, will continue to improve ways by which easy credit is brought to deserving Filipinos and that they will even be trained so that the amount they borrowed is invested properly.

“Sa inyo talaga nakasalalay ang tagumpay. Kayo ang nakabilad sa araw, bumubungkal ng lupa, nagtatanim at naglalayad sa karagatan para sa mayamang huli. Alam naming ang inyong hirap at asahan nyo ang patuloy naming pag-alalay. Kung Hindi dahil sa inyo, wala kaming maihahain sa aming hapag-kainan. Maraming salamat sa napakalaking tulong na ibinibigay ninyo sa amin. Buo ang tiwala namin sa inyong kakayahan,” said Usec. Laviña in honor of the hard-working farmers and fisherfolk.

The SURE Assistance Program is a post-disaster facility which provides loan assistance to calamity-affected small farmers and fisherfolk and their households through partner-financial institutions and lending conduits. It caters to small farmers and fishers whose livelihoods had been affected by calamities. Interest-free loans of not more than P25,000 per borrower are provided to eligible borrowers to finance the requirements of rehabilitating their farming and/or fishing or livelihood activities.

The poultry raisers and workers who received financial assistance were Gertrudes Flores, Eryl Santos, Augusto Sambile, Jesus Sambile and Robert Tiangco, Frederick Romero, Mark Flores, Albert Sambile, Jaypee Dantis and Eddie Rodriguez. All beneficiaries are from Barangay San Carlos, San Luis, Pampanga.

President Duterte also released an initial amount of P29 million to poultry raisers from San Luis, Pampanga and San Isidro and Jaen, Nueva Ecija as compensation for the more than 600,000 chickens, ducks and quails that were culled as part of the clean-up operations.

The initial amount released was the first payment of the total of P43.31 million which the DA vowed to release to all affected farmers whose fowls were culled in the anti-bird flu operations.

In the same forum, President Duterte proved that it is safe to eat chicken and other poultry products by joining in the “boodle fight”.

He was joined by DA Secretary Emmanuel Pinol, former President and now Pampanga Representative Gloria Macapagal Arroyo, Health Secretary Paulyn Ubial, Pampanga Governor Lilia Pineda, Nueva Ecija Governor Czarina Umali and other DA and local government officials from Pampanga, Nueva Ecija and Bulacan.

The President also awarded the staff of Department of Health (DOH), the Department of Social Welfare and Development (DSWD), the Bureau of Fire Protection (BFP), the Philippine National Police (PNP) and the Armed Forces of the Philippines (AFP) who have assisted in the culling operations and quarantine in Pampanga and Nueva Ecija.

President Rodrigo Roa Duterte together with the Agriculture Secretary Emmanuel F. Piñol handed over the checks to poultry raisers and workers from San Luis, Pampanga affected by the Avian Influenza Virus (AIV) during the forum "Sama-Sama, Tulong-Tulong sa Pagbangon at Pagsulong" at Heroes’ Hall in San Fernando, Pampanga on August 28, 2017.

Department of Agriculture (DA) Secretary Emmanuel F. Piñol said that the cooperation of government agencies, industry stakeholders and the public at large helped in containing the spread of the Avian Influenza Virus (AIV). Through Sec. Piñol’s efforts, poultry raisers and workers in San Luis, Pampanga will be able to avail themselves of financial assistance through the DA-ACPC Survival and Recovery (SURE) Assistance Program being implemented by the ACPC.

Agriculture Secretary Emmanuel Piñol said vegetable farmers of Cordillera who availed P6.1 million under the Production Loan Easy Access (PLEA) program enjoyed a 100 percent repayment record.

“When I introduced this program, I was met with comments by oppositionists who said that farmers and fishermen have a reputation of not paying back their loans. I argued that credit should be made easier for our farmers and fisher folks because this is critical to their productivity,” Piñol said.

According to the ACPC, 83 percent of the farmer borrowers in the Cordillera are first time borrowers of the partner conduits and formal lenders.

“If this continues, the DA will be able to reach farmers who are called by the Bangko Sentral ng Pilipinas as ‘financially excluded’ meaning they had no access to formal credit,” ACPC executive director Joyce Badiola said.

The PLEA is a non-collateralized loaning program with funds coming from the DA-attached agency Agricultural Credit Policy Council (ACPC) which channels it through accredited rural banks, credit cooperatives and farmers associations.

It imposes a six percent interest per year which goes to the conduit banks and loans ranging from P5,000 to P50,000 for various crops and could reach up to P50 million for farm equipment.

Since its launch early this year, 48 provinces have been covered by the PLEA and a total of P750 million has been transferred to 117 lending conduits which extended loans to 28,266 farmers and fishermen.

“As an added safeguard to the loaning program, I have directed ACPC to assign a project management officer for every loan package in specific areas where the PLEA is now being granted,” Piñol said.

The fund is part of the P10 million allocation for the municipality of Banisilan under the PLEA Program. Banisilan is an upland second-class municipality in the province of North with a total land area of 57,722 hectares mostly devoted to agri-production of upland rice, corn, cassava, palm oil, rubber, banana, and sugarcane. The P5 million loan fund will benefit 200 farmer-members of 18 farmer associations (FAs) in the area.

The initial release came into fruition from a series of meetings starting in May 2017 when ACPC Executive Director Jocelyn Alma R. Badiola and staff visited Banisilan and met with officers of farmer organizations and associations in the area to discuss financial needs for their farming activities. During the meeting coordinated by the office of Banisilan Mayor Jesus F. Alisasis, Executive Director Badiola talked to representatives of farmer organization/associations in line with the implementation of the program. Among the problems discussed was the lack of banks in the area. ACPC tapped Alamad Multi-Purpose Cooperative (MPC) as partner financial institution in the implementation of the program in Banisilan including the neighboring municipality of Alamada. AMPC and the 18 FAs will conduct identification and screening of farmers qualified for the program.

The GSAC, the entry of DA Regional Field Office (DA-RFO) 5, was chosen by the 5-man Board of Judges (BOJ) during the Gawad Saka BOJ Deliberation held on October 6, 2017 at the Agricultural Training Institute (ATI) in Diliman, Quezon City. The BOJ conducted the final review, evaluation and selection of winner among the top three (3) national finalists presented by the Gawad Saka OSFFO National Technical Committee (NTC).

In selecting the national winner, the BOJ, headed by former Asst. Director of the Agricultural Training Institute (ATI) Alberto B. Maningding and now Chairman of the Municipal Agricultural and Fishery Council (MAFC) of Calasiao, Pangasinan, gave credence not only to the overall performance of the nominees over the two-year period but also to their potential for growth beyond the awarding period.

Prior to being this year’s OSFFO awardee, GSAC was recognized by the Villar Social Institute for Poverty Alleviation and Governance (SIPAG) for its various community enterprises which serve as models of good practices in income generation and poverty reduction.

The Gubat St. Anthony Cooperative was formed out of the need to uplift the economic and social well-being of the members and its community. Established in 1964, GSAC started out with an initial funding of P222 pooled from the 30 founding members for its lending activity. From a single-line operation, GSAC now offers multifarious services to address the needs of its 25,000 members from “womb to tomb”. The cooperative now has more than P1 billion in total assets. GSAC’s future plan is to venture into manufacturing and export to be able to empower its members and maximize profit.

GSAC will be awarded with a Presidential Citation for its achievement along with a P300,000 worth of project grant and P50,000 cash award in a ceremony at the Malacañang Palace in 2018.

The Gawad Saka Search for Outstanding Achievers in Agriculture and Fisheries is an annual recognition given to individuals and groups in various categories that showed outstanding performance in the agriculture and fisheries sector. Awardees were also judged based on their conformity to the DA’s revitalized programs on food security and sufficiency in the face of global food crisis.

The 12 regional nominees for this year’s search for OSFOO are Cordillera Administrative Region’s Calaocan Farmer Association in Rizal, Kalinga; Region 1’s Bagnos Multi-Purpose Cooperative in Banna, Ilocos Norte; Region 3’s Talabutab Norte Multi-Purpose Cooperative in Gen. M. Natividad, Nueva Ecija; CALABARZON’s Barigon Multi-Purpose Cooperative in Agoncillo, Batangas; MIMAROPA’s Caruray Farmers Association in San Vicente, Palawan; Region 5’s Gubat St. Anthony Cooperative in Gubat, Sorsogon; Region 6’s Lezo Multi-Purpose Cooperative in Lezo, Aklan; Region 7’s San Isidro Pilar Palayamanan Farmers Association in Pilar, Bohol; Region 8’s San Mateo Small Fisherfolk Association, Inc. in Carigara, Leyte; Region 11’s People's Officials, Employees, & Community Multi-Purpose Cooperative in Polanco, Zamboang del Norte; Region 12’s Bulacanon Irrigators Association in Makilala, Cotabato; and Region 13’s San Isidro Upland Farmers Multi-Purpose Cooperative in Santiago, Agusan del Norte.

The OSSFO National Technical Committee, which conducted technical and field validations, is composed of the Agricultural Credit Policy Council (ACPC) Executive Director Jocelyn Alma R. Badiola, Chair; Philippine Fiber Industry Development Authority (PhilFIDA) Deputy Executive Director Engr. Petronilo B. Jabay, Vice-Chair; and members Director Norman William S. Kraft of ACPC, Marilou Esterlina D. Arifalo of the Bureau of Animal Industry (BAI), Marlene Calangian of the Bureau of Fisheries and Aquatic Resources (BFAR), Arlene Solomon of DA Legislative Liaison Office (DALLO), Celedonio Pereyra of ACPC, and Sherrie Dreje of the Agricultural Training Institute (ATI).

ACPC’s Ariane Cornejo, Joan Vargas, and Rudyard R. Roxas provided administrative and logistical support as the Secretariat/Coordinator.

Under the PLEA, a total of P675 million were released to 25,256 small farmers and fisherfolk (SFF) through 84 lending conduits.  The program covers a total of 49 areas identified by the DA based on poverty incidence and concentration of marginal farmers and fishers unserved by banks.

The PLEA program provides non-collateralized loans to marginalized and small farmers and fishers. The loans are coursed through grassroot-based organizations for easier credit access. These include cooperatives, coopbanks, farmer associations, people’s organizations, and other institutions that have been evaluated as qualified lending conduits based on program policies and implementing guidelines.

The maximum loanable amount a farmer or fisherfolk can borrow under the PLEA Program is P50,000, depending on the type of agri-fishery commodity. The loan is payable from two to 10 years with an interest rate of 6% per annum or 0.5% per month (i.e., P3,000/year or P250/month for a P50,000 loan). Commodities financed under the PLEA are also covered with crop insurance by the Philippine Crop Insurance Corporation (PCIC).

PLEA is being implemented in the following areas: Apayao, Benguet and Kalinga in Cordillera Autonomous Region (CAR); Ilocos Norte, Ilocos Sur, La Union and Pangasinan in Region I; Isabela in Region II; Bongabon, Nueva Ecija and Bataan in Region III; Cavite, Laguna, Batangas, and Quezon in  CALABARZON; Oriental and Occidental Mindoro,  Romblon and Palawan in MIMAROPA; Iloilo, Negros Occidental, Aklan and Antique in Region VI; Bohol, Cebu, Negros Oriental and Siquijor in Region VII; Eastern Samar, Northern Samar and Western Samar in Region VIII; Zamboanga del Norte in Region IX; Bukidnon, Lanao del Norte and Misamis Occidental in Region X; Davao in Region XI; Cotabato, Sarangani, South Cotabato and Sultan Kudarat, in Region XII; Agusan del Sur, Surigao del Norte, Surigao del Sur, in Region XIII; Basilan, Tawi-tawi,  Lanao del Sur, Sulu and Maguindanao in ARMM.

To ensure an effective and sustainable delivery of credit to intended borrowers, the program also provides institutional and capacity building (ICB) support to lending conduits. Through the ICB component of the program, support training such as Credit Project Planning Workshop and Credit Worthiness Seminar are conducted.  During the Credit Project Planning Workshop, lending policies and procedures to be adopted by the lending conduit in the implementation of the program are formulated. Credit Worthiness Seminar, on the other hand, orients prospective borrowers on the guidelines and processes involved to avail of the loan program, and enhance their capabilities in managing effectively such as using loans as indicated in their farm plan and budget.

On the other hand, SURE has released loans of P66.96 million to 4,129 calamity affected SFFs through 11 lending conduits serving areas which have been declared under a state of calamity by the concerned local government units.  These areas have also been validated by the DA and/or by the local office of the National Disaster Risk Reduction and Management Council (NDRRMC) to have sustained considerable damage to agriculture due to natural calamities.

The SURE Assistance Program is a quick-response, post-disaster support facility for calamity affected small farmers and fisherfolk and their households. It provides emergency loan (P5000) and rehabilitation loan (P20,000) at zero interest. Emergency loans are released within three days and recovery loans within 30 days payable up to three years through farmers organizations or cooperatives. One-year moratorium is provided for loan payment for existing borrowers who have outstanding loans under other ACPC programs.

The areas which have been declared under state of calamity are the following: Camarines Sur and Catanduanes, affected by Typhoon Nina in January 2017; Agusan del Sur and Norte, affected by Tropical Depression Auring in January 2017; Carmen and Danao, Cebu, affected by Tropical Depression Crising; Marawi City due to the Marawi Crisis in May 2017; San Luis, Pampanga and San Isidro and Jaen, Nueva Ecija which were hit by Avian Influenza in August 2017.

PLEA is a special credit facility designed to address the financial needs of marginal and small farmers and fisherfolk for a fast, convenient and affordable credit. Non-collateralized loans for agri-fishery production will be provided under the PLEA through cooperative banks, cooperatives and non-government organizations (NGOs) as credit delivery channels. The loan is payable from two to 10 years with an interest rate of 6% per annum.

Aid for Siquijor farmers and fishers

ACPC turned over P2.25 million to the Paglaum Multi-Purpose Cooperative under the PLEA program in Siquijor last September 14, 2017. The ACPC also partnered with the Catulayan Community Multi-Purpose Cooperative (CCMPC) with a P5 million allocation and the Cooperative Bank of Negros Oriental (CBNO) with a P2 million allocation. A total of 215 farmers and fisherfolk stands to benefit from the credit program.

The Province of Siquijor, the third smallest province of the country in population and land area, was included by Secretary Emmanuel Piñol in the PLEA coverage areas during his Biyaheng Bukid in the province last June 2017.  Secretary Piñol challenged the local officials of the province to draft a Provincial Agriculture and Fisheries (PAF) Road Map to set the direction for the development of the potentials of the province in food, fisheries and aquaculture to reduce the province's poverty level from 55% to only 25% by the end of the term of President Duterte.

PLEA reaches Bukidnon

The ACPC conducted a ceremonial check turn-over of P53.73 million loan fund in the province of Bukidnon through three identified partner lending conduits under the PLEA program on October 13, 2017 at the Northern Mindanao Integrated Agricultural Research Center, Dalwanga, Malaybalay City, Bukidnon.

The province of Bukidnon is one of the initial coverage areas of the PLEA Program due to its high poverty incidence and difficulty of farmers and fisherfolk in accessing financial assistance.

In his speech during the ceremonial check turn-over, Bukidnon Provincial Agriculturalist Alson G. Quimba expressed his outmost gratitude to the DA as the program will improve the lives of the beneficiaries and in turn will contribute in improving the economy.

ACPC – PLEA Team Leader for Mindanao Ma. Cristina G. Lopez, PLEA focal persons for Bukidnon Marie T. Faustorilla and Joan Andrade Vargas evaluated the lending conduits. These were Lumintao Farmers Multi-Purpose Cooperative (LUFAMCO) which received P4.48 million, Sta. Monica of Pangantucan Multi-Purpose Cooperative (SMPMPC) which received P9.25 million and Mindanao Consolidated Cooperative Bank (MCCB) which received P40 million in which P20 million is for Bukidnon while the other P20 million is for the other provinces of Region 10.

LUFAMPCO Manager Thelma Aguilar said that in their 20 years of operation, it is only through the PLEA program that they were able to partner with the DA. It is an opportunity for them to help the government reach more farmers and fisherfolk who are in dire need of financial assistance.

Mr. Jose Mulat, 67, one of the borrowers of PLEA Program and member of MCCB said that, at first, he did not believe about the program and expects that the loan requirement would be tedious especially in terms of collateral, documentary requirements and high interest rate. However, the PLEA Program does not require collateral and the interest rate is only 6%. He added that, borrowers can freely choose their schedule of payment so it will not be burdensome for them.

PLEA helps Dairy Farmers in Nueva Ecija

The ACPC, in partnership with the Philippine Carabao Center (PCC), provided an initial P4.5 million funds through the PLEA program to dairy buffalo raisers in Nueva Ecija to address their financing needs.

Three lending conduits, whose members are mostly dairy farmers, were tapped by the ACPC for the implementation of the program. These are the Parcutela Multi-Purpose Cooperative (PMPC), the Eastern Primary Multi-Purpose Cooperative (EPMPC), and the Simula ng Panibagong Bukas Multi-Purpose Cooperative (SIPBUMPC).

About 115 dairy farmers will benefit from the said loan funds which may be used for purchasing equipment for their dairy production and processing. Each dairy farmer can borrow up to P50,000.

Dr. Liza Battad, Planning and Special Project Chief of PCC, said that relevant support mechanisms for dairy farmers should be made along the areas of production, assembly and consolidation, processing and marketing. The PCC-ACPC project shall adopt a ‘responsible financing’ scheme wherein financing shall be given to existing dairy buffalo raisers who have good track record of performance across the value chain.

The project aims to save dairy carabao genetics, encourage feed and other production services related enterprises, entice dairy buffalo product development and processing businesses and expand market reach of dairy buffalo products. A total of 1,853 dairy entrepreneurs along the dairy value chain will benefit from the project.

The loan disbursement was conducted on October 18, 2017 in San Jose City. The ACPC was represented by PLEA focal persons for Nueva Ecija, Ms. Filipinas Gerardo and Ms. Cherry Anne Acabal.

PLEA Helps Ilocos Sur Farmers

As ACPC’s lending conduit, the NSCC will facilitate the loan releases and collection of repayments under the PLEA program.  The NSCC will also provide the farmer borrowers assistance in completing the documents required in their loan applications particularly in the preparation of farm plans, loan proposals and other technical requirements.

In his welcome remarks, NSCC Chief Executive Officer Dr. Divina C. Quemi exhorted the farmers to take the opportunity provided by PLEA to become active participants in agricultural formal lending.

According to DA Region I Regional Executive Director (RED) Lucrecio Alviar, the local garlic of Ilocos Region, known as the “White Gold of Ilocos”, has a sizeable share in all the garlic plantations in Northern Luzon which account for more than 4,000 tons with a yield of at least over two tons for one hectare.

“The Ilocos Region, where climate conditions and the type of soil are ideal is the country’s biggest producer of garlic with over 1,800 hectares of land in Ilocos Norte suitable for garlic farming, and more than 120 hectares in Ilocos Sur,” added RED Alviar.  RED Alviar also asserted his confidence that the garlic industry of Ilocos, though has been struggling due to importation and investments from neighbor countries, will bounce back sooner than hoped for.

“Saludo kami sa inyo dahil kayo ang nagpapakain sa aming lahat,” said Atty. Joycel R. Panlilio to the small farmers on behalf of DA Undersecretary for High Value Crops and Rural Credit Evelyn G. Laviña.  Atty. Panlilio emphasized that the P20 million loan release under the PLEA Program is but a portion of a P100 million fund approved by the DA for the PLEA progam in the Ilocos Region.

Negros Occidental, Iloilo, and Antique benefit from PLEA program

On November 16, 2017, during the 11^th National Shrimp Congress in Bacolod City, P20 million was turned over to Negros Cooperative Bank under the PLEA program. Beneficiaries of the program are farmers of the CHICKS area covering the six municipalities of Candoni, Hinobaan, Ilog, Cauayan, Kabankalan, Sipalay. These municipalities are among the towns with high poverty and insurgency incidence according to the Secretary.

The DA Secretary and DA-ACPC officials proceeded to Miagao, Iloilo on Nov. 17, 2017 and turned over P40 million for Antique. This is the first tranche of the P300 million PLEA allocation for one of the poorest provinces of Western Visayas where farmers and fishermen are exploited by loan sharks. P20 million was turned over to Iloilo which is part of the Secretary’s P100 million commitment to finance the production of onion and garlic farmers in the Province of Iloilo and P50 million for Miagao.

The lending conduits which will serve farmers and fisherfolk in Antique and Iloilo are Egaña Parish Credit Cooperative, Antique Provincial Government Employees MPC, Pandan Multi-Purpose Cooperative and Rural Bank of Miagao (Iloilo), Inc.

The initial fund will benefit around 1,600 farmers/fisherfolk in the three provinces.

Out of a total of 742 randomly selected PLEA borrowers from 24 partner lending conduits (LC) in 12 provinces, the validation result shows that 83% are first-time borrowers of LCs and 56% are first-time borrowers from formal sources. Consequently, LCs have been able to increase their loan portfolio in agriculture as well as their outreach in poor farming communities.

“The results show the increased confidence of rural financial institutions to lend to SFF as indicated by the number of first time borrowers,” said Director Ma. Cristina G. Lopez of the Monitoring and Evaluation (M & E) Group. “It means that the PLEA Program is hitting the target of providing easy, convenient, and affordable credit access to small farmers and fishers especially in the unbanked areas,” Director Lopez added.

This is a welcome development for the DA and ACPC in ensuring that marginal farmers become active participants in the formal credit system especially since informal lenders usually charge usurious rates to the disadvantage of the borrowers. Apart from increasing their income due to very low interest rate, the PLEA program also aims to reduce and eventually eliminate the dependency of farmers on government subsidies and dole outs and contribute to the administration’s target of reducing national poverty by end of 2022.

The ACPC M & E Group, led by Director Lopez and Division Chief Annalyn R. Garay, conducted field validations in the provinces of Nueva Ecija, Laguna, Benguet, Iloilo, Negros Oriental, Northern, Eastern and Western Samar, North Cotabato, Surigao del Norte, Saranggani and Zamboanga del Norte.

The validations, conducted from March 2017 to November 2017, show that 98% of the respondents were from agri-fishing households while 97% are SFF. To address the remaining 2% non-agri household and 3% non-SFF, the M & E Group called the attention of the concerned LCs and reported the findings to the ACPC’s Program Development Division for appropriate action.

The respondents, who registered an average loan of P 31,800 per borrower, claimed that the low interest rate and easy documentary requirements of the program make the loans more accessible to them. Furthermore, around 65% of borrower-respondents indicated that the loans availed are adequate.

On the part of the partner LCs, 100% were able to comply with the interest rate provision of the program which is only 6% per annum.

“During the field validations, a lot of the beneficiaries told us that DA-ACPC’s PLEA program helped them increase their incomes due to additional capital”, Ms. Garay said. According to Ms. Garay the validation process is challenging but also very rewarding especially when small farmers and fishers personally tell them how happy they are since the PLEA program helped them increase their income.

One of the major challenges encountered by the M & E Group during the field validations is the remoteness of some of the SFF’s locations which are sometimes infested by armed rebel groups.

Another difficulty the group encountered are respondents who were reluctant to share information they deem personal. “We have to be persistent, patient and creative in asking questions to extract important data from them,” said Ms. Garay.

According to Ms. Garay, small farmers and fisherfolk welcome field validations from ACPC because these are moments they feel that the government values them by checking their actual living conditions. “Field validations also instill credit discipline by sending a message to the borrowers that they need to pay back their loans so they can borrow again to finance their production needs,” she further added.

Looking Forward

For this year, the M & E Group is setting its sight on improving its database to produce consolidated ACPC reports and also strengthening its monitoring activities to ensure that ACPC’s programs are properly implemented. “We hope to cover at least 50 areas including rice processing centers for 2018”, Ms. Garay said.

The field validation of loan releases to farmer borrowers is a regular and continuing activity of the ACPC M & E Group in order to ensure that credit policies and programs are synchronized and that they reach and truly serve the small farmers and fisherfolk.

According to the DA Secretary, the provincial Loan Facilitation Teams will be tasked to assist stakeholders in completing loan documentary requirements to make sure that they can avail of the agri-fishery credit programs.

“Let’s not make things difficult for our stakeholders,” the Secretary said noting that many of the farmers and fisherfolk have poor educational background. “If we can do this, things will change. Believe me,” added Sec. Piñol.

During the activity organized by the Agricultural Training Institute (ATI), Secretary Piñol announced the DA’s major policy shift from subsidies to easy access financing. He explained that subsidies program has been marked with corruption issues and slow implementation due to political interference and “lowest bidder” concept.

On the other hand, easy access financing leads to more efficient and faster procurement while also giving the farmers and fisherfolk freedom to choose whatever variety of seeds, brand of fertilizer and kind of equipment they need in their farms and fishing activities. He added that the government will also save money that could sustain the financing programs.

“The DA needs to prepare the stakeholders for this major policy shift,” said Piñol. Hence, he directed the ATI to conduct financial literacy training for farmers and fishermen's groups. ACPC’s Executive Director Jocelyn Alma Badiola, together with Division Chiefs Alvin Cabato of the Institutional Capacity Building Unit and Emmalyn Guinto of the Public Affairs and Communication Division, took part in the direction-charting workshop which shall synchronize DA’s training activities with its banner programs.

During the workshop attended by key officers of DA and its attached bureaus and agencies, the Secretary also reported that under the Production Loan Easy Access (PLEA) Program, fisherfolk of Malimono, Surigao del Norte paid their loans ahead of the maturity date posting an incredible repayment rate of 195%.

During the Farmer’s Forum held the same day at the Benguet Agri-Pinoy Trading Center (BAPTC) in Benguet, Secretary Emmanuel Piñol expressed gratitude to the farmers in the Cordillera Administrative Region (CAR) for registering 100% repayment rate of the initial P46 million credit under the PLEA program.

“Congratulations. It just proves that we can rely on the people of Cordillera in paying their loans,” said Piñol. “Thus, I am committing an additional P50 million loan fund to Cordillera under the PLEA Program,” he added.

Generally, the LoFTs are to guide farmers and fisherfolk in availing loans from DA’s credit programs. The LoFTs shall assist potential borrowers in complying loan documentary requirements including the crafting of project proposals/business plans/farm plan and budget and shall also answer queries and provide information on credit policies and programs.

“Let’s not make things difficult for our stakeholders,” the Secretary said noting that many of the farmers and fisherfolk have poor educational background. “If we can do this, things will change. Believe me,” added Sec. Piñol.

The three-day activity, organized by the Office of the Undersecretary for High Value Crops and Rural Credit (HVCRC), the Agricultural Credit Policy Council (ACPC), and the Agricultural Competitiveness Enhancement Fund Project Management Secretariat (ACEF PMS), was attended by around 145 participants composed of Agri-Credit Desk Officers (ACDOs), ACEF Regional Coordinating Units (RCUs), DA officers and staff and other partner institutions.

The participants, who are expected to be part of and/or provide contribution to the LoFTs, were oriented on the current DA agri-fisheries financing programs such as the ACEF, the Production Loan Easy Access (PLEA), the Machinery Loan Easy Access (MLEA), the Capital Loan Easy Access and the Survival and Recovery Loan (SURE). They were also briefed on their roles in facilitating easy access to credit of small farmers and fisherfolk.

During the workshop portion, the participants were divided based on their major island classifications and were tasked to develop a work plan aimed at operationalizing the LoFTs.

Each cluster presented their work plan before the panelists who provided comments and suggestions to improve their outputs. The panelists were composed of Dir. Chris Morales of the DA- Agribusiness and Marketing Assistance Service (AMAS), Dep. Exec. Dir. Ramon Yedra and Dir. Alicia Ilaga of ACPC, Atty. Rani Supnet from the Office of Usec. Villano, Atty. Joycel Panlilio of the Office of Usec. Lavina, Mr. Vicente Rubin from the Office of Usec. Gabariel La Viña, Mr. Amado Ersando of ACEF and Mr. Mark Harris Jamilan of DA- Information and Communications Technology Service (ICTS).

After the presentation of outputs, Dir. Morales and Dep. Exec. Dir. Yedra facilitated the discussion on the composition of the regional and provincial LoFTs. The DA Secretary is expected to issue a Special Order to formalize the establishment and composition of the LoFTs.

• Goodness to the consumer. Brown rice is nutritionally superior in terms of protein; dietary fiber; B1 B2 and B9 vitamins and Vitamin E; minerals; and antioxidants. It helps reduce the incidence of Type 2 diabetes, cancer and cardiovascular diseases; lower blood pressure. It also reduce the chance of overeating
• Goodness to the farmers. Farmers could double their income because they will be able to directly market their rice to food establishments and retailers. On the other hand, consumers would be able to buy it at a lower price
• Goodness to the country. It can help achieve rice self-sufficiency because of its 10% higher milling recovery.
• Goodness to other Filipinos. For every challenge completed, DA will feed one less fortunate Filipino with brown rice.

The #BROWN4good challenge will run from August 30 to October 31, 2016 and you are expected to participate through the following:

• Launch the activity in your offices during the lunchtime of August 31, 2016 and starting your #BROWN4good challenge networks among family members, friends and colleagues.

To take on the #BROWN4good challenge, cook at home or order brown rice from your favorite food establishments, snap a photo of the meal, post it on social media (facebook, twitter or instagram), caption it with #BROWN4good and #(your region), and challenge family and friends to do the same. For every #BROWN4good quoted per region, DA will donate a cup of raw brown rice to help feed less fortunate Filipinos in diffrent charities nationwide. To be counted, however, the account and post must be public.

Make your hashtags count; do four goodness by eating a cup of brown rice

• October 10 (Monday), 8:00 am - Opening of the National World Food Day Photo and Product Exhibits, DA-OSEC lobby and grounds
• October 14 (Friday), 4:00 pm to 6:00 pm, 2016 WFD Culminating Program, at Liwasang Aurora, QC Memorial Circle. There will be a candle light ceremony, while reading the 2016 WFD Pledge by the employees of DA family agencies and other government agencies within Quezon City.

We look forward to your cooperation and participation in the above-mentioned 2016 WFD events, especially in the simultaneous lighting of candles and declaration of the 2016 World Food Day Pledge on October 14, 2016. In addition, we also encourage you to display your WFD tarpaulins during the week long on the celebration.

As part of the 2016 World food day celebration, we enjoin you and your staff to attend the Opening Program of the World Food Day Celebration on October 10, 2016, 8:00 am DA Compound.

Further, you and staff (30-50 staff) are also requested to join the 2016 World Food Day Culminating Program, on October 14, 4pm to 6pm, at Liwasang Aurora, Quezon Memorial Circle Quezon City.

We anticipate and look forward to your attendance and active participation in the above-mentioned 2016 WFD events. Please wear plain white shirt.

When it finally stormed out of the Philippine Area of Responsibility, Typhoon Nina left behind massive damages to agriculture with estimated cost pegged at P4.1 billion, living up to its notoriety as the strongest typhoon to strike the Bicol Region in 10 years.

Asuncion Reales and Melinda Imperial, two women farmers from Magarao, a 4^th class municipality in Camarines Sur, were just two of the thousands affected by Nina’s onslaught.

“Almost all of the rice fields were flooded including the land where I plant hybrid rice,” said Asuncion who, at 64 years old, tends a two-and-a-half-hectare land with the help of his husband. She describes herself as a farmer all her life, a legacy she may have passed on to seven out of her eight children who became farmers too.

On the other hand, 57-year-old Melinda described her ordeal as “frightening” simply because of the massive financial loss they had to bear from the damages. Melinda, who is a mother of 10, relies heavily and solely on the income from her harvests. Her fears were realized when the three hectares of hybrid rice she manages were engulfed with water.

“We’re still thankful our house was not destroyed,” recounted Melinda who added that her whole family had to settle eating banana and cassava to survive during the disaster.

The Philippines is hit by an average of 20 typhoons per year, with many of the storms causing significant damage to farms and fishing communities. Small farmers, like Asuncion and Melinda, are affected the most since they usually have to borrow money to plant crops in lands they only lease. They need to get back on their feet and on their fields to plant as soon as possible. Most importantly, calamity-affected farmers need to ensure that their basic needs such as food, clothing and medicine are covered. Hence, flooded rice fields is always tantamount to money down the drain for small farmers.

Such are the challenges the Department of Agriculture, through the Agricultural Credit Policy Council (ACPC), aims to address when they launched the Survival and Recovery (SURE) Assistance Program, a quick-response, post-disaster support facility for calamity-affected small farmers and fishers.

“It aims to support the government’s goal of helping agricultural households in regain their capacity to earn a living; and to provide immediate relief through loan assistance,” explained DA Secretary Emmanuel F. Piñol.

Under the SURE Program, eligible borrowers will be provided an emergency loan worth P5,000 and recovery loan worth P20,000 at zero interest rate and up to 3 years to pay. The program focuses on areas “Under State of Calamity” with considerable damage to agriculture due to natural disasters.

As of March 2018, under the SURE program, the ACPC has released loans amounting to more than P85.72 million benefitting 4,015 small farmers and fishers through 15 lending conduits.

The ACPC approved almost P33 million loans for the Bicol Region after Typhoon Nina. For faster financial support delivery, the ACPC tapped the Magarao Multi-Purpose Cooperative (MPC) as one of its partner lending conduits in said region.

This is not the first time that the ACPC and the Magarao MPC partnered to uplift the lives of farmers in the Municipality of Magarao.

In 2015, the ACPC downloaded P2 million credit fund to the Magarao MPC under the Calamity Assistance Program, which recorded an almost 100% repayment rate from small farmer-borrowers. In 2016, the ACPC also provided P500,000 to the same as working capital loan for its rice processing center which was given as grant by the DA.

Asuncion and Melinda, who are both long-time members of the Magarao MPC, are two of the 83 beneficiaries of the SURE program in Magarao, Camarines Sur.

“I used the loan from the SURE program to buy seeds and fertilizers so I can plant again,” recalled Asuncion. “I now borrow from the coop twice a year, before every planting season.”

“Magarao MPC Manager Elmar Basbas reached out to me so I can avail loans under the SURE,” said Melinda who used the loan for her family’s immediate needs. “It was a big relief because I don’t need to pay any interest for the loan I received,” she added.

According to the women farmers, prior to being members of the MPC, they used to borrow production capital from traders who usually charge excessive interest rates.

“It’s like we were working for them. Nonetheless, we had no choice but to accept their terms because we didn’t even know if there will be someone who will lend us money after calamities,” said Melinda.

“I used to pay interest rates as high as 20% in six months to Chinese traders,” exclaimed Asuncion. “Sometimes, all money that is left for us are just enough to buy food.”

Magarao MPC Chair Estrella Bernardo expressed her gratitude to the ACPC for being one of its partners in extending assistance to small farmers in Magarao and nearby municipalities.

“With the financial assistance from ACPC, we were able to help our members start all over again after the devastation of Typhoon Nina,” Bernardo said. “The coop also assisted in other financial needs of the farmers.”

According to Manager Basbas, aside from loans, the cooperative also provides other benefits such as free training, insurance program, and death assistance support to their members.

“To further help in improving their lives, the Magarao MPC directly buys the harvest of our member-farmers at a reasonable price to ensure that their products will not be undervalued by abusive traders,” said Manager Basbas. Thus, Asuncion and Melinda do not have to market their harvests, which reach 200 to 300 sacks each, because there is always a sure and fair buyer.

Asuncion and Melinda both agree that Magarao MPC has been their refuge in times of need.  Though they remain as small farmers, it cannot be denied that both women farmers experienced improved productivity that led to improved lives when they engaged in formal lending through the cooperative.  Slowly but surely, both were able to build a simple yet concrete house for their families which can better withstand the next typhoons to come.

Amid the devastation, these women showed incredible resiliency to uphold their families – an incredible strength that everyone needs to be recognized, emulated and supported.

“With the benefits I get from the coop, I am now able to provide better for my family,” said the 27-year old farmer who is married and has two kids under four years old.

Prior to his membership at the cooperative, Albert, who hails from Matalam, Cotabato, recalled the struggles he used to bear from borrowing from traders to finance his two-hectare rice farm.

“I would borrow P10,000 with 10% monthly interest at four months to pay,” narrated Albert. As part of their agreement, traders would even take possession of his produce whenever he was unable to pay his loan, he added.

“You’re supposed to profit from all your hard work, but it felt like all the income just goes to the lenders,” lamented Albert, who actually graduated as an automotive mechanic but chose to pursue farming – a livelihood he began to engaged in since he was 15 years old.

Albert admitted he was trapped from the futile cycle for many years as he just did not know of other financing options he could turn to and that it has become the way of life for him back then. That was until a friend, who was also a farmer, shared with him about a cooperative nearby that helps small farmers like them.

“I was determined to save P2,250 for the membership fee and finally avail of their services,” said Albert.

Albert has been a member of the Taculen Farmers’ MPC for more than two years and he claims that earnings from his in-bred rice activity has certainly increased.

In July 2017, through the coop, Albert was able to avail P50,000 under the Production Loan Easy Access (PLEA), a loan facility designed to finance production of crops, poultry, livestock and fisheries of small farmers and fisherfolk. PLEA is being implemented by the Agricultural Credit Policy Council (ACPC), an attached agency of the Department of Agriculture (DA).

Under the PLEA, the ACPC taps lending conduits such as the Taculen Farmers’ MPC to extend non-collateralized loans to marginal and small farmers and fisherfolk at 6% per annum.

“I used the P35,000 to buy chemicals and fertilizers while the remaining P15,000 was spent for labor and land preparation costs,” explained Albert.

Albert’s two-hectare land usually produces about 120 sacks of rice per cropping or 240 sacks annually. He keeps about 50 sacks for his family’s consumption while selling the 70 at about P1,150 to P1,200 per sack or P19 per kilo.

“I was able to pay my loan in six months because its 6% interest rate was very affordable,” Albert narrated. “I immediately pay after every harvest, even before the deadline.”

Through the PLEA, the young farmer earned about P30,000 which helped him pay the tuition fee of her oldest daughter who is now in kindergarten. His profit even allowed him to contribute in paying off his parents’ remaining debts, which coincidentally were from “5-6” lending.

“I now have financial freedom. I don’t have to worry providing food for my family,” said Albert whose wife stays at home to take care of their kids while also helping him tend their farm when she can. “When we get sick, I can now draw money from my small savings.”

Aside from being a full time farmer, Albert also works as a sales clerk for the cooperative. Through this side job, he earns an additional P4,000 monthly. When his schedule permits, he also helps in tending the small corn and banana project of his mother.

Experiencing first-hand the benefits of being part of a cooperative, Albert vows to convince his family and friends to also join one.  “In times of need, I know I can count on the Taculen Farmers’ Cooperative,” said Albert. “It has been an indispensable partner for me and my family.”

Taculen Farmers’ MPC’s Chair, Vivien Dumingsel, shared that the more than four million loan fund under PLEA provided a big lift in the lives of their member-farmers.

“Their take-home pay increased because of the very low interest rate per annum,” said Chair Dumingsel.

“In fact, the repayment rate of the PLEA in our coop registered at 100%,” reported Ms. Dumingsel.  Aside from the low interest, no collateral requirement, and free insurance coverage under the PLEA, the Chair credits the remarkable feat to the coop’s careful screening of members and to the orientation given to the borrowers before loan releases.

“We urge our members to pay on time so that they can re-avail of loans for their farms. Plus, their promissory notes are notarized so they will be legally liable if they do not fulfil their obligation,” said Dumingsel.

“I thank the ACPC for entrusting to us the credit fund and for making us as one their partners here in Cotabato,” said Dumingsel. “The field-based focal person assigned to us was also a huge help for us to comply all the requirements needed to implement the program.”

The Taculen Farmers’ MPC, according to Ms. Dumingsel, started with only 24 members which increased to 97 members to date. These members are all either rice or corn farmers. From one barangay, the cooperative has expanded their operations and is now serving the whole municipality.

“Our cooperative is a service-oriented cooperative. It exists not just for the officers but for the benefit of all its members and even the community,” said Dumingsel, who is now on her 6^th year as coop Chair.

“Aside from lending services, we also sell affordable fertilizers and chemicals to our members and allow them to use our farming equipment at minimal rates,” added Dumingsel. “We also give management and bookkeeping trainings to our members and also provide death assistance benefit which extends to their immediate relatives.”

She added that the coop also provides scholarship to deserving students and donates chemicals used in cleaning the community.

Ms. Dumingsel takes pride on how far the cooperative has come but assured they will not rest on their laurels. “I always tell our members to love and to help our cooperative”, said Ms. Dumingsel. “This cooperative is ours.”

The SURE Assistance Program is a post-disaster facility which provides loan assistance to calamity-affected small farmers and fisherfolk and their households through partner-financial institutions and/or lending conduits. Conceptualized by Department of Agriculture (DA) Secretary Manny F. Pinol, the SURE Assistance Program caters to small farmers and fishers whose livelihoods had been affected by calamities. Areas covered by the program are areas “Under State of Calamity” with considerable damage to Agriculture as determined by the Department of Agriculture (DA) or local government units (LGU).

The SURE financial package includes: 1) Recovery Assistance or rehabilitation loan of P25,000 interest-free loans to finance the requirements of rehabilitating the farming and/or fishing or livelihood activities of the affected small farm/fishing households; and 2) Loan Moratorium of affected SFF borrowers with outstanding loans from partner institutions/conduits under any of the DA/ACPC credit and financing programs, the borrower may avail of a one (1) year moratorium on payment of their outstanding loan obligations. The amount due during the moratorium shall be added to back-end of loan.

In 2017, P66.96 million have been released to 4,129 calamity affected farmers and fisherfolk through 13 lending conduits serving areas which have been declared under a state of calamity by the concerned local government units.  The areas which have been declared under state of calamity in 2017 are the following: Camarines Sur and Catanduanes, affected by Typhoon Nina in January 2017; Agusan del Sur and Norte, affected by Tropical Depression Auring in January 2017; Carmen and Danao, Cebu, affected by Tropical Depression Crising; Marawi City due to the Marawi Crisis in May 2017; San Luis, Pampanga and San Luis and Jaen, Nueva Ecija which were hit by Avian Influenza in August 2017.

From January to July 2018, P24.97 million have been released to 4,250 small farmers and fisherfolk beneficiaries through seven lending conduits. The areas covered are: Agusan del Sur and Norte, affected by Tropical Depression Auring; Carmen and Danao, Cebu, affected by Tropical Depression Crising; Biliran, which was hit by Tropical Storm Urduja; Lanao del Norte, Zamboanga del Norte, Zamboanga del Sur and Kabacan, Cotabato, which were all hit by Typhoon Vinta; and Albay due to Mayon Volcano eruption.

The conference aimed at validating the country reports on the piloting of rural finance best practices in the Philippines which were documented under the International Fund for Agriculural Development (IFAD) regional grant project “Documenting Global Best Practices on Sustainable Models of Pro-Poor Rural Financial Services in Developing Countries (RuFBeP Project)”.

Around 50 participants from APRACA member institutions in Philippines, namely:  Bangko Sentral ng Pilipinas (BSP), Land Bank of the Philippines (LBP), Cooperative Development Authority (CDA), Alay sa Kaunlaran, Inc. (ASKI), Agricultural Guarantee Fund Pool (AGFP), Kabalikat para sa Maunlad na Buhay, Inc., Philippine Crop Insurance Corporation (PCIC), Center for Agriculture and Rural Development (CARD) and 1st Valley Bank, Department of Agriculture(DA), ACPC and other government/non-government agencies attended the activity.

ACPC Executive Director Jocelyn Alma R. Badiola, in her welcome remarks, said that timely, adequate and affordable credit is recognized as a key intervention in achieving the goal of increasing productivity and making food available and affordable. She said that credit helps equalize economic development opportunities in the agriculture and fisheries sector, thus, increasing incomes of small farmers and fisherfolk and reduce poverty. She added that providing access to financial resources in the rural areas is one of the important elements for rural development.

Mr. Nigel Brett, Asia and the Pacific Regional Director of the IFAD expressed his confidence that the forum will provide an excellent opportunity to validate the results of pilot testing in the Philippines and relate the good practices under this unique operating environment and their relationship with the other good practices at country level.

Dr. Prasun Kumar Das, Secretary General of the APRACA and Project Manager of the RUFBep Project, for his part, said that the project aims to sustainably reduce rural poverty and improve food security in rural communities in the Asia-Pacific region.  Its purpose is to assist rural finance providers and governments extend financial services on a sustainable basis, through the application of best practices suitable to their unique operating environments.

The workshop was divided into two technical sessions. Technical Session 1 -  Rural Finance Best Practices and its Impact on Sustainable Development involved presentations on: (1) Expert’s view on Pro-Poor and Sustainable Rural Finance and Its Impact to Financial Inclusion by Mr. Jerry Pacturan, Country Programme Officer, IFAD Philippines; (2) Innovations in Rural and Agricultural Finance in the Philippines by Ms. Charlotte Conde, First Vice President Mindanao Lending Group, LBP; (3) Easy Access Financing for Small Farmers and Fisherfolk by Mr. Noel Clarence Ducusin, Chief Program Development and Production Loan Easy Access Team Leader, ACPC; and (4) Experience Sharing on Kalasag Model of Cooperative Financing by Ms Jane Manucdoc, Microfinance Director, ASKI Philippines.

Technical Session 2 – Validation and Scalability of Financial Products and Services Pilot Tested in the Philippines which covered two presentations: (1) Results of Pilot Testing of the Agricultural Value Chain Finance in Benguet and Bukidnon, Philippines by Ms. Maria Cristina Lopez, ACPC Director; and (2) Important Areas of Observations on the Reports and Potential Areas of Improvements by Dr. Prasun Kumas Das, APRACA Secretary General and RuFBep Project Manager.

From the sharing of experiences, not only on the pilot testing but also on the participating agencies’ experience in rural and agricultural finance,  the following were realized:

• Various financing support /assistance are available from private/non-governmental financial institutions (FIs), the government, international development agencies such as IFAD, etc. to the rural poor particularly small farmers and fishers that have incorporated “best- practice” elements and processes.

• APRACA’s important areas of observations on the reports and potential areas of improvements, specifically on the documentation, include the following: quantification of costs and time for capacity building (e.g. number of trainings, how much spent); financing skewed towards production, financing throughout the value chain; identification of weak and strong links in the market; addressing issues such as risk management through insurance, understanding the market (farmers need to understand the market) to address asymmetry of information; collateral management; collaboration/coordination done

• Documented practices are good practices that can be adopted and scaled up. It is recommended that lessons learned from the pilot testing be disseminated.  Thus, allowing the countries to adopt/adapt these practices, or scale up.

Undersecretary for High Value Crops and Rural Credit of the DA Ms. Evelyn Laviña, in her closing remarks, encouraged the dissemination and adoption of the documented best practices which are suitable to specific environments. She thanked the IFAD, APRACA, ACPC and CENTRAB for conducting the forum. She said that small farmers and fisherfolk will significantly benefit from the results of the forum discussions.

ACPC Executive Director Jocelyn Alma R. Badiola said that timely, adequate and affordable credit is recognized as a key intervention in achieving the goal of increasing productivity and making food available and affordable.

Dr. Prasun Kumar Das, Secretary General of the APRACA and Project Manager of the RUFBep Project, said that the RUFBep Project aims to sustainably reduce rural poverty and improve food security for rural communities in the Asia-Pacific region.

Participants from APRACA member institutions in Philippines (BSP, Land Bank, CDA, ASKI, AGFP, KMBI, PCIC, CARD and 1st Valley Bank), DA, ACPC and other government/non-government agencies attended the national level dissemination forum on Pilot Testing of Rural Finance Best Practices in Pasig City on 14 June 2018.

Based on the data gathered by the Agricultural Credit Policy Council’s (ACPC) Monitoring and Evaluation Staff, as of July 2018, ACPC was able to release a total of P1.33 billion loan funds to its 142 partner lending conduits. Of this amount, some P1.06 billion loans was released to about 32,024 small farmer and fisher-borrowers.

The PLEA is a credit facility designed to address the financial needs small farmers and fisherfolk by providing them easy to access loans. It offers non-collateralized loans for agri-fishery production through cooperatives, non-government organizations (NGOs)/associations, rural banks and cooperative banks as lending conduits in extending loans to MSFF.

The program was launched in the town of Malimono, Surigao del Norte on June 23, 2017. Malimono is considered as one of the country’s poorest fishing and agriculture area with a poverty incidence rate per family of 90 percent.  Thus far, about 353 Malimono small farmers and fishers were able to borrow from the Malimono Multi-Purpose Cooperative, ACPC’s partner lending conduit in the area. Based on ACPC’s Monitoring Report, the repayment rate of farmer and fisher-borrowers in Malimono is a record high of 100 percent. In addition, of the 41 provinces where PLEA is currently being implemented, 36 provinces registered 100 percent repayment rate.

Under the PLEA program, eligible borrowers are marginal and small farmers and fisherfolk registered under the Registry System for Basic Sectors in Agriculture (RSBSA).  Eligible farmer/fisherfolk borrowers can avail themselves of up to P50,000 for short term crops/commodities and up to P150,000 for high value crops/long gestating crops. Only one member of the household can avail of a loan at a time. Household member can be either the head, spouse or adult working member.  The interest rate is 6 percent interest rate per annum or 0.5 percent per month.

The loan is payable based on cash flow and farmers and fisher-borrowers can re-avail loan after full payment of their existing loan.

From the initial unbanked and underbanked 15 provinces with high concentration of marginal farmers and fisherfolk, the coverage area of the PLEA program has been expanded nationwide. Thus far, regions 12, CAR, 6 have the most number of lending conduits at 24, 20 and 18, respectively. In terms of farmers and fisherfolk beneficiaries, Regions 12, 4 and 3 registered the highest number at 4,874; 4,116 and 4,023, respectively. (Table 1)

Agricultural Credit Policy Council (ACPC) Team Leader for Bohol, Mr. Clarence Noel Ducusin conducted an orientation on ACPC’s existing credit programs on August 17, 2018 as part of the financial literacy training for the province. Participants included of farmer/fisherfolk organizations’ officers and staff from the province of Bohol.

The DA, Agricultural Training Institute (ATI), and ACPC, in partnership with the SM Foundation Inc, also launched the Financial Literacy Training which aims to further educate the farmer and fishers on managing their finances.

The launching of the Bohol Fish Market and Financial Literacy Training was spearheaded by the DA Secretary Emmanuel F. Piñol, Cabinet Secretary Leoncio Evasco, Jr., Bohol Governor Edgar Chatto, DA Undersecretary for High Value Crops and Rural Credit Evelyn G. Laviña, DA Undersecretary for Agribusiness Jose Gabriel M. La Viña, DA Region VII Exevutive Director Atty. Salvador D. Diputado and ACPC Executive Director Jocelyn Alma R. Badiola.

The provision of financial support is under the ACPC’s Survival and Recovery Assistance as part of Bangon Marawi Comprehensive Rehabilitation and Reconstruction Program. Said calamity funds aim to help farmers and fisherfolk, affected by the Marawi siege, to rehabilitate their agri-fishery livelihood.

“Pinapatunayan ng gobyerno na ‘pag sinabi naming tutulong kami, tutulong kami,” said Secretary Pinol during his keynote address.

The delivery of P5,000 to each beneficiary was thru ATM cards aptly named “Kababayaan E-Card” (Love E-Card) issued by the United Coconut Planters Bank (UCPB) which serves as cashiering bank for the program.

“Ang ATM cards na ito ay simbolo ng nag-uumpisa nating pagmamahalan,” said Secretary Piñol. He added that through the said E-Cards, downloading of financial assistance from ACPC will be much faster and more convenient.

Prior to the provision of the cash assistance, the beneficiaries were given orientations and financial literacy training (e.g. preparation of farm plan and budget) to teach them how to best handle their financial resources.

“Gusto ko pong pasalamatan ang UCPB dahil sila ang tumugon sa ating panawagan upang mapadali ang pagbibigay ng tulong pinansiyal sa pamamagitan ng E-Money Cards,” said ED Badiola during her opening remarks. She also recognized ACPC’s Team Marawi led by Director Cristina Lopez, who organized the event as well as facilitated a series of orientations, briefings and financial literacy training for Marawi small farmers and fishers.

Meanwhile, DA Undersecretary for High Value Crops and Rural Credit Evelyn Laviña commended the resilient attitude of Marawi farmer and fisherfolk during her closing message. “Sa kabila ng napakatinding pagsubok na inyong pinagdaanan ay narito pa rin kayo at patuloy na lumalaban,” said Usec. Laviña. “Kayo ay nagsisilbing inspirasyon sa lahat ng mga Pilipino kaya saludo kaming lahat sa inyo.”

Also in attendance during the momentous activity were Lanao del Sur Board Member Amer Bitor, UCPB Region Head Joel Victor Javier, Lanao del Sur Provincial Agriculturist Abdusalam Batao, among others.

Marawi local Yassin Yusoph initiated the creation of the Bago Amasa Internally Displaced Persons (IDPs) Cooperative, a group of small farmers and fishers heavily affected by the Battle of Marawi in May to October of 2017.

“Kaysa matulog lang tayo at kumain, bakit di tayo magtipon-tipon, magtanim at tulungan ang mga sarili natin,” Yusoph recalled saying to convince farmer and fisher locals from ground zero to form a cooperative.

In 2017, said cooperative was tapped by the Agricultural Credit Policy Council (ACPC) as lending conduit for the Survival and Recovery (SURE) Assistance facility which provided initial P5,000 loan to its 65 members aimed at helping farmers and fisherfolk, affected by the Marawi siege, to rehabilitate their agri-fishery livelihood.

“Malaking tulong ang P5,000 kasi yun ang ginawa naming puhunan sa pagtatanim namin,” said Yusoph. “Dalawang beses na kaming naka-ani ng mais.”

The Bago Amasa IDPs Cooperative, established only in May 2018, is one of the 12 cooperatives from Marawi City whose members received P5,000 each as part of the Bangon Marawi Comprehensive Rehabilitation and Reconstruction Program of the Department of Agriculture (DA) through ACPC’s SURE Assistance facility.

“Malaking tulong talaga dahil mahirap ang buhay ngayon. Nawala kami sa lugar kung saan nandun ang aming hanap-buhay,” said Yusoph adding that until now, his fisherfolk members are prohibited by the military to sail at the Lanao Lake while those who farm settled in tending lands owned by nearby relatives.

Yusoph narrated that during the first hour of the terrorist attack, he was in the hospital with his wife and their youngest daughter who was confined due to diarrhea. “Takot na takot kami dahil sa putukan. Kinagabihan, nagsunog na sila ng mga bahay. Nung binalikan namin, wala na, sira na lahat ng gamit namin,” Yusoph added.

When it comes to loan repayment, Yusoph expressed confidence that his members will fulfill their duties. “Nagkakaisa ang coop na magbayad para maka-access uli. May tanim naman sila kaya kayang-kayang bayaran,” the Chair said.

“Lubos kaming nagpapasalamat sa DA at sa ACPC na talagang nakatulong sa amin,” said Yusoph. “Sa ngayon, may isang baka na ang aming coop na pang-araro. Nag-commit din ang Cooperative Development Authority (CDA) na i-train ang coop naming para mas lalo pang mag-improve ang aming operations.”

“Wala kaming nagawa kundi mag-bakwit (evacuate),” said farmer Jamalia Abdulmalic when asked about her experience during the war between the military and Maute terrorist group in Marawi City. “Lahat ng ari-arian namin, mga tanim at mga alagang hayop, nawala.”

Thus, the financial support from the Department of Agriculture - Agricultural Credit Policy Council (DA-ACPC), through its Survival and Recovery (SURE) Loan Assistance, was a welcome development for her and the members of the Al Sahara Producers Cooperative in Raya Guimba, Marawi City.

Along with 1,000 small farmers and fisherfolk from war-torn Marawi, Abdulmalic and 89 members of said cooperative each received ATM cards or E-Money cards containing P5,000 which they can use to rehabilitate their agri-fishery livelihood.

Abdulmalic, who also serves as Manager for the cooperative, hopes they can also use part of their fund as capital to revive their grocery store. “Punong-puno ng groceries ang coop bago nangyari ang kaguluhan, pero ‘nung nagka-seige, naubos lahat,” narrated Abdulmalic.

In July 2017, the Al Sahara Producers Cooperative was also identified as one of the lending conduits for the SURE loan assistance. During that time, P5,000 loan were given to each member of the cooperative which they used to buy fertilizers and seeds.

ACPC’s Team Marawi led by Director Ma. Cristina Lopez, who facilitated a series of orientations, briefings and financial literacy training for Marawi small farmers and fishers, commended the resiliency and diligence of the conflict-affected evacuees. “We first met the beneficiaries in the evacuation centers. They were in a very difficult situation back then. When we came back to Marawi for monitoring and evaluation, we were delighted to see them starting their agricultural activities again,” said Director Lopez.

Director Lopez added that for next year, the ACPC intends to expand its assistance to Marawi locals by providing them easy access loans for production and working capital.

“Maraming maraming salamat sa DA at sa ACPC, sa napakalaking tulong nila sa aming mga taga-Marawi,” said Abdulmalic.

Though she lost her home and livelihood due to the war, Abdulmalic remains optimistic about the future of Marawi. “Magsisikap at magta-trabaho kami para makabangon sa tulong ng gobyerno. Babangon uli ang Marawi,” she said.

As the Department of Agriculture (DA) sets its sight on intensifying the implementation of its agri-fishery credit programs for 2019, various DA - Regional Field Offices (RFO) together with the Agricultural Credit Policy Council (ACPC) have already started establishing their Loan Facilitation Teams (LoFTs) at the regional and provincial levels.

Department of Agriculture Secretary (DA) Emmanuel F. Pinol directed the ACPC to install the LoFTs in every region and province to assist stakeholders, particularly the farmers and fishers, in completing loan documentary requirements to make sure that they can avail themselves of the agri-fishery credit programs.

The LoFTs, composed of representatives from various DA attached agencies and LGUs, will provide the needed technical assistance support to farmers and fishers on credit awareness, loan acquisition, utilization and repayment.

As of January 2019, three (3) DA RFOs have already conducted an Orientation cum Establishment of LoFTs. These are: 1) DA-CARAGA which formed the first ever Regional and Provincial Loan Facilitation Teams (R-LoFT and P-LoFT) on January 16-17, 2019 in Butuan City with 50 participants; 2) DA-RFO 1 on January 25, 2019 in San Fernando City, La Union with 30 participants; and 3) DA RFO 2 on January 31, 2019 in Tuguegarao City with 150 participants.

Participants in these activities included LoFT members and representatives of DA regional units, attached agencies and bureaus, provincial local government units and Land Bank of the Philippines (LBP). The participants were oriented on the various credit programs of the Agricultural Credit Policy Council (ACPC), the Agricultural Competitiveness Enhancement Fund (ACEF) implemented by the LBP and the insurance programs of the Philippine Crop Insurance Corporation (PCIC).

A workshop was facilitated by the ACPC and AMAD wherein the compositions of both the R-LoFT and Provincial-LoFTs (P-LoFTs) and activities to operationalize them were identified, drafted and presented.

The activities were spearheaded by the Regional Agri Credit Desk Officers (RACDO) and Agribusiness and Marketing Assistance Division (AMAD) chiefs Ms. Lynn A. Pareñas of DA- CARAGA, Ms. Cristine De Leon of DA-RFO 2 and Ms. Vivien de los Santos, Ms. Ma Rosario Paccarangan and Ms Jacqueline Calaycay of DA-RFO 1.

Other DA-RFOs have already scheduled their LoFt orientation-workshop and establishment in the next two months.

Department of Agriculture (DA) Secretary Emmanuel Piñol led the launching of the Production Loan Easy Access (PLEA) – National Food Authority (NFA) scheme loan facility last January 28, 2019, in Tacurong City, Sultan Kudarat.

A joint program of the Agricultural Credit Policy Council (ACPC) and the NFA, both of which are under the DA, the PLEA-NFA scheme is designed to finance production of rice of farmers who will sell their produce to the NFA. It offers non-collateralized loans at 3% interest, with a maximum loanable amount of P50,000, payable within six months after the harvest season. The farmer-borrowers will enter a marketing agreement with the NFA, allowing them to pay off their loans through the sale of their produce.

Eligible borrowers include small rice farmers, defined as those who own or are still amortizing not more than three (3) hectares of farm lands.

Secretary Piñol has cited the PLEA-NFA program as “the government’s intervention” to provide farmers with a more viable alternative to loan sharks and local traders who take advantage of farmers by charging exorbitant interest rates averaging 5 to 10% per month.

The program ensures rice farmers of a sure market for their produce through the NFA, and also assures efficient and accurate validation through aerial mapping, geo-tagging, and geo-referencing done by the Department of Agriculture - Information and Communication Technology Service (DA-ICTS).

The PLEA-NFA scheme loans also include free crop insurance from the Philippine Crop Insurance Corporation (PCIC),

The pioneer program was given a P200 million fund allocation for implementation in select provinces through ACPC-accredited lending conduits, which include rural banks, cooperative banks, cooperatives, and non-government organizations.

During the launching, DA Secretary Emmanuel F. Piñol, together with ACPC Executive Director Jocelyn Alma R. Badiola, also turned over a P40 million credit fund to the Rural Bank of Lebak to jumpstart the program.

Also in attendance were DA RFO 12 Regional Executive Director Mila A. Casis, NFA OIC Admin. Tomas Escarez, NFA Assistant Admin. Roy Estoperez, NFA 12 Regional Director Dianne A. Silva, and other DA officers and staff. Witnessing the launch were farmers and farmer leaders from South Cotabato, North Cotabato, Sultan Kudarat, Saranggani, and General Santos City.

Department of Agriculture (DA) Secretary Emmanuel F. Piñol through the Agricultural Credit Policy Council (ACPC) awarded  the first-ever Gawad sa Paglingap sa Magsasaka at Mangingisda Awards (Gawad Lingap Awards) to outstanding Production Loan Easy Access (PLEA) partner lending conduits and exemplary small farmer and fisherfolk borrowers last April 26, 2019 at the Crowne Plaza Manila Galleria, Quezon City.

In her welcoming remarks, ACPC Executive Director Jocelyn Alma Badiola credited the success of the PLEA program to the unwavering support, commitment and cooperation of its partner lending conduits and borrowers, and the DA family – the directors and staff of the regional field offices, bureaus and attached agencies.

Exec. Dir. Badiola said that since its launch in Malimono, Surigao del Norte in June 2018, the PLEA has already disbursed about P1.7 billion to 168 lending conduits across the country benefitting 38,000 small farmers and fisherfolk in 291 municipalities in 16 regions nationwide. 

She stated that the Gawad Lingap is an opportunity for the ACPC to recognize its partner lending conduits which have shown outstanding performance in the implementation of the program in terms of outreach, collection, utilization and repayment rate, and at the same time honor exemplary borrowers who were able to impressively utilize and pay their loans.

In relation to the event’s theme, “Sharing the Vision, Fulfilling the Mission,” Exec. Dir. Badiola  said that the PLEA is a product of DA Sec. Piñol’s vision of implementing “a program that will provide affordable and accessible credit to our farmers and fisherfolk even in the far-flung municipalities of the country.” Exec. Dir. Badiola added that this was made possible through Sec. Piñol’s strategic leadership and guidance.

In his keynote address, Sec. Piñol said that the PLEA is not his “brainchild” but his “heartchild” because the PLEA is very dear to his heart, as he believes access to affordable and timely credit gives farmers and fishers a chance to fulfill their dreams.

Sec. Piñol said that the success of PLEA is very evident by the farmer and fisherfolk awardees themselves and how it has improved their production and livelihood.  Sec. Piñol introduced Ms. Wendy Curioso, a farmer from the Dumagat tribe of Dingalan, Aurora, who was able to borrow P50,000 under the PLEA for her ginger, banana, and root crop production.

Sec.  Piñol also recognized awardees from the B’laan tribe from the Municipality of Malungon, Sarangani, the dominant Indigenous Peoples (IP) Group in the province, who were able to avail themselves of loans from PLEA for their corn production: Mr. Alejandro Cawag, who acquired two horses, a buffalo, and a motorcycle, and Ms. Hilda Montong, who was also able to buy a horse and a buffalo, through their improved production and income as a result of their loans under the PLEA.

The Gawad Lingap Awards were presented by DA Secretary Emmanuel Piñol, DA Undersecretary for High Value Crops and Rural Credit Evelyn Laviña, DA Assistant Secretary for Operations Andrew Villacorta, ACPC Executive Director Jocelyn Alma Badiola, and ACPC Deputy Executive Director Ramon Yedra to 25 Outstanding Lending Conduits and 27 Exemplary Farmer and Fisherfolk Borrowers. DA Regional Executive Directors accompanied the awardees from their respective regions. Among those given the Gawad Lingap Award were the following:

• CAR
  • Lengaoan Indigenous Farmers Multi-Purpose Cooperative, with farmer Modesto S. Teliagen
  • Tabano Omang Livelihood Project Organization, with farmer Nora E. Daus
• Region 1
  • Nueva Segovia Consortium of Cooperatives, with farmer Everlito B. Coloma
• Region 2
  • Mallig FST Multi-Purpose Cooperative, with farmer Ernesto V. Pastor
  • Cordon Multi-Purpose Cooperative, with farmer Fernando Wagtang
• Region 3
  • New Rural Bank of San Leonardo (NE), Inc., with farmer Wendy Curioso
  • Parcutela Primary Multi-Purpose Cooperative, with farmer Lorna Reyes
• Region 4A
  • Yakap at Halik Multi-Purpose Cooperative Quezon 1, with farmer Nestor Basit
  • Rhudarda Multi-Purpose Cooperative, with fisher Pablo Araojo
• Region 4B
  • Occidental Mindoro Cooperative Bank, with farmer Diosdado C. Sagun
  • Saklaw Foundation, Inc. (SFI) , with farmer Heinrich F. Falconitin
• Region 5
  • Banco Santiago De Libon, Inc.
• Region 6
  • Integrated Barangays of Numancia Multi-Purpose Cooperative, with farmer Fabian M. Tugna
  • Dingle Multi-Purpose Cooperative, with farmer Gemma P. Cabayao
• Region 7
  • Cebu People's Multi-Purpose Cooperative, with farmer Catalina C. Villame
• Region 8
  • Metro Ormoc Community Multi-Purpose Cooperative, with hog raiser Letecia Borata
  • Agricultural Workers and Entrepreneurs Multi-Purpose Cooperative, with farmer Jose B. Doria
• Region 9
  • Paglaum Multi-Purpose Cooperative, with hog raiser Julia M. Grejaldo
• Region 10
  • Philippine International Travel Assistance Center Multi-Purpose Cooperative, with farmer Jonathan R. Gregorio
• Region 12
  • Partner Rural Bank of Cotabato, with farmer David T. Dela Vega
  • Sarangani Vegetables Seed Growers Multi-Purpose Cooperative (SAVESEGROW), with farmers Alejandro Cawag and Hilda Montong
• Region 13
  • Baug CARP Beneficiaries Multi-Purpose Cooperative, with farmer Analiza Lira
  • Boan Barangay Irrigation Development Association, Inc. , with farmer Emiliano M. Najial
  • Malimono Multipurpose Cooperative, with fisher Adrian Bueno
• Region 10, 11, and ARMM
  • Mindanao Consolidated Cooperative Bank, with farmers Livelyn G. Dubongco, Albert P. Alviola, and Perpetua Magdadaro

The event was attended by more than 500 participants from the Department of Agriculture Central and Regional Field Offices and its bureaus and attached agencies, ACPC partner lending conduits, farmer and fisherfolk borrower-awardees, and members of the press, among others.

DA Sec. Piñol launches first Filipino farmer-owned motorcycle tire brand

Coinciding with the granting of Gawad Lingap Awards to outstanding PLEA partner lending conduits, farmer and fisher borrowers was the launching of the Pilipinas Agila Tires, the first Filipino farmer-owned motorcycle tire brand in the country.

Secretary Piñol attributed the Pilipinas Agila Tires as the first attempt of the DA to elevate Filipino farmers from being only producers of primary materials to being equipped to process, manufacture, and merchandise products from their farm produce. Pilipinas Agila Tires is a product of the Philippine Rubber Farmers Cooperative (PRFC), which was organised by the DA two years ago as part of its program to elevate rubber farmers to the level of processors. The cooperative received a P10-million loan under the DA-ACPC PLEA and Working Capital Loan Easy Access (CLEA), through ACPC’s partner lending conduit, the Mua-an Farmers Producers Cooperative to start the tire manufacturing business which the PRFC will repay at 6% interest per year for a period of 8 years.

The launching was facilitated by ACPC in partnership with the DA Agri-Business Marketing and Assistance Service (DA-AMAS), headed by Director Bernadette San Juan. The said tires were showcased in an exhibit of various agri-fishery products by DA-ACPC partner lending conduits. Aside from the Pilipinas Agila Tires, other products displayed included vegetables, processed food, nuts, organic food, rice, dairies, mushrooms, sardines, abaca, cacao, and cassava, among others.

The Agricultural Credit Policy Council (ACPC) conducted a coordination meeting with Department of Agriculture Regional Executive Directors (DA REDs) to discuss and resolve pressing issues and concerns on the implementation of ACPC’s Easy Access Programs across the country.

The meeting was attended by DA Field Operations Service Director Roy Abaya, DA REDs, Regional Agri-Credit Desk Officers (RACDOs) and other representatives from the DA Regional Field Offices (DA RFOs), Philippine Crop Insurance Corporation (PCIC), members of the ACPC ExeCom, PLEA Team Leaders, Senior PMOs and other ACPC officers and staff.

“We are here because we want to make a difference in the lives of our farmers and fisherfolk,” said ACPC Executive Director Jocelyn Alma Badiola during her opening remarks. She emphasized that the activity was meant to be a dialogue with the DA REDs, as ACPC’s partners in the implementation and improvement of the agency’s credit programs. She also hoped that the meeting would help participants reach a mutual understanding and appreciation of the programs to better fulfill the agency’s commitments and immediately address any issues reported by the regions.

Mr. Noel Clarence Ducusin and Mr. Charleston Dulay of the Program Development Division (PDD) presented the detailed process flow and application requirements of the Production Loan Easy Access (PLEA), Survival and Recovery (SURE) Loan Assistance, Agriculture and Fisheries Machinery and Equipment (AFME) Loan, and Working Capital Loan Easy Access (CLEA).

Ms. Gregoria Guce of the Monitoring and Evaluation Division (M&E) reported that as of March 2019, 39,391 borrowers were granted a total of P1.4 billion in loans through the PLEA, and 14,988 borrowers were granted around P169 million through the SURE. She also reported that field validation activities were conducted in 33 provinces from 2017 to December 2018, in which 3,006 PLEA borrowers were interviewed; of these, 67% were new borrowers to the respective lending conduits, and 46% were first-time borrowers from formal credit, indicating an increased outreach to previously unbanked farmers and fisherfolk. During the breakout session, a one-on-one consultation/dialogue was held for REDs/RFOs to air their concerns and for ACPC Team Leaders/PMOs to directly address these. Leading the discussions were PLEA Team Leaders, namely, Director Melito Montenegro for Regions XI and XII, Director Alicia Ilaga for Regions I and VI, Director Cristina Lopez for CAR, Regions III, IV-A, and IV-B, and Mr. Noel Clarence Ducusin for Regions II, VII, VIII, IX, X, and XIII.

These concerns were documented by ACPC staff and consolidated during the synthesis report presented by Director Norman William Kraft.

In his closing message, Director Abaya underscored the primary goal of the DA and its attached agencies to efficiently deliver its programs to the country’s farmers and fisherfolk. He also thanked the ACPC for facilitating the much-needed dialogue, and the participants for doing their part in fulfilling the objective. The meeting was held on March 28, 2019 in Aklan province.

The ACPC congratulates Director Alicia G. Ilaga for being awarded as one of the 100 Outstanding Alumni of the College of Economics and Management (CEM) of the University of the Philippines Los Baños (UPLB) during its Centennial Program and Grand Alumni Homecoming held on July 19, 2019.

With the theme, “Isandaang Taong Husay at Dunong para sa Kaunlaran ng Bayan," the CEM awarded 100 outstanding alumni, past administrators, and 2019 outstanding teachers, researchers, extension personnel, and administrative staff.

The CEM was established in 1919 as the Department of Rural Economics under the UP College of Agriculture.

Dir. Ilaga earned her bachelor's degree in Agricultural Business and master's degree in Agricultural Economics from UPLB. She currently handles the implementation of the ACPC credit programs in Regions 1 and 6.

1. Ensure the proper and efficient implementation of the Rice Tariffication Law, particularly the management of the P10-B Rice Competitiveness Enhancement Fund (RCEF) including that of the formulation of the Rice Industry Roadmap.

2. Craft and implement a “Crop Diversification Strategy” with corresponding fund requirements, initially using current DA program budget, and thereafter included under the 2020 and 2021-2022 annual budgets.

3. Craft and implement a “Pantawid Magsasaka Program” that will provide continuous assistance to adversely affected rice farmers due to the rice tariffication regime.

4. Enhance skills of small farmers and fisherfolk, with emphasis on entrepreneurship. (This includes empowering small farmers’ and fisherfolk’s cooperatives (SFFCs), irrigators’ associations (IAs) and agrarian reform beneficiaries’ associations (ARBAs). They should be trained on entrepreneurship and financial management. DA should forge MOAs with major agribusiness companies that will provide business managers who will train SFFCs, IAs and ARBAs on how to profitably run their farm, fishery and agribusiness enterprises.)

5. Strongly implement climate change and disaster risk reduction program. (This includes institutionalizing early warning systems and protocols, such as typhoon and flood readiness, harvesting of crops using combine harvesters and storing them in all-weather, earthquake-proof and elevated sturdy warehouses.)

6. Assist BARRM in implementing its agriculture, fishery and agri-entrepreneurship development program.

7. Introduce “New Thinking” as the revised DA vision and mission, like strive to attain: a “food-secure” Philippines teeming with prosperous farmers and fisherfolk; identify and promote “countryside heroes” that include successful farmers, fisherfolk, farmers’ and fishers’ groups; establish and strengthen a farmers’ and /fisherfolk’s registry to serve as basis for granting social benefits like SSS, Philhealth, etc.

8. Sustain massive information and communication campaign, highlighting countryside heroes.

9. Review and re-orient existing DA programs and projects towards increasing productivity, competitiveness and income.

10. Reshape and reprogram budget of DA for 2020.

11. Enhance partnership with the private sector particularly in forging contract-growing and marketing agreements, and training of SFFCs, IAs, and ARBAs on agribusiness, entrepreneurship, financial and marketing. Such private groups include the Go Negosyo of PA Joey Concepcion, Philippine Chamber of Commerce and Industry, the Fil-Chinese CCI, chaired by Henry Lim), Management Assn of the Phils. (MAP), and multinational agribusiness companies (SMC, JG Summit, MVP Group of Companies, etc.).

12. Strengthen the organizational structure of DA including systems and processes for efficient and effective governance. (This includes energizing the provincial and municipal agriculture offices (PAOs and MAOs) and their technicians.)

13. Conduct “Food Summit” with key stakeholders: farmers, fisherfolk, GOs, NGOs, LGUs, private sector, SUCs, others. (This includes strengthening the SUCs, mobilizing them to train farmers, fishers and rural entrepreneurs, as well as for lending technical assistance in extension work in close coordination with DA Regional Offices and the provincial LGUs. DA should provide SUCs budget for such activities.

14. Coordinate/collaborate with DTI regarding price stabilization and complementation of agricultural products as well as strengthening quarantine measures against poultry and livestock diseases like the African swine fever.

15. Review restrictive and constrictive policies on agriculture, fishery, agribusiness, credit, etc. For instance, the possibility of lifting the ban on export of mature coconuts and corn.

The Agricultural Credit Policy Council (ACPC) approved the Expanded Survival and Recovery Assistance Program for Rice Farmers (SURE Aid) during its 66^th Governing Council Meeting on August 15, 2019 in Quezon City.

SURE Aid aims to provide loan assistance for immediate relief to rice farmers affected by the initial impact of lower palay prices resulting to the reduction or loss of their farm income. Said program also intends to help rice farmers regain their capacity to continue their production.

Under the SURE Aid, which shall commence on September 1, 2019, rice farmers who are farming one hectare and below, may avail themselves of a one-time, zero-interest loan amounting to P15,000 payable up to eight years.

In addition, the National Food Authority (NFA) will buy the produce of rice farmers who were able to benefit from the loan assistance under the SURE Aid.

The ACPC Governing Council approved a total of P1.5 billion funding for said program to be implemented by the Land Bank of the Philippines (LBP). The implementing guidelines of the program will be jointly crafted by the ACPC and the LBP.

The ACPC Governing Council is composed of the Secretary of the Department of Agriculture (DA) as the Chair, the Governor of the Bangko Sentral ng Pilipinas (BSP) as Vice-Chair while the members are the Secretaries of the Department of Finance (DOF), Department of Budget and Management (DBM), and the Director-General of the National Economic & Development Authority (NEDA).    DA Acting Secretary William D. Dar chaired the meeting with BSP Deputy Governor Chuchi G. Fonacier, DOF Treasurer Rosalia V. De Leon, DBM Director Cristina B. Clasara, NEDA Assistant Director Diane Gail L. Maharjan, and ACPC Executive Director Jocelyn Alma R. Badiola. Also in attendance were Monetary Board Member Dr. Bruce Tolentino, LBP First Vice President Emellie Tamayo and other key officials from DA and ACPC.

For more information, please contact:

Ms. Emmalyn J. Guinto / Karlo Abarquez / Maia Gapud

ACPC Communications and Public Affairs Division

(02) 634-33-20 to 31 / (02) 636-3391 to 93

info@localhost/acpcwd/

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) and the LANDBANK of the Philippines (LANDBANK) on Wednesday, August 28, signed a Memorandum of Agreement for the Expanded Survival and Recovery Assistance Program for Rice Farmers (SURE Aid Program).

The SURE Aid Program aims to assist the rice farmers whose incomes were affected by the drop in the farm gate price of palay. Said program will provide a one-time loan assistance of P15,000 to rice farmers who are farming one hectare and below at 0% interest rate payable for eight years.

The LANDBANK will administer the P1.5 billion fund from the DA-ACPC for the lending program. DA-accredited service conduits will also be tapped by LANDBANK so that they, in turn, will disburse loans to eligible beneficiaries especially in unbanked and unserved areas.

“Thank you Secretary Dar for this very swift and solid move, a clear proof of your trademark as a man of action. It is a sign of many great things to come on the agri sector,” said LANDBANK President Cecile Borromeo.

“Be assured that LANDBANK is fully on board to work with you in making great things happen for our farmers and fishers… Sama-sama nating isulong ang interes ng magsasaka tungo sa masaganang ani at mataas na kita” said Borromeo.

DA Acting Secretary William Dar, on the other hand, said that the SURE Aid Program is a financial assistance that is very affordable for the small rice farmers as they just need to set aside P1,875 per year to pay off their loan.

“Credit is such as very important strategy to make it possible to develop and grow Philippine agriculture,” Secretary Dar said. “Credit must be affordable, accessible and the ease of doing business will be our principle in terms of simplifying the process for the common farmer.”

Further, Sec. Dar said that there are three big issues that the Department need to get a good handle at in the next four months including the falling price of palay and copra, and the swine disease that is yet to be confirmed by laboratory tests.

“Kaya natin ito kung tayong lahat ay nagkakaisa. We will bring all the minds and the best ideas into the table and really harness the best measures possible to help the sector,” the Secretary said.

The DA was represented by Secretary Dar and ACPC Executive Director Jocelyn Alma Badiola while LANDBANK was represented by President Borromeo and First Vice President for Lending Program Management Group Emellie Tamayo during the MOA signing. LANDBANK Board of Directors, DA and ACPC officials also witnessed the event.

The Expanded Survival and Recovery Assistance Program’s (SURE Aid) fund allocation now stands at P2.5 million following an infusion of an additional P1 billion as approved by the Department of Agriculture–Agricultural Credit Policy Council’s (DA-ACPC) during its Special Meeting on September 12, 2019 in Manila.

With the fund increase, around 170,000 small rice farmers are expected to benefit from the program which is currently being rolled out in provinces nationwide following its launching in Nueva Ecija on September 2, 2019. 

The DA-ACPC, in coordination with the DA Regional Field Offices (DA-RFOs) and the local government units, are already conducting orientations with stakeholders and validations of potential rice farmer-beneficiaries.

Under the SURE Aid Program, rice farmers who are tilling one hectare of land and below, may avail themselves of a one-time, zero-interest, no collateral loan amounting to P15,000 payable up to eight years.

The LANDBANK will manage the P2.5 billion fund from the DA-ACPC by releasing the loans either through direct lending to farmers or through service conduits in unbanked and unserved areas. The DA-ACPC will also provide the LANDBANK with the validated list of farmers eligible for the loan assistance, as well as the list of DA-identified service conduits.

“Sa lahat ng kukuha ng assistance mula sa SURE Aid, lahat ng produkto nila ay bibilhin ng National Food Authority”, said DA Secretary Dar. “Sa SURE Aid, simplified na ang application. Basta rehistrado sa updated RSBSA, validated at endorsed ng mga concerned agencies, maa-approve at mare-release agad ang loan,” he added.

During said launching activity, rice farmers Myraluz Ferrer, Ricardo Pangilinan and Ferdinand Gomez were just three out of the more than 1,000 rice farmers from Nueva Ecija who each received P15,000 through the SURE Aid LANDBANK Cash Cards.

“Masayang masaya po ako dahil isa ako sa nakatanggap ng tulong mula sa gobyerno. Kayang-kaya namin bayaran dahil walang interes,” said rice farmer Myraluz Ferrer from Bongabon, Nueva Ecija.

“Napakalaking bagay po na mapautang kami ng walang kolateral sapagkat kaming mga magsasaka, kumakagat po kami sa mga patubuan,” explained SURE Aid-beneficiary Ricardo Pangilinan from General Tinio, Nueva Ecija.  

“Malaking tulong para sa aming magsasaka yung SURE Aid program lalo na’t mahaba haba yung term ng pagbabayad. Makakagaan sa magsasaka para may pandagdag gastos na matagal babayaran,” farmer Ferdinand Gomez from San Jose, Nueva Ecija said.

The SURE Aid Program was created following its approval by the ACPC Governing Council on August 15, 2019. The ACPC Governing Council is composed of the Secretary of the Department of Agriculture (DA) as Chairman; the Governor of the Bangko Sentral ng Pilipinas (BSP) as Vice-Chairman; and the Secretaries of the Departments of Budget and Management (DBM), Finance (DoF), and National Economic Development Authority (NEDA) as members.

On August 28, 2019, the DA-ACPC and the LANDBANK signed a Memorandum of Agreement (MOA) for the implementation of the said program. Said MOA stipulates the working relationship and obligations of the ACPC and LANDBANK.

Currently, the ACPC is redesigning its credit programs to further engage LANDBANK. Among these are the Production Loan Easy Access (PLEA) program, Survival and Recovery (SURE) loan assistance, Working Capital Loan Easy Access (CLEA), and the Agriculture and Fisheries Machineries and Equipment (AFME) loan program. As of May 2019, the PLEA, which offers loans of up to Php 50,000 or Php 150,000 with 6% interest per annum for agri-fishery production, has benefitted over 43,578 small farmer and fisher (SFF) borrowers with a total of Php 1.54 billion in loans granted. Meanwhile, through the SURE, over 18,900 small farmers and fisherfolk affected by calamities have been granted zero-interest loans amounting to a total of Php 242 million, to help them regain their capacity to earn a living. The ACPC has also disbursed a total of Php 45 million through the CLEA and AFME, which have benefitted a total of 7 organizational borrowers, with 300 SFF beneficiaries.

After its launch in Nueva Ecija on September 2, 2019, the Expanded Survival and Recovery Assistance Program for Rice Farmers (SURE Aid) is now being rolled-out in different provinces across the country. Last September 18, 2019, more than 1,200 rice farmer-beneficiaries from the province of Tarlac received their SURE Aid loans to help cushion the impact of low palay prices.

The SURE Aid program provides rice farmers who are tilling one hectare of land and below with a one-time, zero-interest, no collateral loan amounting to Php 15,000 payable up to eight years.

The Department of Agriculture–Agricultural Credit Policy Council (DA-ACPC), in coordination with the DA Regional Field Offices (DA-RFOs) and the local government units (LGUs), are currently fast-tracking the implementation of the program to provide loans to a targeted 170,000 rice farmers nationwide by the end of October 2019.

In her opening message, Tarlac Governor Susan Yap thanked DA Acting Secretary William Dar, DA RFO III, the LANDBANK and DA-ACPC for establishing the SURE Aid Program for Rice Farmers, which will benefit a total of more than 5,700 rice farmers in the province.

“Ang SURE Aid Program ay nagpapatunay na hindi pinapabayaan ng gobyerno ang mga magsasaka. Mabilis ang naging aksiyon ng DA, DA RFO III, DA-ACPC at LANDBANK upang matugunan ang pangangailangan ng mga magsasaka,” she said.

For her part, Provincial Agriculturist Alicia Cruz said, “Malaki ang impact ng programang ito sa ating mga magsasaka. Natutuwa sila na may dumating na tulong galing sa gobyerno upang sila ay makapagtanim muli.”

Eligible rice farmers from Tarlac received their SURE Aid LANDBANK Cash Cards during the launching held in the Tarlac State University Gymnasium. This was facilitated by the local government unit (LGU) of Tarlac in cooperation with the LANDBANK, DA RFO III, and DA-ACPC.

LANDBANK President and CEO Cecilia Borromeo thanked the DA, DA RFO III, DA-ACPC, and Tarlac LGU for their cooperation in implementing the program. “Ang SURE Aid for rice farmers ay ginawa upang matulungan ang magsasaka na naapektuhan sa murang presyo ng palay, sa pamamagitan ng pautang na walang interes, walang kolateral at maaring bayaran sa loob ng walong taon.”

She explained that the SURE Aid Cash Cards contain the full loan amount of Php 15,000, which could be withdrawn from the readily available Mobile ATM in the venue, or from the 30 LANDBANK branches and ATMs within Tarlac.

“Patuloy na makikipag-ugnayan ang LANDBANK sa DA at sa mga LGUs upang matulungan ang mga magsasaka,” she added.

Rice farmer-beneficiary Alfredo Melchor from San Clemente, Tarlac addressed his fellow farmers during the event in his response during the launching.  “Marami po sa aming mga magsasaka ang lumalapit sa mga nagpapautang na may mataas na interes, ngunit dahil sa programang ito, makakahiram kami ng walang kolateral, walang interes, ang magaan ang pagbabayad.”

The SURE Aid Program was approved by the DA-ACPC Governing Council to provide financial assistance to rice farmers whose incomes were adversely affected by the low prices of palay in their respective regions. It is currently being implemented by the LANDBANK, which will disburse the Php 2.5 billion fund from the DA-ACPC either through direct lending to farmers or through service conduits in unbanked and unserved areas.

DA Acting Secretary William Dar, during his closing message for the Launching of the SURE Aid program for rice farmers held on September 2, 2019 in Zaragoza, Nueva Ecija, regarded rice farmers as heroes in the countryside, and said that the DA's priority is to increase farmers' income. As one of the measures to achieve this, he cited the Expanded Survival and Recovery or SURE Aid Program for Rice Farmers, which was conceptualized and launched within his first 28 days as Acting Secretary. He said that the SURE Aid program intends to provide financial assistance to around 100,000 rice farmers nationwide.
Photo courtesy of DA AFID

In her message during the Launching of the SURE Aid program for rice farmers held on September 2, 2019 in Zaragoza, Nueva Ecija, LBP President and CEO Cecilia C. Borromeo said that under the SURE Aid program, rice farmers who are tilling one hectare and below may avail themselves of a one-time, zero-interest, no collateral loan amounting to Php15,000 payable up to 8 years. The LANDBANK will administer the Php 1.5 billion fund from the DA-ACPC for the loan program.
Photo courtesy of DA RFO III

In a speech delivered by Atty. Rhaegee Tamaña for Senator Cynthia A. Villar during the Launching of the Expanded Survival and Recovery Assistance for Rice Farmers or SURE Aid Program held on September 2, 2019 in Zaragoza, Nueva Ecija, Senator Villar thanked the DA- ACPC and Landbank for facilitating the implementation of the SURE Aid program, which aims to provide loan assistance for farmers whose incomes were affected by the drop in the farmgate price of palay. Senator Villar added that the program will be immediately rolled out in the other provinces as identified by the DA Regional Field Offices (DA-RFOs).
Photo courtesy of DA AFID

The Agricultural Credit Policy Council (ACPC) is proud to announce its certification to the standard of ISO 9001:2015. TÜV Rheinland Philippines, Inc. has awarded the ISO 9001:2015 Certification for the ACPC’s quality management system, which ensures customer satisfaction and continual enhancement in attaining its organizational goals. Attached below is the certificate.

To attract more of the youth into the agriculture and fisheries sector and support micro and small agri-fishery business enterprises, the Agricultural Credit Policy Council (ACPC) approved the allocation of a P2 billion credit fund for two new innovative lending programs during its 67^th Governing Council meeting on January 8, 2020 in Manila. 

The Young Agripreneurs Loan Program, which was allocated a P1 billion fund, will finance working capital and/or fixed asset acquisition requirements of start-up or existing agri-based projects of young entrepreneurs and agri-fishery graduates.

Said program, to be implemented by Government and Financial Institutions (GFIs), ACPC-accredited cooperative banks, rural banks, cooperatives, and viable non-government organization (NGOs), offers up to P500,000 loan per borrower payable not more than five years at 0% interest with not more than 3.5% management fee. 

“This has been one of my advocacies. Let us give our Filipino millennials the means to be part of our journey towards agricultural modernization and industrializations,” said Department of Agriculture (DA) Secretary William D. Dar, who also chairs the ACPC Governing Council.

“We have to replace aging farmers with younger blood — our Pinoy millennials — who are the future of Philippine agriculture,” added the DA chief.

As support component to the program, the ACPC shall engage State Colleges and Universities (SUCs), government agencies such as the Agricultural Training Institute (DA-ATI) and the Department of Trade and Industry (DTI) and business development services (BDS) to train and mentor the loan beneficiaries.

On the other hand, the Micro and Small Business Enterprises Loan Program will finance income-generating agri-fishery activities and working capital and/or fixed asset acquisition requirements of micro and small agri-fishery enterprises.

Said credit program, which was also allocated P1 billion credit fund, features on-lending and direct lending schemes to be implemented by GFIs. 

For its on-lending scheme, GFIs will wholesale loans to banks, cooperatives and NGOs as lending conduits which may extend up to P300,000 loan to eligible borrowers with finance charge of up to 6% per annum

For direct lending, GFIs will extend loans directly to micro and small enterprises at 0% interest rate with up to 3.5% per annum service fee. Micro and small enterprises include sole proprietors, partnerships, corporations, associations, and cooperatives whose owners are marginalized, small farmers and fisherfolk.

“The intent of the program is to nurture them (small and medium enterprises) towards a bigger business opportunity,” said Secretary Dar.

Both credit programs, which shall be launched in January 2020, were designed by ACPC to address the financial needs of marginal and small farmers and fisherfolk for fast, convenient and affordable credit.

Along with DA Secretary William D. Dar as Chairperson, ACPC Governing Council members present during the meeting were Monetary Board Member V. Bruce J. Tolentino representing Bangko Sentral ng Pilipinas (BSP) Governor Benjamin U. Diokno, Treasurer Rosalia V. De Leon representing Department of Finance (DoF) Secretary Carlos G. Dominguez III,  Director Nieva T. Natural representing National Economic and Development Authority (NEDA) Director General Ernesto M. Pernia, Director Cristina B. Clasara representing Department of Budget and Management (DBM) Secretary Wendel E. Avisado.

Also in attendance during the meeting as resource persons were Landbank of the Philippines (LBP) President and CEO Cecilia C. Borromeo, Executive Vice President Liduvino S. Geron and Vice President Emellie V. Tamayo, Philippine Guarantee Corporation (PhilGuarantee) President Alberto E. Pascual and Acting Executive Director Emmanuel Torres, Development Bank of the Philippines (DBP) First Vice President Paul Lazaro, BSP Managing Director Lyn Javier and Deputy Director Cynthia M. Sison.

The said meeting was organized by the ACPC led by its Executive Director Jocelyn Alma R. Badiola together with Deputy Executive Director Ramon C. Yedra.

Among the representatives of the ACPC Governing Council members who approved the two new lending programs in photo are (from left) Director Nieva T. Natural of National Economic and Development Authority, Director Cristina B. Clasara of the Department of Budget and Management and Treasurer Rosalia V. De Leon of the Department of Finance.

Treasurer Rosalia V. De Leon (leftmost) of the Department of Finance provides inputs during the discussion on the newly approved agri-fishery credit programs of DA-ACPC. Also in the photo are (from left) Monetary Board Member V. Bruce J. Tolentino of the BSP, Secretary William Dar of DA, and Executive Director Jocelyn Alma Badiola of ACPC.

ACPC Extends Relief to Familes Affected by Taal Volcano Eruption

“I cannot do all the good that the world needs. But the world needs all the good I can do.”- Jana Stanfield

Taking its share in giving  immediate relief to families affected by the eruption of Taal Volcano, the Agricultural Credit Policy Council (ACPC), headed by its Executive Director Jocelyn Alma R. Badiola,  distributed reflief goods to more that 300 families in seven evacuation centers in Taysan and Rosario, Batangas.

Families from the towns of Agoncilio, Balete, Cuenca, Lemery, Santa Teresita, Taal, Santo Tomas and Lipa City in Batangas were given food packs by ACPC representatives on January 16, 2020.  

The ACPC, in coordination with Tilambo Multi-Purpose Cooperative, one of ACPC’s partner lending conduits,  facilitated the distribution of relief goods. Tilambo MPC Chair Crispin U. Berana and General Manager Aida B. Alano, together with ACPC staff  distributed more that 300 food packs and water to affected families in the following evacuation centers: San Marcelino Elementary School, Bulihan Integrated National High School, Mavalor Elementary School, Rosario East Central School, Rosario West Central School, Barangay Halls in Bukal and Mabayabas in Taysan, Batangas.

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) officially launched its newest loan programs, the Kapital Access for Young Agripreneurs (KAYA) and Agri-Negosyo, on January 24, 2020 at the Pampanga State Agricultural University (PSAU), Magalang, Pampanga.

The KAYA Program will finance capital requirements of start-up or existing agri-based projects of young entrepreneurs and agri-fishery graduates aged 18-30 years old.

“Gusto ko talagang mahikayat ang mga millennials na bumalik sa agrikultura at mag-negosyo din,” said DA Secretary William D. Dar, who led the said activity. 

The DA-ACPC will engage Government financial institutions (GFI) such as the Land Bank of the Philippines (LANDBANK) and the Development Bank of the Philippines (DBP) together with non-GFIs including cooperative banks, rural banks, cooperatives, and viable non-government organization (NGOs) to implement said program which offers up to P500,000 loan per borrower payable not more than five years at 0% interest with not more than 3.5% management fee. 

“Masaya kami dahil ito ang pinakahihintay ng kabataang magsasaka at mangingisda ng bansa – ang magkaroon ng programa para sa kanila tulad ng KAYA Loan Program,” said Ricmel Falqueza, President of the 4H Club National Federation.

“Malaking tulong para sa mga kabataang entrepreneurs ang KAYA upang makita nila ang kanilang potensyal at mahasa ang kanilang kaalaman sa pagne-negosyo habang sila’y naghahanda para sa kanilang kinabukasan,” said Mr. Nelan Bondoc, Adviser of the Green Youth Army Philippines.

The Agri-Negosyo Program, on the other hand, will finance income-generating agri-fishery activities and working capital and/or fixed asset acquisition requirements of individuals/sole proprietors, partnerships, corporations, and cooperatives whose owners or members are marginal or small farmers and fisherfolk.

According to Sec. Dar, the said program will help individuals or enterprises that wants to scale up their business.  

Under the program’s Micro Agri-Negosyo Loan facility, borrowers may loan up to P300,000 payable up to five years and channeled thru ACPC lending conduits.

Moreover, under its Small Agri-Negosyo Loan facility, borrowers may avail themselves of loan amounting to P300,000 up to P15 million payable depending on the loan purpose and channeled through GFIs.

As support component to the two new innovative programs, the DA-ACPC shall engage State Colleges and Universities (SUCs), government agencies such as the Agricultural Training Institute (DA-ATI) and the Department of Trade and Industry (DTI) and business development services (BDS) to train and mentor the loan beneficiaries.

“Through DBP’s partnership with the ACPC, we can help our young agripreneurs and micro and small agribusiness enterprises grow their agri-fishery projects through KAYA and Agri-Negosyo programs,” said DBP Vice President Paul Lazaro.

“Patuloy ang LANDBANK na makikipag-ugnayan sa DA-ACPC sa pagpapatupad ng credit programs para mas madali para sa mga young agripreneurs and micro and small agribusiness enterprises na makapag-avail ng loans para sa kanilang agri-fishery projects,” said Ms. Jennielyn Zabala of LANDBANK Lending Center Pampanga.

“Malaking oportunidad ang bagong mga programa ng ACPC para sa mga kabataan para mag-negosyo. This is their time!” said Mr. Gerlito Lanojan of the Rural Bank of Rizal, one of ACPC’s potential partner lending conduit for the programs.  

The two programs, designed to address the financial needs of marginal and small farmers and fisherfolk for fast, convenient and affordable credit, were allocated P1 billion each by the ACPC Governing Council during its 67^th meeting on January 8, 2020.

The launching activity, which coincided with the 5^th anniversary of the PSAU, was participated by representatives from DA and its attached agencies and bureaus, GFIs, potential partner lending conduits, academe and youth groups. 

The Agricultural Credit Policy Council (ACPC) conducted an in-house seminar on Republic Act 11032 or the Ease of Doing Business (EODB) and Efficient Delivery of Government Service Delivery Act of 2018 on November 8, 2019 in Pasig City.

A workshop on drafting ACPC’s Citizen’s Charter, led by Director Norman William Kraft, ensued after the EODB seminar. During the activity, each unit identified their key internal and external services, processing time and type of transaction which shall be submitted to the Anti-Red Tape Authority (ARTA) for compliance. 

Under RA 11032, all government agencies are required to set up their current and updated Citizen’s Charter. The Citizen’s Charter is an official document that communicates in simple terms the service standards of an agency on the frontline services being provided to its citizens. This shall serve a dual purpose as it shall be the basis for (1) establishing accountability and for (2) recognizing good performance to grant rewards and incentives.

“The Citizen’s Charter is an accountability tool which tells the public what to expect when transacting with government agencies,” said Ms. Pauline Karol Guiyab of the ARTA, who discussed the guidelines in the implementation of the Citizen’s Charter. “Basically, it tells the public which steps they need to undergo for a transaction, the fees they need to pay and the requirements they have to submit. Anything else asked of you aside from these, are unauthorized and unnecessary,” she added. As of December 2019, the ACPC has already updated and submitted its Citizen’s Charter to the ARTA.

Meanwhile, Atty. Marco Angelo Balleser, also from the ARTA, presented the salient points of the said law.  One of the most defining feature of said law is the 3-7-20 day prescribed processing time for all government transactions. To efficiently process applications, all government agencies and offices are now required to process simple transactions within three working days, complex transactions within seven working days, and highly technical applications involving activities which pose danger to public health, public safety, public morals, public policy within 20 working days, all upon submission of required documents. The maximum time prescribed may be extended only once for the same number of days.

RA 11032, which was signed into law on May 28, 2018 and made effective on June 17, 2018, effectively amends RA 9485, or the Anti-Red Tape Act of 2007. In a nutshell, EODB provides for provision on promoting regulatory practices, setting standards on prescribed processing time, establishment of government technology, and re-engineering government systems and procedures.

In view of the full implementation of the Budget and Treasury Management System (BTMS) in 2020, some 28 ACPC officers and staff participated in a BTMS Power users’ training on the budget management, processes, and operations on October 17-18, 2019 in Manila.

The ACPC representatives were given hands-on training on actual financial transaction from the preparation of the Purchase Request (PR) to the processing of payment. They were taught on the functions of the BTMS such as integration of appropriations, allotments, cash allocations, commitments, obligations, disbursements, and reporting.

The Department of Budget and Management (DBM) has mandated the use of the BTMS by all government agencies to centralize all processes and transactions to be seen in real-time by the DBM and Commission on Audit (COA).

The Civil Service Commission (CSC) awarded a Certificate of Registration for the Collective Negotiation Agreement entered into by and between the Agricultural Credit Policy Council (ACPC) and the Agricultural Credit Policy Council Employees Association (ACPCEA) on December 9, 2019 at the ACPC, Pasig City.

CSC Director Cecilia C. Villafuerte awarded said certificate to the ACPC Execom led by Executive Director Jocelyn Alma Badiola and the ACPCEA represented by its Vice President Jenny Aspilan during the flag raising ceremony of the ACPC.  

The ACPC and the ACPCEA entered into a CNA for the purpose of establishing, maintaining and regulating the terms and conditions of employment of the employees of the agency through the proper observance of democratic practices pursuant to Executive Order No. 180, s. 1987 “Providing Guidelines for the exercise of the Rights to Organize of Government Employees Creating a Public Section Labor Management Council.”

The ACPCEA is a duly organized and existing legitimate labor association registered with the Department of Labor and Employment (DOLE) dated January 10, 2003.

In compliance with the Republic Act (RA) No. 10173, known as Data Privacy Act of 2012, the Agricultural Credit Policy Council (ACPC) conducted a seminar-workshop on the Privacy Impact Assessment (PIA) and Privacy Management Program (PMP) on October 21 and 28, 2019, respectively, at the Development Academy of the Philippines (DAP), Pasig City.

The seminar-workshop aimed to embed knowledge and capacitate the ACPC officers and staff on the PIA processes as well as the PMP control framework. Through the PIA process, the impacts on personal data privacy of ACPC’s programs, projects, processes, measures, systems, and technology products will be evaluated and managed to address risks through control framework. The PMP on the other hand, will help ACPC toward intensive protection of data privacy rights of individuals as part of ACPC’s governance responsibilities.

“Implementing these processes and controls in compliance with the law demonstrates the ACPC’s pledge to protect the personal information of our farmer and fisherfolk beneficiaries as well as our employees and stakeholders,” said Dir. Norman William S. Kraft, ACPC’s Data Protection Officer, in his message during the activity.

Mr. Bonifacio Talampas served as the resource person of the activity. He emphasized that the Data Privacy Act assures free flow of information to promote innovation and growth while protecting the users’ fundamental rights to privacy; regulates the collection, recording, organization, storage, updating or modification, retrieval, consultation, use, consolidation, blocking, erasure or destruction of personal data; and ensures that the country complies with international standards set for data protection through National Privacy Commission (NPC).

Under the law, the ACPC shall implement measures to safeguard and protect the personal data of clients particularly the farmer and fisherfolk beneficiaries of the ACPC’s credit programs.

It will likewise observe the general principles of transparency, legitimate purpose and proportionality in the collection, processing, securing, retention and disposal of personal data.

The Agricultural Credit Policy Council (ACPC) is proud to announce its certification to the standard of ISO 9001:2015 for the period November 11, 2019 to November 3, 2022. TÜV Rheinland Philippines, Inc. awarded the ISO 9001:2015 Certification in November 2019 for ACPC’s quality management system, which ensures customer satisfaction and continual enhancement in attaining its organizational goals.

ACPC’s Quality Policy Statement

ACPC is the premier institution in pursuing innovations in rural and agricultural finance. It is dedicated to provide timely, responsive, sustainable and effective credit policies and programs to small farmers and fisherfolk, and their organizations, through a process-based approach in management and continual enhancement of the following:

1. Determining organizational targets and success indicators to measure timeliness and quality of services;
2. Adhering to stakeholders’, administrative, and legal requirements.
3. Conducting policy and action research studies to develop evidence-based innovative credit policies and financing schemes/programs for the agriculture and fisheries sector;
4. Overseeing the implementation of the Agro-Industry Modernization Credit and Financing Program (AMCFP) and ensuring that credit funds are available and accessible to small farmers and fisherfolk;
5. Facilitating capacity-building programs and activities for countryside financial institutions, including cooperatives and other people’s organizations, as well as small farmers and fisherfolk;
6. Conducting advocacy and information dissemination activities to promote and generate greater awareness, understanding, and support for agri-credit policies and ACPC programs;
7. Accrediting debt securities and non-bank rural financial institutions pursuant to the implementation of RA 10000 or the Agri-Agra Reform Credit Act of 2009;
8. Enhancing operational efficiency through the adoption of information technology solutions, and
9. Maintaining rules-based governance and commensurable support to ACPC operations.

Department of Agriculture Secretary William D. Dar together with the other officers of the DA - Central Office visited the province of Cotabato to meet with and listen to the concerns of more than 1,000 farmers from Region XII.

Former DA Secretary and current Chair of the Mindanao Development Authority (MinDA) Emmanuel Piñol also attended the activity together with the other government agencies and attached agency heads, the Department of Trade and Industry (DTI), the Technical Education and Skills Development Authority (TESDA), and the National Irrigation Administration (NIA). Also present were ACPC Executive Director Jocelyn Alma R. Badiola and DA – Regional Field Office Executive Director Milagros C. Casis.

Dubbed as the “Pulong-pulong with the Farmers of Region XII,” farmers and fishers raised various issues and concerns such as the drop of palay price, lack of irrigation, high-priced fertilizers, and lack of capital. Secretary Dar, in response, explained that part of the solution is the Rice Competitiveness Enhancement Fund (RCEF) which supports greater mechanization, distribution of high-yield inbred seed, credit, and extension support and education in the rice industry.

Dar also explained that the DA, through ACPC, is currently implementing the Expanded Survival and Recovery (SURE AID) program. Under the SURE Aid Program, rice farmers who are tilling one hectare of land and below, may avail themselves of a one-time, zero-interest, no collateral loan amounting to Php15,000 payable up to eight years.

“Ang DA RFO at ACPC ay tutulong po sa inyo para makakuha kayo ng sapat na credit capital para sa pagsasaka,” said Secretary Dar.

Meanwhile, Regional Director of Tesda Region XII Rafael Abrogar also said that they will provide training for farmers in the region to help them become agri-entrepreneurs.

Agricultural Credit Policy Council (ACPC) Executive Director Jocelyn Alma R. Badiola presented the current state of rural finance in the country as well as the ACPC Programs including the Easy-to-Access Loans during the 2019 Annual General Membership Meeting of the Confederation of Central Luzon Rural Banks (CCLRB) on November 21, 2019 in Pampanga. The activity served as a platform for the ACPC and CCLRB to discuss partnership in bringing financial services to the rural areas and in advocating sustainable and inclusive rural growth.

Exec. Dir Badiola discussed the prospects of cooperation with rural banks including the continuous engagement of Government Financial Institutions (GFIs) and private banks including rural banks to develop and enhance innovative financing schemes to improve farmers and fisherfolk’s access to credit.

“The ACPC is collaborating with the Bangko Sentral ng Pilipinas (BSP) in drafting a bill that will address the banks’ compliance with the Agri Agra Law. Called “Strengthening the Financing System for Agricultural and Rural Development in the Philippines,” the bill seeks to expand the modes of alternative compliance so that banks will be encouraged to invest in rural communities especially in agriculture and agrarian reform areas,” Exec. Dir. Badiola said.

She also mentioned that said draft bill seeks to reconstitute the Governing Council of the ACPC, with representation from commercial banks, rural banks, thrift banks, cooperative banks, and microfinance institutions.

“With you, the rural banks, we can craft appropriate policies aimed at creating an environment conducive to lending to the agriculture and fisheries sector,” she added.

Other topics presented during the activity included the updates on Central Luzon Regional Development Plan by the National Economic and Development Authority (NEDA), prospects of cooperation with PhilGuarantee Corporation, updates from the BSP, and initiatives of CCLRB and Southern Tagalog Confederation, among others.

The Agricultural Credit Policy Council (ACPC) transferred an initial P20 million fund to two of its partner lending conduits in Ilocos Norte for the Kapital Access for Young Agripreneurs (KAYA) Program.

Department of Agriculture (DA) Secretary William Dar and ACPC Executive Director Jocelyn Alma Badiola led the ceremonial turnover of checks worth P10 million each to the Nueva Segovia Consortium of Cooperatives (NSCC) and the Ilocos Consolidated Cooperative Bank (ICCB) on February 28, 2020 in the said province.

The KAYA program offers loans to finance working capital and/or fixed asset acquisition requirements of start-up or existing agri-based projects of young entrepreneurs and agri-fishery graduates.

“Kung may idea sila at gusto nilang mag-negosyo, ay bibigyan ang isang young agripreneur ng hanggang P500,000 loan, zero interest, payable in five years,” Secretary Dar said. “Para mahikayat natin ang mga kabataan to go back to agribusiness,” he added.

As capacity building component under the program, the ACPC will engage state universities and colleges, government agencies, and business development service providers to provide mentoring, business planning, marketing, product packaging support to young agripreneurs.

For Ilocos Norte, the ACPC has partnered with the Mariano Marcos State University (MMSU) which will provide said technical assistance and identify and endorse eligible borrowers.

“We have already scheduled the roll out of KAYA program in various provinces,” said ED Badiola. “We are also currently conducting business planning workshops for potential borrowers,” she added.

“Nagpapasalamat kami sa DA at ACPC sa muling pagtitiwala sa aming kooperatiba bilang lending conduit para sa KAYA Loan Program. Asahan ninyo ang aming tulong na makabalik muli ang mga kabataan sa sektor ng agrikultura at magkaroon ng panimulang negosyo,” said NSCC Chief Operations Officer Guadalupe Gorospe.

The ceremonial turnover of credit fund for the KAYA program coincided with the signing of a Memorandum of Agreement creating the Ilocos Norte Agriculture and Fishery Extension System (INAFES), which aims to strengthen and synergize the provincial and municipal extension systems of the province by engaging a pool of professionals who will provide technical and business advisory services to farming and fishing communities, and other related sectors.

According to Provincial Agriculturist Norma Lagmay, the KAYA Program will benefit from the INAFES as it will also provide capacity building to the youth especially on agribusiness entrepreneurship.

“Napaka-ganda ng KAYA Program dahil inihahanda natin ang mga kabataan sa pagne-negosyo. It’s about time to focus on the youth. Dapat bigyan natin sila ng kaukulang training at puhunan para mahalin nila ang agriculture at business,” said PA Lagmay. 

“Sa KAYA, mabibigyan ng maraming oportunidad na magsagawa ng iba’t ibang proyekto ang aming organisasyon tulad na lamang ng agri-tourism,” said 4-H Club Ilocos Norte President Jermain Sebastian.

Aside from the MOA signing and check turnover, the DA also led the distribution of cash assistance amounting to P9.9 million out of the P99M fund under the Rice Farmers Financial Assistance (RFFA) Program that benefitted 19,927 farmers from Batac City, Dingras, San Nicolas, Sarrat, Paoay, and Piddig. The RFFA provides each rice farmer tilling half to two hectares of farmland with unconditional P5,000 cash assistance.

Present during the event were Senator Imee Marcos, Governor Matthew Marcos-Manotoc, Regional Executive Director Lucrecia Alviar, Jr., officials from DA attached agencies and bureaus, representatives from the LGU and academe, and some 1,900 Ilokano farmers.

As part of the Department of Agriculture (DA) family, the Agricultural Credit Policy Council (DA-ACPC), was one with the DA in celebrating the first anniversary of the Rice Tariffication Law (RTL), held in the Urdaneta Cultural Center, Pangasinan on March 5, 2020.

“The Rice Tariffication Law is one of the best reforms that has happened in the history of agriculture in this country,” said DA Secretary William D. Dar during his message, explaining how one year of implementation of the RTL has greatly improved the sector’s efforts to attain food security and self-sufficiency. “We need rice that is available and affordable for all Filipinos. Ngayon, malaki na ang pagbaba ng presyo ng bigas sa mga merkado.”

Earlier in the program, National Economic and Development Authority (NEDA) Assistant Secretary Mercedita Sombilla, on behalf of Secretary Ernesto Pernia, had reported that the average retail price of regular milled rice (RMR) has recently gone down to Php 36.74 per kilo, compared to an average of Php 42.32 per kilo prior to the full implementation of the RTL in March 2019.

RA 11203, or the Rice Tariffication Law (RTL), was first signed into law in February 2019, creating the Rice Competitiveness Enhancement Fund (RCEF), an annual Php 10 billion fund with four main component programs aimed at improving the productivity and competitiveness of Filipino rice farmers—namely, seed, mechanization, extension services and credit programs.

“Napakaganda ng ating mga programa para sa mga magsasaka,” said Senator Cynthia Villar, chairperson of the Senate Committee on Agriculture, during her keynote speech. “Kaya mayroong RTL at RCEF, dahil gusto natin na maging competitive ang aming rice farmers in terms of quality and cost of production.”

With the theme, “Sa Rice Tariffication Law, lahat tayo panalo!” the celebration highlighted the accomplishments of each RCEF program implementing agency, including the Philippine Center for Postharvest Development and Mechanization (PhilMech) for mechanization; Philippine Rice Research Institute (PhilRice) for seeds distribution; Agricultural Training Institute (ATI) and Technical Education and Skills Development Authority (TESDA) for extension and training services; and the DA-ACPC’s partner government banks, Land Bank of the Philippines (LBP) and Development Bank of the Philippines (DBP) for credit.

The Expanded Rice Credit Assistance under the Rice Competitiveness Enhancement Fund (ERCA-RCEF) is the credit program for rice farmers implemented by the LBP and the DBP. Under this program, the LBP reported a total of Php 481.34 in loans released to 2,679 small farmers as of February 29, 2020.

The LBP is also the DA-ACPC’s partner lending conduit for the Expanded Survival and Recovery Assistance Program for Rice Farmers (SURE Aid), a targeted credit program for eligible rice farmers, as identified by the DA Regional Field Offices (DA RFOs), whose incomes were affected by low farmgate prices of palay last year. LBP President Cecilia Borromeo reported a total of Php 2.48 billion in zero-interest loans distributed to 163,827 farmers under the SURE Aid Program.

“Isang karangalan na maging katuwang ng gobyerno para matulungan at matugunan ang pangangailangan ng mga magsasaka,” said President Borromeo in her speech.

For the DBP’s ERCA-RCEF program, Isabela-based NMI Agri Coop President Ana Cristina S. Go shared that through their working capital loan granted in 2019, their cooperative was able to purchase the palay of more than 2,500 of their members at prices higher than the farmgate price, which had dropped at the time due to calamities in the province. The DBP has currently released Php 283 million of the approved Php 500 million loan to NMI Agri Coop.

The DBP is also the DA-ACPC’s partner lending conduit for the BuyANIhan program, which provides a working capital loan for farmers’ cooperatives or associations to buy palay directly from farmers, and process and market the rice to institutional buyers. In 2019, the DBP approved a Php 200 million loan for the Ilocos-based Nueva Segovia Consortium of Cooperatives’ (NSCC) palay buying and marketing project in partnership with its 200 primary cooperatives.

“The DBP commits to supporting the Department of Agriculture and RCEF-implementing agencies, as we promote the welfare and increase the competitiveness of our rice farmers,” said DBP President Emmanuel Herbosa in his video message.

Other highlights of the event included testimonials from beneficiaries of the various RCEF programs, and the ceremonial awarding of certificates to recipients of machines, seeds, credit and training and scholarship under the RCEF programs.

The event was attended by around 1,400 rice farmers from the region, Senator Cynthia Villar, DA Secretary William Dar, Pangasinan Governor Amado Espino III, Urdaneta Mayor Julio Parayno III, and officials and staff from the RCEF implementing agencies, including TESDA Secretary Isidro Lapeña, PhilMech Executive Director Baldwin Jallorina, PhilRice Executive Director John de Leon, LBP President Cecilia C. Borromeo, DBP Senior Vice President Paul Lazaro, ATI Director Alfredo Aton, NEDA Assistant Secretary Mercedita A. Sombilla, Department of Finance (DOF) Executive Assistant Renzo Enrico Blanco, and DA-ACPC Executive Director Jocelyn Alma R. Badiola.

As a result of President Rodrigo Duterte’s declaration that the whole country will be under a State of Calamity for a period of six (6) months due to the rising cases of COVID-19 and due to the enhanced community quarantine imposed throughout Luzon, the income of many of our cut flower farmers from the Cordillera Administrative Region (CAR) were affected as they were unable to transport and sell their products.

To help our cut flower farmers from CAR, the Department of Agriculture (DA), through the Agricultural Credit Policy Council (ACPC), will implement the Survival and Recovery Assistance Program or SURE Program for small cut flower growers affected by the marketing restrictions during the quarantine period.

Under the SURE Program, each small cut flower borrower will be able to borrow P25,000 which can be used to at least cover their overhead cost during the lockdown period. They may also use their loan to engage in other income-generating activities to offset or compensate for their losses.

The said P25,000 loan is zero interest, requires no collateral, and is payable in three years or more, depending on the borrower’s capacity to pay.

The ACPC has already downloaded an initial P20 million to the Producers Savings Bank Corporation (PSBC), which will serve as the lending conduit for the implementation of the SURE program for small cut flower farmers from CAR.

The ACPC is currently working with the DA Regional Office – Cordillera Administrative Region and concerned local government units to fast track the identification and validation of eligible borrowers.

Based on data we have gathered, about 53 million dozen of cut flowers are being produced annually worth P28 million, from more than 1,500 hectares of cut flower farms in CAR. Most of our cut flower farmers come from the Municipalities of Atok, Tublay, Kibungan, and La Trinidad.  

This is just one of the initiatives of the DA to support our farmers and fisherfolk especially in this time of crisis. Rest assured that the DA, together with its attached agencies and bureaus, is always here to serve and advocate the welfare of our farmers and fisherfolk.

For inquiries, you may contact the following ACPC personnel:

Noel Clarence Ducusin – 0908-816-6221

Jemrick Ramos – 0939-601-2988

(DA-ACPC Communications & Public Affairs Division)

A total of 77,375 small farmers and fishers stand to benefit from the imposition of a one-year moratorium on the payment of loan amortization under the various agri-fishery credit programs of the Department of Agriculture-Agricultural Credit Policy Council (DA-ACPC).

The temporary suspension of payments was implemented to aid farmers and fishers affected by marketing restrictions following President Rodrigo Duterte’s declaration that the country is under a State of Calamity for a period of six months and that Luzon will be under an enhanced community quarantine due to the COVID-19 pandemic.

The moratorium, which started on March 16, 2020 up to March 16, 2021, will cover outstanding loans amounting to P2.03 billion under different DA-ACPC credit programs. The amount due during the moratorium shall be added to back-end of loan of the farmer- and fisher-borrowers.

“Given this crisis situation, the DA-ACPC anticipates that the ability of many borrowers to pay their loans may be affected,” said DA Secretary William Dar.

“Therefore, we will allow all our partner lending conduits to grant a one-year loan payment moratorium to borrowers who may request for such loan payment relief,” added Sec. Dar.

Correspondingly, the outstanding liabilities of ACPC’s existing partner conduits was also granted one-year moratorium equivalent to the total amount of sub-loans to individual farmer- and fisherfolk-borrowers who availed the loan moratorium.

(DA-ACPC Communications & Public Affairs Division)

DA-ACPC okays P1-B loan facility for ‘Plant, Plant, Plant Program

The Department of Agriculture through the Agricultural Credit Policy Council (ACPC) has approved an initial P1-billion loan assistance to marginalized farmers and fishers, as well as agri-fishery micro and small enterprises (MSEs) to enable them to cope during this state of national emergency due to the Covid-19 pandemic.

Agriculture Secretary William D. Dar said the financing program is part of the expanded SURE Aid and Recovery Project, in support of the “Ahon Lahat, Pagkaing Sapat (ALPAS) Kontra COVID-19″ or Plant, Plant, Plant Program, which aims to increase farm productivity and ensure food sufficiency during the Covid-19 emergency situation.

The loan facility will provide small farmers, fishers and agri-fishery MSEs with needed working capital to continue operations amid the enhanced community quarantine. Under the expanded loan program, eligible MSEs (single proprietorship, partnership, corporation or cooperative/association) may borrow up to P10 million at zero interest, payable up to five years, the DA chief said.

On the other hand, individual farmers and fishers can borrow non-collateralized loan of P25,000 at zero interest and payable in 10 years. Only one borrower is allowed per farm/fisher household. He added that farmers, fishers and MSEs who will participate in the DA’s Kadiwa ni Ani at Kita program will be given priority.

“The idea is to provide emergency and production capital requirements for our marginalized sector, whose operations and earnings were severely affected by the enhanced community quarantine in Luzon,” the DA secretary said.

“The country’s farmers and fishers, who we consider as food security ‘frontliners’, play a crucial part in our fight against Covid-19. That’s why it is important that we continue to empower them to ensure continued production and delivery of food to our countrymen,” Dar said.

“As I have mentioned many times before, the threat of hunger is as real as the threat of Covid-19. I cannot emphasize enough the importance of our farmers and fishers in ensuring stable food supply, especially in Metro Manila and other urban centers,” he added. The DA-ACPC is strengthening its partnerships with 230 existing lending conduits nationwide, that include government banks, rural banks, cooperative banks, cooperatives, viable NGOs, and associations for the successful implementation of the expanded SURE Aid and Recovery Project.

In 2019, the Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) released a total of P5.11 billion of loans to marginalized and small farmers and fisherfolk (MSFF) and borrower-organizations under various agri-fishery credit programs. The programs include the: 1)  Production Loan Easy Access Program (PLEA), 2) Survival and Recovery Assistance Program (SURE), 3) Working Capital Loan Easy Access Program (CLEA), 4) Agriculture and Fisheries Machineries and Equipment Program (AFME), 5) Expanded Survival and Recovery Assistance Program for Rice Farmers (SURE Aid), 6) Survival and Recovery Assistance Program for Backyard Hog Raisers (SURE Hogs), 7) Expanded Rice Credit Assistance-Rice Competitiveness Enhancement Fund (ERCA-RCEF), and 8 ) the BuyANIhan Program.Shown in these infographics are the features of each of the programs mentioned and their respective accomplishments as of year-end 2019. These accomplishments would not have been possible without the help and support of the DA Regional Field Offices (DA-RFO), Bureau of Fisheries and Aquatic Resources (BFAR), partner lending conduits, and local government units (LGU). Updated accomplishments of these programs will be reported quarterly by DA-ACPC.

Marginalized and small farmers and fishers (MSFF) in Aklan, whose livelihoods were affected by the lockdown due to the rising cases of Covid 19, receive P25,000 loan under the SURE COVID-19 program. Said financial assistance has no interest, no collateral and is payable in 10 years.

The Integrated Barangays of Numancia MPC (IBONMPC), the Department of Agriculture-Agricultural Credit Policy Council’s (DA-ACPC) lending conduit in the said province, released a total of P11.4 million which benefitted 456 MSFF from the municipalities of Altavas, Batan, and New Washington.

The DA-ACPC, along with the DA Regional Field Office (RFO) 6 and the concerned local government units (LGUs) worked together to make sure that the loan processing and releasing were quick, organized and in compliance with the ECQ protocols such as social distancing and wearing of masks.

“Following the orientation and the filling out of loan application forms, our farmers and fishers immediately received the P25,000 cash loan,” said Rikka Dela Cruz, ACPC’s Program Management Officer for Aklan.  She added that to avoid more people gathering, borrowers were advised to go straight home upon receiving their loans.

The DA-ACPC is currently setting up partnership with more lending conduits to cater to its initial target of 2,500 MSFF-beneficiaries from Region 6 under the program.

An initial amount of P8 million was disbursed to 320 marginal and small farmers and fishers (MSFF) from Occidental Mindoro under the SURE COVID-19 Program of the Department of Agriculture (DA), through the Agricultural Credit Policy Council (ACPC).

Each farmer- and fisher-borrower received a no-interest, no collateral loan worth P25,000 which they will pay in 10 years.

The beneficiaries, whose incomes were affected by the enhanced community quarantine (ECQ) due to COVID-19, are from the Municipalities of Magsaysay, San Jose, Rizal, Calintaan, Abra de Ilog and Sablayan.

The Occidental Mindoro Cooperative Bank (OMCB), which serves as the DA-ACPC’s lending conduit in the said province, targets to complete its loan release to 400 farmers and fishers totaling to P10 million by April 30, 2020.

Due to the restrictions brought about by the ECQ such as the no entry/exit, social distancing and no transportation policies, the OMCB had to conduct some validation of borrowers and loan releases through house-to-house visits aside from employing skeletal workforce.

“We were able to fast track the release of the much-needed financial assistance with the full support of the DA-RFO 4B and concerned LGUs,” said ACPC Focal Person for Occidental Mindoro Fritzie Dimzon.   The SURE COVID-19, which aims to finance emergency and production capital requirements of MSFF during the pandemic, is a nationwide program that supports the DA’s Ahon Lahat, Pagkaing Sapat Kontra COVID-19 (ALPAS SA COVID-19).

An initial P700,000 loan funds have been disbursed by the Department of Agriculture - Agricultural Credit Policy Council’s (DA-ACPC) partner lending conduit in the province of Misamis Occidental benefitting 28 marginalized and small farmers and fisherfolk (MSFF).

The Paglaum Multi-Purpose Cooperative (PMPC), DA-ACPC’s partner lending conduit in the province released the said loans in Tangub, Misamis Occidental on April 21, 2020. The PMPC targets to provide loans to 400 MSFF in the province, says Ms. Joan Vargas, ACPC’s Program Management Officer for Region X.

Under the DA-ACPC SURE COVID-19 program, MSFF whose livelihoods were affected by the enhanced community quarantine (ECQ) due to pandemic may avail themselves of a non-collateralized, interest-free loan worth P25,000 payable up to 10 years. The enhanced ECQ, did not deter the DA-ACPC and PMPC to provide the financial assistance needed by the farmers and fishers in Misamis Occidental whose productivity were affected by the pandemic.  Ms. Mary Grace Tambus, ACPC’s field-based Program Management Officer for Misamis Occidental assisted the farmers and fishers in their loan applications and availment.

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) has tapped 8 partner lending conduits covering 12 municipalities in Benguet to implement its SURE for Cut Flower Farmers, granting zero-interest loans amounting to a total of Php 32.5 million to 1,300 small cut flower farmers in the province as of May 6, 2020.

The DA-ACPC launched the Survival and Recovery Assistance Program or SURE for Cut Flowers, an emergency response loan program, in April this year to address the loss of income of small cut flower farmers due to the marketing restrictions during the Luzon-wide enhanced community quarantine (ECQ).

Under the SURE for Cut Flowers, each eligible beneficiary may avail of a zero-interest, no-collateral loan up to Php 25,000, payable in 10 years, to cover their overhead cost during the ECQ or to engage in other income-generating activities to compensate for their losses. Eligible beneficiaries were identified by the Municipal Agriculture Office (MAO), validated by the Department of Agriculture Regional Field Office of Cordillera (DA-RFO CAR) and endorsed to DA-ACPC’s partner lending conduits.

Amid the challenges of identifying and validating beneficiaries while the province is under quarantine, the DA-ACPC through the cooperation of the Department of Agriculture Regional Field Office of Cordillera (DA-RFO CAR), Municipal Local Government Units (MLGUs), has disbursed loans to 1,300 farmers out of the more than 4,400 identified beneficiaries.

DA-ACPC Program Management Officer Ms. Krystle Balingan said that despite the restrictions they experienced, particularly in the validation of eligible beneficiaries during the enhanced, and later, extreme enhanced community quarantine, the support of the DA-RFO, MLGUs, and partner LCs made the efficient and safe distribution of loans possible.

The DA-ACPC has also tapped cooperatives as partner lending conduits to disburse loans to its member-borrowers, namely the Tawangan Agrarian Reform Community MPC in Kabayan and Mt. Blooms MPC in Atok; the Doers MPC in Tublay; and Bokod Sulphur Spring MPC, covering the municipalities of Bokod, Kabayan, Itogon, and Kapangan.

To ensure the borrowers’ safety in the processing of loans, the DA-ACPC, DA-RFO, MLGU and LCs have imposed measures to minimize physical contact.

In the case of Producers Savings Bank Corporation in La Trinidad, wherein new COVID-19 cases were reported in the last week of April, the processing and submission of requirements were done through the barangay with close coordination with the farmers. Borrowers were informed of their approved loans through the authorized barangay official and provided with a special pass and transportation to claim their loans at the bank. The Producers Savings Bank Corporation (PSBC) – La Trinidad branch disbursed a total of Php 16.27 million in loans to 651 farmers in La Trinidad, while its Baguio branch has scheduled releases for an additional 122 farmers in Tuba.

The Agricultural Credit Policy Council (ACPC) resumed its monthly conduct of flag ceremony on June 15, 2020 via online video conferencing, three months after the imposition of lockdown due to the rising cases of COVID-19. ACPC officers and staff from the central office comprising of the skeleton workforce and work-from-home staff as well as the field-based program management officers participated in the activity.

Executive Director Jocelyn Alma R. Badiola, in her message, emphasized that the ACPC is one of the agencies mandated to provide vital services to farmers and fishers who are among the most vulnerable groups during this period of uncertainty brought about by the pandemic. She added that the SURE COVID-19 Program is one of the Department of Agriculture’s key programs to increase farm productivity and ensure food sufficiency amid the ongoing unprecedented crisis. “Ito ang panahon na kinakailangan talaga ng mga magsasaka at mangingisda ang tulong natin,” she said. “Therefore, now, more than ever, we must take a step beyond what is expected and required of us,” stressed ED Badiola.

She also acknowledged all the ACPC officers and staff who showed steadfastness, courage and determination despite the challenges such as transportation and other social distancing restrictions. “I am very proud of all of you and I would like to thank you from the bottom of my heart,” she said.

She also assured everyone that the safety and well-being of every ACPC staff will always be a top priority even under the “new normal”. “Kaya natin ito. Kapit lang tayo sa Panginoon and we will get through this together as ACPC family,” she added.

One of the highlights of the flag ceremony is the unveiling of the first-ever ACPC hymn, which encapsulates the crucial role of the agency in providing convenient, affordable, and timely credit to farmers and fisherfolk.

To guide the ACPC staff and officers, the alternative work arrangements and support mechanisms under the new normal were discussed.  Recognition of birthday celebrators for the months of March to June and a game were also conducted to make the video conference activity more exciting. The flag ceremony activity was facilitated by the Human Resources Management Staff (HRMS) in coordination with the Information Systems Management Staff (ISMD).

The Expanded SURE Aid and Recovery Project or SURE COVID–19, a program of the Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) disbursed a total of P14.95 million in loans to 576 marginalized small farmers and fishers (MSFFs) in Davao region.

Of the P14.95M, P11.53M credit funds were distributed to the Sarangani Development Cooperative (SACDECO) and Producers Bank of Malita, DA-ACPC’s partner lending conduits in Davao Occidental, benefiting 439 MSFFs; while the remaining P3.425M was released to the Cooperative Bank of Cotabato (CBC), benefiting 137 MSFFs.

ASF and COVID-19

It was in February of this year when hog raisers in Davao were hit by the African Swine Fever (ASF) which cost their livelihood. A month after, the COVID-19 was declared a pandemic, causing more losses to many farming communities in the region.

In coordination with the DA-Regional Fielf Office XI and the local government units (LGUs), ACPC facilitated the release of loans helping 295 hog raisers in five barangays of Jose Abad Santos. According to Jeffrey Pantojan, ACPC’s program management officer for Davao, despite restrictions, they hastened the implementation of the program without compromising the safety in service delivery during the virus lockdown.

Billy Cayog, a backyard hog raiser in Caburan Big, Jose Abad Santos, Davao Occidental, was among those who were affected by ASF and COVID-19. When his stock of seven hogs were culled as part of the ASF protocol, he decided to shift to farming to recover his livelihood. “Naapektuhan din ang aming hanapbuhay ng qurantine. Di kami nakakalabas. Pero sobrang saya ko ngayon dahil sa loan. Malaking tulong ito na magagamit ko sa aking pagsasaka at isang maliit na negosyo,” Cayog said.

Since the implementation of community quarantine due to the current health crisis, ACPC has engaged with a strengthened partnership among its partner lending conduits as well as the LGUs to expedite the release of credit funds to farmers and fisherfolk.

Through the SURE COVID–19 program,  farmers and fishers whose incomes were affected by the community qurantine can borrow a non-collateralized loan of P25,000 at 0% interest and payable in ten (10) years.

The Department of Agriculture-Agricultural Credit Policy Council (ACPC), through its Expanded SURE Aid and Recovery Project or SURE-COVID-19, released a total of P10.12 million loan funds to 405 marginalized small farmers and fishers (MSFFs) in Region X whose incomes were affected by the enhanced community quarantine (ECQ) amid pandemic.

The DA-ACPC has tapped five (5) partner lending conduits namely Paglaum Multi-Purpose Cooperative (PMPC), Philippine International Travel Assistance Center Multi-Purpose Cooperative (PITAC MPC), Mindanao Consolidated Cooperative Bank (MCCB), Bangko sa Balay Foundation, Inc. and Lorenzo Tan Multi-Purpose Cooperative (LTMPC), covering 5 provinces in the region to implement the said program. The DA-ACPC has already transferred a total of P27.55 million loan funds to these partner lending conduits to be disbursed to 1,100 MSFFs in the region.

DA-ACPC Program Management Officers Mary Grace Tambus and Runy Crusio reported that out of the total loan funds disbursed, P5.12 million was distributed to 205 MSFFs from Misamis Occidental through the PMPC while the other P5.0 million was released to 200 MSFFs from Bukidnon through the PITAC MPC. Each beneficiary received a non-collateralized, interest-free loan worth P25,000 payable in 10 years.

Alberto Utlang, one of the farmer-beneficiaries from Ozamis City, Misamis Occidental expressed his appreciation for the assistance he received through the program. “Kung wala po itong SURE COVID-19 Program mula sa DA-ACPC, mas lalo po talaga akong mahihirapan na makabawi sa aking hanapbuhay. Malaking tulong po ito para sa katulad kong magsasaka,” he shared.

The SURE COVID-19 forms part of the Ahon Lahat, Pagkaing Sapat Kontra COVID-19 Program (ALPAS kontra COVID-19) of the DA to increase the country’s food adequacy level during the emergency situation resulting from the COVID-19 pandemic.

In support of Agriculture Secretary William Dar’s advocacy to modernize Philippine agriculture by engaging youth in agribusiness, and in response to the challenges brought by the quarantine restrictions due to the COVID-19 pandemic, the Department of Agriculture-Agricultural Credit Policy Council (DA-ACPC) is digitizing the implementation of the Kapital Access for Young Agriprenuers (KAYA) loan program by utilizing online tools to facilitate the application and orientation of its target beneficiaries.

The KAYA loan program offers zero-interest loans of up to Php 500,000 payable in five (5) years for young agripreneurs, specifically those who are 18 to 30 years old, and are graduates of either formal or non-formal schooling (including but not limited to graduates of agriculture and fishery related degrees from higher education institutions, DA and ATI-accredited programs, TESDA programs, farm schools, and secondary schools with agriculture and fishery-related courses).

The program, which was launched by Secretary Dar earlier this year, seeks to entice and empower the youth to venture into agriculture as startup business owners, offering not only loans but also workshops and mentorship sessions, which are now being done through web conferencing.

The DA-ACPC’s KAYA Program Management Office (PMO) conducted the First Online KAYA Loan Program Orientation for the first batch of potential Young Agripreneurs (“Yaggies”) from the province of Bukidnon in May through web conferencing, and has since facilitated orientations and online sessions on Business Plan Preparation and Business Model Canvas Workshops for applicants in Regions 7, 8, 9, 10 and BARMM.

Online platforms were utilized for the submission of requirements, including the applicants’ simple business plan, and mentoring sessions were carried out through break-out groups with the KAYA Team members as mentors/coaches to the participating Yaggies. This first batch of Yaggies, with ages ranging from 21 to 30 years old, expressed excitement over the opportunity to materialize their business ideas through the program’s financial and technical assistance.

As government agencies and businesses adapt to the ‘new normal’ in light of the COVID-19 pandemic, the DA-ACPC continues to update its processes to deliver its credit schemes and services to farmers and fishers in more innovative ways towards the true modernization, revitalization, and empowerment of youth in the agriculture sector.

Kayang KAYA Mo Na! KAYA KOnnect Na!Those interested may access our application form through this link: https://bit.ly/ACPCloans

(DA-ACPC KAYA Program Management Office & Communications and Public Affairs Division)

A total of 1,567 marginalized small farmers and fishers (MSFF) from the provinces of Aurora, Bataan, Bulacan, Nueva Ecija, Pampanga, Tarlac, and Zambales received SURE COVID-19 aid under the Department of Agriculture-Agricultural Credit Policy Council (ACPC)’s SURE COVID-19 emergency loan program.

The New Rural Bank of San Leonardo (NRBSL), Guagua Rural Bank (GR Bank), GM Bank and Alalay sa Kaunlaran Microfinance Social Development, Inc. (ASKI) – ACPC’s partner lending conduits in the region disbursed P39.2 million loan funds to farmers and fishers whose livelihoods were affected by the pandemic.

ACPC’s Program Management Officer for the region Cherry Acabal said that these lending conduits target to provide P25,000 non-collateralized, interest-free loan payable up to 10 years to 3,457 MSFF in Region 3, most of which are new borrowers.

ACPC’s field-based Program Management Officer for Region 3 Arnie Alover, said that farmers and fishers were oriented about the SURE COVID-19 Program. He added that in order to safeguard the borrowers’ protection against the virus during loan processing and release, health protocols were strictly observed and enforced by the ACPC, DA Regional Field Offices (DA-RFO), local government units (LGU) and lending conduits.

Some 100 farmers and fishers from the province of Bohol are beneficiaries of the Expanded SURE Aid and Recovery Project or SURE COVID-19 of the Department of Agriculture-Agricultural Credit Policy Council (DA-ACPC).

Metro Ormoc Community Multi-Purpose Cooperative (OCCCI), one of DA-ACPC’s partner lending conduits in Bohol initially released a total of P750,000 loan funds to 30 farmers and fishers. OCCI received a total of P2.5 million loan funds for farmer and fisher-borrowers in the municipalities of Ubay and Talibon, Bohol.

Under the SURE COVID-19, each beneficiary receives P25,000.00 loan with zero-interest, no collateral, and payable up to 10 years.

 “Kung magiging maulan ngayong Hunyo, ang matatanggap ko mula sa SURE COVID-19 ay gagamitin kong pambili ng binhi at gamit sa palayan, kasama na rin ang similya para sa aming fishpond,” said farmer-beneficiary Feve Villa of Talibon, Bohol. “Ang masasabi ko lang sa kapwa ko magsasaka ingatan natin ang pera na ipinagkatiwala sa atin at sana ay malaguin natin ito,” she added.

According to Eloiza Marie Flores, DA-ACPC focal person for Bohol, the release was done in batches so as not to compromise the health and safety of the public. The OCCCI will continue to fast track the loan processing and release to be able to help farmers and fishers needing financial aid.

The Department of Agriculture - Agricultural Credit Policy Council (ACPC) continues to provide loan assistance to agri-fishery-based micro and small enterprises (MSEs) and marginalized and small farmers and fishers (MSFF) nationwide amid the COVID-19 pandemic.

“This is the time that our stakeholders, especially our farmers and fishers, need us the most. They are the ones hardly affected by this crisis,” DA Secretary William Dar said.

Under the Survival and Recovery (SURE) COVID-19 Loan Program, P310 million loans were already downloaded to 45 MSEs from 28 provinces and Metro Manila as of May 20, 2020. The MSE-borrowers will pay the zero-interest loans in five years.

Said loans will be used by MSEs as working capital to ensure the availability of food supply and help them recover their losses incurred from the effects of ECQ.

Under the same program, the DA-ACPC has already transferred P518.488 million to its 47 partner-lending conduits in 32 provinces as of May 20, 2020. Of the total transferred fund, P198.355M were released by 27 lending conduits to 7,898 farmers and fishers from 17 provinces.

Each beneficiary received a non-collateralized loan of P25,000 each with zero interest payable in 10 years. The financial assistance aims to finance the emergency and production capital requirements of the farmers and fishers whose incomes were affected by the lockdown during the crisis.

Amid the challenges on transportation, movement of goods and services, and social distancing policies brought about by the ECQ, the DA-ACPC continues to modify procedures to adapt to the “new normal” to fast track loan releases in coordination with its lending conduits, DA-Regional Field Offices (DA-RFOs), and local government units (LGUs).

The DA-ACPC’s SURE COVID-19 loan program, which has a P2.5 billion fund, targets to provide financial support to 150 MSEs and 40,000 MSFF nationwide.  It forms part of the Ahon Lahat, Pagkaing Sapat Kontra COVID-19 Program (ALPAS kontra COVID-19), the DA's initiative to increase the country’s food adequacy level during the emergency situation resulting from the COVID-19 pandemic.

The DA-ACPC, through its partner lending conduit – Philippine International Travel Assistance Center Multi-Purpose Cooperative (PITAC-MPC) Bukidnon branch – disbursed a total of P5 million credit funds to 200 farmers and fishers in Wao, Lanao del Sur.

The SURE COVID-19 loan program provides P25,000 loan with zero-interest, no-collateral and payable in 10 years to eligible farmers and fishers whose farming and fishing projects were affected due to the enhanced community quarantine (ECQ) nationwide.

ACPC Program Development Officer John Angelo Jalayahay, together with PITAC-MPC staff and the local government unit of Wao, Lanao del Sur, conducted orientations and facilitated loan processing and release to the farmer and fisher-borrowers.

Farmers and fishers fill out forms and other documents to avail SURE COVID-19 loan program

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC), with partners from the DA-Regional Field Office 6, Bureau of Fisheries and Aquatic Resources (BFAR), and local government units (LGUs) has released a total of P5 million loans to 200 Ilonggo farmers and fishers under its SURE COVID-19 loan program.

The Dingle Multi-Purpose Cooperative (Dingle MPC), DA-ACPC’s partner lending conduit in the province delivered credit funds to five municipalities namely Barotac Viejo, Carles, Estancia, Balasan, and Lemery, which were not only affected by the community quarantine but were also heavily hit by Typhoon Ursula earlier this year.

“Malaking tulong ito para sa mga mangingisda na katulad ko. Meron na akong pang-simula,” said fisherfolk Armando de la Cruz of Mamhut Norte, Balasan.

“Masaya ako kasi meron na akong pang-gastos sa aking taniman. Ibibili ko ito ng abono,” rice and corn farmer Rebecca Malones said.

De la Cruz and Malones each received P25,000 loan without any interest and collateral which they will pay back in 10 years.

“Lagi naming pinapaalala sa ating mga beneficiaries na maging responsible sa pagbabayad upang magpatuloy ang mga tulong mula sa gobyerno,” said Dingle MPC General Manager Marilou Gonzaga.

“Kasama sa mga grounds namin sa pagpili ng beneficiaries na dapat may capacity to pay, good standing bilang member ng kanyang asosasyon at walang record na hindi nagbabayad ng utang,” said Municipal Agriculturist Edmundo Mendoza, Jr. of LGU Estancia.

On the other hand, Municipal Agriculturist Christon Rey Fernandez of Barotac Viejo said that it was challenging to identify eligible beneficiaries so they prioritized those who were not able to receive financial support from the government such as the Social Amelioration Program (SAP).

Even as the province transitioned to Modified General Enhanced Community Quarantine (MGECQ), health protocols were strictly followed during the processing of loan applications. According to DA-ACPC field staff Saerah Veloso, most of the loan releases were held in big gymnasiums while social distancing, wearing of mask and disinfecting with alcohol were consistently practiced.

The DA-ACPC continues to identify and negotiate with locally-based financial institutions to continue provision of credit support to other municipalities.

Some 400 marginalized small farmers and fishers (MSFF) from Bukidnon availed of loans under the Expanded SURE Aid and Recovery Project or SURE COVID-19 of the Department of Agriculture-Agricultural Credit Policy Council (DA-ACPC).

Under the program, each MSFF whose incomes were affected by the virus lockdown can borrow P25,000 for production and working capital needs payable up to 10 years with zero interest and no collateral.

“Malaki ang naitulong sa akin ng programang SURE COVID-19 dahil mabilis, madali at abot- kaya ang pautang talaga. Nagpapasalamat ako sa DA-ACPC dahil ang programang ito ang naging daan para manumbalik muli ang sigla ko sa pagsasaka,” Babylyn Bacho, one of the farmer beneficiaries from Magsaysay, Kitaotao, Bukidnon shared.

The DA-ACPC has tapped the Philippine International Travel Assistance Center Multi-Purpose Cooperative (PITAC-MPC) as its lending conduit for the province of Bukidnon.

Runy Crusio, DA-ACPC’s program management officer for Bukidnon said that despite travel restrictions during the ECQ, the DA-ACPC, in partnership with the PITAC MPC, DA-Regional Office X and the local government unit, was able to conduct orientations and distribute loans to  400 MSFF who  will be able to continue with their farming and fishing projects through the SURE COVID-19 Program.

DA-ACPC continues its efforts in providing easy access and affordable agri-fishery credit facilities to farmers and fishers to increase farm productivity and ensure food sufficiency amid COVID-19 pandemic.

In order to fast track the release of loans to marginalized small farmers and fishers (MSFF) from the province of Kalinga in the Cordillera Administrative Region (CAR), the Department of Agriculture - Agricultural Credit Policy Council (DA-ACPC) partnered with three (3) lending conduits  for the implementation of the Expanded SURE Aid and Recovery Project or SURE COVID-19.

About 517 Kalinga MSFF whose incomes were affected by the months-long enhanced community quarantine (ECQ) in Luzon will receive their P25,000 zero-interest, no-collateral emergency loans. The DA-ACPC tapped the: 1) Rizal Multi-Purpose Cooperative to service the municipalities of Rizal and Pinukpuk; 2) Treasurelink Cooperative Society for the city of Tabuk; and 3) St. Thomas Credit Cooperative for the municipalities of Tanudan, Balbalan and Pasil. The DA-ACPC has approved a total fund allocation of Php 12.925 million for these 3 lending conduits.

Rizal MPC has already disbursed loans to its first batch of 40 farmers in the municipality of Rizal on June 18, 2020. Rizal MPC is set to release loans this week benefitting 100 MSFF for the municipality of Rizal and 100 MSFF for the municipality of Pinukpuk, with a total fund allocation of Php 5 million.

Despite the logistical challenges of community quarantine restrictions in the region, DA-ACPC Program Management Officer for CAR Krystle Balingan, and focal persons Lloyd Bayangan and Luis Edpis coordinated with the municipal local government units (MLGUs) through the Municipal Agriculture Offices (MAOs) and DA-Regional Field Office (DA-RFO CAR) to facilitate the approval of partner lending conduits, identification and validation of eligible borrowers in the province while adhering to community quarantine protocol.

The Department of Agriculture - Agricultural Credit Policy Council (DA-ACPC) through its partner lending conduit, the Cooperative Bank of Cotabato (CBC) - Kidapawan City Branch released P 11.7 million loan funds to 470 marginalized small farmers and fishers (MSFF) under the SURE COVID-19 program.  Each MSFF from Brgy. Ilomavis, Kidapawan City, North Cotabato received an interest and collateral-free loan worth P25,000 payable in 10 years.

Some of the beneficiaries were senior citizens and will be using the loan as working capital for their damaged farms due to two major crisis which affected their livelihoods: the earthquake that hit the province in late 2019, and the current COVID-19 pandemic. ACPC’s Program Management Officers Mace V. Ladio, Farra Leopoldo Penas and Irize Joy Panes Tabayag, together with the DA Regional Field Office 12 (DA-RFO), Local Government Units (LGUs) and Cooperative Bank of Cotabato organized and facilitated the processing and release of loans to farmers and fishers.

A total of 393 marginalized and small farmers and fishers from Capiz were able to access easy, affordable, and timely credit assistance under the Department of Agriculture – Agricultural Credit Policy Council’s (DA-ACPC) Expanded SURE Aid and Recovery Project (SURE COVID-19).

The Pontevedra Peoples Multi-Purpose Cooperative (PPMPC), DA-ACPC’s partner lending conduit in the said province, released a total of P9.84 million to the beneficiaries whose livelihood were severely affected by the Enhanced Community Quarantine (ECQ) due to the COVID-19 virus. Each borrower received P25,000 no-interest loan payable in 10 years.

“Hindi na kami nahirapan sa requirements para makautang,” said farmer-beneficiary Judith Binag of Pilar, Capiz. “Malaking tulong ito sa panahon ng krisis,” she added.

Lady-farmer Leonisa Gallego of Cuartero, Capiz, on the other hand, lauded the loan program’s simple process and easy-to-comply requirements: “Naging madali sa amin maka-utang dahil hinatid niyo pa dito sa aming munisipyo at walang maraming dokumento na hiningi.”

“Mayroon na akong kapital pambili ng abono para sa aking maisan at iba pang gamit sa pagsasaka,” said Joel Villarena, a borrower from Maayon, Capiz. “Pagsisikapan ko na mabayaran ko ito kada taon o kada ani ng aming mais.”

According to Joemar Dequina, DA-ACPC focal person for Capiz, the validation and orientation of beneficiaries were quite a challenge as there were no transportation available due to the ECQ. He added that the loan releases were implemented by batch to avoid congestion at the lending conduit premises.

The DA-ACPC continues to modify procedures to adapt to the “new normal” to fast track loan releases in coordination with its lending conduits, DA-Regional Field Offices (DA-RFOs), and local government units.

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC), under the SURE COVID-19 loan program, disbursed a P10-million credit fund to the Integrated Barangays of Numancia Multi-Purpose Cooperative (IBON MPC) in Aklan.

The IBON MPC, which has suffered losses during the enhanced community quarantine due to the rising cases of COVID-19, shall utilize the loan as additional capital requirement to buy palay harvest from farmer-members, certified seeds from seed growers, farm inputs needed by farmers and piglets from members engaged in hog breeding.

The P10 million working capital loan, which is payable in five years, is projected to contribute in increasing the IBON MPC’s annual income by at least 10%. It will also expand the production and trading operations of the coop, provide timely supply farm inputs and marketing support to farmers, contribute in stabilizing the supply of quality milled rice and improve the production and supply of quality pork in their area of coverage.

“Mobility was the biggest challenge during this enhanced community quarantine (ECQ). Farming and fishing activities slowed down and many opportunities were lost,” said IBON MPC General Manager Arnulfo Magcope. “That’s why we thank the DA-ACPC for its timely and accessible financial intervention,” he added.

The IBON MPC, which has more than 5,000 members, has been in the marketing operation since 2003. With its many years of experience in production and marketing of rice, it has established reliable partnerships with farmers in addition to its farmer-members, thereby ensuring a steady supply of their farm produce that can readily be marketed locally, in Aklan and in other provinces.

To ensure business sustainability amid the current pandemic, the Department of Agriculture - Agricultural Credit Policy Council (DA-ACPC) released a total of P5 million loan funds to Carmen Agricultural Resources Development Multi-Purpose Cooperative (CARD MPC) in North Cotabato.

CARD MPC is a producer of certified palay seeds, corn seeds, and organic fertilizer. However, their agri-trading business was affected by a series of lockdowns due to COVID-19 pandemic, causing a stall in their usual operations.

But for Coop Manager Nasser Ali, this must not hinder them in serving farmers and fishers in the Bangsamoro Muslim (Maguindanaoan) in Carmen, North Cotabato.

“We consider it a great privilege to serve our farmers and fishers in our municipality,” Ali shared.

ACPC’s Program Management Officer for North Cotabato Farra Leopoldo Penas facilitated the processing and release of loan through the Development Bank of the Philippines despite restrictions in public transportation while strictly adhering to health protocols.

Under the DA-ACPC SURE COVID-19 program, agriculture and fishery-based micro and small enterprises (MSEs) may avail loans of up to P 10 million working capital with zero-interest, payable in five years.

The DA-ACPC, in coordination with its partner lending conduits, the DA Regional Field Office of the Cordillera Administrative Region (DA-RFO CAR), and the Municipal Local Government Units (MLGUs) of Mt. Province, has completed its disbursement of zero-interest, emergency loans to 1,200 marginalized farmers and fishers (MSFF) in the province under the Expanded SURE Aid and Recovery Project or SURE COVID-19.

The approved credit fund allocation of Php 30 million has been fully released to farmers in nine (9) municipalities in the province namely: Bauko, Besao, Barlig, Bontoc, Sabangan, Sagada, Tadian, Paracelis and Natonin, through the DA-ACPC’s partner lending conduits. These include Treasurelink Cooperative Society, Sagada Multipurpose Cooperative (Sagada MPC), and St. Williams Multipurpose Cooperative MPC (St. Williams MPC).

The SURE COVID-19 offers zero-interest, no-collateral loans of Php25,000 to MSFF severely affected by the enhanced community quarantine (ECQ). The emergency loans were designed to cover the MSFF’s loss of income resulting from the ECQ, rehabilitate their agricultural and fishery production, and boost food security in the midst of the COVID-19 pandemic. Most beneficiaries from Mt. Province were highland vegetable, heirloom rice, rice, corn, and livestock farmers.

The SURE COVID-19 is currently being implemented nationwide, and for CAR, the DA-ACPC has tapped lending conduits covering the provinces of Benguet, Apayao, Kalinga, and Mt. Province, with lending conduits being finalized for Abra and Ifugao.

DA-ACPC Program Management Officer for CAR Krystle Balingan, reported that the funds for Mt. Province were fully disbursed to eligible borrowers despite the challenges faced in the validation and processing of applications while the province was under community quarantine. “We are grateful for our lending conduits, MLGUs, and DA-RFO CAR for being our steadfast partners in delivering credit efficiently and safely to MSFF during this pandemic,” she said.

Balingan, along with DA-ACPC focal person Lloyd Bayangan coordinated with partner lending conduits, MLGUs and DA-RFO CAR to facilitate loan release activities which included the orientation for applicants on the program guidelines, validation of eligible borrowers, and ceremonial turnover of loans. Loan releases were scheduled in batches in compliance with community quarantine protocol to ensure the safety of the beneficiaries.

Treasurelink Cooperative Society, headed by its CEO Shellan Addag, covered the municipalities of Bontoc, Barlig, and Bauko, serving a total of 365 MSFF-beneficiaries.

Bontoc, with 100 MSFF received the first batch of loans facilitated by Addag, together with Bontoc Mayor Franklin Odsey and DA-RFO CAR staff at Bontoc Municipal Hall.

Sixty-five (65) MSFF-beneficiaries from Barlig also received loans in the presence of Barlig Mayor Clark Ngaya, Municipal Agriculturist Ceferino Oryan, and DA Agricultural Production Coordinating Office (DA-APCO) representative Beverly Pekas.

In Bauko, 200 MSFF-beneficiaries received loans held at the Bauko Municipal Hall, with Mayor Abraham Akilit as the keynote guest. In his message, he reminded the farmer-beneficiaries to be responsible in the use and repayment of their loans to ensure the success of the program.

Paracelis Mayor Marcos Ayangwa, DA-APCO representative Pekas, and a representative from the Office of the Governor of Mt. Province were also present during the loan release for Paracelis MSFF, held in the municipality’s open gym. The activity was facilitated by St. Williams MPC, headed by Bishop Frenzel Ray Piluden. St. Williams MPC served a total of 200 MSFF-beneficiaries.

The Department of Agriculture-Agricultural Credit Policy Council (DA-ACPC) through its Expanded SURE Aid and Recovery Project or SURE COVID-19 has downloaded a total of P70.05 million loan funds to its partner lending conduits in Region 10.  From this amount, some 2,800 marginalized small farmers and fishers (MSFF) in the region whose livelihoods were affected by the enhanced community quarantine (ECQ) due to the COVID-19 pandemic will be able to avail themselves of a non-collateralized loan worth P25,000 with no interest payable up to 10 years.

The DA-ACPC has tapped five (5) partner lending conduits namely Paglaum Multi-Purpose Cooperative (PMPC), Philippine International Travel Assistance Center Multi-Purpose Cooperative (PITAC MPC), Mindanao Consolidated Cooperative Bank (MCCB), Bangko sa Balay Foundation, Inc., and Lorenzo Tan Multi-Purpose Cooperative (LTMPC) covering 5 provinces in the region to implement the said program.

DA-ACPC Program Management Officers Mary Grace Tambus, Cyvil Gregorio, and Runy Crusio reported that out of the total disbursed, P10 million was fully disbursed to 399 MSFFs from Misamis Occidental through the PMPC; P10 million was disbursed to 400 MSFFs from Bukidnon through the PITAC MPC; P8.6 million was disbursed to 345 MSFFs from Misamis Oriental through the BBFI and MCCB.

The DA-ACPC continues to extend affordable and accessible credit to marginalized small farmers and fishers in the countryside to help increase their farm productivity and ensure food sufficiency amid pandemic.

A total of P11,250,000 million credit fund was disbursed to 450 small farmers and fishers from Negros Occidental as part of the implementation of the Department of Agriculture – Agricultural Credit Policy Council’s (DA-ACPC) SURE COVID-19 Loan Program.

Each borrower, whose incomes were affected by the lockdown restrictions imposed to prevent the spread of COVID-19, received an uncollateralized and no-interest P25,000 loan payable up to 10 years.

“Nagpapasalamat ako sa Department of Agriculture at ACPC dahil isa ako sa mga benepisyaryo ng SURE COVID-19. Gagamitin ko ito bilang additional input capital para sa maliit kong negosyo,” said fisherfolk-borrower Fernando Jacinto.

The DA-ACPC tapped La Castellana 1 Personnel Multi-Purpose Cooperative (LC1PMPC) and the Escalante City Government Employees and Community Multi-Purpose Cooperative (ECGEM) as partner lending conduits in the province.

The DA-ACPC, together with the DA-RFO 6 and local government units, are expected to release loans to more farmers and fishers in the coming days. Currently, those areas served by the program include the Municipalities of Calatrava, Toboso, La Castellana, Moises Padilla, Pontevedra, Isabela, Valladolid, Hinigaran, Kabankalan, La Carlota, Himamaylan, and the City of Bacolod.

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) along with its partner lending conduit, Oisca Farm Multipurpose Cooperative facilitated the initial P2.75 million loan release to 110 marginalized and small farmers and fishers (MSFF) in Marawi City, Lanao del Sur.

Under the Expanded SURE Aid and Recovery Project (SURE COVID-19), each beneficiary is entitled to an emergency loan worth P25,000, a non-collateralized, zero-interest loan payable up to 10 years.

The SURE COVID-19 program supports farmers and fishers whose incomes were affected by a series of lockdowns following the current health crisis. However, DA-ACPC extended its financial assistance to farmers and fishers affected by the Marawi siege way back in 2017. Such funds were used as capital to revive production of rice, corn, aquaculture, and other agri products.

ACPC focal person Rocania Palo, Ministry of Agriculture, Fisheries and Agrarian Reform (MAFAR)-ACPC coordinator Lindy Cati-Ir, and Assistant Minister Amal Solaiman conducted orientations and assisted the MSFF-beneficiaries in the application and processing of loans, with strict adherence to health protocols to ensure the safety of all participants.

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) under its Expanded Survival and Recovery Project (SURE COVID-19) disbursed emergency loans to 174 farmers in Cebu City amounting to P4.35 million.

Cebu City has an allocation of P7.2 million loan funds to benefit a total of 289 farmers under the SURE COVID-19 program – which provides an emergency loan of P25,000 with no interest, no collateral, and payable up to 10 years – to help farmers and fishers recuperate from the effects of the current health crisis to their livelihoods.

Cebu People’s Multi-Purpose Cooperative (CPMPC), an existing lending conduit of ACPC in Cebu, facilitated the release of funds to cutflower and vegetable farmers in the Queen City of the South.

“Dahil sa programang ito, naipagpapatuloy nila ang kanilang pagtatanim ng gulay, patuloy ang kita nila. Naramdaman din nila ang ang suporta at malasakit ng gobyerno,” said Mariepeth D. Masion, CPMPC special project officer.

According to Alma Marie Cornel, DA-ACPC focal person for Cebu, the release was done in batches to minimize the number of participants, with strict observance to health protocols set by the government.

Efforts are already being made to fast track the disbursements of the remaining funds.

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) partnered with digital finance and services leader, PayMaya, to provide innovative financial disbursement platform for the Kapital Access for Young Agripreneurs (KAYA) Loan Program.

Through the said partnership, PayMaya will allow DA-ACPC’s partner lending conduits (PLCs) for KAYA to disburse loans to borrowers digitally through their PayMaya-enabled prepaid payment cards. The loan disbursement solution for PLCs is 24/7 and has a real-time crediting through the PayMaya PayOut web-based portal.

On the other hand, KAYA loan beneficiaries will enjoy various functionalities of the PayMaya card that allows them to make online and in-store payments, pay bills, buy load, send money, and withdraw funds, among other financial services which will allow them to continue to transact even in the face of pandemic-related restrictions such as physical distancing.

“With this digital platform, we will be able to reach out and convince more Filipino millennials to engage in agriculture, fishery and agribusiness ventures, and more importantly bankroll their respective projects,” said DA Secretary William Dar during the virtual launching of the KAYA digital card on July 6, 2020.

“As our lockdown experience has shown, we need to further explore the cyberspace and take our digitalization efforts to the next level as part of the new normal,” added the DA Secretary.

“Agriculture is one of the hardest-hit sectors in the current COVID-19 crisis, and we understand the great need to help and empower our farmers and fisherfolk during this time,” said PayMaya Founder and CEO Orlando Vea. “We look forward to working together in our common mission to enable the grassroots and make them an engine for national recovery and progress.”

“We firmly believe that this program is worthy of our support as it encourages more young Filipinos to venture in farming and thus enhance our food security objectives,” said Development Bank of the Philippines (DBP) President Emmanuel Herbosa. “We are ready to provide efficient disbursement of funds.”

The KAYA Program will finance capital requirements of start-up or existing agri-fishery-based projects of young entrepreneurs and agri-fishery graduates aged 18-30 years old.

It offers up to P500,000 loan per borrower payable not more than five years at 0% interest with not more than 3.5% management fee.

“This is just the beginning as we are setting our sights on integrating this technology solution to other credit programs in the near future,” said ACPC Executive Director Jocelyn Alma Badiola.

“With the involvement of key players such as PayMaya, DBP, and our PLCs in the digital financing ecosystem, we will be able to significantly contribute to financial inclusion by providing easier financing access to unserved and underserved small farmers and fisherfolk,” added ED Badiola.

Also present during the KAYA card virtual launch were PayMaya Philippines President Shailesh Baidwan, PayMaya Head of Wallet Partnerships Kenneth Palacios; officers of DA-ACPC, five KAYA beneficiaries from Central Luzon and representatives from partner lending conduits, namely: Myrna Sescon, Mindanao Consolidated Cooperative Bank; Atty. Albert Concha Jr., Rural Bank of Rizal; Marivic Leparto, Rural Bank of Manolo Fortich; and Liza Ison, New San Leonardo Rural Bank.

A total of 720 marginalized small farmers and fishers (MSFF) from the municipalities of Daet, Mercedes, and San Vicente in Camarines Norte availed of loans under the Expanded Sure Aid and Recovery Project or SURE COVID-19 program of the Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC).

The SURE COVID-19 program offers loans amounting to P25,000 per household, payable up to 10 years with zero interest and no collateral.

Qualified beneficiaries were identified by the local government units through their respective Municipal Agriculture Offices (MAOs), and validated by the Department of Agriculture-Regional Field Office (DA-RFO).

The Rural Bank of Paracale, one of DA-ACPC’s lending conduits in Region 5 released a total amount of P18M to 720 farmer-beneficiaries in Camarines Norte.

According to Kenneth Valencia, ACPC focal person for Camarines Norte, the release was done in batches following the General Community Quarantine (GCQ) protocols to ensure the safety of the bank employees and farmer beneficiaries.

A total of 898 small farmers and fishers (SFF) in Eastern Visayas whose livelihood were affected by the lockdown due to COVID-19 have availed of the emergency loan assistance of the Department of Agriculture - Agricultural Credit Policy Council (DA-ACPC).

DA-ACPC released P22.5 million credit funds to Metro Ormoc Community Multi-Purpose Cooperative (OCCCI) and LC Rural Bank of Dulag – its partner lending conduits in the region.

OCCCI, with an approved P17.5 million fund allocation, has 10 active branches in the provinces of Leyte, Samar, Northern Samar, and Eastern Samar, disbursed loan funds under the SURE COVID-19 program, benefitting 700 SFF.

Meanwhile, the Rural Bank of Dulag in Leyte disbursed a total of P4.9 million, serving 198 SFF.

ACPC Program Management Field Officer for Eastern Visayas Giemar Llano said that in order to ensure the safety and protection of the borrowers during loan processing and release, health protocols were strictly enforced by ACPC, DA-Regional Field Office, local government units, and the lending conduits.

The Expanded SURE Aid and Recovery Project or SURE COVID-19 is a financing program of the DA-ACPC that offers noncollaterized, no interest loan of P25,000 per household payable in 10 years.

“This is our way of helping our small farmers and fishers recover from their losses, as they play a crucial role in ensuring the availability of food supply in Metro Manila and other urban centers,” said Agriculture Chief William Dar.

Since the implementation of the community quarantine across the country, ACPC, as the credit policy and program development arm of the DA, beefed up its credit financing programs to provide accessible, timely, and convenient loan assistance to farmers and fishers – being the most vulnerable sectors – amid the COVID-19 crisis.

Borrowers from Eastern Samar (OCCCI - Borongan branch)

Borrowers from Western Samar (OCCCI - Calbayog branch)

Borrowers from Northern Samar (OCCCI - Catarman branch)

Small farmers and fishers from the province of Maguindanao received financial assistance under the Department of Agriculture – Agricultural Credit Policy Council’s (DA-ACPC) SURE COVID-19 loan program.

A total of P2.5 million was released to an initial 100 beneficiaries who were able to borrow uncollateralized, zero-interest loans worth P25,000 payable up to 10 years. Three hundred more small farmers and fishers are expected to receive financial support in the coming days.

“This program will help our farmers and fishers from the province of Maguindanao regain their capacity to continue their agri-fishery activities and contribute to sustained food production,” said DA Secretary William Dar. “They are also considered front liners in our battle against the COVID 19.”

The Organization for Industrial, Spiritual, and Cultural Advancement Farmers Association for Ranao Muslim (OISCA FARM) Multipurpose Cooperative, which serves as DA-ACPC’s partner lending conduit in the province, disbursed the loans to the first batch of recipients coming from the Municipalities of Datu Saudi Ampatuan, Sultan Kudarat, Parang, Sultan Sa Barongis, Mamasapano, Sultan Mastura, Guindulungan, Talayan, Datu Odin Sinsuat, Shariff Aguak, Kabuntalan, and Datu Piang.

Along with OISCA FARM, the Bangsamoro Government’s Ministry of Agriculture, Fisheries, and Agrarian Reform (MAFAR) led by Minister Mohammad Yacob, was vastly instrumental in fast tracking the implementation of the innovative financing program in the area.

“We [MAFAR] and the government are very much concerned of our farmers and fisherfolk. The ministry is here to help them improve their livelihood and alleviate them from poverty,” Yacob said.

“The ministry is committed to provide any form of assistance for the benefit of our marginalized farmers who struggle to survive daily,” he added.

“Ang plano po namin ay gawing kapital ang perang natanggap at bibili rin ng kambing para pagkakitaan,” said Mohalidin Ensu, a 44-year old farmer-beneficiary from Datu Piang, Maguindanao.

SURE COVID-19 is part of the DA’s initiative to increase the country’s food adequacy level during the emergency situation resulting from the COVID-19 crisis. Aside from small farmers and fisherfolk, it also provides working capital to agri-fishery-based micro and small enterprises (MSEs) to ensure the availability of food supply and help them recover their losses incurred from the effects of the pandemic.

The Agricultural Credit Policy Council (ACPC) is pleased to announce that it has maintained its ISO 9001:2015 Certification after the surveillance audit conducted by TUV Rheinland on Oct. 14, 2020. This is part of ACPC’s commitment to provide timely, responsive, sustainable and effective credit policies and programs to small farmers and fishers through a globally recognized process-based management system approach.

To help more small farmers and fisherfolk recover from production losses due to the COVID-19 pandemic, the Department of Agriculture – through its credit policy arm – Agricultural Credit Policy Council (ACPC) signed a memorandum of agreement (MOA) with the Land Bank of the Philippines for the continuous implementation of the Expanded Survival and Recovery Project or SURE COVID-19 on December 15, 2020.

Agriculture Secretary and ACPC Chair, William D. Dar turned over P 1 Billion worth of loan fund to LANDBANK through its President and CEO, Cecilia C. Borromeo.

“Today is yet another significant moment in the history of the DA-ACPC and LANDBANK’s strong partnership aimed at providing small farmers and fisherfolk access to sustainable credit. This cooperation is all the more crucial and timely since we are still in this pandemic that has adversely impacted many of our farmers and fishers whom we also consider as frontliners in our battle against COVID-19,” said DA-ACPC Executive Director Jocelyn Alma R. Badiola.

The SURE COVID-19 program offers eligible farmers and fisherfolk a loanable amount of up to P25,000, with zero interest, no collateral, and payable in 10 years.

With a total allocation of P2.5 billion funds under the DA’s Plant, Plant, Plant program, DA-ACPC targets to provide innovative, affordable, and convenient credit facilities to ensure the availability and unhampered food supply amid the pandemic. Aside from the SURE COVID-19 program, DA-ACPC is facilitating other programs such as the AGRINEGOSYO (ANYO) and Kapital Access for Young Agripreneurs (KAYA) loan programs.

“We will continue what we have started, because it is our moral obligation to provide food for all Filipinos, and we start by helping our frontliners – our farmers and fisherfolk,” said Secretary Dar, reporting that DA-ACPC has already disbursed P1.2 billion loan funds under the Bayanihan Act 1, benefitting more than 40,000 small farmers and fisherfolk nationwide.

Meanwhile, LANDBANK President and CEO Borromeo welcomed this new collaboration, resuming joint efforts with the DA against the pandemic, supporting over 535,000 farmers during the initial and most crucial months of the current health crisis.

“As your partner bank, LANDBANK will facilitate the efficient and timely release of the P1 billion SURE Aid COVID-19 loan assistance to as many as 40,000 eligible beneficiaries nationwide that will be endorsed by the Department of Agriculture and BFAR Regional Offices to our respective lending centers,” said President Borromeo.

She furthered that “LANDBANK has also remained active in offering the special loan programs we administer for DA. As of November 2020, our cumulative loan releases stand at P7.76 Billion benefitting over 228,000 farmers.”

“We want to make sure that we have enough food during the pandemic and we would like to believe that we can survive and we can reboot again Philippine agriculture,” the Agri Chief concluded.

To address rising market prices in Metro Manila and to complement the implementation of the price cap effective February 8, 2021 as per Executive Order 124, the Department of Agriculture (DA), through the Agricultural Credit Policy Council (DA-ACPC), will be implementing a zero-interest loan program to offer working capital loans for eligible farmers and fishers’ cooperatives associations (FCAs) in the countryside to help finance the food supply chain.

DA-ACPC Executive Director Jocelyn Alma R. Badiola, along with DA-ACPC Program Development and Management Division Director Cristina Lopez, and other DA-ACPC officers and staff, joined DA Assistant Secretary for Agribusiness and Marketing Assistance Service (DA-AMAS) Kristine Evangelista, in a dialogue session with market vendors in Commonwealth Market, Quezon City on February 8, 2021. On February 10, 2021, DA-ACPC Exec. Dir. Badiola and officers also joined DA Undersecretary for Fisheries and Agri-Industrialization Cheryl Marie Caballero in a meeting with Quezon City Mayor Joy Belmonte. The sessions were part of a series of consultations with stakeholders to finalize the terms and implementing guidelines for the program, which will be launched this month as part of the DA’s efforts to stabilize market prices.

"We are initiating this financing program to institutionalize mutual partnership between the farmers’ cooperatives and associations (FCAs) and market vendors, and create a 'win-win' situation benefiting producers, retailers and consumers,” said DA Secretary William Dar.

Under the financing program, the DA-ACPC shall engage their partner lending conduits (PLCs) to extend working capital loans (revolving fund) to FCAs for them to purchase agri-fishery commodities from their member-farmers/fishers.

These FCAs will be assisted by the DA Regional Field Offices (DA-RFOs) and AMAS to enter into a marketing agreement with individual market vendors who will pre-order the goods through an Ordering System. These individual vendors shall be endorsed by the Market Vendors Association (MVA); In the absence of the MVA, the market operator may endorse the individual vendors. The Ordering System will help to reduce wastage of goods as the market vendors will indicate their orders directly to the FCA-suppliers.

The DA RFO and AMAS shall also assist in the transportation of the pre-ordered goods to designated Bagsakan Areas to be prepared by the participating market operators. The individual market vendors shall then receive the goods and sell them to consumers at prices lower than or equal to the suggested retail price (SRP).

Thus, the program aims to benefit the small farmer and fisher producers as they are able to sell their produce to the FCAs, the farmers’ cooperatives and associations as they are able to directly market to retailers, the market vendors as they are able to receive their orders at reasonable prices, and the consumers as they are able to purchase goods at prices lower than or equal to the SRP.

The program offers zero-interest, non-collateralized working capital loans not exceeding Php 5.0 million to the eligible FCA-borrowers, with a minimal service fee of 3.5% of the total loan amount per transaction to be charged by the partner lending conduit.

The targeted program will be launched as a special window under the Agri-Negosyo (ANYO) Loan Program, which offers non-collateralized and zero-interest working capital loans to individual small farmers and fishers, farmers and fishers’ cooperatives and associations, and agri-fishery based micro and small enterprises (MSEs). Aside from the regular ANYO program, there have also been two other special windows under the program: the ANYO for OFWs, in coordination with the OWWA; and the AgriPinay for women farmers, in coordination with the DA Gender and Development (GAD) team of the DA RFOs.

For more information and updates on the DA-ACPC Loan Programs, visit our website: http://localhost/acpcwd//

One of the major thrusts of DA Secretary William Dar’s New Thinking in Agriculture is the innovation and modernization of the sector, which ties in with his advocacy to engage youth in agriculture.

“We need young blood in agriculture. They have the defining attributes when it comes to utilizing modern agriculture. They are well connected through electronic devices that can help modernize farming and fishing activities,” says Secretary Dar, who spearheaded the launching of two main initiatives to involve and empower youth in agriculture. These are: (1) an internship program connecting on-the-job trainees (OJTs) with DA-Agricultural Program Coordinating Offices (APCOs), and (2) an agribusiness loan program dubbed the Kapital Access for Young Agriprenuers (KAYA), which was launched by the Agricultural Credit Policy Council (ACPC) at the Pampanga State Agricultural University (PSAU) in January 2020.

To understand the importance of these programs, we must look at the young agripreneur and the challenges that they face in pursuing their agribusiness ventures, and the context of their access to financial and capacity building services.

Are young people still interested in agriculture?

Much has been said about the aging population in agriculture, as the average age of farmers in the country has been estimated at around 56 to 60 years old. Thus, there is a need to attract the younger generation into farming to maintain and modernize agriculture (Dar, 2019).

However, while global data suggests that young people’s interest in agriculture is declining, many farmer and fisher families in the Philippines still involve their children in their agri fishery activities. As Manalo (2016) points out in the Philippine Rice Research Institute’s (PhilRice) Infomediary Campaign, “Highlighting the exodus of the youth from agricultural communities by referencing global data masks one important fact—there are young people who have been heavily involved or are still heavily involved in strenuous tasks in the farm.” An earlier study conducted by Manalo (2011), with respondents from the provinces of Albay and Aurora, showed that the young people surveyed were directly involved in the rice farming activities of their families, and that despite devoting significant time to studying, a notable portion of their time was still spent working on the farm.

This means that while there is a common notion of the younger generation being dissuaded in pursuing farming in favor of other career opportunities, there remains a population of youth who are still very involved in their families’ agri-fishery livelihood activities, and this population needs to be empowered in order to sustain their direct involvement in the sector.

As the Global Forum on Agricultural Research and Innovation (GFAR) notes, agriculture is considered “the greatest provider of employment in the developing world” that provides new economic opportunities beyond production alone, including processing, value-adding, and provision of services. Engaging youth in agriculture will not only address unemployment rates, but will also increase food security. However, appropriate support must be given to ensure their success, including increased access to credit, capacity building, markets and other services to grow their agribusiness.

Financial inclusion and the young agripreneur’s access to credit

To entice the youth into entering agriculture for business, their financial literacy and access to financial services must also be improved.

According to the BSP’s 2019 Financial Inclusion Survey, young adults generally have lower rates of adoption of financial products and services, as these rates are “highly tied to employment.”

Only 6.8% of youth aged 15-19 and 29% of those aged 20-29 surveyed had accounts. BSP also reported that e-money was widely used among young adults, and that in rural areas, microfinance NGOs are prevalent (BSP, 2020). This suggests that despite limited access to formal banks, youth in the countryside still have the means to access financial services.

The United Nations Capital Development Fund (UNCDF) and the United Nations Development Programme (UNDP) report that “few young people in the ASEAN and SAARC region borrow (4 percent) or save (20 percent) for business or farming purposes,” and because of minimum age requirements and their lack of collateral and credit history, young people have difficulty accessing financial services (Jain et. al., 2018).

Even previous ACPC loan programs reported a low proportion of young borrowers. In the ACPC’s results of field evaluation conducted in 2019, only 4.2% of respondents who availed of the Production Loan Easy Access (PLEA)--ACPC’s flagship production loan program at the time--were below 30 years old (ACPC, 2020), and as of October 2020, data from the ACPC Management Information Services (MIS) indicated that only 1.8% of the total PLEA borrowers recorded were 30 years of age and below.

While access to sustained and tailor-fit financial services may help provide capital to help young people start their agribusinesses, credit is only one of many support services needed. The World Bank’s Consultative Group to Assist the Poor (CGAP) notes that a combination of financial and nonfinancial services are needed by youth to build them up as successful entrepreneurs, and this combination can also improve their capacity to repay their loans.

“Financial services alone cannot unlock positive outcomes for youth. A range of complementary non-financial services—including entrepreneurship training, vocational skills, negotiation and communication skills, financial education, and business advisory services—are also critical to successful wage employment and youth entrepreneurship.” (Anderson, et. al., 2019)

Thus, credit must be combined with complementing services to empower the young agripreneur.

Kapital Access for Young Agripreneurs (KAYA)

The DA-ACPC’s Kapital Access for Young Agripreneurs (KAYA) is a program which aims to address these unique challenges faced by the youth when pursuing agribusiness.

Under the KAYA, beneficiaries may avail themselves of non-collateralized and zero-interest loans of up to Php500,000 for their agri-fishery startup business, and attend workshops facilitated by the ACPC in partnership with DA and its attached agencies, to not only finance, but also plan, grow and properly manage their business.

The program targets young agripreneurs who are 18-30 years old, and are graduates of either formal or non-formal schooling--including, but not limited to, agriculture and fishery related degrees from higher education institutions, DA and ATI-accredited programs, TESDA programs, farm schools, and secondary schools with agriculture and fishery-related courses.

Since launching the program in January 2020, the ACPC has been managing the KAYA loan program while adapting to the community quarantine protocols in light of the COVID-19 pandemic, and utilizing digital platforms to accommodate and endorse potential borrowers, conduct program orientations and workshops, and disseminate information on the program.

Borrowers go through the orientation and business plan workshop process, and once their business plan and other documentary requirements are finalized, the ACPC endorses their application to the partner lending conduit (PLC) in their area. PLCs are the financial institutions (government banks, rural banks, cooperatives, associations, and viable microfinance NGOs) which ACPC taps to implement its credit programs.

The ACPC has also tapped PayMaya Philippines, an e-money and digital payments platform, to digitalize disbursement of its loans, further enabling PLCs to reach their clients seamlessly and strengthen financial inclusion in rural areas.

Featured KAYA Beneficiaries

Jellen Bernardino, mallard duck egg production

Jellen, 24, was able to avail of the KAYA program to launch her mallard duck (itik) egg production business. As the daughter of vegetable farmers, Jellen was already involved with farming, was a member of a farmers’ association, and had attended various technical training and seminars from DA and DAR, and even completed an Entrepreneurship NC II course from a DAR-TESDA program. Aside from her active involvement with technical training, she says the KAYA Business Plan Workshop provided her with additional knowledge on the entrepreneurial side of agriculture.

“Natutunan ko na ang agriculture, hindi lang farming--marami pa palang paraan para kumita nang mas malaki at mag-expand ng negosyo.”

Prior to applying for the KAYA program, Jellen had no experience in borrowing from formal sources of credit. Other than receiving a cash card for her salary when she started working and using money remittance services, she had not yet availed of other financial services.

She explains that if not for her family’s advice for her to pursue her agribusiness and the KAYA program providing her with the needed capital, she would have continued working in retail as a saleslady, but she prefers managing her own business.

“Kapag business owner ka, hawak mo ‘yung oras mo at malaki pa kita mo. Sana malaman ng mga youth katulad ko na mataas ang kikitain nila sa agribusiness, at kaya nilang umangat sa buhay kahit hindi nakapagtapos ng pag-aaral--na kaya din nilang magtayo ng sarili nilang business at maging sarili nilang boss.”

Jaime Belches, hydroponic farming

Jaime, 30, availed of the KAYA program to finance his proposed hydroponics system, which serves as an expansion to his existing vegetable farm. Originally an information technology (IT) graduate and a former DA employee, Jaime started farming in 2018 when he learned of the sudden surge in market price of red chili, as a wave of new restaurants were being established in his area; with an entrepreneurial mindset, he capitalized on this trend by growing red chili peppers on a small plot located within his cousin’s farm, now registered as the NewGen Agri Farm. Despite his peers’ initial attempts to discourage him from pursuing farming, he found that he was able to make a significant profit from his agribusiness.

“Para sa mga kabataang nais magsimula ang karera na mag-venture sa agribusiness, manatiling habulin ang pangarap para sa mas maunlad na sektor ng agrikultura. Ang inyong intensyong magsimula ay unang hakbang sa inyong patutunguhan.”

As he became more interested in farming, he started to utilize platforms such as YouTube, where he would watch webinars and educational videos on agri production, and Facebook, where he joined Facebook Groups and followed Facebook Pages featuring millennial farmers, successful agripreneurs, and information on farming technology.

With the combination of his self-study and the guidance of the ACPC’s Business Planning Workshop and the DA Regional Field Office’s (DA RFO 3) Agribusiness and Marketing Assistance Division (AMAD), he was able to craft his business plan for his innovative hydroponics system to expand and improve the production of his agribusiness.

“Hindi ako napapagod na matuto ng mga bagong kaalaman ukol sa agrikultura. Naniniwala ako na may kinabukasan na naghihintay para sa mga kabataang tulad ko na nagsimulang magnegosyo gamit ang teknolohiya ng pagsasaka.”

Rowee Sarmiento, mushroom

Rowee, 27, manages her own fresh oyster mushroom and fruiting bags startup business, a venture which she learned from her father, who maintained his mushroom business for many years while also farming vegetables. Under the KAYA program, Rowee was able to avail of a loan to finance the business she had wanted to pursue ever since she was young.

Rowee also studied agricultural engineering, and later, fisheries, in college. Rowee and her family are active in attending technical training from DA, TESDA, BPI, and other capacity building institutions, to continually improve on their capabilities to manage their mushroom businesses, and are also members of a cooperative.

“Ang farming kasi, akala ng iba na mahirap lang siya at maliit lang kita, kaya wala silang tiyaga pumasok sa agrikultura. Pero malaki talaga ang kikitain mo sa agri na business. Dapat lang may tiyaga ang mga kabataan, kasi ang dami na talaga ng opportunities para sa generation natin. ‘Yung iba, hindi pa nila alam kung ano ang gusto nilang gawin sa buhay nila, pero ako talagang ito na ang gusto ko kahit dati pa.”

Even with her significant experience in the mushroom industry, she says that the workshops under KAYA helped her improve her business plan. She is also the first in her family to avail of a business loan from a formal lending institution, and she says she is thankful for the non-collateralized loan to purchase her capital requirements, as it brings her closer to the vision she has to expand and grow her business.

“Masaya ako sa business ko, ‘tsaka proud pa ako sa lokal na produktong sariling atin.”

Conclusion

To sustain and modernize agriculture amid the sector’s aging population, the younger generation of farmers must be encouraged and empowered to pursue agriculture beyond production, and to revitalize the industry through innovative agribusiness.

The desired outcome for the KAYA program, which is reflected in the application requirements and capacity building component, is to not only finance the startup businesses of young people with a strong agri-fishery background and interest in starting their business, but also to strengthen their foundation through complementary technical training and entrepreneurial workshops.

The three testimonies featured illustrate the mindset of the young agripreneur and how they defy the stereotypes of the poor aging farmer. The new generation of farmers are young, innovative, and driven, and are equipped with access to modern technology and platforms and opportunities that will allow their agri-fishery ventures to flourish, as long as they are provided with the right combination of technical, financial, and entrepreneurial mentorship and support.

References

Agricultural Credit Policy Council (29 June 2020). 2019 Report on the Results of Field Validation Activities for the Production Loan Easy Access (PLEA) Program. Pasig City, Philippines.

Anderson, Jamie, Danielle Hopkins, and Myra Valenzuela (June 2019). The Role of Financial Services in Youth Education and Employment. Consultative Group to Assist the Poor/World Bank. Washington, D.C., USA https://www.cgap.org/sites/default/files/publications/2019_06_30_WorkingPaper_Youth_Education_Employment.pdf

Bangko Sentral ng Pilipinas (2020). 2019 Financial Inclusion Survey. Manila, Philippines. http://www.bsp.gov.ph/downloads/Publications/2019/2019FISToplineReport.pdf

Dar, William D., Ph.D. (13 July 2019) “The ‘new thinking’ for agriculture.” The Manila Times. Manila, Philippines. https://www.manilatimes.net/2019/06/13/business/agribusiness/the-new-thinking-for-agriculture/568614/

Jain, Mayank, Dr. Robin Gravesteijn, Zamid Aligishiev and Richard Last (2018). Youth Entrepreneurship and Financial Inclusion: Outlook for ASEAN and SAARC. United Nations. http://www.undp.org/content/dam/rbap/docs/Research%20&%20Publications/democratic_governance/UNDP-UNCDF-2018-Youth-Entrepreneurship-and-Financial-Inclusion-ASEAN-SAARC.pdf Manalo, Jaime A., Katherine P. Balmeo, Jayson C. Berto, and Fredierick M. Saludez (2018). Youth & Agriculture: The Infomediary Campaign in the Philippines. Philippine Rice Research Institute. Nueva Ecija, Philippines.http://www.pinoyrice.com/wp-content/uploads/youth-and-agriculture.pdf

The Department of Agriculture’s first pillar in the New Thinking in Agriculture is the modernization of the agriculture and fisheries sector, which includes the use of modern technology to increase efficiency and yield of farmers, and the empowerment of farmers as agricultural entrepreneurs (agripreneurs). “Agripreneurship should also form part of the paradigm to modernize Philippine agriculture, as farming and fisheries should be treated as business undertakings or industries,” says DA Secretary William Dar.

Through its slogan, “Masaganang Ani, Mataas na Kita,” the Department highlights the need to empower small farmers to not only increase their crop production and yield, but also to increase their income. To achieve this, they must be transformed from mere producers of raw materials to owners of agribusinesses, or agripreneurs, with value added to their products and marketing in order to maximize their profits.

Transforming farmers into agripreneurs

In a country where farmers and fisherfolk post the highest poverty incidences among the basic sectors—at 31.6 and 26.2, respectively in 2018 (PSA, 2020)—it is a challenge to redefine the common perception of the general public that equates farming with poverty.

It is a cycle that the Department is striving to break, as its programs and corresponding strategic communications aim to inspire and uplift farmers, encouraging them to avail themselves of the technical support, subsidies, and financial assistance made available to them. In order to achieve the targeted growth in the sector, existing farmers must first realize that they can earn more by venturing and expanding into more viable and sustainable means of farming and agribusiness.

According to the Philippine Board of Investments (BOI), “The transformation of agricultural farming into a thriving agribusiness-driven sector […] can contribute not only in diversifying and increasing the value of agribusiness outputs, but also contribute to the inclusive growth and rural development agenda of the Philippine government. Because of this, the agribusiness sector is positioned to largely contribute to the industrial development of the Philippine economy.” Among its recommended strategic actions is to provide support to small farmers, including access to technologies to improve their production, and access to finance to fund their projects.

Local agribusinesses and agripreneurs will also contribute to the country’s sustainable food security. As the Food and Agriculture Organization of the United Nations (FAO) notes, “Agribusiness entrepreneurs, or agripreneurs, play a particularly important role in developing countries, in a sector where most of the population operates. In creating, growing and sustaining agribusinesses and agro-industry, agripreneurs are the key drivers of sustainable food value chain development” (FAO, 2019).

Micro and small agribusinesses and their access to financial services

In order to transform from a small farmer into an agripreneur, however, the farmer needs access to capital, equipment and facilities. Then again, as noted in the earlier section on the banking system’s Loans to Agriculture and Compliance with the R.A. 10000, there is a low proportion of loans given to agriculture despite the mandate of the Agri-Agra Law. Adding the fact that 31% of municipalities (all outside of NCR) remain unbanked, it is clear that a small farmer has low chances of availing themselves of a loan under a formal financial institution.

Thus, the DA-ACPC’s low-interest, accessible credit programs, implemented by government financial institutions (GFIs) and accredited Non-Government Financial Institutions (NGFIs), including rural banks, cooperative banks, cooperatives, associations and viable non-government organizations (NGOs), aim to provide loans at the grassroots level to small farmers who would otherwise be financially unserved.

In response to the COVID-19 pandemic, the recently-launched Agri-Negosyo (ANYO) was rolled out in 2020 to provide zero-interest loans for small farmers and fishers (SFF) and registered micro and small agri-fishery enterprises (MSEs), including sole proprietors, partnerships, corporations, associations and cooperatives. Eligible individuals may borrow a maximum loanable amount of Php 300,000 while registered micro and small enterprises, depending on their assets, may borrow a loan amount of Php 300,000 to Php 15 million. Loans are payable up to five (5) years.

Agri-Negosyo in the time of the pandemic

While the early onset of the COVID-19 pandemic brought about a sense of uncertainty, especially with initial implementation of the enhanced community quarantine (ECQ) limiting the transportation of goods, the general public gained awareness on the importance of food security. This, coupled with the wave of unemployment the pandemic brought about, has encouraged some to pursue agribusiness as an alternate livelihood.

In a GoNegosyo webinar entitled Kumita sa Agri-Negosyo, with the theme “Agribusiness in the New Normal: How to Start, How to Scale Up, The Challenges, and Opportunities,” GoNegosyo founder and Presidential Adviser for Entrepreneurship Jose Maria “Joey” Concepcion III stated, “Many who have lost their jobs have the opportunity to move into agriculture. Whether you are in rural areas or whether you are at home, you can start your own agribusiness. This is the time when agribusiness should shine.”

In the same forum, DA Secretary Dar further provided encouragement to those seeking to venture into agribusiness. “Let us turn challenges into opportunities to survive, and move towards a food-secure Philippines with prosperous farmers and fisherfolk.”

This has surely been the case for some ANYO borrowers, as they were able to avail themselves of the program in order to revive and rehabilitate their livelihood.

Under the special window for repatriated OFWs (ANYO-OFW), those who lost their jobs abroad due to the pandemic were granted loans to pursue agribusiness as a new means of income.

Featured below are the stories of some of our ANYO beneficiaries.

Featured ANYO beneficiaries

Miriam Pertez
Individual SFF, rice and cacao

Rice farmer Miriam Pertez from Malaybalay, Bukidnon was able to avail herself of a loan amounting to Php300,000 under the ANYO program through the ACPC’s partner lending conduit, the Philippine International Travel Assistance Center Multi-Purpose Cooperative (PITAC MPC), a cooperative that provides agri financing assistance to farmers.

Miriam, whose father was originally a farmer, worked as a seamstress for 20 years, even venturing abroad to Brunei and later Jeddah as an overseas Filipino worker (OFW). In 2018, Miriam and her husband moved from Manila to her home town of Malaybalay, Bukidnon and started their rice and cacao farm of 1.3 hectares. As a small rice farmer, she borrows the use of a dryer and miller to process her palay into rice.

In 2018, Miriam also joined the PITAC MPC and was able to avail herself of a Php 50,000 loan under the ACPC’s previous program, the Program for Unified Lending in Agriculture (PUNLA).

She said she was also able to attend the DA’s training sessions on cacao. While she already harvests from her cacao trees for household consumption, she plans to make this into a commercial venture in the future.

In 2020, she heard about the ANYO loan program through the PITAC MPC, and with her good credit standing, was able to apply and avail herself of a working loan amounting to Php300,000 to finance her rice production and processing, and augment her income by buying and selling rice.

When asked what advice she would give to her fellow farmers and those looking to venture into agriculture, she emphasized the need to manage personal finances and prioritize needs over wants. “Work hard and manage your money wisely. Kailangan matuto munang magtipid para umasenso sa buhay.”

These days, Miriam enjoys her time in the province with her husband and her daughter, who recently came home after also working abroad. Miriam’s story mirrors that of many Filipinos who come from a family of farmers, end up moving to the metro or abroad to work, and finally aspire to settle back down to their home town or in the countryside to be with family.

Miriam embodies small farmers who are willing to venture into diversifying their crops, join cooperatives, attend training and avail of government programs to increase their productivity and improve their profitability. She also embodies small farmers who are financially savvy, thus are willing and able to utilize and repay their loans wisely.

Kerwin Perez
Eggciting Traditions Processed Foods Manufacturing

Agripreneur Kerwin Perez is the owner of Eggciting Traditions Processed Foods Manufacturing, a salted egg business which was started by his parents in 2008 to complement their duck farm located in San Jose, Batangas. In 2012, Kerwin took over the business and formally registered it under the name Eggciting Products Manufacturing. As a food microbiologist, Kerwin was able to upgrade his company’s curing technology in 2017 by developing and utilizing his own patented semi-automated rapid hygienic curing process for salted egg production.

Kerwin’s innovative and award-winning rapid hygienic curing process reduces shell egg curing time to less than 5 days (traditionally 14 days and above) and extends its unrefrigerated shelf-life to more than 6 months (compared to the 1-week shelf life of ordinary salted eggs).

The company produces gourmet salted eggs under two main house brands, Kerven&Pritz, and Lola Carmen, supplying to department stores, restaurants and airline commissaries.

In 2020, however, the ECQ forced the brands’ traditional market channels to cease operation leading to work stoppage and revenue losses for the company. To cope with the loss in revenue, the company introduced a new product variant to the mass market—hygienically cured salted eggs with a shelf life of 2 ½ months—and was met with great success. However, Kerwin found that his facilities could not keep up with the sudden increase in demand, and could only produce around 10% of the market demand.

Thus, he turned to the ANYO loan program to avail of a working capital loan. Kerwin was able to avail of a Php 2 million loan to increase the company’s existing production frequency and storage capacity, increase active inventory, maintain “on the market shelf” inventory, maximize the utilization of the current workers and the addition of part-time workers, and increase other raw materials inventory.

“Napakaganda na mayroong programa ang gobyerno para matulugan kaming magka-access sa kapital—hindi lamang para sa sarili natin pero para sa food security at job security ng bansa. Marami pong na-displace na mga tao na kailangan mabigyan ng trabaho, at ngayon ay puwede na silang pumasok sa agribusiness.”

Amid the pandemic, Kerwin’s company is now able to provide ample supply of their products to local commissaries, supermarkets, and franchise outlets; individuals, associations, and cooperatives for reselling at the KADIWA ni Ani at Kita markets of the DA; nearby retail outlets such as public market stalls, groceries, talipapa, and other small stores; and traders and viajeros, including displaced workers who are looking for a new livelihood.

Kerwin’s company is one of the many agribusinesses that are currently contributing to the country’s food security, and providing jobs for those in need, despite the pandemic.

Rico Caringal
Repatriated OFW borrower, mushroom

Former-OFW Rico Caringal, who worked 14 years as a cruise ship waiter, was one of the 370,000 overseas Filipino workers (OFWs) who lost their jobs and were repatriated due to the pandemic in 2020. “February 17 sumampa ako sa barko; by March terminated na ang contract ko dahil sa COVID-19,” recalled Rico, who added that he and his co-workers were quarantined in the ship for three months and were only able to return to the country in June.

Upon returning, Rico worked various jobs as a barber, a promodiser, a delivery boy and a magician, before finally venturing into agribusiness. Rico admitted he had no prior training on mushroom production but said that he was encouraged and later on mentored by other mushroom-producer friends.  “Napaka-daming mushroom farmers dito sa San Jose at maganda daw ang market dito,” said Rico. “Pwede ko ibenta sa bahay-bahay, pwede rin thru online.”

According to Rico, he heard about the Agri-Negosyo (ANYO) for OFWs loan program through his wife.  “Hindi ko pinansin nung una dahil wala akong interes sa loan. Pero habang tumatagal, nagkakaroon ako ng interes lalo nung nalaman ko na yung isa kong kaibigan nag apply din sa ACPC,” said Rico. He applied for the program in August, complied with the requirements and attended the required orientations, and was granted the loan in October.

Rico’s small mushroom business is now thriving amid the pandemic. He has regular customers and is now selling his produce through the Facebook online marketplace. He describes himself as a hands-on farmer. With the loan, he was also able to hire a farm laborer to help increase his productivity. “Pinag-aaralan ko kung paano palalakihin ang negosyo. Kapag naging successful ito, plano ko rin na magtinda ng fruiting bags,” shared Rico, who added that he continues to study mushroom production techniques to enhance his skills and knowledge.

Conclusion

As the government aims to achieve a sustainable food-secure country with prosperous farmers and fisherfolk, there is a need to focus on empowering and uplifting small farmers and fisherfolk to engage in more sustainable approaches to their agri-fishery projects, and to encourage them to expand and upgrade their ventures into economically-viable agribusinesses.

Especially amid the pandemic, the general public’s renewed interest in food security and agriculture can be taken as an opportunity to grow the sector by providing the support needed by those who want to enter into agribusiness. To do away with the image of the poor farmer, the modern Filipino agripreneur must be the new face of agriculture for farmers to aspire towards—agripreneurs who are financially literate, tech-savvy, business-minded, open to modern technology, innovations, schooling and training to improve and increase their productivity and profitability, and willing to be part of and serve their greater communities by generating jobs and ensuring food security.

References

Board of Investments. Industry Development: Agribusiness. Manila, Philippines.

Dar, William D., Ph.D. (13 July 2019) “The ‘new thinking’ for agriculture.” The Manila Times. Manila, Philippines. https://www.manilatimes.net/2019/06/13/business/agribusiness/the-new-thinking-for-agriculture/568614/

Food and Agriculture Organization of the United Nations (FAO). (2019). Agripreneurship across Africa – Stories of inspiration. Rome, Italy. http://www.fao.org/3/ca4671en/CA4671EN.pdf

Philippine Statistics Authority (PSA). (03 June 2020). “Press Release: Farmers, Fisherfolks, Individuals Residing in Rural Areas and Children Posted the Highest Poverty Incidences Among the Basic Sectors in 2018.” Manila, Philippines. https://psa.gov.ph/poverty-press-releases/nid/162541

Amid the rapidly changing financial environment brought about by the effects of the COVID-19 pandemic, the Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) continues to strengthen its digitalization efforts in the implementation of its credit programs.

“Now, more than ever, as we continue fulfilling our mandate of providing easy, timely and affordable credit to farmers and fisherfolk, we are recognizing that digital financing is the way forward,” said DA-ACPC Executive Director Jocelyn Alma Badiola.

Loan Disbursement Solution and KAYA Card

The digital transformation of the DA-ACPC credit programs began with its partnership with digital finance and services company PayMaya, for an innovative financial disbursement platform for the Kapital Access for Young Agripreneurs (KAYA) Loan Program.

Through the said partnership, PayMaya will allow DA-ACPC’s partner lending conduits (PLCs) for KAYA to disburse loans to borrowers digitally through their PayMaya-enabled prepaid payment cards. The loan disbursement solution for PLCs is 24/7 and has a real-time crediting through the PayMaya PayOut web-based portal.

Program beneficiaries will also be provided with KAYA prepaid cards that can be linked to their PayMaya accounts. Through said card, young agripreneurs will enjoy various functionalities of the PayMaya card that allows them to make online and in-store payments, pay bills, buy load, send money, and withdraw funds, among other financial services which will allow them to continue to transact even in the face of pandemic-related restrictions such as physical distancing.

“With this digital platform, we will be able to reach out and convince more Filipino millennials to engage in agriculture, fishery and agribusiness ventures, and more importantly bankroll their respective projects,” said DA Secretary William Dar.

“As our lockdown experience has shown, we need to further explore the cyberspace and take our digitalization efforts to the next level as part of the new normal,” added the DA Secretary.

Online Market Place and Inventory Tool

The DA-ACPC also partnered with digital solutions provider IOT Technology for the AgriKonek app, an online marketplace and inventory tool that aims to empower farmers and fishers by enabling them to efficiently manage their agri-fishery business.

The AgriKonek app is a downloadable front-end application where agripreneurs can post their products, quantity of their produce, price, and other production information so that potential buyers or clients can see them conveniently and make their orders online.

Through the AgriKonek, farmers and fishers can also effectively take control of their production through monitoring inventory, tracking changes, and eliminating inefficiencies to better control their production costs. Further, the app will help them build their own digital market with their own brand.

“With the launching of this new technology, we are hoping to attract more young blood to give the Philippine Agriculture a second look, and consider to start a journey of not only becoming agripreneurs, but also partners in national development,” said DA Secretary William Dar.

Initially, borrowers from the KAYA program will be on-boarded in the new digital platform. However, ED Badiola said that beneficiaries from DA-ACPC’s other credit programs will also be integrated in the AgriKonek soon after.

“With the AgriKonek, we are actually turning the challenges of COVID-19 into an opportunity as we are attracting more youth, who are naturally attracted to digital tools, to go back to agriculture and fishery,” said ED Badiola. “By prompting increased use of digital technologies, COVID-19 may have unintentionally made agriculture more attractive to younger generations. We can consider this as a silver-lining in these uncertain times.”

The DA-ACPC Dashboard

In line with its commitment to provide timely, relevant and accurate information on its credit programs, the DA-ACPC, through its Information Systems Management Division (ISMD) recently launched the Program Accomplishment Dashboard (ACPC Dashboard) in which the public can access up-to-date accomplishment reports on DA-ACPC’s programs.

The interactive dashboard, which is available on the official DA-ACPC website (localhost/acpcwd/), provides a live snapshot of program performance across various dimensions using a set of more impactful graphs, charts, and other metrics and visuals designed and historically known to be the most helpful in analyzing program progress and accomplishments.

The dashboard is also an interactive platform. Users can filter for themselves the program accomplishment information that they need, including data on loan releases by area (up to the municipality level) and by type of commodity, number of small farmer- and fisherfolk -borrowers, as well as number of agri-fishery-based micro and small enterprise (MSE)-borrowers, among others. All information contained in the dashboard are subject to regular updating.

By making various graphs, charts, and other visuals on program accomplishment easily accessible online, the ACPC Program Dashboard will make a program’s story more transparent to the public and will also be helpful in providing program administrators with quick insights on how program implementation might further be improved.

Agri-Credit e-Portal (ACE Portal)

The DA-ACPC’s ISMD also developed the Agri-Credit e-Portal (ACE Portal), a digital platform where its more than 250 PLCs can conveniently submit loan disbursement reports (LDRs).

With the creation of the ACE Portal, the DA-ACPC can now easily consolidate data and generate reports compared to when the submission of LDRs were manually done. Said online platform also minimizes errors, tracks loan disbursement of PLCs as against the funds downloaded, and serves as a monitoring tool to fast track the delivery of credit to beneficiaries.

ACPC Access

Due to mobility restrictions brought about by the pandemic, the ISMD also launched the ACPC Agri-Credit Client Electronic Signup System (ACPC ACCESS), an upgraded version of the DA-ACPC’s online application portal for all its current credit programs.

Through the ACPC ACCESS (acpcaccess.ph), the loan applicants can monitor the status of their application online.  It has a self-assessment feature which links applicants to the loan program that is appropriate for his/her eligibility requirements. It also has an online appointment feature which allows the applicants to select preferred schedule for the online program briefing and business planning workshop. Through the said innovation, the applicants will also know which PLC shall he/she be endorsed to once complete documentary requirements were submitted.

Embracing Digitalization

“To embrace digitalization in the different processes of our work is no longer just an option subject to budget availability. The extraordinary situation today calls for government agencies not only to step up, but also to be at the top of our game so we can respond and assist more people within a faster timeframe,” said DA-ACPC Director Norman William Kraft, who also handles the ISMD.

He added that investing in IT solutions and resources is the only way to achieve digitalization if the DA-ACPC is to maintain its relevance in the field of public service. According to Director Kraft, the DA-ACPC has included in its plans for 2021 the development and implementation of close to 7 new system programs that are aimed at easing up as well as creating additional processes for both external and internal users/clients.

“With the involvement of key players such as PayMaya, IOT Technology and our PLCs in the digital financing ecosystem, we will be able to significantly contribute to financial inclusion by providing easier financing access to unserved and underserved small farmers and fisherfolk,” said ED Badiola.

The DA-ACPC’s implementation of digital solutions supports the DA’s program for the digitalization of the country’s agriculture sector under the “new normal” to achieve its goals of reducing poverty and attaining food security in the country.

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) spearheaded the conduct of the Agribusiness Pitch Challenge, one of the competitions featured during the 1^st Youth in Agriculture Summit.

Said competition aims to encourage the youth to engage in agriculture, fishery and agribusiness ventures. The initiative also aims to ensure the continuous creation of investible ideas and start up originators that will contribute to enhancing the DA’s food security objectives.

The top three finalists out of 160 young agripreneur (yaggies) applicants delivered their best pitches before a panel of experts during the competition wherein 28-year-old Daryl Gumacal of Agusan del Sur was adjudged the grand winner.

With his winning pitch on Red Tilapia Nursery and Grow Out, Gumacal, who has a seven-year background on integrated farming, took home P40,000 and the honor of being crowned the inaugural winner of said pitching contest.

Meanwhile, John Lester Arellaga, a 22-year-old Agricultural and Biosystems Engineering student from Palawan, copped the 2^nd place and a P25,000 cash prize with his pitch on Vermiculture Integration. Twenty-six-year-old Agriculture student Jernet Lago of Negros Oriental, on the other hand, settled for 3^rd place and P15,000 with her presentation on Sustainable Production of Tilapia and Vermiculture/Vermicomposting.

“Napaka-gandang experience nito para sa’kin. This will serve as motivation for me to continue agribusiness,” said Gumacal. “Sa mga kabataan, walang ibang mas magandang oras para magsimula sa agribusiness kung hindi ngayon,” he added.

The panel of judges who acted as venture capitalists, investors, and business executives during the competition are DA Undersecretary Waldo Carpio, Assistant Secretary Jane Bacayo, Assistance Secretary and Philippine Council for Agriculture and Fisheries Executive Director (PCAF) Liza Battad and Agricultural Training Institute (ATI) Deputy Director Rosana Mula.

A total of 160 aspiring young agripreneurs nationwide submitted their agribusiness plans to the DA-ACPC. After thorough review and evaluation by the DA-ACPC Selection Committee led by Executive Director Jocelyn Alma Badiola, the top 10 and eventually, the top three entries were determined. The Selection Committee was composed of representatives from DA-ACPC’s Advocacy, Programs Development and Communications & Public Affairs Divisions. “We hope that the youth were inspired by our top three finalists to also come up with their own agribusiness plan,” said ED Badiola. “If they need working capital, I encourage them to

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) spearheaded the conduct of the Agribusiness Pitch Challenge, one of the competitions featured during the 1^st Youth in Agriculture Summit.

Said competition aims to encourage the youth to engage in agriculture, fishery and agribusiness ventures. The initiative also aims to ensure the continuous creation of investible ideas and start up originators that will contribute to enhancing the DA’s food security objectives.

The top three finalists out of 160 young agripreneur (yaggies) applicants delivered their best pitches before a panel of experts during the competition wherein 28-year-old Daryl Gumacal of Agusan del Sur was adjudged the grand winner.

With his winning pitch on Red Tilapia Nursery and Grow Out, Gumacal, who has a seven-year background on integrated farming, took home P40,000 and the honor of being crowned the inaugural winner of said pitching contest.

Meanwhile, John Lester Arellaga, a 22-year-old Agricultural and Biosystems Engineering student from Palawan, copped the 2^nd place and a P25,000 cash prize with his pitch on Vermiculture Integration. Twenty-six-year-old Agriculture student Jernet Lago of Negros Oriental, on the other hand, settled for 3^rd place and P15,000 with her presentation on Sustainable Production of Tilapia and Vermiculture/Vermicomposting.

“Napaka-gandang experience nito para sa’kin. This will serve as motivation for me to continue agribusiness,” said Gumacal. “Sa mga kabataan, walang ibang mas magandang oras para magsimula sa agribusiness kung hindi ngayon,” he added.

The panel of judges who acted as venture capitalists, investors, and business executives during the competition are DA Undersecretary Waldo Carpio, Assistant Secretary Jane Bacayo, Assistance Secretary and Philippine Council for Agriculture and Fisheries Executive Director (PCAF) Liza Battad and Agricultural Training Institute (ATI) Deputy Director Rosana Mula.

A total of 160 aspiring young agripreneurs nationwide submitted their agribusiness plans to the DA-ACPC. After thorough review and evaluation by the DA-ACPC Selection Committee led by Executive Director Jocelyn Alma Badiola, the top 10 and eventually, the top three entries were determined. The Selection Committee was composed of representatives from DA-ACPC’s Advocacy, Programs Development and Communications & Public Affairs Divisions. “We hope that the youth were inspired by our top three finalists to also come up with their own agribusiness plan,” said ED Badiola. “If they need working capital, I encourage them to apply through DA-ACPC’s Kapital Access for Young Agripreneurs (KAYA), which offers uncollateralized and no-interest loan up to P500,000, payable up to five years,” she added. 

During the first day of the Department of Agriculture’s National Food Security Summit held on May 18, 2021, ACPC Vice-Chair and Bangko Sentral ng Pilipinas Monetary Board Member Dr. Bruce J. Tolentino presented his insights on the financial and credit policies in the agriculture and fisheries sector, giving emphasis on the need to boost investments in the sector and to implement the proposed amendments to the Agri Agra Law or RA 10000.

In his presentation, Dr. Tolentino acknowledged that poverty among farmers and fishers remain the highest among basic sectors, and that both the agricultural labor productivity and agricultural gross value added (GVA) growth in the Philippines is lower than its neighboring countries and fellow developing countries. Dr. Tolentino explained that in order to remedy the plight of our farmers and fishers, structural reforms are needed.

“What we need are not politics. What we need are structural reforms. What we need are not short-term solutions. What we need are major solutions for these issues,” said Dr. Tolentino.

Dr. Tolentino laid out three main policy recommendations to increase the growth of the sector:

1) Increase investment in public goods that increase agri-fishery productivity, including science & technology, effective extension, efficient irrigation, and marketing infrastructure which will not only increase the yield of farmers, but allow them to sell their products at a low marketing cost.

2) Implement key policy reforms to eradicate anti-agriculture bias of appropriations, over-regulation and monopolies in order to enable more farmers to maximize their profits.

While these policy reforms are taking place, Dr. Tolentino said that it is appropriate to organize short-term programs and activities which provide support to farmers and fishers. He discussed the current agri-fishery credit, guarantee, and insurance programs of the government, including those of the DA, ACPC, Land Bank of the Philippines (LBP), Development Bank of the Philippines (DBP), Department of Agrarian Reform (DAR), Philippine Crop Insurance Corporation (PCIC), and the Philippine Guarantee Corporation (PhilGuarantee).

3) Implement the proposed amendments to the Agri-Agra Law or RA 10000 to encourage the banking sector to finance agriculture by improving the creditworthiness of farmers and viability of agricultural projects.

These proposed amendments include: (a) the broadening of eligible activities for agricultural financing; (b) adjusting the credit requirement by removing the distinction between the 15% agri and 10% agra reform credit, providing a sunset provision of 10 years from the approval of the Act, and providing a 5-year grace period for non- or under-compliance of newly established banks; and (c)  creating a Special Fund to finance activities devoted to improving capacity of rural agri cooperatives/organizations and an oversight Council to manage the Special Fund.

Dr. Tolentino also discussed that while the amendments to the law have yet to be completed,   amendments have been made to the IRR of the law, including: (a) the deletion of accreditation requirement for debt securities; (b) allowing shares of stock in companies engaged in agri activities; (c) expanding modes of compliance to cover financing to members of an ARB household, and financing activities that benefit agrarian reform communities; and (d) emphasizing special lending arrangements for agribusiness enterprises with qualified agricultural borrowers, agricultural value chain financing (VCF), and palay housing and farming homestead.

He added that the financial sector must be made more resilient, especially in the context of this pandemic. In line with this, digital finance is being made more accessible to Filipinos, and Dr. Tolentino explained that the National ID system or PhilSys will also incorporate the list of farmers under the Registry System of Basic Sectors in Agriculture (RSBSA), which can be used to streamline their availment of financial support thru government programs.

Dr. Tolentino is a leading economic development expert with decades of experience in both the public and nonprofit sector locally and abroad, including serving as the Director of the International Rice Research Institute (IRRI), Deputy Minister of Policy, Planning, and International Trade of the Philippine Ministry of Agriculture, and the ACPC’s first Executive Director.

The Department of Agriculture, through its credit policy arm, the Agricultural Credit Policy Council (DA-ACPC), kickstarted its research collaboration with the Bangko Sentral ng Pilipinas (BSP) Research Academy through the signing of a Memorandum of Understanding (MOU) on June 9, 2021.

Among those present during the MOU signing were BSP Governor Benjamin Diokno, DA OSEC Chief of Staff Dr. Leocadio Sebastian representing DA Secretary and ACPC Chair Dr. William Dar, BSP Deputy Governor Dr. Cyd Tuaño-Amador, BSP Research Academy Head Dr. Veronica Bayangos, Monetary Board Member and ACPC Vice Chair Representative Dr. Bruce Tolentino, and ACPC Executive Director Jocelyn Alma R. Badiola, along with key officials and staff from the BSP and ACPC.

The Research Collaboration between DA-ACPC and BSP aims to broaden and develop further the two agencies’ intellectual and financial resources and provide an evidence-based approach for the parties’ program and policy formulation for sustainable agricultural credit services and programs, through various research studies on rural credit.

For more information on the ACPC’s policy research studies, visit our website: https://localhost/acpcwd//

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC), in partnership with the Bangko Sentral ng Pilipinas (BSP), Land Bank of the Philippines (LANDBANK), and Development Bank of the Philippines (DBP), led the conduct of the first-ever National Info Caravan on Agri-Fishery Credit Programs via Facebook live on June 24, 2021. 

Through the National Info Caravan, the government’s various affordable, innovative, and convenient loan programs were explained to farmers, fishers, agripreneurs, and those who are contemplating engaging in agriculture and fishery. 

Featured panelists in the activity were Deputy Director Rochelle Tomas who discussed BSP’s financial inclusion initiatives; Program Development Division Chiefs Allen Ducusin and Ding Pereyra who presented ACPC’s credit programs; Program Officer Edgardo De Guzman who shared LANDBANK’s loan programs; and Assistant Vice President Rallen Verdadero who talked about DBP’s credit programs.

“Agricultural credit is key to leveling up the agri and fishery sector’s competitiveness. With additional capital, our farmers and fisherfolk can modernize and grow their ventures into bonafide businesses and become empowered agripreneurs,” said DA Secretary William Dar during his keynote message.

“We want our farmers and fishers to learn more about the ongoing loan programs that they can avail themselves of and at the same time learn about the government’s initiatives on financial education,” said DA-ACPC Executive Director Jocelyn Alma Badiola. “We must uplift our farmers and fishers not just through grants and subsidies but also through improving their access to credit and other financial services,” she added.

During the virtual event, which coincided with the 123rd anniversary of the DA, LANDBANK President and CEO Cecilia Borromeo and DBP President Emmanuel Herbosa also expressed their unwavering commitment to helping farmers and fishers earn more profit by boosting their productivity and making their overall process more efficient.

“Handa ang aming tanggapan na tumulong sa inyong pag-a-apply sa ating mga programa upang matugunan ang inyong mga pangangailangan,” LANDBANK President and CEO Borromeo said.

“DBP will never lose sight of its commitment to extend every possible assistance towards the transformation of our farmer-beneficiaries into efficient producers,” said DBP President Herbosa.

To re-watch the National Info Caravan on Agri-Fishery Credit Programs, visit the link below:

https://www.facebook.com/agricreditpolicycouncil/videos/965987527552883/

The Agricultural Credit Policy Council (ACPC) launched Bangko Sentral ng Pilipinas Monetary Board Member V. Bruce J. Tolentino’s book series entitled Enabling Rural and Agricultural Finance for Inclusive Development in the Philippines during its 71^st Governing Council meeting on August 17, 2021.

The publication is a three-volume compilation of papers, reports, and policy notes focusing on the promotion of effective and efficient financial services in support of inclusive rural and agricultural development. 

“I am honored to endorse this book as indispensable to understanding the issues relating to agricultural finance,” said Department of Finance (DOF) Secretary Carlos G. Dominguez III in his foreword for the book series.

“It is no secret that Dr. Bruce is one of the experts when it comes to agricultural finance. His expertise and experiences in helping our rural communities is simply remarkable,” Department of Agriculture Secretary William D. Dar said. “Imagine four decades of Dr. Bruce’s work in rural finance is encapsulated in this book,” the agri chief added.

Dr. Tolentino is a leading economic development expert with decades of experience in both the public and nonprofit sector locally and abroad. He served as the ACPC's first executive director from 1987-1989, and currently serves as the Vice Chair of the Council.

“Today, the ACPC remains the country’s premier government institution for program development and research on agri-fishery credit—a feat that would not have been possible without the expertise and dedication of our first Executive Director, whose vision of a sustainable rural finance system for farmers and fisherfolk served as the guiding principle of the Council,” said ACPC Executive Director Jocelyn Alma R. Badiola.

The book series, which tackles the challenges, responses, successes, as well as the failures in rural finance and intermediation over the course of Dr. Tolentino’s career, is comprised of three volumes.

Book I, entitled Rural and Agricultural Finance and Development Issues, comprises papers that deal with financial system-wide reform issues that determine the health and development effectiveness of the rural and agriculture finance system.

Book II, or The Rural Banks, focuses on the rapid rise and fall of the multitude of small private banks that served as the principal delivery agents of subsidized loans to farming and rural enterprises.

Book III, or Financial Sector Regulation for Rural and Agricultural Development, deals with the myriad, multiple, and recurring issues that arise from financial sector regulation.

“The bulk of the articles included in this compilation could not have been produced had I not had the good fortune of serving at the ACPC and the DA,” said Dr. Tolentino.

“These agencies enabled the focus and provided the technical and logistical support necessary to produce these works. I thank most especially the staff and officers of the ACPC, whose dedication and skills have continuously and significantly expanded financial services for farmers and fisherfolk,” added Dr. Tolentino.

The book series was published by the ACPC Communications and Public Affairs Division  in collaboration with the Department of Agriculture – Office of the Secretary- Strategic Communications Group.

E-copies can be downloaded from the ACPC’s official website: https://localhost/acpcwd//

“Nung nabalitaan namin na magkaka-lockdown, natakot kami,” recalls agripreneur Elmer Relente. “Hindi namin alam kung kami ba ay magpapatuloy pa sa pagpo-produce at pagdi-distribute ng aming gulay dahil natatakot din kaming mahawa,” he added.

Elmer, together with his wife Ellen, own and manage Anpilo Agri Farm, which grows fresh, organic fruits and vegetables in the lush, cool, green, mountain of Calaca, Batangas. Along with other agri and fishery micro and small enterprises, the eight-year-old farm of the couple was heavily-affected by the Enhanced Community Quarantine (ECQ) due to COVID-19 in the second quarter of 2020.

“Bumaba ang aming benta. Konti nalang kumuha yung aming wholesaler,” Elmer narrated. “Nagkaroon kami ng work stoppage alinsunod sa request ng Barangay para maiwasan ang hawaan,” the agripreneur added.

Before the pandemic, Anpilo supplies fruits and vegetables to restaurants in Manila but was forced to stop due to mobility restrictions, according to Elmer.

With all the challenges brought about by the global health crisis, Elmer knew he needed financial assistance to continue his agribusiness and while looking for opportunities online, he stumbled upon SURE COVID-19 for Micro and Small Enterprises (MSEs), a loan program by the Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC).

“Nakita namin yung SURE COVID-19 na tumutulong sa mga micro and small enterprise kagaya namin. Nag-apply ako via email at sumagot naman ang ACPC di katagalan,” shared Elmer. “At simula noon nakumpleto na namin ang mga requirements at lumabas ang aming financial assistance at no more than two months,” he added.

The SURE COVID-19 offers working capital loans to agri-fishery MSEs to continue operations, help recover losses and ensure the availability of food supply amid the community quarantine. Eligible MSEs may avail themselves of up to P10 million loan at 0% interest and payable in five (5) years, inclusive of a one-year grace period.

Under the loan program, Elmer was  able to avail a zero-interest P2 million loan in which a huge chunk was used as working capital to expand his vegetable farm. He was also able to purchase a hand tractor and a sorting facility for his farm with the loan granted.

“Sa zero interest, nagulat ako. May ganoon ba talaga? Nonetheless sinubok ko at totoo pala at malaking bagay yun para sa amin,” exclaimed Elmer. “Nung nakita ko yung terms and conditions ng loan, sabi ko, ito yung fitted sa agrikultura, ito yung makakasagot sa pangangailangan ng magsasaka ng mahabang panahon,’’ added Elmer, who worked as corporate accountant for more than 30 years.

“Umaani na kami ng tatlong toneladang kamatis. Hindi lang nito na-increase ang aming capability, na-improve pa yung quality ng aming mga products,” said Elmer, adding that though he lost his market in Metro Manila, demands in Batangas and Cavite fortunately increased. 

“Kumita ka na, nakapag-provide ka pa ng gulay sa mga palengke sa murang halaga at the same time natulungan mo pa rin yung mga tao. Wala kaming binawas na tao during pandemic,” shared Ellen. “Dahil sa aid na nakuha namin sa DA-ACPC marami kaming na develop na other facilities na hindi lang short term. Eventually, it will also help us in a long term basis,” she added.

Greatly encouraged by the government’s support, Elmer and Ellen resolved it in their hearts to not only to survive but even thrive and give back to the community amid the pandemic.

“Na-realize namin kami pala ‘yung isa sa mga front liners dahil wala ng kumikilos at kailangan may pagkain sa mesa. At yun ay talagang sinalubong namin ng buong-buo. Sabi ko sa misis ko ‘sige gawin natin, tuloy natin, magtanim tayo, magbahagi tayo ng gulay, pagkain.’ Supportive naman ang Department of Agriculture sa pagbibigay sa amin ng access sa mga checkpoint,” narrated Elmer.

Today, Anpilo employs 10 regular workers and around 20 laborers during harvest time. Elmer is setting his sights on further expanding the farm into an agri-tourism farm.

“Ang kagandahan sa agri-tourism bukod sa pagpapakita ng magandang lugar at pagpapakain ng masustansyang pagkain ay ang pagbabahagi na ang agrikultura ay hindi isang mahirap na bagay,” said Elmer.

“Ito ay isang bagay na dapat nating yapusin, isang bagay na dapat nating alalahaning napakahalaga hindi lang sa ating katawan hindi lang sa ating pamilya, kung hindi sa ating bansa at pangkalahatan,” he added.

Elmer Relente and his wife, Ellen, own and manage Anpilo Agri Farm in Calaca, Batangas, which is one of the beneficiaries of the DA-ACPC’s SURE COVID-19 Loan Program. 

Former accountant-turned-agripreneur Elmer Relente of the Anpilo Farm grows organic vegetables and fruits which he supplies to Metro Manila and nearby provinces.   

The Department of Agriculture-Agricultural Credit Policy Council (DA-ACPC) and the Polytechnic University of the Philippines (PUP) through its Graduate School in Economics and its Research and Extension Office signed a Memorandum of Understanding (MOU) on August 26, 2021 for the implementation of an economics extension program.

Among those present during the virtual MOU signing were PUP’s Vice President for Research, Extension and Development Dr. Anna Ruby Gapasin, Graduate School Dean Dr. Elmer De Jose, MS Economics Chair Dr. Ricardo Dizon, Research and Extension Chief Dr. Arvin De La Cruz, and ACPC Executive Director Jocelyn Alma R. Badiola, along with other officials and staff of PUP and ACPC.

Through the collaboration, PUP shall provide training on planning and development, use of different statistical software in research and data analysis, financial analysis and budget preparation and evaluation; conduct studies related to human resource development; and organize focus group discussions on relevant research projects, among others.

The ACPC, on the other hand, shall provide the necessary support and resources need and may tap PUP’s faculty members and staff to serve as consultants, resource speakers, trainers to conduct training to help improve the quality of life of the constituents of ACPC.

ACPC Exec. Dir. Badiola said that the ACPC will work collaboratively with the PUP on the sound implementation of the said extension program collaboration.  “This partnership can greatly help capacitate our agency’s manpower so we can efficiently fulfill our mandates for the benefit of our country’s small farmers and fisherfolk,” added Exec. Dir. Badiola.

For her part, Dr. Gapasin said that the partnership affirms the University’s mission in contributing to sustainable development by establishing an alliance with ACPC that will lead to resource sharing, program support and research collaborations. Dr. de Jose, on the other hand, said that, through the partnership, ACPC and PUP can share expertise and resources, and reinforce each other’s research and capacity development programs. Dr. Dizon stated that the PUP MS Economics Program will ensure the availability of extension program staff for the conduct of research, monitoring and feedback and progress reports. In closing, Dr. De La Cruz assured the ACPC that PUP, through its Graduate School Research and Extension Office, will ensure the successful implementation of the said collaboration.

The Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC), in partnership with the Bureau of Animal Industry (DA-BAI) and National Livestock Program (NLP), facilitated the Launching of Agri-Negosyo (ANYO) SWINE R3 Program and Calibrated Swine Repopulation for Green Zones, led by DA Secretary William Dar on September 10, 2021.

The ANYO Loan Facility for Swine Repopulation, Rehabilitation and Recovery (ANYO Swine R3) Program is a special window under the Agri-Negosyo credit facility. The said special window was developed in consultation with the DA-BAI and NLP to support the government’s efforts in repopulation, rehabilitation and recovery of the local swine industry, and provides zero-interest, non-collateralized loans to eligible swine backyard raisers, semi-commercial raisers, and farmers cooperatives/associations, and micro and small enterprises (MSEs).

During the activity, Secretary Dar  signed and approved an additional Php 300 million credit fund allocation for the program for implementation in the Green Zones, or ASF-free areas as declared by the DA, particularly Regions 4-B, 6, 7 and 9.

In his keynote speech, the Secretary said, “Itong nilaan ng ACPC na additional P300 million for the Green Zones recovery and repopulation is very important to support, enhance and accelerate the repopulation program for the swine industry.”

Secretary Dar emphasized, “Gagawin ng DA family ang lahat para maibsan ang problema ng ASF. Our priority for now is the repopulation program.” He also added, “According to reports and continuous monitoring from the field, ang farmgate prices ng karne ay bumababa na rin. Equilibrium will be found and there will be significant strides in the industry with all the efforts of government, support of Congress and other stakeholders, including the private sector commercial swine raisers.”

Under the ANYO SWINE R3, eligible borrowers can use the loan for their working capital requirements for production, processing, marketing; acquisition of machinery or equipment; and/or construction of modern technology facilities for their swine raising venture.

During her message, ACPC Executive Director Jocelyn Alma R. Badiola explained, “Ang ANYO SWINE R3 ay dinisenyo sa tulong ng National Livestock Program o NLP at Bureau of Animal Industry o BAI, para sa mga eligible na swine backyard raisers, semi-commercial raisers, at micro and small enterprises (MSEs). Inaasahan namin na ang programang ito ay makakatulong sa pag-revitalize o pagpapasigla muli ng swine industry.”

She added, “Sa panahon ng recovery na ito, kasama ang ANYO Swine R3 sa pagtulong sa mga naghahanap ng kapital para sa kanilang swine raising projects. Sa inaprubahan na karagdagang pondo na P300 milyon, hanggang isang libong swine raisers ang maaari naming matulungan sa mga green zone areas sa Regions 4-B, 6, 7 at 9.”

NLP Director Ruth Miclat-Sonaco, explained the Calibrated Repopulation for Green Zones. “Calibrated repopulation will be executed through clustering and consolidation. The cluster shall adapt modern facilities showcasing climate controlled system and minimum biosecure facilities for disease resilience following the requirements to ensure freedom from ASF. This approach would facilitate production support services, technical support, and monitoring would be more organized.” She added that, “marketing would also be easier and with the significant volume of production, a cluster can do value addition to raise profits.”

Also present during the program were Hon. Teodorico Haresco, Jr. of the 2nd District of Aklan, Hon. Lord Allan Velasco, House Speaker and Representative of the Lone District of Marinduque, OIC-Undersecretary Leo Sebastian, RED Antonio Gerundio of Region 4-B, RED Remelyn Recoter of Region 6, RED Salvador Diputado of Region 7, RED Rad Donn Cedeño of Region 9, NLP Director Ruth Miclat-Sonaco, and DA-BAI OIC-Director Reildrin Morales.

Hon. Teodorico Haresco congratulated DA Secretary Dar and the officials of the DA family for putting together finance, production and marketing initiatives for the rehabilitation of the swine industry. “This P300 million fund for the Green Zone Swine Repopulation Program is innovative. The provision of additional financial resources for repopulation of the swine industry particularly in the green zones will definitely contribute in making the swine industry back in shape. In addition, putting up strategic hubs and ports will make prices of inputs to swine production sustainable in the long run.”

For his part, House Speaker Hon. Lord Allan Velasco expressed gratitude to the DA for leading the program and expressed support for programs that will help uplift local swine raisers. “Napakaganda ng mga programa sapagkat magiging malaking tulong ito para sa ating mga kababayan na gustong subukan ang pag-aalaga at pagpapalaki ng mga baboy bilang pangkabuhayan. Kalaunan ay inaasahan natin na mapaparami ang mga ito nang sa gayon ay makatulong bilang sagot sa ating problema sa food security at tumataas na presyo ng karne sa bansa.” The program was also attended by the Regional Executive DIrectors and officers of DA-RFO 4-B, 6, 7 and 8, Municipal Agriculture Offices and LGUs of these regions, and various swine raisers’ organizations, cooperatives and associations.

Wensilito F. Gomez, the owner of W Gomez Vegetables and Grain Trading in Barangay Kaliwanagan San Jose City, Nueva Ecija dreamt of becoming a pilot. But his parents who are farmers cannot afford to rent an airplane which costs P1,000.00 per hour for his training.

He was already working in Manila as an aircraft maintenance technician in the Philippine Airlines and also in the warehouse of Presto Ice Cream, but his father asked him to return home and help him in their farm. “Pinauwi ako ng tatay ko kasi wala na sya makasama sa pagsasaka. “Mr. Gomez recalls.  “Pinili ko din naman na bumalik sa bukid, yun kasi ang nakikita ko na paraan para makatulong ako sa mga magsasaka.”

Since then, he went back to farming. He ventured into agribusiness wherein he buys the produce of the other farmers in their community and brings them to Manila. Being a farmer, he knows the dilemma of farmers, particularly in marketing their products. “Ang mga katulad kong magsasaka nagiging problema kapag anihan ay yung pagbebentahan ng kanilang produkto,” he narrates. “Tulad ngayon medyo sobra na sa supply ang sili, nahihirapan na yan magbenta. Halos ibigay na lang yung mga produkto. Kaya naiisip ko po na makakatulong ako dahil meron naman po akong konting kaalaman sa pagbebenta ng mga produkto.  Namimili din po ako ng palay, para makatulong sa mga magsasaka para hindi bumagsak masyado ang presyo. Yun po yung inisip ko na maging business.”

“Kahit anong gawin ko. Kahit pumunta ako sa ibang business, dito ako dinadala.” Mr. Gomez recounts.

Farmers in their area do not worry anymore about marketing their products. “Ako na lang ang namimili dito. Ako ang nagnenetwork kung saan ang pupuntahan ng kalakal. He reminds agripreneurs that they should have commitment to their business. “Kung ano ang nasa tabi mo, yun ang pag-aralan mo. Kasarapan sa agribusiness, natutulungan mo ang mga magsasaka. Hindi lang para kumita ka. Itinuturo natin ang natutunan natin na ang pagsasaka ay isang business. Paano ba ang istilo? Pinaliliit ko ang gap ng harvest at planting. May pera ang magsasaka pag umaani. One month before harvest ng sibuyas, tinaniman ko na ng sili.”

Wensilito and Josefina Gomez, who are partners in life are also partners in managing their agribusiness. Josefina also shares the point of view of her husband. “Dahil sa agribusiness, marami kaming natutulungang mga tao. Kasama namin sila sa negosyo,” she said.

 Wensilito narrates how they were able to make their business grow. “Sa isang business naman pag hindi ka tumagal ibig sabihin nalulugi ka. Nakikita naman yun, napag-aralan.  Trial and error. Ang nagiging problema sa process ay nasosolusyunan kaya unti-unti naiiwasan na yung pagkakamali.”

He tells about how he learned about the Agri-Negosyo (ANYO) Loan Program of the Agricultural Credit Policy Council (ACPC), where he was able to borrow additional capital for his agribusiness. “Nalaman ko ang ANYO sa pamamagitan ng facebook. Nabuksan ko ang site at nakita na may mga programa ng gobyerno na galing sa ACPC.” While browsing, he learned that the program has zero interest. “Dahil naghahanap din ako ng mababang interes na mapupuhunan. Ito ay walang interes kaya naglakas loob na mag-apply.

He was thankful that the approved loan amount was P480,000.00. “Dahil mas malaki na ang aking puhunan, mas marami ang mabibili. Mas maraming matutulungan. Di lang ang mga kabarangay pati ibang barangay.”

He recalls how hard it is for him to pay an interest of 3% per month in his previous loans from other sources. Dito sa ANYO nabigyan ka pa ng puwang para maipon ang pambayad sa puhunan. Kasi hindi monthly ang bayad. Per cropping. Kaya malaki ang pagkakataon na makaipon pa at mapaikot pa ang pera. Di katulad dati na pilay ka agad ulit kasi naibayad mo na.”

“Kayang-kaya naman bayaran. Ang P480,000.00, isang taon ko babayaran, 2 seasons.” He shares how the loan term of the ANYO makes it easy for him to be able to pay his loan.

More than these, ANYO was also able to help increase his income. “Bilang businessman, ang hinahanap mo ay yung makakatipid ka. Sa halip na sa interes mo ibabayad, mapupunta sayo yun. Dagadag kita mo yun.”

Wensilito is very thankful to the government, particularly the DA-ACPC for having programs for agripreneurs like him. “Napakaganda po ng mga ganitong programa ng gobyerno, lalo na ng ACPC. Dahil hindi mo na problema ang working capital mo. Malaking tulong na pandagdag sa kita.”

These are his words of advice. “Malaki ang maitutulong ng gobyerno sa mga magsasaka. Lakas lang ng loob. Wag matakot lumapit sa gobyerno. Malaking bagay ang nagagawa ng DA. Hindi lang tulong sa teknikal sa pagtatanim pati sa pinansyal. Sana magpatuloy pa. Sana yung mga likas na farmers na umuusbong para magnegosyo, yun sana ang matulungan. Ang farmer na matututo ng negosyo, ang concern nyan ay andoon pa rin sa farmers. May concern. May puso kung baga.” Mr. Wensilito Gomez is an agripreneur whose concern is for his fellow farmers. Although he was not able to fulfill his dream of becoming a pilot, he became a successful agripreneur with an advocacy to help farmers like him to also become successful agripreneurs.

Randy and Raissa Vargas, co-owners of Elisha Bay Dagupan Bangus and Seafoods, a small fish and seafood processing business, were able to avail of the Agricultural Credit Policy Council’s Agri-Negosyo (ANYO) loan program to expand and enhance the operations of their MSE despite the challenges of the pandemic.

Elisha Bay started in 2017, when the couple encountered various backyard bangus processing projects and found high potential in the market, especially exporting to Manila.  Since they were both graduates of fishery courses, Randy and Raissa decided to start their own bangus and seafood processing business. From a micro business of 4 workers back in 2017, Elisha Bay is now DTI-registered, FDA and US-FDA approved, distributing their gourmet bangus and seafood to supermarkets in Metro Manila, with resellers in areas such as the Cordillera, Cagayan, Surigao Del Norte, Davao, Cebu, and Palawan, and recently exporting to the United States.

Aside from growing their business, the couple also wanted to incorporate their advocacy of helping persons with disability (PWDs) and underprivileged women in the community. With the help of the Office of the City Agriculturist and the Department of Trade and Industry (DTI), they were able to train PWDs and hire them as workers.

With the pandemic, Randy and Raissa had to shut down their operations during the first lockdown. When restrictions were lowered, they were able to sustain their operations due to a rise in people interested in reselling their products as their sideline business. “Marami nawalan ng trabaho kaya nag-venture sila sa reselling; nakita nila yung potential ng products. Satisfied resellers naman sila—una natitikman naman nila yung produkto bago nila ibenta at masaya naman silang ibenta dahil masarap nga raw,” says Randy. Though with the unpredictability of conditions, this wasn’t enough for their business to thrive. “Eventually nung bumalik sila sa mga trabaho nag open-up ulit yung mga negosyo bumagsak ulit sales namin.”

Another challenge they had was navigating the online market, which was growing due to consumers being limited indoors. “Karamihan naging online, pero kaming mag-asawa, hindi ganun ka-techy kaya doon kami medyo nahirapan.”

While facing these challenges, Randy and Raissa heard about the DA-ACPC’s Agri-Negosyo Loan Program from a friend, who encouraged them to apply to avail of additional capital for their business. “Medyo nahirapan pa nga siyang i-convince kami kasi kaming mag-asawa hangga’t maari ayaw namin ng umuutang, then we found out na interest free pala siya,” says Randy. “Aside from zero interest, walang collateral tapos flexible ang repayment scheme,” adds Raissa. “As a business owner, mapa-plano mo yung payment mo.”

While applying for the loan, Randy and Raissa were assisted by the ACPC in preparing their business plan and other requirements. “Kung sino man nagbabalak na mag-apply sa ACPC loan, I will encourage them to go for it kasi ang laki ng benefits. Itong ACPC talagang tutulungan ka. Andyan sila para tulungan ka talaga—hindi para kumita sayo.”

With their zero-interest loan, they were able to buy equipment to expand their operations, including additional vacuum sealer and blast freezer for more efficient preservation of products, and stainless steel tables to improve sanitation. “Malaking bagay talaga at nakaksigurado ka na maayos yung produkto mong lalabas,” says Randy. Raissa adds, “Napagtayo pa kami ng maliit na fish pen. Ngayon po meron kaming nasa pen na 12,000 bangus na ready for harvest next month at fingerlings na magagamit namin after 60 days naman.”

Randy and Raissa look forward to establishing a small farm for their ingredients to become more self-sufficient, expanding their business to employ more people, and exporting their products to reach more customers in the Philippines and abroad. They also want to expand their knowledge on online selling for more efficient sales.

“For those who want to go into business, I encourage them to go into agri o fisheries dahil napakaimportante ng food security,” explains Randy. “Walang tao na hindi kumakain kaya maganda talaga. Kailangan lang mag-comply ka sa food safety, pero andyan ang mga government agencies at private agencies para tulungan tayo na maassure yung mga quality ng mga product natin.”

Randy added that those who are still considering what commodity to venture in should consider the available resources in their area and the market. He also advised those not to be discouraged with the challenges that come with establishing a business, and to keep their vision in mind.

“Proud ako sa agribusiness namin dahil nakapag-provide kami ng trabaho hindi lang sa mga empleyado namin kung hindi dun sa mga fish farmers dun sa city. Nakakatulong tayo sa fish farmers, nakakatulong tayo dun sa mga consolidators at sa consignation at nakakatulong din tayo dun sa direct employees natin. Siyempre proud din kami na nagamit namin ang resources ng Dagupan bilang bangus capital,” says Raissa. Elisha Bay and other small agribusinesses not only help in achieving food security, but also boost the livelihood of small fish farmers and provide jobs for the underprivileged in their community. Thus, agribusinesses serve not only as a means for profit, but a way to empower small farmers and fisherfolk for a prosperous agriculture sector benefitting all.

Growing up in Albay, Legazpi, Noel Marbella has always been fond of agriculture, thanks to his farmer-grandfather who became his inspiration.

“May sarili kaming taniman sa Bicol, mga niyog at gulay,” shared Noel. “Para mas makatulong sa lolo ko kaya gusto ko din ma-engage sa farming.”

Back when he was still a kid, Noel used to tag along his grandfather whenever he tends their farm. “Tuwang-tuwa ako ‘pag sumasama ako sa kanya. Nagtatanim din ako kaya parang naging passion ko na… hinahanap-hanap na ng katawan ko yung pagtatanim,” Noel narrated.

Over the years, agriculture somewhat took a back seat for Noel. He eventually took up Electrical Engineering at the Bicol University but was unable to finish due to financial problems.

He knew that in one way or another, he’ll go back to his first love – agriculture. With his lolo’s encouragement, he then enrolled in various agricultural training programs such as organic farming, duck raising, among other short agri courses at the Technical Education and Skills Development Authority (TESDA).  

But at that time, Noel felt that there was little opportunity for agriculture in his hometown which made him decide to shift to another direction. He braved the hustle and bustle of Metro Manila looking for greener pasture. He briefly worked as a store clerk for a grocery store, a sales clerk for a baby company, and as a call center agent.

“Pagdating ng six months matatapos na yung contract ko. Maghahanap na naman ako ng panibagong trabaho. Yung panahon at budget ko, gugugulin ko na naman sa paghahanap ng bagong trabaho,” Noel recalled.

Though he lasted four years in the BPO industry, the graveyard shifts and the daily commutes took a toll on his health that he decided to resign. He knew that the only way to go is to pursue his passion – back again to agriculture.

This time, he wanted to venture into integrated farming, an agribusiness wherein he is his own boss.

Credit support through KAYA

Another reason Noel needed to finally begin his agripreneurship journey was because he needed to provide for his own family as he settled down with his wife in her hometown in Bani, Pangasinan. But he needed capital to commence his integrated farming project.

Fortunately, he learned about an innovative credit program by the Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) called Kapital Access for Young Agripreneurs or KAYA while he was researching online.

“Tiningnan ko kung ano yung mga requirements at eligibility ng KAYA. Nakita ko na pasok naman yung project na gusto ko na Integrated Farming kaya nag-apply ako bilang isang start-up business,” recounted Noel.

“Na-engganyo ako mag-apply sa KAYA kasi zero interest at babayaran ko sa loob ng limang taon,” Noel detailed. “Napakagandang opportunity dahil mama-maximize ko yung kapital na pinahiram para magamit sa negosyo. Tapos, yung kita ko pwede kong mapa-ikot ulit sa bagong project. Magagamit ko na siya bilang pambayad sa nahiram ko at meron pa akong sariling kapital para mag-expand,” he added.

Under the KAYA, Noel was able to borrow uncollateralized and interest-free loan amounting to P500,000 which he used to plant rice, vegetables and watermelon.

Armed with expertise and passion for agriculture, Noel’s harvests were bountiful and his produce turned into profit. Soon after, he expanded to not only agriculture but integrated fishery business as well.

“Yung kita ko sa pagtatanim at sa pagtitinda ng mga gulay, ginamit ko para makapag-renta ng palaisdaan na nilagyan ko ng bangus at hipon,” Noel shared. “Sa ngayon halos na-doble na yung kita namin sa palaisdaan at pagtatanim,” added the young agripreneur.

Marketing has not been a problem for the millennial as he has numerous and regular wholesalers who purchase all his harvests.  In addition, social media, particularly Facebook, made it easier for him to promote his produce. “Magpo-post lang ako ng mga picture ng mga harvest namin, tapos may mga bumibili na,” Noel said. 

To ensure loan repayment, Noel puts premium on the quality of his produce. “Sinisigurado ko na maganda at high-quality yung aming mga produce tulad ng gulay at isda kasi halos doble din ang kinikita ‘pag maganda ang quality ng mga harvests,” narrated Noel.

Agri-fishery business is definitely booming for Noel at present. He used to have a hard time searching for all kinds of jobs to support himself, but in a not-so-surprising turn of events, he now employs six regular workers and a few seasonal laborers to attend to his projects. 

“Malaki ang naging tulong ng pagne-negosyo sa pagtatanim at palaisdaan kasi ngayon, nakapagpatayo na ako ng sarili kong bahay, nakabili ng sariling lupang pagtataniman at may mga natutulungan pa akong mga kapwa ko young farmers din,” shared Noel.

Not even the pandemic can stop Noel’s agri-fishery business from flourishing. “Ang gulay at isda talagang kailangan ng mga tao. Kaya kahit pandemic, patuloy parin kaming nakakabenta, patuloy parin kaming nagtatanim para tuloy-tuloy yung proseso sa farm namin,” he said.

Noel recalled that when he was a kid back in Bicol, he observed that almost all the farmers were older people.  Today, as one of the country’s successful young agripreneurs, he advocates for young people to also venture into agriculture and fishery business. “Kayang-kaya ng mga kabataan na maging produktibo sa pamamagitan ng agrikultura dahil nandun yung lakas, new ideas at talent,” said Noel. “Nakaka-proud maging agripreneur kasi binago nito ang buhay ko.”

Batangas Egg Producers Multi-purpose Cooperative (BEPCO) started in 2010 with 25 members aspiring to establish an egg processing plant in San Jose, Batangas, which is known as the “Egg Basket of the Philippines.”

BEPCO started by gathering the produce of its members, transforming them into different egg products, and marketing them. With the intention of promoting eggs to the next generation, they have a program called “Eggs for Healthier Kids.” Ms. Judith Mangmang, the Manager of BEPCO explains, “para mapataas natin ang konsumo ng itlog,  gusto natin itong gawing masaya, masustansya at masarap. Itinatransform natin ang table egg, ang ordinaryong itlog para maging pasturized egg, ready to eat eggs at in the future ay gusto rin natin itong maging egg powder para magkaroon ng mas mahabang shelf life.” They also have ready to eat eggs for busy people. “Kung wala nang oras magluto, kukuha na lang ng itlog at ready to peel na. They call them “Itlogsaeyo”.

Although BEPCO has been operating for more than ten (10) years already, just like any other business, its operations were also greatly affected by the pandemic due to Covid-19. Ms. Mangmang narrates, “Noong panahon na nagkaroon ng lockdown talaga pong nakakapag-alala kung ano ba talaga ang mangyayari sa hinaharap.  Nagkaroon talaga tayo ng uncertainty. Noong panahon ng ECQ nitong 2020 wala po talaga kaming natanggap na orders. Ang aming mga kliyente ay nahirapan makapagbayad ng mga nauna naming naideliver na produkto. Talaga nagkaroon ng challenge sa liquidity ng cooperatiba at dahil dito ay naging challenge din kung paano namin mababayaran ang sinuply na produkto ng aming mga farmers.”

She tells about how they learned about the Agri-Negosyo (ANYO) Loan Program of the Agricultural Credit Policy Council (ACPC), where they were able to borrow additional capital which helped bridge their business. “Nung nalaman po naming na may ganitong programa ang kagawaran ng agrikultura ay nag-apply kami sa DA-ACPC dahil ang kanilang loan ay zero percent interest at tiyak pwede naming maibalik sa loob ng limang taon. Napakahalaga po nito sa aming liquidity. Hindi namin agad masabi kung kailan kami mababayaran ng amin mga kliyente. Ang P10 million na aming nahiram ay talagang nag bridge para sa aming financial needs.

She is pleased that they were able to get the needed financial assistance in time of their need. “Ang maganda naman dito sa programa ng DA-ACPC ay madali nilang naproseso ang aming mga requirements at narelease nila sa tamang panahon ang kailangan naming financial assistance.”

BEPCO is thankful that DA-ACPC entrusted them to avail of such an amount. “Sa totoo lang po talaga napakahirap mag-avail ng mga loans mula sa commercial banks dahil kami ay kooperatiba at yung assurance na mabalik ng isang coop ang pera ay minsan ay in question.  Salamat po sa DA-ACPC na napagkatiwalaan nila ang coop na maibabalik namin ang aming hiniram na pera.”

Ms. Mangmang is confident that they will be able to pay their loan because of ACPC’s flexible loan term.  “Ang maganda sa amortization schedule ng ACPC, binigyan kami ng eighteen months na grace period at ang schedule ay mas magaan. Sa buwanan po naming operasyon nagsusubi na kami ng pambayad sa aming nahiram sa ACPC.”

These are the words of advice from the manager of the cooperative: Ngayong pandemic ang mahalaga ay magkaroon tayo ng pananampalataya at huwag mawalan ng pag-asa. Para sa mga farmers at coop, lumapit sa DA-ACPC para mag-avail ng mga programa na ginawa para tulungan ang sektor ng agrikultura. Sana makita ng mga kasamahan natin sa hanapbuhay na ang tulong na ito ay para sa atin. At the same time, kailangan nating pagtrabahuhan na maibalik din ang ating inutang.”

BEPCO was able to continue its operations despite the uncertainty which they experienced during the pandemic. BEPCO continuously helps to uplift the livelihood of poultry raisers in San Jose Batangas and aims promote egg products as “masaya, masustansya at masarap’.  Indeed, BEPCO is the “Egg Innovation Hub of the Egg Basket of the Philippines.”

Ivy Acebedo is one of the repatriated OFWs who lost her job and went back to the Philippines in 2020. She was an operations executive in a trading and construction company for more than four years in Qatar.

As an OFW, Ivy narrated that being homesick is the most challenging part while she was still working in Qatar. “Mahirap ang malayo sa pamilya, lalo na pag nagkasakit ka o yung pamilya mo. Dapat independent and strong ka pag nasa ibang bansa”, she said.

While in Qatar, Ivy planned to invest in agriculture but then she wasn’t sure whether in a banana plantation or piggery project. When she went home to Agusan del Sur, she decide on investing in a banana plantation. She said she has a background in agriculture since her father and grandparents have a farm and were into agribusiness trading.

Ms. Acebedo learned the Agri-Negosyo – Overseas Filipino Workers (ANYO-OFW) Facility when she went to Department of Agriculture (DA) in their municipality. She was inquiring about lakatan seedlings when one of the staff informed her about the program and encouraged her to inquire on the said program since she is a repatriated OFW. She was linked to the DA – Regional Field Office (DA-RFO) which helped her process her loan immediately.

The ANYO Loan Program of the DA – Agricultural Credit Policy Council (DA-ACPC) offers loans for individual small farmers and fisherfolk (SFF), SFF organizations & associations/cooperatives, and agri-fishery micro and small enterprises (MSEs), including sole proprietors, partnerships, and corporations. This program is also open to repatriated and former OFWs for their agri/fishery/livestock livelihood startup businesses. Eligible borrowers may avail themselves of up to P 300,000.00 loans with zero-interest and payment terms of up to five years.

Through Producers Savings Bank Corporation, partner lending conduit of the DA-ACPC, Ivy Acebedo was able to avail P300,000.00 loan under ANYO-OFW loan program for her start up organic banana farming business.

She advises everyone who wants to start an agribusiness and those repatriated OFWs to start as earlier as they can. “It’s never too late to start, don’t mind if you are still young or are already aged. If that is your passion, you have to pursue it. Andyan ang gobyernong handang tumulong, huwag mawalan ng pag-asa. May pandemic man, maabot nyo pa din ang mga gusto ninyong business. Laban lang!”

As COVID-19 cases continued to rise in the past year, and community quarantine and lockdowns were implemented nationwide, one major concern was the demand for food production and marketing. In response, the Department of Agriculture – Agricultural Credit Policy Council (DA-ACPC) provides emergency and production requirement assistance to small farmers and fisherfolk (SFF) and micro and small enterprises (MSEs) to continue operations and ensure food security amid the COVID-19 pandemic.

Ms. Helen del Rosario is the Managing Director of Soyuz Foods International Inc., one of DA-ACPC’s loan beneficiaries under its Expanded Sure Aid and Recovery Project or SURE COVID-19 for MSEs. Under this program, duly registered agri-fishery-based MSEs may avail of up to P10 million, zero-interest loans payable up to five years.

Soyuz Foods International Inc. is a manufacturer and exporter of calamansi-based products. The agribusiness supplies cosmetic manufacturers which buy pure calamansi extract in bulk. The direction of the said agribusiness is to expand the calamansi market. Instead of expanding locally, they expanded it internationally and elevate calamansi in the international market. The office of Soyuz Foods International Inc. is located at Ortigas, Pasig City while their factory plant is located at Barangay Ugong, Valenzuela City.

Through the DA-ACPC partner lending conduit (PLC), the Producers Savings Bank Corporation, and the assistance of DA – Agribusiness and Marketing Assistance Service (DA-AMAS), Ms. del Rosario was able to avail of P3 million additional working capital under the SURE COVID-19 for MSE to further expand its market through digital and online selling platforms. The project aims to make native calamansi an essential ingredient in the culinary, nutraceutical and pharmaceutical fields taking into consideration the health benefits it can contribute to the wellness of the populace. She also wants to forge a partnership with farmers’ groups and agricultural entrepreneurs through sustainable development initiatives in order to improve their living conditions and minimize poverty in the farming sector.

Soyuz is one of the MSEs affected during this COVID-19 pandemic. Ms. del Rosario narrated that there are a number of cancellation of orders from Institutional buyers both for export and in the local market. Their cash flow had been affected and they need additional working capital to continue their business and to be able to develop new products. Another consideration is the difficulty in transaction because most offices are on skeletal work force.

Ms. del Rosario said that she was able to make her own business plan since she had knowledge and experience in agribusiness. ACPC’s program management team facilitated and assisted her during the loan application up to the loan releasing. “They are very professional in handling my account and had shown a lot of support in terms of mediating my case with the PLC which is Producers Savings Bank Corporation. A million thanks to the officers and staff of ACPC.” she said.

“In business, focus not just on the profit but also in giving the right service and the social responsibility to fulfill,” said the Managing Director of Soyuz. “It always beyond the business. You should relate to them. Be transparent and always inform the clients”.  When it comes to customer relationship, Ms. del Rosario expressed that “You should have a good relationship with your customers at ang pinaka importante that you are ready to go an extra mile to be able to serve them.” She said that she is happy with the profit that she is earning in her calamansi-based production. Despite not having a background in agriculture, Ms. del Rosario’s advocacy urged her to venture into agribusiness. “Your choice of being an entrepreneur is advocacy. It is a big calling. You need to fortify the business, your recipes with a lot of love, passion and hard work in order to be sustainable. As a leader, you should not only acquire the skill to lead but you should be in authority to empower, strengthen and make your people grow continuously,” Ms. del Rosario’s message to the aspiring agripreneurs.

The Department of Agriculture-Agricultural Credit Policy Council (DA-ACPC) has allocated a P500 million credit fund for the implementation of its Survival and Recovery (SURE) Assistance Program in areas declared under a state of calamity by President Rodrigo Duterte due to the devastation brought about by Typhoon Odette.

The regions under the state of calamity are MIMAROPA (Region 4-B), Western Visayas (Region 6), Central Visayas (Region 7), Eastern Visayas (Region 8), Northern Mindanao (Region 10), and CARAGA (Region 13).

Under the SURE Program, small farmers and fisherfolk may borrow up to P25,000 with no interest, no collateral and payable up to three years. Only one borrower is allowed per household.

The loan may be used to provide immediate relief from the effects of the calamity and for rehabilitating the farming or fishing activities of the affected small farm/fishing household including the purchase of production inputs, repair of farm/fishery assets, and acquisition of livestock/work animals.

The DA Regional Field Offices, in coordination with the Municipal Agriculture Offices, shall be responsible for the identification and endorsement of eligible small farmers- and fisherfolk-borrowers who must be enrolled in the Registry System for Basic Sectors in Agriculture (RSBSA), which is an electronic compilation of basic information on farmers, farm laborers, and fishermen.

Affected small farmers and fisherfolk who are interested to apply may coordinate with their respective Municipal Agriculture Offices.

The DA-ACPC will tap its partner lending conduits (PLCs), including government banks, rural and cooperative banks, and cooperatives, in extending  the loans to affected farmers and fisherfolk.

Further, as part of the calamity assistance package under the SURE Program, borrowers with outstanding loan obligation under any of the ACPC credit programs may also avail themselves of a one-year moratorium on payment of their loans to allow the affected farmers and fisherfolk-borrowers to restore their cash flow and debt payment capacity. According to the National Disaster Risk Reduction and Management Council (NDRRMC), the estimated cost of damage to agriculture of the super typhoon has now reached more than P323 million.

DA-ACPC Executive Director Jocelyn Alma R. Badiola honored the late Ma. Teresa J. Santos with a Posthumous Award, recognizing her significant service for over 31 years as a public servant and her outstanding contribution to the continuous fulfillment of agency’s mandate of promoting effective and sustainable delivery of financial services to the countryside.

Tess, as she is fondly called by her colleagues, was the Chief Planning Officer of the DA-ACPC until she retired in 2019. She also served as ED Badiola’s Chief of Staff.

“She was a great colleague, a great co-worker with excellent work ethics. Most of all, she was a loyal and loving friend,” ED Badiola shared. The DA-ACPC offers its condolences and prayers to the bereaved family. May her soul rest in peace.