MIAG-AO, Iloilo – The Department of Agriculture (DA) will strengthen its loan program for farmers, taking inspiration from those who have already benefitted from the Production Loan Easy Access (PLEA) program.
DA secretary Emmanuel Piñol said Friday they are planning to organize provincial loan facilitation teams to assist farmers who are interested in availing of the program.
Speaking during the Bulb Onion Field Day and Harvest Festival held in Barangay Durog in this municipality, Piñol said once the Department of Budget and Management approves their proposal, the allocation for the loan program in 2019 will be P14 billion.
He said that a hearing was conducted on May 3, for the second tier of their PLEA program.
To strengthen the program, Piñol directed the Agricultural Training Institute to conduct financial literacy training courses to help farmers manage their finances.
Cooperatives must likewise learn simple accounting, simple auditing, and financial management, he said, adding that for wider dissemination, they will organize a nationwide information caravan to raise public awareness about the loan program and how farmers could access it.
“I assure you that the President (Rodrigo Duterte) is very happy with what’s going on. Never in the history of agriculture in the country has there been an atmosphere of inspiration the farmers have today,” Piñol said.
Under the PLEA program, production loans will have a 6-percent annual interest, and equipment loans 2 percent.
However, farmers will be required to join a farmers’ association or cooperative should they want to avail of the loan program “for easy monitoring”. Individual borrowers require a house-to-house visit for validation.
“If we deal with associations or cooperatives, they will be the ones to identify their members,” Piñol said.
In Miag-ao, 384 farmers have availed of the fund support extended by the DA through the Production Loan Easy Access (PLEA) program.
The number has more than doubled due to the available financing facility. (PNA)
