DA rolls out special loan program for onion farmers
In line with President Ferdinand R. Marcos Jr.’s commitment to attain food security for the country, the Department of Agriculture’s Agricultural Credit Policy Council (DA-ACPC) has launched the Agri-Negosyo (ANYO) Loan Program for Onion Farmers to provide local producers easy access to credit loans for facilities, machineries, and other equipment.
The DA-ACPC’s loan program will pave the way for affordable yet high-quality locally-produced onions.
The loan program is also aligned with the DA’s Optimization and Resiliency in the Optimization and Resiliency In the Onion Industry Network (ORION) Program, which is geared towards a self-sufficient, profitable, and progressive onion industry in the country.
Launched last March 1, the ANYOLoan program for onion farmers is part of the official kick-off for the Halina’t magtanim ng Prutas At Gulay sa Barangay Project. Kadiwa Ay Yaman, Plants for Bountiful Barangays Movement (HAPAG KAY PBBM) program.
One of the ACPC’s beneficiaries is the Rueda Onion Growers Association, which was awarded P3 million worth of loans through the New Rural Bank of San Leonardo.
The Genaro Agrarian Reform Beneficiaries Multi-Purpose Cooperative also received a P10 M loan from the DA-ACPC through the Occidental Mindoro Cooperative Bank.
The special ANYO loan program, which seeks to boost onion production in the country, benefits individual onion farmers tilling at most 2 hectares of land and registered farmers’ cooperatives associations as they can avail of zero-interest loans payable up to five years with a maximum amount of P300,000 and P15 million, respectively.
From a total production area of 29,728 hectares all over the country, local farmers harvested 283,172 metric tons (MT) of red and yellow onions as well as shallots in 2022.
Although higher than the 2021 production volume of 218,050 MT as reported by the Philippine Statistics Authority, the 2022 harvests still fell short of the 260,000MT annual demand for Philippine onions.
Around 100,000 MT of production losses were also recorded in 2022 due to lack of post-harvest facilities and improper handling.
The supply gap, further amplified by agricultural smuggling and damages due to calamities, resulted in the overpricing of onions in local markets.
The DA was prompted to release Administrative Circular No. 5 on February 6, effectively setting the suggested retail price (SRP) of P125 per kilogram of medium- and big-sized imported red onions.
On March 1, red onion prices were sold from P120 to P180 per kilo in Metro Manila markets as reported by the DA – Surveillance, Monitoring, and Enforcement Group (DA-SMEG).