The Department of Agriculture (DA) said it has ordered a probe into the procurement of farm equipment and inputs for distribution to farmers following allegations of irregularities by farmer groups.
“We invite these farmer groups and other organizations to help us root out the corrupt among us. We cannot let these taxpayers' money go to waste,” Agriculture Secretary Francisco P. Tiu Laurel Jr. was quoted as saying in a statement.
He also instructed the DA's legal team to investigate alleged delays in fertilizer delivery, warning that suppliers who fail to meet contractual obligations could face penalties or blacklisting.
The DA said the Philippine Center for Postharvest Development and Mechanization (PhilMech) rejected claims that it had only conducted token consultations with farmer beneficiaries, adding that all procurement exercises undergo competitive public bidding in accordance with government procurement and auditing rules.
Philmac, which administers about P5 billion annually from the Rice Competitiveness Enhancement Fund for machinery and post-harvest facilities over the past six years, said it procures equipment from several qualified suppliers to ensure quality and suitability for different farming conditions.
Farmer organizations made the allegations on Wednesday citing issues of procurement and distribution of agricultural inputs and equipment issued to farmers at concessional rates.
In a joint statement, the Federation of Free Farmers (FFF) and the Magsaka Party-List (MPL) urged Mr Laurel to take action on “persistent, disturbing reports” linked to the procurement of seeds, fertiliser, machinery and other goods.
According to the statement, FFF President Leonardo Q. Montemayor and MPL Chairman Argyle Joseph T. Cabatbat told Mr. Laurel in a letter that despite the protections of formal bidding processes, the procurement process has become politicized.
“While (on paper) the bidding and awards are made at the regional or agency level, it is said that the results are effectively being determined by a few high-ranking DA officials and their political supporters who control funding decisions,” he said in a statement.
He claimed that the technical specifications in the bid documents were allegedly tailored to favor the selected suppliers, thereby discouraging competition.
FFF and MPL said they have received reports from beneficiaries about substandard inputs and equipment, including seeds with low germination, wrong fertilizer types and poorly performing machinery with limited after-sales support.
They also alleged that some rice mills and processing facilities funded by government programs have fallen into disuse due to lack of operating capital or management capacity among the recipients.
Meanwhile, the DA said it will pilot a new procurement system for inorganic fertilizer this year, allowing farmers to purchase eligible products directly using their Intervention Monitoring Cards or IMC-linked e-wallets to streamline subsidy delivery and reduce leakages. — Von Andrei E. Villamiel