DAR ready to work with Congress on condonation of farmers' loans

PNA
27 Jul 2022, 11:45 GMT+10

MANILA - Agrarian Reform Secretary Conrado Estrella III said his department is ready to work with Congress on the condonation of loans and imposition of a one-year moratorium on payments of amortization and interest of about 650,000 agrarian reform beneficiaries in the country.

In an interview on Tuesday, Estrella expressed agreement with the pronouncements of President Ferdinand Marcos Jr. during his first State of the Nation Address (SONA) that the government does not stop from distribution of lands but looks after the welfare of farmers as well.

"After two years of the pandemic, just like us, our ARBs have been experiencing financial difficulties too. These plans of the President will be a very big help to them," Estrella said.

During SONA, Marcos said that by condoning farmers' loans, they would be able to concentrate on farm productivity, thus ensuring the success of the government's food security program.

Marcos said this moratorium will further unburden farmers of their dues and "channel their resources in developing their farms, maximizing their capacity to produce and propel the growth of our economy."

As promised by Marcos, Estrella said a draft of the executive order on imposing a one-year moratorium on the payment of land amortization and interest payments is now being prepared by the President.

"Once drafted and approved for implementation, this moratorium would be beneficial to 654,047 ARBs," he said.

Meanwhile, the DAR also expressed willingness to work and cooperate with Congress in the amendment of Section 26 of Republic Act 6657, or the Comprehensive Agrarian Reform Law of 1988.

Section 26 states that lands awarded pursuant to the law shall be paid for by the beneficiaries to the Land Bank of the Philippines in 30 annual amortizations at 6 percent interest per annum.

"We are ready to work and coordinate with Congress and the Senate for whatever they need for this bill to be passed," Estrella said.

Prior to SONA, Estrella said they submitted a report to Marcos stating that in accordance with Section 40 (Special Areas of Concern) of RA 6657, there are 52,000 hectares of unused government agricultural lands that are up for distribution under Executive Order 75.

Executive Order No. 75, series of 2019, directs all government agencies, bureaus, departments, and instrumentalities to turn over agricultural lands owned by the government for distribution to qualified agrarian reform beneficiaries.

"According to Section 40 of RA 6657, agricultural lands can also be distributed to landless war veterans, landless surviving spouses and orphans of war veterans, and landless retirees of the Armed Forces of the Philippines (AFP) and the Philippine National Police (PNP)," Estrella said.

Moreover, he said that under DAR Administrative Order (AO) No. 03 issued in 1997, returnees and surrenderees, and similar beneficiaries, shall also be considered in the disposition of agricultural lands.

"The President, upon knowing these, ordered us to reserve 50,000 plus hectares of land for distribution to them. And to encourage the youth to farm, agricultural graduates are also included," he added.

Estrella said that aside from continuously distributing lands, DAR is also now providing farm machines and inputs as well as giving farmers with training for them to become modern farmers adept at using modern technology and knowledge and become entrepreneurs. (PNA)

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