NFA's CDIF program : recommendations to ease its availment and utilization /
Frederick B. Dulay.
- 107 leaves: color illustrations
Public Management Development Program
The National Food Authority provides an incentive to farmers cooperatives or organizations (FCs/FOs) that sell their palay to the agency called Cooperative Development Incentive Fund (CDIF). The CDIF is a revolving fund that could be utilized in the purchase or rental of post-harvest facilities, conduct of trainings, and purchase of farm inputs. This study sought to determine where the FCs/FOs have utilized their CDIF and how it helped improve the status of the FC/FO. Likewise, the study also sought to recommend improvements in the availment and utilization of the fund. The study covered eight (8) farmers cooperatives or organizations in the Province of La Union. The selection of the cooperatives was based on their CDIF performance for the previous years and their preset active status in participating to the program. Likewise, 47 respondents from among the cooperatives selected were also chosen to participate in the survey. The main data gathering tool was the Focus Group Discussion (FGD) and the survey-questionnaire. The researcher reviewed reports submitted by the FCs/FOs to the Provincial Office. Results of the documentary review, the survey and the FGD revealed that most of the FCs/FOs included in the study have widrawn their CDIF, the amount of which ranges from P100,000.00-P50,000.00. This was utilized mostly in the purchase of NFA rice and in the purchase of post-harvest facilities. Purchase of farm inputs, which include fertilizers and seeds, was also among those mentioned where the CDIF was utilized. The high preference for the utilization of the CDIF in purchasing NFA rice is that this is sold to their members and the proceeds used as an additional capital to their FC/FO. Meanwhile, the utilization of the CDIF for post-harvest facility is its use as an additional fund in buying PHF or as equity fund for donations given by other government agencies. While the farmer-members perceived the CDIF to be helpful to their FC/FO and to them, they also sought to look for improvements in its implementation and in its availment. Farmer-members said that they have benefited with the CDIF mostly through the provision of NFA rice and fertilizers. They also consider the use of the PHF where they made to pay a minimal fee as another benefit. However, a large number of the respondents wanted the CDIF to be utilized as an additional capital to their FC/FO and its utilization should not be limited to the items/projects stipulated in the guidelines of the NFA. Simplification on the process of availment and the reduction of requirements were also recommended. One particular issue raised by the FCs/FOs during the FGD is the utilization of the CDIF in the payment of PHFs. It was recommended that instead of including PHF among the items to be covered by the fund, it will be more viable if the CDIF would be concentrated as a monetary assistance for capital formation in as much as other agencies also give PHFs. As an output, the project proposes amendments to the existing guidelines and SOPs of the NFA on the availment and utilization of the CDIF which would help farmers benefit from the fund.