Phillipines considering 30 percent increase in corn intervention price
The Philippine Department of Agriculture is said to be seriously considering an increase of up to 30 percent in the price it pays local farmers for corn.
Recent estimates suggest that 2008/09 corn production could fall by 23% unless the government increase the price it pays to farmers from PHP10/kg to PHP13/kg.
The reduced output would increase domestic cash prices to around PHP18/kg from PHP11/kg currently according to some experts.
Farmers say that sharply higher fertiliser costs are to blame.
Recent estimates suggest that 2008/09 corn production could fall by 23% unless the government increase the price it pays to farmers from PHP10/kg to PHP13/kg.
The reduced output would increase domestic cash prices to around PHP18/kg from PHP11/kg currently according to some experts.
Farmers say that sharply higher fertiliser costs are to blame.
