By Danilo P. Padua, PhD
After its pre-launching October last year, the Benguet Agri-Pinoy Trading Center started to operate lightly giving hope to local vegetable farmers for a better deal. The operation was then hampered by the farmers’ hesitance to cooperate. For about a year, the Center hibernated with very little discernible agricultural business activity.
Considering that the facility cost almost a billion pesos to construct (excluding the cost of the land which is owned by BSU), the relative inactivity was a big, big letdown. Last March this year, DA trumpeted the accreditation of 442 individual farmers and groups that are ready to transact business in the Center. This consisted of roughly 247 farmers, 109 farmer groups, 32 packers and porters, 31 market facilitators (disposers), and 23 buyers. The figure was supposed to be sufficient to support a good start of viable operations for the Center. Obviously, so many things went wrong!
The fact is, the Center was almost at a standstill as far as farmer-Center-buyer transactions are concerned. This is quite distressing. The new agriculture secretary, Manny Piñol, therefore sought to turn around the gloomy situation by calling for a series of meetings, and workshops with the major stakeholders. “BAPTC was built for all, so use it,” was the gentle but firm push of Sec.Piñol.
The series of meetings, workshops, and consultations undertaken by a technical working group, resulted in the identification of the following six major issues: 1) The BAPTC is a facility of BSU and without juridical personality separate from BSU, thus, it does not have the legal capacity to engage in business; 2.) The project has not been officially turned over by the contractor to DA and no occupancy permit has been issued by the La Trinidad municipality; 3.) BAPTC does not have a full time chief operations officer and the two positions for deputy are vacant; 4.) Availability of operational funds for BAPTC is not certain during the transition period from 2017-2019, and after the transition period when the managementof BAPTC shall have been turned over to a qualified farmers’ organization effective January 1, 2020; 5) Inadequate volume of vegetables being traded at BAPTC; and 6) Mismatch of supply and demand.
The various consultations led to a unanimous recommendation that the Center shall be jointly administered by BSU and the municipality of La Trinidad. To make this possible, the DA made a deed of donation of the Center to BSU.
It is clear from the issues raised that there were so many lapses in decisions from whoever was tasked to oversee the construction and making the Center operational. Even the simple official turn- over of the facility from the contractor was not facilitated. There was no occupancy permit given by the municipal LGU. Yet, it is being used!
Farmers did not patronize the Center although so many of them had been accredited to transact business with the Center.
Some of the issues have been addressed like the hiring of the COO. Dr. VioletaSalda of BSU was appointed as such, and is now trying to find solutions to the other unsatisfied concerns. After a few weeks in office, Dr. Salda found that some important structures, like organizational structure, are already in place. She found though a lot of unclear areas, the missing links, that she needs to wade through. They include legal matters, policies, pressure from interest groups, data management, etc. The biggest of them all is really how to make the Center operational as envisioned, that will benefit everyone and not catering to a select few groups only. She is presently grappling with all these.
According to Salda, there is a need to continuously assure the farmers of the benefits that they could get from transacting business there. She said many of them were apparently misinformed by some people who might have huge selfish-interests.
A check with the chief of the accreditation office, Ms. Mildred A. Licangan,confirmed some of the problems besetting the Center at the moment. Although there are relevant departments that are now in place to help operationalize it, specific guidelines are still being awaited specially those coming from the LT LGU.
Clearly, there are so many grey areas that are urgently needed to be attended to. Start-up funding is still hanging in the air. The BSU-La Trinidad co-management agreement is not yet in place, which is very vital in the operation of the Center.
For as long as BSU and LT LGU are the managers, the Center will always be heavily hampered in its operation by that watchdog called, COA. It would be a necessity to find a business structure that will make the Center be governed business-like and not within the total ambit of the COA. It would be important though that safety measures to safeguard its finances should be in place. To do this, it might be necessary to pass a relevant law in Congress.
The BAPTC should be a very good facility in providing fairer deals to farmers. It should therefore be embraced by them. I have seen similar facilities in Taiwan, and in Europe. They are very beneficial to those toiling in the fields, provided that proper guidelines are in place.
It would really be nice, if a professional management group will run the Center after the transition period with the end in view of making profit and securing the interests of all concerned, especially the farmers.
By the way, the recommendations put forward by the stakeholders regarding the issues raised are generally well-intentioned but I think some of them have to be revisited pronto.**
