Call for Interim Support Measure for Coco Farmers Pending Approval ‘Coco Levy Bill’

While welcoming President Duterte’s reiteration of his call, in his State of the Nation Address (SONA), for the immediate passage of the bill establishing the Coconut Farmers and Industry Trust Fund, industry leader Dr. Jesus L. Arranza also called for interim measures that will allow the use of the so-called coco levy fund to alleviate the condition of coconut farmers that are now reeling from the effects of the pandemic and the prevailing depressed prices of coconut products. 

Arranza, lifetime president of the Coconut Oil Refiners Association (CORA) and chairman of the Federation of Philippine Industries (FPI), said Duterte’s pronouncement in his last SONA is a clear signal that he wants both houses of Congress to fast-track the passage of the bill. However, he said the coconut farmers need badly immediate interventions, including a price support mechanism to augment their income amid the low buying price of copra compared to the highs experienced in 2017. 

“The mechanism (for the copra price support) and the attendant requirements can be discussed and developed by the Philippine Coconut Authority, its private sector counterpart United Coconut Association of the Philippines, the Department of Finance, as well as other stakeholders,” Arranza said. The Bureau of the Treasury is currently holding in trust some P80 billion in coco levy fund. In 2012, the Supreme Court (SC) had ruled that the money from the levy should be used to help the coconut farmers and develop the coconut industry.