NTA Cuts Tobacco Fees Paid by Farmers

Source from:  Inter Aksyon 12/07/2011

MANILA, Philippines - The National Tobacco Administration (NTA) has slashed by half the processing fees and interest payments being paid by tobacco farmers. The 2-percent one-time processing fee will be reduced to 1 percent, after the NTA Board approved the cuts. The NTA Board approved the reduction based on the charter of the defunct Philippine Virginia Tobacco Administration that authorized the provision of financial assistance to tobacco farmers under Republic Act 2265. Also, the monthly interest rate of 1 percent, usually within a term of five to six months, is reduced to 0.5 percent. The reductions will be implemented starting the 2011-2012 cropping season, "The reduction is in line with President Benigno S. Aquino's commitment to transformational leadership, particularly in treating farmers and rural enterprises as vital to achieving food security and more equitable economic growth, worthy of reinvestment for sustained productivity," the NTA Board said in a statement. "More than lessening the burden for the cost on the financial assistance extended, the adoption of prescribed technologies under the close supervision of the Tobacco Production and Regulation Officer, will benefit the farmers in terms of increased yield and better leaf quality," it added. Enditem