The Philippine government has announced it will provide financial assistance to small banana farmers in the aftermath of last week’s devastation in Mindanao by Super Typhoon Bopha, known locally as Pablo.
After a meeting with key players in the Philippine banana business, Vice President Jejomar Binay told local media the government would lend support to the industry.
“Government is going to come in and intervene. We will take the necessary measures to address the concerns of the industry,” he told the Philippine Star.
Binay said the government was working on a possible moratorium on loans with the Land Bank of the Philippines for small banana growers, and the Department of Agriculture has reportedly been tasked with coordinating assistance.
Those small growers have been the focus of the government’s pledges of support so far, and it is unclear what, if any, assistance will be forthcoming for the industry’s larger growers.
While the damage to the Philippine banana sector is still being tallied up, early estimates from the Pilipino Banana Growers and Exporters Association (PBGEA) put the cost of recovery at P8bn (US$195m).
“If we translate this to value, it’s about P5.7b-worth of harvest for the yearend. It’s a pretty expensive opportunity lost for the industry,” said the PBGEA’s executive director Stephen Antig.
“But if we include the infrastructure that would shoot up to P8bn. The average cost of rehabilitation for one hectare is P500,000 and it will cost us P5bn to rehabilitate our plantations in the area.”
Industry figures estimate as much as 14,000ha of banana plantations around Compostela Valley may have been damaged or destroyed by Typhoon Bopha.
“We need the help of the government now like never before,” stated Antig. “We need to help the communities that depend on the plantations recover just as fast.”
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