Ondoy, Pepeng damages reach P12-B, report says

Crops, livestock, and farm structures destroyed by two weather disturbances that hit the Philippines have surged to almost P12 billion, an updated government report said. The figure – the amount allotted for a subsidy for poor families under the 2009 budget – is likely to go up, the Department of Agriculture (DA) said on Monday. Damages wreaked by Pepeng, a previous typhoon, continue to rise, the report added. Ondoy, a storm that brought record rainfall that submerged three-fourths of Metro Manila, have reached P6.8 billion. Currently, Pepeng’s damages are pegged at P5 billion but it may climb further, DA Secretary Arthur Yap said. “We saw a sudden jump in damages," Yap told reporters in an impromptu briefing on Monday at the DA office in Quezon City. Vegetables planted in the highlands and lowlands were decimated, severely cutting supplies of wholesalers and retailers in Metro Manila and neighboring provinces. Moreover, areas planted with vegetables in Laguna, Cavite, and Quezon were also affected. Luzon, the Philippines’ largest island, currently lacks an estimated 70 percent of its normal vegetable inventories. As a result, prices of local vegetables have climbed by anywhere from P20 to P25 per kilo, Yap said, citing results of the DA’s own monitoring system. The agency intended to disprove reports that vegetable prices surged by almost 300 percent. The agriculture chief said that the problem lay in “logistics." “There is a supply gap, if not for damaged farms for obstructed roads and highways. Benguet and Pangasinan, where we usually get our supply, were both badly hit," Yap said. To avert supply issues, the government has sought to source vegetables from Visayas and Mindanao. Some 45 tons of vegetables from the Philippines’ second and third-largest islands will be arriving soon. At the same time, a separate 30 metric tons of vegetables will be supplied by Nueva Vizcaya. Despite what appears to be a supply shortfall – which may boost prices – the DA remains adamant about imposing any price caps on the commodity. The government remains capable of securing stocks from other parts of the country, Yap said, adding he will still discuss the matter with Trade Secretary Peter Favila. “I can’t make it public right now, but it has something to do with our distribution strategy," Yap said, refusing to provide further details. He was also open to the possibility of allowing more vegetable imports. In the meantime, an estimated 400,000 hectares of rice fields have been affected by both Ondoy and Pepeng, the DA said. Of this amount, 106,189 hectares have been totally destroyed. Rice crops destroyed by both weather disturbances have reached 560,000 metric tons, totaling P9.6 billion. Of this amount, P4.2 billion worth of the staple was destroyed by Pepeng while the remaining amount – at P5.4 billion – was decimated by Ondoy. - GMANews.TV