Ilocos Norte Town Offers Reward to Tobacco Growers

Dingras: This municipality, considered as the rice granary of Ilocos Norte, is shifting its sight to expand its tobacco industry this planting season to generate more revenues for local farmers.

According to Philippines News Agency, a series of meetings with farmers groups are ongoing to encourage more farmers to plant tobacco and help the local government unit (LGU) achieve its expansion target of 200 hectares from the current 123-hectare tobacco plantation.

In return, Go-Sy vowed to reward farmers who can help the municipality get its share of tobacco excise tax. "For every 200 kilos of tobacco harvest delivered, a farmer will be given a cow, 100 kilos for goat, or an egg-laying chicken to boost their livelihood," Go-Sy told the Philippine News Agency in a recent interview. The mayor noted that the terms are flexible depending on the needs of farmers.

Rice is the major agricultural product of Dingras, followed by tobacco, corn, garlic, and lowland vegetables. Planting tobacco also has added benefits to farmers because of the tobacco excise tax under Republic Act 7171, which grants benefits to farmers in towns and provinces that produce Virginia tobacco. Under the law, local governments units that produce Virginia tobacco are entitled to a 15-percent share of national tax collections.

Farmers here earn an average of PHP50,000 to PHP70,000 per hectare from raising tobacco, which has a sure market from established buyers like the Universal Leaf Philippines Inc., the country's biggest tobacco growing and processing company.