Rep. Alfredo Benitez (Neg. Occ., 3rd District) yesterday said the House Committee on Ways and Means has asked for an explanation about the effects of government incentives on block farming in the sugar industry.

The incentives for block farming are included in the proposed Sugarcane Industry Development Act authored by Benitez that was heard by the House Committee on Ways and Means, chaired by Rep. Romero Quimbo (Marikina City, 2nd District), yesterday morning.

Block farming, or the consolidation of small sugarcane farms to ensure plantation scale profit, is being pushed to ensure the survival of the Philippine sugarcane industry with the full implementation of the Asean Free Trade Area agreement next year.

The concerns on the impact of incentives for block farming on revenue collections will be tackled by the Ways and Means Committee at another hearing set May 29, Benitez said.

The proposed sugarcane act had been approved by the House committees on Agriculture and Appropriations earlier, Benitez said. If it hurdles Ways and Means on May 29, he expects it to be approved by the House soon.

The act aims to revitalize and strengthen the sugarcane industry through a diversification, development and financing program, Benitez said earlier.*CPG

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