The Philippine Center for Postharvest Development and Mechanization (PhilMech) has discovered irregularities in the acquisition of 1,346 four-wheel tractors worth P1.75 billion under the Rice Competitiveness Enhancement Fund (RCEF) Mechanization Program funding for 2021.
Dionisio Alvindia, PhilMech executive director, said in a statement yesterday the farm tractors were overpriced by P131.91 million.
The units were bought at P1.298 million when the price should have been set at a maximum of P1.2 million.
Alvindia said PhilMech has informed the Department of Budget and Management about its findings and has sought the advice of the Commission on Audit and the Department of Agriculture on the next step.
“Because of the agency’s findings, PhilMech will not pay the contractors,” he said.
PhilMech will continue the distribution of farm machines under the RCEF Mechanization program.
It is also pushing other programs like support for the Coconut Farmers and Industry Development Plan where the agency will have a major role in setting up common shared facilities for coconut farmers.
PHilMech also began setting up the Agricultural Machinery Design and Prototyping Center in its headquarters in Muñoz, Nueva Ecija in collaboration with the Korea International Cooperation Agency, Korea Institute for Development Strategy and the Korea Agricultural Machinery Cooperative. – Jed Macapagal
