The Land Bank of the Philippines (Land Bank) has agreed to finance Restia Rice Milling Corporation’s (Restia) top-of-the-line rice mill plant, benefiting over 10,000 rice farmers from Panay Island in Western Visayas.
“LANDBANK remains committed to supporting the whole agriculture value chain to boost the country’s agricultural output. Our comprehensive and holistic approach to lending ensures that all agri players have access to affordable and responsive financing,” said Bankero, LANDBANK President and CEO Cecilia Cayosa Borromeo.
The rice mill plant, expected to be operational starting June 2023, will address the lack of modern production and post-production milling facilities in Iloilo.
Modern equipment enabling the processing of wet palay stocks during the rainy season will be used in the plant.
In addition, the plant will also include post-harvest facilities and will further improve rice production in the Iloilo province, one of the top rice-producing provinces in the country.
The mill will have the capacity to produce 2,900 bags of palay per day, with an estimated production output of 2,400 bags.
Moreover, the project will allow farmers from Iloilo and neighboring provinces to market their produce at a higher price. They are also welcome to sell their harvest directly to Restia, cutting expenses for logistics and avoiding transactions with middlemen, resulting in increased income.
Part of the Restia Group of Companies, Restia Rice Milling Corporation was established to assist local farmers and improve the quality of local milled rice. The start-up company is also working with the Department of Agriculture (DA) to develop an efficient logistics system in Panay Island for the region’s rice growers.
At the end of 2022, LANDBANK had a portfolio of agriculture loans amounting to P261.7 billion, of which P166.8 billion went to small, medium, and big agribusinesses.