José Villarreal, a producer from Los Santos province and president of the corn agribusiness chain, highlighted that the lack of payments is directly impacting the sector's operations. “We had been informed that payments would begin on March 15, but it has not happened,” stated Villarreal, who also warned about the consequences of the rising cost of inputs and fuel during the harvest season. “This year, we have worked with our bare hands.” Corn producers from Los Santos province expressed their growing concern over the lack of payments for the 2024-2025 harvest, a situation they say is seriously affecting the sector's sustainability. This is compounded by an increase in production costs, driven by higher prices for fuel, fertilizers, and agricultural inputs, which further worsens the economic outlook for farmers. According to sector spokespeople, the accumulated debt by the state ranges between 8 and 10 million dollars, with no disbursement related to the compensation law or the grains law having been made to date. This situation has created uncertainty among producers, who depend on these payments to meet financial commitments made during the agricultural cycle. Alvin Mendoza, a spokesperson for corn producers, voiced his concern over the lack of responses from the authorities, which makes it difficult for producers to meet their obligations. “In addition, the increase in fuel and agrochemical prices directly impacts our production costs,” he explained. Both representatives agreed that if the situation is not resolved, there could be a reduction in national corn production, as many farmers do not have the necessary resources to sustain their activities. “We have made requests, but we have not received any information in this regard,” indicated Mendoza. “There is a pending debt with banks and commercial establishments, which generates more interest. “We are in the month of March and still no payment file has been paid to these producers.”
Rising Costs and Debts Hit Corn Producers in Los Santos
Corn producers in Panama's Los Santos province are seriously concerned over delayed government payments for the 2024-2025 harvest and a sharp increase in production costs. The lack of funding threatens the sustainability of the entire agricultural sector.