MANILA. Philippines - Former President Gloria is pushing for a new law that directs the National Food Authority to allocate billions for a fertilizer support mechanism.

The now Pampanga 2nd District representative is pushing for the passage of House Bill 4603 or the so-called “Immediate Rice Security Act of 2011”, which directs the agency to formulate and implement guidelines for the eventual phasing out of rice importation schemes.

It will earmark P15 billion per cropping season for a fiscal year for a fertilizer support mechanism. Farmer beneficiaries shall be provided with 3 bags of urea fertilizer per hectare of irrigated rice farm for every 2 bags already purchased.

"This will ensure that farmers are able to use the prescribed amount of fertilizer per hectare, plus one more to increase rice yields,” she said in a press statement.

The former President has been accused of using P728 million in fertilizer funds for her 2004 presidential campaign.

NFA Administrator Lito Banayo also blamed her administration for overpricing rice imports between 2008 and 2010.

Arroyo noted that 25% of the food expenditures of the poorest 30% in the country account for rice.

"Two out of every three of our poor are dependent on agriculture for employment and sustenance thus rice prices have a significant impact on the well-being of Filipinos, including small rice farmers who are net buyers of rice for household consumption," Macapagal-Arroyo stressed.

She noted that subsidizing production through the fertilizer support scheme would close the supply gap at 1/5 the cost of importing.

"It is evident that not only is there an urgent need to revive the rice economy, to minimize the country's vulnerability to future external shocks and to reduce supply and price volatility, but that in the immediate term, the rice supply gap can be minimized at much less cost than that what is usually resorted to," she said.

Macapagal-Arroyo noted fertilizer prices have more than doubled over the last two years.