Government readies corn warehouse receipt scheme linking farmers and livestock feeders
Under the plan, surplus corn bought by Bulog is stored under warehouse receipts that livestock farmers can draw on during feed shortages, with 151 cooperatives and 11,658 farmers already involved.
Agriculture Minister and head of the National Food Agency Amran is preparing a permanent ecosystem for feed corn in which farmers plant against offtake commitments from livestock companies, while surplus harvests are bought by Bulog and stored under warehouse receipts. Livestock farmers can then withdraw the stored corn during feed shortage months between September and November, smoothing price swings across the season.
As of early November, the SPHP corn program involves 151 cooperatives and associations and 11,658 livestock farmers, with purchases through cooperatives reaching about 235,000 tonnes, or roughly 61 percent of the 387,000 tonne allocation. Authorities have also tightened oversight of subsidised corn distribution. The warehouse receipt structure means physical stocks must be tracked with accurate records of ownership, quality and movement, since receipts function as financial instruments backed by the underlying commodity — a layer that will require systematic inventory documentation as the scheme scales.