Organization of Farmers, Grain Producers.
Section 22
SEC. 22. Organization of Farmers, Grain Producers.—The Administration shall encourage the organization of farmers for the purpose of improving their production. In irrigated land, the Administration shall encourage the formation of cooperatives composed of farmers on land serviced by irrigation. Upon formation of such cooperatives, the maintenance of the irrigation system may, subject to the approval of the Administration and the other government authorities concerned, be turned over to said cooperatives, A farmer or producer who is beneficiary of any irrigation system shall be charged on irrigation fees, which shall include the amount needed to maintain the system and amortize the cost of the system, and such other amount deemed to be a reasonable contribution to the expansion of the system, which fee shall be determined and collected by the National Irrigation Administration: Provided, That irrigation fees shall have priority lien on the land over all encumbrances but second only to land taxes. In areas not accessible to irrigation systems, the Department of Agriculture and Natural Resources, the Department of Agrarian Reform, the Department of Public Works and Communications and the Council shall promote and take steps for the installation of necessary irrigation pumps or other means of providing a steady supply of water for farm purposes. Such alternative systems may be operated and maintained by organizations of farmers in the area covered. Millers of rice or corn and other grains shall be encouraged to enter into regular milling and marketing contracts with farmers in their respective areas or provinces.