Panama’s agriculture ministry to allocate $8.2 million to address El Niño effects

Panama’s Agriculture Development Ministry plans to spend $8.2 million to confront the agricultural effects of El Niño, drawing from the $80 million authorized under a state of emergency.

Agriculture Minister Roberto Linares told the National Assembly that Herrera, Los Santos and Coclé face the greatest risk. Rice production could be affected by 10% to 15%, while onion production could fall by 15%. Livestock could also suffer from the conditions.

The ministry is dividing the requested funds between drought and excessive rainfall. Vice Minister José Aníbal Rincón said $6.7 million would target drought in Azuero and the central provinces. That allocation includes about 30 masonry dams in the Dry Arc, 2,000 livestock watering points and equipment purchases.

The remaining $1.5 million would address excess water, particularly damage to plantain production in Bocas del Toro and Puerto Armuelles. Officials said the funds would not be limited to drought response in Azuero and the central provinces, but would also cover areas affected by heavy rain.

Despite the expected impact, Linares said existing rice acreage and production can currently guarantee national supply, meaning Panama does not need to resort to imports. He also said the ministry cannot control food prices or determine whether products will become more expensive.

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For the drought, a budget of $6.7 million is being considered. That includes around 30 masonry dams in the Dry Arc, 2,000 livestock watering points and the purchase of equipment.