Business Bayani PH

Agriculture secretary Francisco Tiu Laurel, Jr. announced on January 16 the urgent need for a minimum investment of ₱1.3 trillion over the next few years to enhance rice production, curb agricultural product wastage, and safeguard the nation’s food security.

In a presentation before Cabinet members at Malacañang, Tiu Laurel outlined his comprehensive 3-year plan for agriculture, emphasizing the necessity of allocating ₱1.2 trillion in capital spending to irrigate 1.2 million hectares primarily dedicated to rice cultivation.

Tiu Laurel decried the lack of significant government funding for post-harvest facilities over the past four decades, emphasizing the need for substantial projects. 

He said, “No major post-harvest facility was funded by the government in the last 40 years. Puro maliliit, patingitingi which is actually irrelevant, useless. Sayang. We need really [sic] to fund these projects. But we must build bigger. We have three designs—small, medium, and large, not mini.”

Addressing the issue of losses in rice due to inadequate post-harvest facilities, the Secretary proposed the construction of integrated rice mill and warehouse complexes, estimating a cost of around ₱90 billion over several years. 

This initiative could potentially save ₱10.7 billion worth of rice, equivalent to an additional 23 days of rice inventory or roughly 10% of rice imports based on last year’s figures.

To further reduce oversupply and wastage of vegetables in Luzon, the Department of Agriculture (DA) allocated ₱1 billion this year to build four cold storage facilities, primarily at the Food Terminal Inc. Complex in Taguig City. 

The move aims to address the 30% losses incurred during the transportation of vegetables from Benguet to Metro Manila, with the construction of a 5,000-pallet position cold storage facility taking at least 12 months to complete.

Tiu Laurel stressed that an additional ₱5 billion is required to address the nationwide vegetable cold-storage issue by 2025.

Responding to queries about the possibility of lower rice prices, Tiu Laurel acknowledged that achieving a target of ₱20 per kilo remains an “aspirational target” and could take several years. He attributed the challenge to the current El Niño cycle, which has led to a global increase in rice prices.

In Vietnam, a major source of Philippine rice imports, rice is currently priced at around ₱34 per kilo due to high demand arising from importing nations’ stockpiling.

In parallel efforts, the DA’s Kadiwa retail selling activity, conducted by the Agribusiness and Marketing Assistance Division Regional Field Office-Cordillera Administrative Region, reported significant success. Highland vegetables from Mankayan, Benguet, were sold at affordable prices of ₱10 to ₱70 per kilo, benefiting hundreds of consumers in Bulacan and supporting Cordillera farmers.

Governor Daniel Fernando of Bulacan commended the initiative, saying, “The province of Bulacan is one with the national government in implementing strategies that will help achieve food security as well as give aid to food producers to sustain the production of affordable goods.”

As the Philippines charts a course to fortify its agricultural sector, the focus on substantial investments and strategic initiatives aims to not only boost production but also ensure the efficient utilization of resources, reducing wastage and enhancing food security for the nation.◼