The Department of Agriculture (DA) is advocating for a higher budget with a focus on diverse agricultural commodities starting next year. DA Secretary Francisco Tiu Laurel Jr. announced that they are aiming for an additional 10 percent of the department’s current budget of PHP155.56 billion.
“So, we’re asking for at least 10 percent more than last year… What we have laid out for next year is a lower fund for rice in general,” he stated in a media interview on Monday. He emphasized the need to “put emphasis” on other commodities such as coconut, sugar, and high-value crops.
“Well, we have to put priority on so many other agricultural sectors. As I said, everything is a priority. And somehow, for the last few years, we really placed a huge portion for rice and palay [unhusked rice], which was also needed,” Tiu Laurel explained.
He assured that there will be a separate and guaranteed PHP30 billion worth of tariff collections from imported rice for the Rice Competitiveness Enhancement Fund (RCEF). The amended Rice Tariffication Law (RTL) has extended the implementation of the RCEF until 2031, increasing its funding from PHP10 billion to PHP30 billion per year.
Of the PHP30 billion rice fund, around PHP15 billion is allocated for extension and training programs, financial assistance for rice farmers, credit, soil improvement, solar-powered irrigation systems, and water impounding projects. Additionally, PHP9 billion is designated for farm mechanization, and PHP6 billion for the provision of high-quality rice seeds.
Diverse Programs for Agricultural Growth
While no initial figures for the proposed budget have been disclosed, Tiu Laurel highlighted target programs designed to boost local productivity. For the coconut sector, the Marcos administration aims to position the Philippines as the top global coconut producer. “From the original 25, we have doubled it,” he noted, with a target of planting around 50 million new coconut trees by 2026 and 100 million trees by 2028.
“For the coconut industry for the next 5 to 10 years, it has good world prices in general, and of course, we want to be number one again,” he added. For 2025, at least 15 million coconut trees are targeted to be planted, in addition to the 8.5 million trees planted last year.
The DA is also considering improving the soil health of the country’s sugar lands, some of which are now deemed “acidic,” through an agri-lime project, alongside enhancing planting materials. Improved planting materials are also being targeted for the onion industry, with plans for the establishment of an Onion Research Center.
Overall, Tiu Laurel stated that the DA needs PHP500 billion a year to address all the challenges in the agriculture sector. However, he vowed to maximize the budget cap they were granted while diversifying resources across multiple agricultural commodities for the coming year.