A P2-billion allocation in the 2026 national budget is expected to curb the recurring price spikes of siling labuyo (small chili pepper) and ensure a steady market supply, Senator Francis Pangilinan has announced.
The funding aims to address the chronic volatility of chili prices, which have recently soared as high as P1,000 per kilo. According to Pangilinan, the surges are primarily driven by supply shortages during the rainy season, when traditional open-field crops are most vulnerable to weather disruptions.
“It’s basic: during the rainy season, supply becomes limited, which is why prices go up,” Pangilinan said in a statement.
To modernize production and reduce this seasonal dependence, the Department of Agriculture (DA) will use a significant portion of the fund to expand cultivation areas beyond traditional hubs like the Bicol Region.
By diversifying the geographic locations of chili farms, the DA aims to create a more resilient supply chain that is less susceptible to localized weather disruptions.
The initiative also prioritizes climate resilience through the construction of greenhouses and climate-controlled facilities.
These structures are intended to protect crops from heavy rains and typhoons, which have historically been the primary cause of supply shortages and the resulting price spikes during the wet season.
Additionally, the government plans to invest in infrastructure support to improve storage facilities.
These upgrades are designed to minimize post-harvest losses and extend the shelf life of the produce, ensuring that more of the harvest actually reaches consumers in good condition.
The program will also implement strategic crop programming to better coordinate planting and harvesting cycles.
This data-driven approach, coupled with the distribution of high-quality seeds, is intended to provide a consistent flow of produce to the markets and prevent the “sticker shock” often experienced by retail buyers.
Pangilinan emphasized that a more deliberate approach to crop programming—including regular public updates on supply levels—will help temper food costs.
The senator expressed his full support for these DA measures, noting that stabilizing the price of essential ingredients is critical for both the agricultural sector and Filipino households.