Private companies in the Philippines can claim full tax deductions and donors’ tax exemptions for contributions to milk feeding initiatives under a new joint program by the National Dairy Authority (NDA) and the Bureau of Internal Revenue (BIR).
The NDA–BIR joint administrative order (JAO), signed at a launch event in Manila, formalizes the private sector–funded milk feeding program, an effort supported by the Department of Agriculture (DA) and the Department of Economy, Planning and Development (DepDev).
Recognized by DepDev as a national priority, the initiative seeks to encourage private sector investment in tackling child malnutrition while boosting the livelihood of local dairy farmers.
The program addresses two pressing challenges, said NDA administrator Marcus Antonius Andaya.
“When we buy local milk, we help not only children but also farmers. Every glass of milk represents livelihood and a better future,” Andaya said.
Andaya noted the link between nutrition and literacy, citing the 2024 Functional Literacy, Education and Mass Media Survey, which showed that 18 million Filipinos aged 10 to 64 are functionally illiterate, an issue he connected to poor childhood nutrition.
He recommended extending the milk feeding period to 120 days, in line with the National Nutrition Council’s advice, rather than the current 15-day inclusion in the Department of Education’s 120-day feeding cycle.
“Malnutrition is the silent barrier to progress. If our children are healthy, our people become smarter and more productive,” Andaya said.
Since 1995, milk feeding programs under the Department of Social Welfare and Development and DepEd have benefited 8.69 million children and generated P4.54 billion in income for local dairy farmers, he noted.
The program has allowed a smallholder dairy farmer with three cows producing 10 liters each to earn about P1,350 a day—nearly double the minimum wage.
Despite these positive results, Andaya said the limited market access and short feeding cycles have prevented the dairy sector from achieving its full potential, noting that comparable programs in Thailand run for 230 feeding days and South Korea for 250 days.
Andaya confirmed that with 32 million liters of local milk produced in 2025, local farmers have the capacity to fully supply an expanded program.
