Thursday, May 21, 2026
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DA to fix ‘broken economics’ in agriculture

The Department of Agriculture is rolling out a reform agenda to address what it calls the “broken economics” of Philippine agriculture.

At the Big Bold Reform business forum organized by the Department of Finance and the Bangko Sentral ng Pilipinas, Agriculture Secretary Francisco Tiu Laurel Jr. said long-standing problems like high rural poverty, uneven productivity, and recurring food supply shocks have persisted despite years of public spending.

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“Despite sustained public spending, outcomes on the ground remain fixed. Farmer incomes remain low, productivity gains uneven, and food supply shocks continue to affect consumers,” Tiu Laurel said.

The reforms are meant to deliver better incomes for farmers and fisherfolk, a more resilient food system, and an agriculture sector that contributes more meaningfully to growth while attracting private investment.

Tiu Laurel said the challenge is not a lack of government effort but how resources are used. The DA is shifting from fragmented, input-focused programs to a unified, impact-driven reform framework.

Reforms are centered on seven initiatives, beginning with sharper targeting of public investments toward areas with high poverty, strong production potential, and low productivity.

The DA will also move away from an overly rice-centric approach by expanding support for fisheries, sugar, coconut, corn, livestock, and high-value crops to diversify farm incomes and reduce vulnerability to shocks.

Governance reforms will institutionalize transparency, accountability, and participatory processes across the project cycle, including open access to program information and structured feedback from farmers and fisherfolk.

The department is strengthening co-investment with local governments through province-led extension systems and improved data management through the DA Command Center, using updated farmer and fisher registries.

To address gaps in the value chain, the DA is investing P33 billion in logistics and post-harvest infrastructure, including farm-to-market roads, cold storage, food hubs, deep-water ports, and post-harvest facilities.

Backed by the Philippine Development Plan, the reforms are intended to produce measurable outcomes and reposition agriculture as a competitive, investment-ready sector that delivers income, resilience, and long-term growth.

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