
The Department of Agriculture (DA) is seeing signs of a strong recovery in the country’s food production sector after a year marked by overlapping crises, including extreme weather events and animal disease outbreaks.
Agriculture Secretary Francisco Tiu Laurel Jr. on Monday said government interventions and reforms are starting to pay off, with the country on track for a record harvest and significant improvements across the agricultural sector.
Speaking during the department’s flag ceremony, Laurel recalled how the sector endured what he described as a “perfect storm” in 2024, with drought, typhoons, volcanic activity, and the resurgence of the African swine fever severely disrupting output across multiple regions.
Despite these challenges, he said, the agriculture industry is bouncing back, aided by policy reforms, infrastructure programs, and targeted support for both producers and consumers.
“We are no strangers to adversity,” he said. “What matters is that we have used each challenge as an opportunity to push forward.”
Crop production grew by 2.2 percent in the first quarter of 2025, an early indicator of what the DA expects will be a banner year for agricultural output. A record harvest of 20.46 million metric tons of palay is projected, along with the highest sugar output in years.
Laurel credited President Ferdinand Marcos Jr.’s agricultural agenda with pushing through reforms that are now translating into concrete results. Among these is the realization of a major campaign promise: rice priced at P20 per kilo now available in select areas through expanded government distribution channels.
This was made possible through the Kadiwa ng Pangulo program, improved buffer stocking by the National Food Authority (NFA), and a steady supply from the Food Terminal Inc. The Rice-for-All program and strict enforcement of a price cap helped lower market rice prices to P33-P43 per kilo, contributing to the country’s 1.3-percent inflation rate in May — the lowest in six years.
To strengthen support for farmers, the NFA raised its buying price for palay to P17-P30 per kilo. At the same time, funding under the Rice Competitiveness Enhancement Fund is set to triple to P30 billion starting next year with amendments to the Rice Tariffication Law.
Crackdowns on smuggling have also intensified.
Eighteen companies were blacklisted last year — more than the number penalized in the previous decade. Some P3 billion worth of smuggled goods were seized in 2024, surpassing the previous year’s total by P1 billion.
Dozens of container vans carrying smuggled fish, meat and vegetables were intercepted in recent months — and could serve as early test cases under the newly enacted Anti-Agricultural Economic Sabotage Act.
The department is also ramping up investment in rural infrastructure. Projects in the pipeline include cold storage facilities, irrigation systems, farm-to-market roads, and key agricultural seaports. Mega food hubs are under development in Clark and Quezon, while modernized rice processing systems and storage warehouses are being completed.
Support from multilateral institutions — including the World Bank, Asian Development Bank, Japan International Cooperation Agency, and Japan Bank for International Cooperation — is helping fund and fast-track these initiatives.
Laurel also highlighted gains in export access. Durian, mangoes and avocados have been granted new approvals in international markets, while tamban, a key ingredient in sardine production, was formally recognized by the EU Codex, enabling the expansion of sardine exports.
Animal diseases, however, remain a threat to food security. The DA has established a vaccine development center at Central Luzon State University and is coordinating with the Food and Drug Administration to expedite the commercial rollout of an African swine fever vaccine.