The Department of Agriculture (DA) has allocated P2.5 billion to expand a farm-to-market road network in Sultan Kudarat to expand coffee production and reduce the country’s dependence on imported coffee beans.

Agriculture Secretary Francisco P. Tiu Laurel Jr. said Saturday the project would open access to around 29,000 hectares of land in Mindanao, where limited infrastructure has constrained agricultural development.

“We have earmarked P2.5 billion for a farm-to-market road network that will provide access to 29,000 hectares of land… that we hope to develop to increase domestic coffee production,” Tiu Laurel said.

The DA said it seeks to make coffee a higher-income crop for farmers as prices for beans remain around P300 per kilo. 

Based on production models used by Nestlé, farmers could earn at least P300,000 per harvest at a yield of one ton per hectare.

Tiu Laurel said yields could increase further with better farm access, inputs, and technology.

He cited Thailand, where coffee farms can produce up to three tons per hectare, suggesting Philippine output could still improve significantly.

Undersecretary Jerome Oliveros, who oversees coffee and cacao development, said Sultan Kudarat is one of several provinces identified by the DA for coffee expansion.

Bukidnon, Davao del Sur, and Agusan del Sur will also be included in the planned Mindanao Special Reserve Areas for Coffee Industry Development, he added.

Oliveros said clustering these areas would allow the government to implement development programs more efficiently and achieve economies of scale.

“We need to develop an additional 100,000 hectares to achieve self-sufficiency in coffee,” he said.

Coffee is harvested once annually, with peak harvest season running from November to February. Despite the single harvest cycle, the DA said coffee farming can generate roughly 30 percent more income per hectare than rice fields harvested twice a year.

The government’s push comes as the Philippines continues to rely heavily on imported coffee to meet rising demand.

The United States Department of Agriculture projects Philippine coffee imports to rise nearly 10 percent to about 378,000 metric tons, sourced mainly from Vietnam and Indonesia.

Demand has continued to grow alongside the expansion of café culture and higher consumption, now estimated at 3.78 kilograms per person, among the highest in Asia.