Farm to market road, Dupax Del Norter, Nueva Vizcaya Photos courtesy of Senator Bong Go
NEWS

House probe into 'overpriced' farm-to-market roads sought

Edjen Oliquino

Members of the minority bloc in the House of Representatives are calling for a swift investigation into reports of overpricing and potential fraud in the construction of farm-to-market roads (FMRs), which were previously under the jurisdiction of the scandal-plagued Department of Public Works and Highways (DPWH) before being transferred to the Department of Agriculture (DA).

House Resolution 421, filed by ACT Teachers Rep. Antonio Tinio, Gabriela Rep. Sarah Elago, and Kabataan Rep. Renee Co, cited findings from Senator Win Gatchalian’s office flagging P10 billion worth of “extremely overpriced” FMRs in the 2023 and 2024 General Appropriations Acts.

This includes the concreting of Barangay San Roque FMR Phase 2 in Tacloban City, Leyte, with an estimated cost of P100 million for 0.287 kilometers—or P348,432 per meter—under last year’s budget.

Similar inflated costs were also found in Bulacan, Albay, Camarines Sur, and Eastern Samar.

According to the DA’s network plan, the average national cost of an FMR is estimated at P9.48 million per kilometer. However, based on the DA’s proposed base budget, the price per kilometer is valued at P15.91 million, indicating an overpricing of P6.43 million.

The FMR Network Plan was co-developed and finalized in June 2023 by the DA, DPWH, and the Departments of the Interior and Local Government, Trade and Industry, and Tourism—during President Ferdinand Marcos Jr.’s tenure as Agriculture Secretary.

Agriculture Secretary Francisco Tiu Laurel Jr. attributed the P15.91 million per kilometer figure to the DPWH, claiming it set the estimate.

Marcos aims to build 131,410.66 kilometers of FMRs before stepping down from office in 2028. As of July, the government has completed 70,000 kilometers, leaving roughly 61,000 kilometers in backlog.

The construction of FMRs is mandated under the Agriculture and Fisheries Modernization Act of 1997 (RA 8435), which aims to connect production sites, landing points, and post-harvest facilities to markets and highways—helping farmers reduce transport costs and increase returns on harvests.

However, the Makabayan bloc expressed alarm over recent reports that FMR construction may be marred by anomalies similar to those seen in flood control projects.

“[T]here is a need to thoroughly scrutinize the National FMR Network Plan 2023–2028, formulated and finalized during the stint of President Marcos Jr. as Agriculture Secretary, and more importantly, to conduct a thorough investigation into all farm-to-market roads for possible overpricing and corruption,” the resolution read.

Gatchalian, who chairs the Senate Committee on Finance, recently flagged the proposed allocation for FMRs under the 2026 budget, initially set at only P16 billion in the Malacañang-endorsed National Expenditure Program.

He noted that the funding had doubled to P32.6 billion in the budget version passed by the House in October.

Earlier, Laurel lamented that the P16 billion proposed budget for FMRs is “far shorter” than the P56 billion in pending requests for 2025, which prompted the House to realign a significant portion of the P255 billion budget originally intended for flood control projects.

Alleged anomalies in the FMR program are expected to draw scrutiny from the Independent Committee on Infrastructure once it concludes its probe into corruption claims in flood control initiatives.

In September, Laurel ordered a comprehensive audit of FMR projects from 2021 to the present to identify irregularities in their implementation, originally overseen by the DPWH before the transfer of authority to the DA in late October.

Weeks later, Laurel confirmed the existence of “ghost” FMRs in Davao Occidental and Zamboanga del Norte that were supposedly implemented in 2021 and 2022. The full audit of the FMR program is expected to be completed before year-end.