The Department of Agriculture (DA) is targeting at least 20 percent in construction cost savings as it prepares to take over the farm-to-market road (FMR) program from the Department of Public Works and Highways (DPWH) in 2026.
“If Congress allows us under the 2026 national budget, we can use those savings to build more roads—helping farmers and fisherfolk cut production costs, reach markets faster, earn more, and ultimately lower food prices,” Agriculture Secretary Francisco P. Tiu Laurel Jr. said on Wednesday.
Currently, building a kilometer of concrete, two-lane FMR costs about P15 million.
The DA expects internal management improvements and new technologies, including the use of soil stabilizers where appropriate, could reduce costs to around P12 million per kilometer.
The administration initially proposed P16 billion for FMR projects next year, enough to construct roughly 1,000 kilometers of rural roads.
The House of Representatives has since doubled the allocation to P32 billion, following directive to reallocate flood-control funds to priority agricultural infrastructure.
With more funding and cost savings, the DA said it can speed up farm-to-market road construction, boosting farm incomes and helping stabilize food prices.
The DA’s master plan covers about 131,000 kilometers of potential roads nationwide, with 70,000 kilometers already built.
“We want every peso to go to real roads that benefit real farmers—not into the pockets of corrupt officials. We can cut that time in half with stronger coordination and smarter spending,” the Agriculture chief said.