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BUSINESS

Free tolls for agri cut logistics costs

Maria Bernadette Romero, Mico Virata

The government’s one-month toll exemption for vehicles transporting agricultural goods is expected to generate up to P152 million in savings, easing logistics costs and helping stabilize food prices amid rising fuel expenses.

Undersecretary for Agri-Marine Industrial Systems Arrey Perez said Tuesday the projected savings will depend on the number of trucks participating in the program.

“From 20 April to 20 May, savings could reach about P52 million, which could go up to P152 million based on current registrations,” Perez said.

The estimate is based on 1,162 trucks currently accredited under the Department of Agriculture’s (DA) Food Lane program, which could save between P1,500 and P3,000 per trip. This translates to roughly P52 million to P105 million in total savings over one month, with higher figures expected if more vehicles register during the implementation period.

The toll relief allows qualified vehicles carrying food and agricultural products to pass through major expressways free of charge.

The Department of Transportation said the initiative was rolled out in coordination with the Toll Regulatory Board, DA, and private toll operators to ensure the uninterrupted movement of essential goods nationwide.

To qualify for the exemption, vehicles must be accredited by the DA and equipped with RFID stickers. Rebates, estimated at P600 to P1,800 per trip depending on vehicle class, will be credited weekly to RFID accounts.

The program will be reviewed after one month for possible extension, depending on its impact on transport costs and food supply.

The toll exemption forms part of the government’s broader response to rising fuel costs under Executive Order 110, which declared a national energy emergency.

Under the expanded Food Lane program, the DA shifted from partial toll rebates to full exemptions through the Agri-Trucks Toll Free Program, implemented in coordination with the Department of Transportation and the Toll Regulatory Board.

While more than 4,000 agri-trucks are registered, only 1,162 currently have active accreditation. The DA said it is fast-tracking approvals, with applications processed within the day and activation completed within 24 hours.