In response to rising inflation reaching 7.8% in October, the Philippine Department of Agriculture commits to continuing subsidies and tariff reductions to mitigate food supply chain costs and support vulnerable households.
The Philippine Department of Agriculture (DA) announced on November 5, 2026, a series of interventions aimed at reducing costs in the food supply chain in light of the inflation rate reaching 7.8% in October. To ease the burden on consumers, especially vulnerable sectors, the DA will sustain fuel and toll subsidies, provide financial aid, supply farm inputs, extend crop insurance, and reduce tariffs on critical animal feed components such as corn.
One key initiative includes the expansion of the government’s P20 per kilo rice program, ‘Benteng Bigas, Meron Na!’ launched under President Ferdinand Marcos Jr., which aims to shield vulnerable households—including seniors, solo parents, and persons with disabilities—from external price shocks affecting food costs.
Food inflation has slightly eased from 6.8% to 6.4%, primarily due to slower price rises in fish and vegetables. However, rice remains the biggest contributor to overall inflation, alongside sharp increases in transport and energy prices driven by higher fuel costs.
The DA emphasized the importance of a stable food supply, highlighting that climate change impacts and geopolitical tensions continue to pose risks to agricultural production locally and globally. Hence, managing food prices requires not only cost reduction but also ensuring sustainable domestic agricultural output.
Complementing the DA’s efforts, the Department of Economy, Planning and Development is reinforcing agricultural production and logistics while extending targeted support to sectors adversely affected by rising energy expenses. These coordinated strategies strive to maintain affordable food prices amidst ongoing economic challenges.
Sources referenced:
- https://www.gmanetwork.com/news/topstories/nation/1008407/da-to-sustain-subsidies-lower-tariffs-to-reduce-food-supply-chain-costs/