In a hopeful outlook for the year, the Department of Agriculture (DA) has expressed confidence in the recovery of local palay production in 2025. This optimism comes after a challenging year marked by the El Niño weather pattern, a series of typhoons, and the eruption of Mt. Kanlaon, which collectively impacted rice production in 2024. DA spokesperson Arnel De Mesa shared in an interview that they anticipate reaching the 20 million metric tons (MMT) mark in local rice production, a significant recovery from the previous year’s setbacks.
De Mesa highlighted that a strong local production would lead to a decrease in rice imports. He noted the historic high of 4.68 MMT in rice import arrivals as of the end of 2024, but emphasized the government’s focus on enhancing domestic output. The amended Rice Tariffication Law (RTL), extended until 2031, plays a crucial role in this strategy. The law has increased the Rice Competitiveness Enhancement Fund (RCEF) to PHP30 billion, tripling the previous allocation of PHP10 billion from import duties.
The RCEF will be utilized to support various initiatives aimed at boosting local production. This includes PHP15 billion for extension and training programs, financial assistance, credit, soil improvement, solar-powered irrigation, and water impounding projects. Additionally, PHP9 billion is earmarked for farm mechanization, and PHP6 billion for the provision of high-quality rice seeds.
The DA also plans to roll out the ‘Agri-puhunan at Pangtawid’ program in February, targeting to benefit 100,000 farmers. This program will provide funding and insurance, coupled with contract farming opportunities, to further support the agricultural sector’s recovery and growth.