THE country’s agriculture industry entered 2026 on stronger ground after growing 3.1 percent in 2025, its fastest pace in eight years, Agriculture Secretary Francisco Tiu Laurel Jr. said on Monday, Feb. 9, 2026.
Laurel said the growth showed early gains from reforms, even as risks from weather and underinvestment remain.
The sector expanded despite 23 storms hitting the country last year, with 22 arriving in the second half, a key harvest period. Agricultural exports still rebounded, led by recovering banana shipments and rising demand for other tropical fruits.
Philippine avocados entered the Japanese market for the first time, while durian gained access to new export destinations. At home, onion prices stabilized after years of sharp swings.
“These are early gains from a longer and deliberate reset of the sector,” Laurel said.
Laurel said the strategy centers on making food production profitable. “Farmers and fisherfolk must be profitable, agriculture must reclaim its role as a serious economic driver and the sector must build hope and futures that draw in a new generation,” he said.
To support this, the Marcos administration approved one of the largest agriculture budgets in recent years. Funds are going to farm-to-market roads, warehouses, food hubs, post-harvest facilities, dryers and a national command center to improve coordination.
“These are long-game investments, and they matter,” he said.
Still, current spending is not enough to fix long-standing weaknesses, Laurel said. The DA estimates the sector needs P400 billion to P500 billion a year, sustained across two administrations.
The funding is needed to reverse decades of underinvestment, rebuild institutions such as the National Food Authority and strengthen resilience to external shocks.
Short-term steps have helped ease food prices. Rice prices fell in 2025, reducing inflation pressure, while the Benteng Bigas, Meron Na program expanded nationwide by buying rice directly from local farmers.
Cold storage projects and food hubs have also moved from planning to construction, helping cut post-harvest losses.
Looking ahead, Laurel said past data allow cautious optimism, noting that agriculture grew by more than three percent in eight of the past 20 years. Still, he stressed that long-term growth depends on making agriculture a viable investment sector that can keep the next generation in farming and fishing. / KOC