SENATOR Sherwin Gatchalian said the country lost at least P10.3 billion due to “extreme overpricing” in the construction of farm-to-market roads from 2023 to 2024.
During the Senate Committee on Finance hearing on the proposed 2026 budget of the Department of Agriculture (DA) Wednesday, October 8, 2025, Gatchalian said Bicol Region, Eastern Visayas, and Central Luzon had the most number of overpriced projects valued at P30,000 or more per meter.
Agriculture Secretary Francisco Tiu Laurel said farm-to-market roads can cost as low as P10,000 per meter, although the Department of Public Works and Highways (DPWH) set the benchmark at P15,000 per meter.
Gatchalian said 80 projects in Bicol Region cost P1.7 billion when they should have only cost P520 million, due to a 68-percent markup amounting to P1.18 billion.
In Eastern Visayas, the committee chairperson said 33 projects cost P791 million, around P555 million more than their supposed price based on the DA and DPWH benchmarks.
Gatchalian said this includes the ongoing road concreting in Barangay San Roque in Tacloban City, which has a length of 0.287 kilometers and costs over P348 million, much higher than the DPWH standard price per meter.
The lawmaker noted that among the contractors behind these extremely overpriced farm-to-market roads, particularly in Albay, was Hi-Tone Construction and Development Corp., co-founded by Christopher Co, brother of former Ako Bicol Representative Elizaldy “Zaldy” Co.
Other contractors were EGB Construction Corporation and Road Edge Trading & Development Services.
The three contractors were among the top 15 firms that bagged the most flood control projects across the country from 2022 to 2025.
Gatchalian said the involvement of these firms in the irregularities in farm-to-market road construction is no coincidence but “an obvious sign of corruption.”
“Kung walang assurance na maayos ‘yung trabaho ng farm-to-market roads in 2026, tatanggalin na lang namin lahat itong pondo at ilalagay namin sa iba,” Gatchalian said.
(If there’s no assurance that the farm-to-market road projects in 2026 will be done properly, we’ll just remove all the funds and allocate them elsewhere.)
In a press conference on Thursday, Gatchalian urged the Senate Blue Ribbon Committee as well as the Independent Commission on Infrastructure to also investigate the matter. (TPM/SunStar Philippines)