DA eyes fuel subsidy amid rising transport costs

Agriculture Secretary Francisco P. Tiu Laurel Jr. on April 1 met with vegetable farmers, truckers, and local officials from Benguet, Ifugao, and Mountain Province to address surging fuel prices that are straining farm incomes and threatening vegetable supply.

The dialogue, held at the Benguet Agri-Pinoy Trading Center, focused on rising logistical costs driven by global oil price increases linked to tensions in the Middle East, and the Department of Agriculture’s (DA) planned response.

Rising costs

Stakeholders reported that freight expenses for transporting vegetables from farms to trading centers and onward to markets have doubled or even tripled in recent weeks, according to the department.

Farmers from Buguias said fuel costs for a two-ton truck have risen from around P4,000 to P8,000. Meanwhile, truckers transporting goods from La Trinidad to Metro Manila said fuel expenses surged from P15,000 to as much as P35,000 per trip.

The increase could add roughly P1 to P2 per kilogram to vegetable prices in Metro Manila, based on fuel costs alone.

Agriculture Secretary Francis Tiu Laurel meets with vegetable farmers, truckers, and local officials from Benguet, Ifugao, and Mountain Province to address surging fuel prices. | Photo from the DA

Government response

In response, Tiu Laurel said the DA is preparing a fuel subsidy program aimed at easing the burden on transporters and helping stabilize deliveries.

“The DA has to exert efforts with local government units to determine supply gaps, so these can be complemented by surplus produce from other areas,” he said, stressing the need to maximize food distribution.

He assured the public that despite current pressures, the country’s overall food supply remains stable.

Immediate measures

To provide short-term relief, the DA said it has deployed its own trucks, alongside those managed by farmers’ cooperatives and local governments, to transport vegetables from farms to markets, with fuel costs covered by the agency.

At the same time, efforts are underway to expand market access for farmers.

Regional Director Jennilyn Dawayan said the DA is strengthening market linkages in coordination with other regional offices to ensure vegetables reach more buyers.

Next steps

Another round of consultations is scheduled after Holy Week, in partnership with the Office of the Logistics, Food Terminal Inc., and other key DA officials to refine interventions for both farmers and transport operators.

Tiu Laurel also noted that the government’s P20 rice program is gaining traction, with demand doubling in recent weeks, and said it will be expanded to help ease consumer burden.

Coordinated effort

The agriculture chief emphasized that close coordination between national agencies and local governments will be critical in stabilizing food distribution and protecting both producers and consumers amid rising fuel costs. —Ed: Corrie S. Narisma

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