More funding sources being explored for farmer, fisherfolk fuel subsidies

THE Department of Agriculture (DA) said it is studying ways to further fund the fuel subsidies for farmers and fisherfolk due to the continued rise in fuel prices.

Agriculture Assistant Secretary Arnel V. de Mesa said the DA is considering tapping unutilized appropriations and the Presidential Assistance for Farmers and Fisherfolk (PAFF) program to supplement the P150 million currently available for fuel subsidies.

Mr. De Mesa said the DA is reviewing unused fuel subsidy funds from 2025 that could be redirected to support more beneficiaries.

“Instead of returning it to the Treasury, we are studying whether we can retain it within the DA so it can be released to our farmers and fisherfolk,” he told reporters at a briefing on  Wednesday.

Mr. De Mesa said unutilized fuel subsidy funds have been estimated at nearly P100 million.

The DA is also looking at possible support from the P10-billion PAFF program, which provides financial assistance to farmers and fisherfolk, particularly during calamities.

“We are studying if the funding can be tapped if the surge in oil prices can be classified as (a calamity),” he said.

Mr. De Mesa said the PAFF program is scheduled for rollout in the second or third quarter, but the DA is already working on “how it can be tapped if the problems in the Middle East are prolonged.”

The DA said it is hoping to release an initial P100 million in fuel subsidies this month and will request the additional P50 million for release by the Department of Budget and Management.

The combined P150-million fuel subsidy allocation is expected to benefit nearly 15,000 farmers and 24,000 fisherfolk.

Separately, Mr. De Mesa said the DA has formed a team to assess the fertilizer supply. The group will be chaired by Agriculture Undersecretary for Operations Roger V. Navarro and will include representatives from Planters Products, Inc.

“The price of fertilizer is starting to rise. That is due to higher freight costs and because synthetic fertilizer is fuel- and natural gas-based,” Mr. De Mesa said.

He said the newly formed group will study and recommend alternatives to synthetic fertilizer as well as procurement mechanisms that could help secure cheaper inputs.

“They will also recommend other ways for the government to procure synthetic fertilizer at lower prices, such as through government-to-government transactions,” Mr. De Mesa said. — Vonn Andrei E. Villamiel