The Market Monitor Minding the Nation's Business
By Tracy Cabrera
The Department of Agriculture (DA) is preparing ₱6.2 billion in assistance for farmers and fisherfolk as the country braces for a potentially severe El Niño, with funds expected to help cover fuel and fertilizer needs.
DA spokesperson Assistant Secretary Arnel De Mesa said the agency is awaiting the release of a Special Allotment Release Order under the Unified Package for Livelihoods, Industry, Food and Transport (UPLIFT) program.
“(The) El Niño this year will be severe and we must be prepared. We’re really preparing,” De Mesa said.
“We’re just waiting for the Special Allotment Release Order to be released under the Unified Package for Livelihoods, Industry, Food and Transport (UPLIFT) program,” he added.
De Mesa said the DA will maximize production in areas less likely to be affected by the dry spell.
“What the DA will do is to maximize the yield in those areas that will not be affected by El Niño,” he said.
The DA is also balancing local rice production with continued imports to maintain sufficient buffer stocks. Rice imports reached 3.67 million metric tons as of end-August, up from 2.95 million MT during the same period last year.
“We are focusing on local production, but at the same time, we won’t halt imports; we need them to boost our stocks. The issue we face regarding rice supply—not necessarily right now, but looking ahead to next year—is the potential impact of the dry season harvest in March or April,” De Mesa noted.
He said rice supply is expected to remain stable through the end of 2026, although the effects of El Niño could become more pronounced in the first half of 2027.
“So, we do not foresee an impact from El Niño on our overall supply this year. The potential impact will likely occur in the first semester of next year, depending on the severity and duration of the El Niño event; furthermore, a severe El Niño is typically followed by La Niña toward the end of 2027, making 2027 a more challenging year than 2026,” he highlighted.
The DA is also seeking up to ₱5 billion for solar irrigation projects to help farmers maintain production amid the expected drought.