The Department of Agriculture (DA) announced finding ₱18 billion to expand the government’s ₱20 per kilogram rice program next year, aiming to serve up to 15 million middle- and low-income households—about 60 million Filipinos.
According to DA Secretary Francisco Tiu Laurel Jr., ₱8 billion will come from existing National Food Authority (NFA) rice stocks, while ₱10 billion will come in the form of domestic palay procurement in 2025. This is separate from the proposed ₱9 billion NFA budget for 2026 under the forthcoming General Appropriations Act.
To ensure the program’s sustainability, the DA is proposing a two-tier rice pricing model: 80 percent of NFA stocks would be sold at around ₱42/kg to generate revenue and subsidize the remaining 20 percent sold at ₱20/kg. Full implementation of the pricing scheme, however, would require amending the Rice Tariffication Law—an effort already in motion through House Bill No. 1 filed by Speaker Martin Romualdez.
The DA emphasized that the subsidized rice accounts for only 15 percent of national rice production and is unlikely to depress farmgate prices. Annual transparency reports, digital tracking, and community feedback systems will be implemented to guard against misuse.
To streamline access, the DA plans to launch a mobile app by October, allowing eligible buyers to register and access rice using QR codes. Distribution will remain limited to 10 kg monthly, except for vulnerable groups who may purchase up to 30 kg.
Additionally, starting 13 August, rice farmers will also be allowed to purchase subsidized rice nationwide via Food Terminal Inc. booths in NFA warehouses.
President Ferdinand Marcos Jr. has directed the DA to maintain the ₱20 rice program until the end of his term in 2028. The program is currently active in 162 locations through Kadiwa outlets.
