The Philippine Center for Postharvest Development and Mechanization (PhilMech) is collaborating with South Korean entities to establish a local agricultural equipment manufacturing facility, in a move consistent with helping boost the country’s mechanization efforts.
In a statement released Thursday, PhilMech confirmed the proposed Comprehensive Agricultural Machinery Assembly Complex Initiative, which will be financed through official development assistance (ODA) from South Korea, in partnership with the Korea Rural Community Corp. (KRC) and FITCOREA.
A high-level consultation was held Wednesday at the PhilMech headquarters in Muñoz, Nueva Ecija, where KRC committed to deploying a preliminary feasibility study team by September or October 2025. The team will include specialists in project management, architecture, agri-machinery engineering, and performance monitoring.
KRC also pledged to prepare a comprehensive feasibility report for submission to the Korean Ministry of Agriculture, Food and Rural Affairs, a key step toward securing its status as a major bilateral project under Korea’s ODA portfolio.
PhilMech, in coordination with the Department of Agriculture, will provide technical data and spearhead the preparation of all necessary documentation to secure inter-agency approval via the Department of Economy, Planning, and Development, ahead of formal endorsement to Korea’s Ministry of Foreign Affairs.
“The initiative is expected to strengthen local capacity for agri-machinery production, reduce import dependence, and stimulate rural industrialization,” PhilMech said, emphasizing the corporate and commercial benefits of establishing a domestic manufacturing base for farming equipment.
The project also aligns with the government’s push to modernize Philippine agriculture and improve farm productivity through mechanization and technology transfer. Once approved, the facility is expected to begin development under the 2027 ODA pipeline.
PhilMech is the lead government agency responsible for postharvest and mechanization programs in agriculture and fisheries, and is seen as a key player in advancing industrial support for the country’s agri sector.
