In a groundbreaking initiative aimed at revitalizing the Philippines’ agricultural sector, the Department of Agriculture (DA) and San Miguel Foods, Inc. (SMFI) have launched the country’s first nationwide public-private partnership (PPP) focused on improving farmers’ incomes and enhancing food security. The partnership, formalized through a memorandum of understanding (MOU), will also aim to ensure more consistent access to quality food for Filipinos.
Under the MOU, SMFI will establish and manage buying stations for key crops, including corn, cassava, sorghum, and soybeans, across the country. This new infrastructure will provide farmers direct access to institutional buyers, securing a stable and fair market for their produce. As a result, farmers can expect better financial returns, fostering long-term economic growth in the agriculture sector.
The partnership also seeks to modernize the country’s agricultural supply chains. These improvements are expected to reduce inefficiencies, enhance production, and streamline the distribution of goods, benefiting both consumers and the broader economy.
SMFI is further committed to strengthening the agricultural community by sharing laboratory procedures for crop acceptance and offering capacity-building seminars for DA-recognized farmer cooperatives and associations (FCAs). In addition, SMFI will provide its food products to these cooperatives, creating new income-generating opportunities for farmers.
Meanwhile, the DA will bring advanced technologies to improve crop monitoring and harvest projections. It will also provide technical assistance to SMFI’s farmer partners, particularly those in DA-recognized FCAs. As part of the collaboration, the DA will support quality assurance training and facilitate access to research stations for varietal preservation and the development of planting materials.
“This partnership is a significant step toward reducing the Philippines’ reliance on imports, lowering the cost of meat and other food products, and promoting food security,” said Francisco Tiu Laurel, Jr., Secretary of the Department of Agriculture. “It’s a win-win scenario for farmers, consumers, and the economy. This initiative is key to ensuring that only high-quality, locally sourced ingredients are used in feed production, which will reduce costs and protect consumer health.”
Ramon S. Ang, chairman of San Miguel Food and Beverage Inc. (SMFB), emphasized the economic impact of the partnership, noting that it will allow for direct investment in local farmers and help make Philippine agriculture more sustainable. “By offering fair prices and consistent support, we help farmers improve their livelihoods while also contributing to the long-term growth and stability of the agricultural sector,” he said.
The partnership was formalized in a signing ceremony led by DA undersecretary Roger Navarro and SMFI Group general manager Emmanuel Macalalag, with key representatives from farmer cooperatives and senior officials from both organizations in attendance.
This PPP marks a pivotal moment in the effort to modernize the Philippine agricultural sector, with expected benefits extending beyond the farming community to consumers and the economy as a whole.
