The Department of Agriculture (DA) has assured the public that fears of a sharp rise in food prices and a potential global oil shock are unlikely, saying worst-case projections do not reflect government intervention plans.
Agriculture Secretary Francisco Tiu Laurel Jr. said estimates presented to the Senate assumed crude oil prices reaching US$200 per barrel for six months—an “extreme scenario” that did not include measures the government is prepared to implement.
The DA cited ongoing tensions in the Middle East, particularly around the Strait of Hormuz, as a risk to global fuel and fertilizer supply. The area handles a significant share of shipments for key agricultural inputs.
To cushion any impact, the government is diversifying fuel imports, with the Department of Energy (DOE) securing supplies from alternative sources. On the agriculture side, emergency fertilizer procurement has been authorized, and imports are being increased through state-linked firms.
The DA also said efforts are underway to reduce dependence on petroleum-based fertilizers by promoting organic alternatives.
Despite global uncertainties, the agency reported stable domestic conditions, with steady food prices, sufficient pork supply, and strong poultry production helping keep costs in check.
The DOE added that the country’s fuel reserves are sufficient for about 51 days, supported by over 1 million barrels of diesel secured for April delivery from multiple countries.
Officials warned against profiteering, saying authorities are ready to act against unjustified price hikes and hoarding.
While risks remain if oil prices stay high, the DA said the country is better prepared to manage potential disruptions than initial projections suggest.
