The Department of Agriculture (DA) and Department of the Interior and Local Government (DILG) have issued joint guidelines granting real property tax exemptions to qualified farm storage facilities, to cut operational costs and draw more investments in post-harvest infrastructure.
Signed by DA Secretary Francisco P. Tiu Laurel Jr. and DILG Secretary Jonvic Remulla, the Joint Memorandum Circular (JMC) puts Section 12(b) of the Sagip Saka Act into effect. It covers buildings and warehouses used for keeping farm supplies and produce, with an assessed value of no more than ₱3 million. The circular also carries out Executive Order No. 101 (s. 2025), which mandates full rollout of the Sagip Saka Act and better inter-agency coordination.
The new rules set clear requirements, application steps, and duties for both national agencies and local government units, so eligible groups can claim the incentive with greater clarity.
“Storage facilities are key to agricultural progress: they cut post-harvest waste, keep produce fresh, aid stock management, and make delivery and sales more efficient,” Secretary Laurel said. He noted that the tax savings may be used for better seeds and fertilizers, upgraded equipment, new technology, or business expansion—especially for small farmers, fisherfolk, cooperatives, and agricultural firms.
Local governments are urged to partner closely with the DA to ensure smooth access to the benefit. The government expects the measure to boost storage investment, strengthen supply chains, lower food costs, raise productivity, and make the local agriculture sector more competitive.
