To address the fertilizer crisis in the country, the government has been urged to gradually redirect funds being used as subsidies in the procurement of imported chemical fertilizers to organic fertilizers produced by local communities.
This was proposed in a recent study by the Philippine Institute for Development Studies (PIDS), titled “Prospects for Widespread Adoption of Organic-Based Fertilizers in the Philippines: A Rapid Appraisal”, which explores several factors surrounding fertilizer use and its impact on Philippine agriculture. Authored by PIDS Research Fellow Dr. Roehlano Briones, former Supervising Research Specialist Ivory Myka Galang, and Project Technical Assistant Helena Luz Pastolero, the study raises critical concerns about balancing sustainability, food security, and supply constraints in light of the country’s ongoing fertilizer crisis.
Specifically, the study advocates for a phased repurposing of fertilizer subsidies, gradually redirecting funds from inorganic fertilizers to organic fertilizers and biofertilizers.
The study noted that government subsidy program remains in place, with PHP 9.6 billion allocated for rice production alone in 2024.
The recommendation means strengthening the National Organic Agriculture Program (NOAP), a government initiative that promotes organic farming and sustainable agricultural practices. One key recommendation is to expand the use of Participatory Guarantee Systems (PGS), an affordable, community-based certification system for organic products. The study also suggests a coordinated effort to promote organic labeling for packaged goods, encouraging retailers to adopt these labels.
“Subsidies for organic-based fertilizers should encourage widespread adoption of Balanced Fertilization Strategies (or, in some cases, full organic farming),” the authors stated, with the goal of phasing out the subsidies once farmers have sustainably adopted new practices.
The study also stresses the importance of investing in research and development, particularly in soil mapping and extension services for farmers. It recommends establishing a value chain program to develop the biofertilizer and organic fertilizer industries, which is vital for long-term agricultural sustainability.
The recommendation was pushed in light of the fact that supply constraints and cost have been identified by the study as major hindrance to fully shift to the production of organic fertilizer from relying on imported chemical fertilizer.
While organic-based fertilizers offer significant long-term benefits for soil health and crop productivity, the study also noted that a full or scaled replacement of chemical fertilizers is hindered by technical, cost and supply considerations.
Organic methods, while more sustainable, often require higher initial investment and are not always readily available in some regions. Small-scale farmers, particularly those in rural areas, face additional barriers, such as limited access to markets and resources for sourcing organic fertilizers. “There is considerable supply potential, although a limiting factor is availability of raw materials, namely animal and plant waste, and the cost of collecting these materials,” the authors emphasized.
Sustainability concerns and the rising cost of chemical fertilizers in the Philippines are are sparking renewed interest in organic farming methods with farmers and experts seeking viable alternatives.
The cost of urea fertilizer, the most commonly used chemical fertilizer, surged to nearly PHP 3,000 per sack in May 2022—almost triple its price from January 2021. This drastic increase in cost has led to a renewed interest in organic alternatives. However, in response, the Department of Agriculture rolled out large fertilizer subsidies, which primarily focus on inorganic fertilizers. Prices have since dropped to PHP 1,500 to 1,600 per sack.
Despite the known environmental consequences of excessive inorganic fertilizer use—such as soil degradation and water eutrophication—many farmers continue to rely heavily on them due to the perceived benefits in crop yields.
Nevertheless, the study identifies growing potential for organic-based fertilizers, especially in vegetable farming. “There are favorable prospects for expanding organic-based fertilizer utilization among farmers in the Philippines, as long as difficulties in obtaining adequate raw materials, as well as in marketing of organic-based fertilizers, can be overcome,” the authors suggested.
