The Department of Economy, Planning, and Development (DEPDev) announced that the government is intensifying its efforts to ensure a stable supply of key commodities and keep prices affordable, even as recent weather disturbances have impacted agricultural production.
According to data released by the Philippine Statistics Authority (PSA) on September 5, the country’s headline inflation rate rose to 1.5 percent in August 2025, up from 0.9 percent in July. Despite this increase, inflation remains at a manageable level.
Key Inflation Drivers and Government Response
The August inflation increase was primarily driven by higher prices for fish and vegetables. Fish inflation accelerated to 9.5 percent, while vegetable inflation rose to 10.0 percent. These increases were largely due to slow import arrivals and severe weather that disrupted fishing and crop harvests in key areas. In response, DEPDev Secretary Arsenio M. Balisacan emphasized the need for proactive measures. “While inflation remains broadly manageable, the recent figures highlight how adverse weather conditions directly impact prices,” he stated.
Proactive Measures to Bolster Agricultural Resilience
In anticipation of potential weather shocks, particularly the forecasted seven to 15 tropical cyclones and the possible development of La Niña conditions from September to December, the government is ramping up preparatory activities.
The Department of Agriculture (DA) has allocated essential agricultural inputs—including seeds for rice, corn, and high-value crops, as well as livestock and fish stocks—to regional field offices to support production and recovery efforts. Additionally, affected farmers can access financial and insurance assistance through existing programs like the Survival and Recovery Loan Program and the Philippine Crop Insurance Corporation.
Technological Innovations to Enhance Supply Chain Management
To improve long-term resilience, the DA will soft-launch a new command center in November. This data-driven system will enhance food supply chain management and improve supply-demand forecasting, initially focusing on the rice value chain before expanding to other key commodities. The system will also create a central registry of food storage facilities and their stock levels, providing crucial data for strategic planning.
Furthermore, the Food and Drug Administration has approved Volvac B.E.S.T., the country’s first avian influenza vaccine. This vaccine offers immunity against the highly pathogenic avian influenza (H5N1) and Newcastle disease, protecting the poultry industry and ensuring food security.
“We remain committed to implementing strategic policies that ease supply constraints and improve market efficiency,” Balisacan concluded. “Our priority is to protect Filipinos, especially the most vulnerable, from the impact of rising prices while building resilience in our production systems to ensure stable and affordable food commodities for every household.”
