Agriculture Undersecretary for Operations Roger Navarro on Wednesday called on farmers and local governments to step up investments in livestock and other priority crops, saying domestic-focused production could still deliver strong returns by reducing the Philippines’ heavy reliance on food imports.
Speaking at the Municipal Agri-Fishery Investment Forum held from January 20 to 22 in Cebu City, Navarro said the appeal comes as the country’s agricultural trade deficit remains elevated at around USD11 billion, or more than P650 billion at current exchange rates. The figure underscores structural gaps in domestic supply, even as demand continues to grow alongside population and income gains.
“The local market is enormous,” Navarro told participants. “That is exactly why importation is also large.”
Navarro urged municipalities to spread investments across key commodities, including bananas, vegetables, coffee, coconut, livestock, poultry, and fisheries. While bananas remain widely planted, he acknowledged the country has lost export competitiveness. He noted that rival producers have advanced using technical expertise originally developed in the Philippines, highlighting the cost of underinvestment in productivity and innovation.
Coffee was identified as a priority crop under Agriculture Secretary Francisco P. Tiu Laurel Jr., with new production areas being developed in Mindanao, particularly in Cotabato and Agusan del Sur. Coconut, Navarro said, has suffered decades of neglect, leaving aging trees and farmers that pose risks to long-term supply—an issue that limits the sector’s ability to benefit from rising global demand.
In livestock, Navarro cited improving conditions in the swine industry following African swine fever outbreaks, crediting containment measures by the Bureau of Animal Industry. He also pointed to programs promoting dual-purpose cattle for milk and meat, while noting the poultry sector has remained relatively resilient despite rising imports.
Fisheries and aquaculture continue to anchor the government’s food security strategy, with policymakers viewing aquaculture expansion as one of the fastest ways to narrow protein supply gaps.
However, Navarro cautioned that production gains alone will not materially reduce import dependence. Weak post-harvest infrastructure—particularly drying, warehousing, and cold storage—continues to inflate losses, erode quality, and amplify price volatility, especially during the rainy season when harvests peak and typhoons disrupt logistics.
“We invest too much in milling and not enough in drying,” Navarro said, adding that stopgap inputs cannot substitute for proper post-harvest systems.
The Department of Agriculture plans to bridge the gap by building around 300 drying facilities with warehouses this year and rolling out mega and modular cold storage facilities to extend the shelf life of rice, corn, and vegetables. These investments are deemed critical if local governments are to translate higher output into stable supply, lower prices, and sustained farmer incomes.
Navarro also flagged high input costs, weak logistics, limited access to credit, and climate risks as persistent constraints. He said the investment forums are intended to better align national funding with local production realities—a key step if the country is to narrow its agricultural trade deficit over the medium term.
