The Department of Agriculture (DA) is seeking to expand the country’s minimum access volume (MAV) for corn to 500,000 metric tons as authorities move to cushion livestock and poultry producers from rising feed costs and reduce supply risks tied to weather disruptions and elevated farm input costs.
Agriculture Secretary Francisco P. Tiu Laurel Jr. said the proposal, crafted in consultation with stakeholders from the corn, livestock, and poultry industries, has been elevated to the MAV Management Committee, composed largely of economic managers, before endorsement to President Ferdinand Marcos Jr.
“We have endorsed the proposed increase in the corn MAV to anticipate possible supply tightness arising from weather-related risks and escalating production costs, particularly fertilizer and logistics expenses that remain vulnerable to disruptions from the lingering conflict in the Middle East,” Tiu Laurel said.
The recommendation reflects growing concern that supply conditions could tighten even before domestic harvests come under pressure.
Industry groups have warned that corn production may face headwinds from the prospect of a stronger El Niño episode later this year, elevated fertilizer costs, and softer planting intentions among growers.
Data from the Philippine Statistics Authority placed estimated corn production at 8.3 million metric tons in 2025.
Under the proposal, the MAV would more than double from the current 216,940 metric tons. Imports within the quota are levied a preferential tariff of 5 percent, while shipments beyond the allocation continue to face a 15 percent duty.
Agriculture officials also pointed to continuing volatility in energy markets and shipping routes around the Strait of Hormuz, which has pushed up freight and fertilizer prices and increased production costs across the farm sector.
Yellow corn is among the most important ingredients in animal feed and represents one of the largest cost components in raising poultry and livestock. Any sustained increase in feed prices eventually finds its way into the cost of chicken, eggs, pork, and other food staples.
After months of subdued inflation driven by easing food costs and lower rice prices, price pressures began returning in March as tensions in the Middle East pushed global oil prices higher, triggering a ripple effect across transport, fertilizer, and other production inputs. Headline inflation accelerated to 4.1 percent in March, surged further to 7.2 percent in April, then eased only slightly to 6.8 percent in May, underscoring how quickly external shocks can spill into domestic prices and threaten gains in food affordability.
“Corn is a critical input for poultry and livestock. Stabilizing feed costs helps temper price pressures on essential food items and protect household purchasing power,” Tiu Laurel said.
The DA stressed that the proposed MAV expansion is intended as a calibrated contingency measure rather than a permanent policy shift, with imports to be activated only when supply conditions warrant and without unnecessarily displacing local corn farmers.
