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Business

P20 billion animal competitiveness fund likely available by 2028

Adrian Kenneth Halili - The Philippine Star
P20 billion animal competitiveness fund likely available by 2028
Agriculture Secretary Francisco Tiu Laurel Jr.
STAR / Jesse Bustos

MANILA, Philippines —The Department of Agriculture (DA) may fully tap the P20-billion fund for the animal industry by 2028, delaying a legally mandated support for the country’s livestock and poultry sector.

Agriculture Secretary Francisco Tiu Laurel Jr. said the agency has yet to complete the necessary requirements from the Department of Budget and Management (DBM) before it can fully implement the Animal Competitiveness Enhancement Fund (AnCEF).

“Regarding the use of the P20 billion, we will likely complete the requirements, such as organizational charts, manning plans and the approval of the DBM, by November or December of next year,” Tiu Laurel said during a budget briefing at the House of Representatives.

“So, it might be available for use by 2028,” he added.

Tiu Laurel noted that fund support for the animal sector would likely revert to similar levels to that of 2026 and would likely allocate additional funding for herd buildup, repopulation, dairy stock farms and milk feeding programs.

“We will be submitting a new amendment or a special provision that is similar to our 2026 budget and will be added to next year’s budget because we will not be able to fully utilize the P20 billion based on the law,” he added.

The competitiveness fund was created under Republic Act (RA) 12308 or the Animal Industry Development and Competitiveness Act, providing a long-sought support for industry players and stockholders.

The law established a 10-year fund that will appropriate P20 billion annually to support the expansion and modernization of the sector. Tariffs collected from imported animal products, like meat and dairy, fund the AnCEF.

DA Undersecretary Nora Oliveros said tariffs collected from imported animal products have reached P11.1 billion, citing Bureau of Customs data as of Sept. 1.

“If this amount is collected and further increased, this will be the extent of funding that will be released for AnCEF,” she told lawmakers.

Meanwhile, Agriculture Undersecretary Asis Perez said by 2028, tariffs for imported meat products would revert to 25 to 40 percent, noting that government collections could rise once the higher rates take effect.

“According to our estimate, there are more than enough resources available for the implementation of AnCEF beginning even next year and the years beyond that,” he added.

The DA has proposed a P198.45 billion budget for 2027, aiming to prioritize programs that raise farm and fishery productivity, improve infrastructure, reduce post-harvest losses, strengthen logistics and market access and expand the use of technology.

The agency also seeks to strengthen the agriculture and fisheries value chains and create a more resilient farm sector against climate and market disruptions.

FRANCISCO TIU LAUREL JR.

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