The Department of Agriculture (DA) is looking forward to a proposed ₱20-billion annual investment in the livestock sector, which will take effect once signed into law by President Ferdinand R. Marcos Jr. before the month of September ends.

Speaking at a breakout session of the Arangkada Philippines Investment Forum on Thursday, Sept. 25, DA Undersecretary for policy, planning, and regulations Asis G. Perez explained that the ₱20 billion would serve as an annual co-investment from the government, adding that the agriculture sector’s broader investment requirement amounts to ₱3.5 trillion.

State-run think tank Philippine Institute for Development Studies (PIDS) earlier expressed support for the passed House and Senate bills proposing the Animal Industry Development and Competitiveness Act, hence urged the President to sign the measure into law.

PIDS had said that the measure aims to strengthen the animal industry by establishing strong regulatory and development institutions and providing sufficient resources to support production, particularly for small farmers and producers. “The livestock, dairy, and poultry commodity systems are key drivers in Philippine agriculture,” PIDS had noted.

The enrolled bill was earlier transmitted to Malacañang, where the President has 30 days to either sign it into law, veto it, or allow it to lapse into law without a signature.

To recall, Perez said last August that the DA was seeking ₱3.5 trillion in total investments—including support from the private sector—to transform the country’s agriculture sector into a more robust, economically viable contributor to national food and economic security. “We want to transform the agriculture sector into a robust, vibrant, and economically viable contributor to the food and economic security of this nation of [up to] 118 million people,” according to Perez.

At the Arangkada forum, Perez emphasized that the breakdown includes ₱1.5 trillion for production support systems such as irrigation, laboratories, and feed mills, along with investments in poultry and swine production to reduce reliance on imports.

Another ₱860 billion is earmarked for infrastructure and logistics, including roads, farm-to-market roads, and post-harvest facilities.

Meanwhile, ₱85 billion is needed for commodity systems enablers to fund research and development (R&D), digitalization, intellectual property (IP) initiatives, and modern technologies such as solar farms and greenhouses. “There will be an opportunity for this area of investment,” Perez said. “We want agriculture not only to feed our people but to fuel the growth of our nation.”

The DA official highlighted the sector’s untapped potential despite employing 9.3 million Filipinos. “I think this is a big resource for us,” he said, noting that while the country produces a lot, it also consumes heavily.

Perez pointed out that the Philippines imports nearly $23-billion worth of agricultural products annually. This reliance on imports, he said, reveals a major opportunity for boosting local production—not to export, but to meet the country’s own consumption needs.

The agriculture sector, however, continues to lag behind. Perez emphasized that it remains the poorest sector, with poverty incidence among farmers and fishers at 27 percent and 27.4 percent, respectively. “And that is where we need to have more investments as well,” he added.

Agriculture’s contribution to the economy has also shrunk dramatically—from 15 percent of gross domestic product (GDP) in earlier decades to just 7.9 percent today. “Over the past 20 years, there has been little to no real growth in productivity,” the DA official said.

Perez said that when the Marcos Jr. administration assumed office, it developed a framework for agriculture that focuses on expanding and improving farm areas to increase productivity.

Among the other major strategies are mechanization and modernization, as the Philippines’ mechanization rate is only 2.7 horsepower per hectare (ha), far behind the 7.6 horsepower per ha of neighboring countries. “This shows huge investment potential,” Perez said, appealing for new machinery.

Perez urged developing post-harvest systems, as he noted that post-harvest losses range from 12 to 40 percent of total production. In fisheries, these losses can slash product value by almost 300 percent—for instance, a kilo of pressed tuna worth ₱350 drops to just ₱100 without proper processing, he pointed out.

He likewise called for enhancing local and global markets, citing that ensuring competitive pricing and expanding international market access remain key.

To support these efforts, Perez outlined five cross-cutting strategies: balancing developmental and regulatory roles, science- and data-driven decision-making, building strong partnerships, strengthening financial inclusion and mechanisms, and expanding R&D extension.