The Department of Agriculture (DA) said it will build 99 cold storage facilities starting this year to extend the shelf life of fruits, vegetables, and high-value crops, ensuring supply and price stability.
In a statement, Agriculture Secretary Francisco P. Tiu Laurel Jr. siad the facilities will be powered by renewable energy sources such as solar and wind, ensuring efficient and environmentally friendly operations.
Laurel Jr. said the refrigerated warehouses are also hybrid infrastructures that could be powered by electricity from renewable energy sources and those supplied through the grid.
“This approach not only addresses immediate agricultural needs but also aligns with broader environmental goals,” Tiu Laurel said.
The DA has allocated P3 billion for the project to reduce farmers' losses and boost food security. Most of the small facilities are expected to start operating this year.
"By improving the cold chain infrastructure, we will strengthen the agricultural sector, reduce farm losses, extend the shelf life of agricultural products, stabilize supply and prices, and ensure food security,” he added.
The project is part of a comprehensive logistics master plan designed by the DA through the Agriculture and Fisheries Logistics Office (AFLO) headed by Agriculture Assistant Secretary for Logistics, Daniel Alfonso Atayde.
The plan encompasses not only cold storage facilities but also the development of a robust road network, agricultural seaports, and an integrated cold chain network to streamline the distribution of agricultural products throughout the country.
President Ferdinand Marcos, Jr. has approved the use of P1.5 billion in unprogrammed funds in 2024 to kick-start the development of the cold storage network, with another P1.5 billion included in the 2025 General Appropriations Act.
The unprogrammed funds will be used to build around 65 small or modular chiller-type cold storage facilities nationwide and a large cold storage facility in Camarines Sur.
Two additional large facilities are planned, one possibly in San Jose, Occidental Mindoro, and another in Cabanatuan, Nueva Ecija, along with around 31 modular units across the country.
These investments will collectively enhance the country’s capacity for preserving perishable goods, ultimately benefiting both farmers and consumers. Construction of the large storage facilities is expected to take around 18-22 months after awarding the contract.
Each facility will have a capacity of 2,800 to 3,500 pallet positions, depending on the products. The DA will oversee and manage these mega-cold storage facilities in cooperation with local government units, farmers' cooperatives, and associations to ensure efficient operations and community involvement.
The modular refrigerated warehouses, on the other hand, are roughly the size of a 40-foot container van. They will have a capacity of seven to 15 metric tons, depending on the agricultural products to be stored.
These warehouses are expected to be operational within three months of construction, allowing for a swift enhancement of cold storage capabilities nationwide.