Since the start of the year, the national government has fully subsidized the Marcos administration’s flagship ₱20 rice program as it rolls out a massive expansion to reach 60 million Filipinos by the end of 2026.

Agriculture Secretary Francisco Tiu Laurel said the national government has shouldered the entire subsidy for the program since Jan. 1, in contrast to last year’s setup, when local government units (LGUs) also chipped in their share.

The Department of Agriculture (DA) is able to sell rice at ₱20 per kilo by subsidizing the difference between the selling price and the set price of ₱33 per kilo.

Previously, the ₱13 difference was divided between the partner LGU and the national government, through state-run Food Terminal Inc. (FTI), meaning they paid ₱6.50 each for every kilo of rice.

Based on previous estimates, LGUs and FTI may have spent a combined ₱9 billion on the subsidy last year.

Tiu Laurel said LGUs will now only be tasked with helping the government run the ₱20 rice program in their respective localities, which entails expenses for logistics and manpower.

The change in the procurement scheme comes after the DA received a budget of around ₱23 billion for the program this year.

This comes as the agency seeks to expand the initiative to reach 15 million households by the end of the year, equivalent to around 60 million Filipinos.

For one, the DA is targeting the establishment of at least five ₱20 rice outlets in every LGU across Metro Manila to broaden access for vulnerable sectors of the country.

The program covers senior citizens, solo parents, persons with disabilities (PWDs), minimum wage earners, transport workers, farmers and fisherfolk, as well as middle- and lower-income households.

“We are opening more opportunities for every Filipino family to buy quality rice at an affordable price,” said Tiu Laurel. “This is a serious step toward food security, and a lifeline for those who need it badly.”

While expanding access to affordable rice is designed to benefit consumers, Tiu Laurel said this is also timed with the peak harvest season next month to protect farmers.

The rice being sold under the program comes from aging stocks of the National Food Authority (NFA), which has been struggling with congested warehouses.

Selling these stocks under the program would free up warehouse space, allowing NFA to buy more rice from local farmers and ensuring steady market demand for locally produced rice.

Following the expansion in the capital region, the DA is set to open more outlets for the ₱20 rice program in the provinces in the coming weeks.

From what was initially planned as a short-term program, President Ferdinand Marcos Jr. directed the DA last year to continue the initiative until the end of his term in June 2028.