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DA scrutinizes ₱30-billion farm fund after fraud claims

Published Feb 18, 2026 04:52 pm
The Department of Agriculture (DA) has launched a sweeping investigation into the procurement and distribution of farm inputs and machinery, responding to a surge of complaints from farmer groups alleging systemic irregularities and corruption.
Agriculture Secretary Francisco Tiu Laurel said in a statement that the DA has been receiving complaints from farmer groups, prompting a wide-ranging probe to determine whether corruption is involved.
“We cannot allow these taxpayers’ funds to be squandered,” he said, noting that the investigation would go beyond standard checks.
Among the issues that farmers have raised before the department are claims that consultations for farm machinery are “merely token,” indicating that the distribution of such equipment is premeditated.
Tiu Laurel said it is critical to verify such claims, especially since the budget for the Rice Competitiveness Enhancement Fund (RCEF), which covers the government’s mechanization initiative, has tripled to ₱30 billion this year.
The Philippine Center for Postharvest Development and Mechanization (PhilMech), which oversees the program, has since countered the claim, saying that it conducts structured beneficiary selection for the distribution of farm machinery.
PhilMech emphasized that it holds face-to-face consultations to match equipment with farmers’ production requirements, land conditions, and operational capacity.
It said farmers could visit its website for real-time statistics on distributed machines.
In addition, PhilMech said its machinery procurement follows competitive public bidding and is sourced from multiple qualified suppliers to ensure quality and suitability.
“PhilMech reiterated its commitment to transparency, accountability and farmer-centered implementation, emphasizing that technologies are deployed based on validated field needs and long-term sustainability,” it said.
The investigation will also examine complaints about delays by fertilizer suppliers.
Tiu Laurel said suppliers found to have failed in their obligations to distribute these materials could face penalties or even blacklisting.
For greater transparency, he said farmer groups that have lodged complaints with the DA could participate in the investigation to help the agency “ferret out the corrupt within [its] midst.”
Last year, the DA launched an audit of farm-to-market roads (FMRs) to ensure that every project was properly identified and validated, amid efforts to determine potential corruption in public works.
This resulted in the DA taking over the construction of FMRs this year following the discovery of “ghost” and substandard projects when these were under the Department of Public Works and Highways (DPWH).
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