San Miguel Foods, DA Partner, Inks First Nationwide Agri PPP to Boost Farmer Incomes

The Department of Agriculture (DA) and San Miguel Foods, Inc. (SMFI), a division of San Miguel Food and Beverage, Inc., have launched their first nationwide public-private partnership (PPP) in agriculture, with the goal of increasing Filipino farmers' incomes, improving food security, and providing quality food to more Filipinos.

Through a memorandum of understanding (MOU), SMFI will establish and manage buying stations for major products such as corn, cassava, sorghum, and soybeans. Farmers will get direct access to an institutional buyer, assuring a stable and fair market for their goods and better financial returns.

The partnership also includes national plans for modernizing and streamlining agricultural supply networks. These reforms are intended to foster long-term growth and sustainability in the sector, benefiting farmers, consumers, and the country as a whole.
 
SMFI will provide laboratory procedures for crop acceptability and hold capacity-building workshops for DA-recognized farmer cooperatives and associations (FCAs). Furthermore, it will sell its food products to cooperatives, generating additional revenue.

The DA, on the other hand, plans to implement innovative technology to improve crop monitoring and harvest volume projections. It will also offer technical assistance to SMFI's farmer partners, particularly those in DA-recognized FCAs.

Furthermore, the DA will deliver quality assurance training, support SMFI with information campaigns for buying directly and community reseller programs, and provide access to specific research stations for varietal preservation and planting material development.

“This partnership will not only benefit the farmers, but also the broader society as a whole. By sourcing quality local ingredients for feed production, we can significantly reduce import costs which will in turn lower prices of meat in the market, eggs, and several other meat (products) for consumers — creating a win-win scenario for both producers and households by ensuring that only high quality raw materials are used,” said Francisco Tiu Laurel, Jr., Secretary of the Department of Agriculture, in a statement.

“We are also safeguarding the health of our consumers. Let us continue to harness this partnership to create a more sustainable and resilient local agriculture industry that will empower our farmers and ensure food security, and drive economic growth in the country,” he added.

San Miguel Food and Beverage Inc. (SMFB) Chairman Ramon S. Ang added, “This partnership allows us to invest directly in our farmers and the future of Philippine agriculture. By offering fair prices and consistent support, we help farmers improve their livelihoods and make agriculture a more sustainable and rewarding industry.”

The MOU was signed by DA Undersecretary Roger Navarro and Emmanuel Macalalag, General Manager of San Miguel Foods Group. The ceremony was attended by prominent delegates from DA-recognized farmer cooperatives and associations, as well as senior officials from both organizations.