Philippines Congress is likely to consider a request from the government to double the crop insurance subsidy it pays to the country's farmers to PHP8bn in 2026 so that it covers up to 4.2m farmers. According to a news report on the news portal https://bilyonaryo.com most of these farmers are rice growers.
The news report said the Philippines agriculture secretary Francisco P Tiu Laurel Jr has urged the Congress to take up this proposal so that the number of farmers covered under the scheme goes up from the present 2.3m to 4.2m. The Philippine parliament is formally known as the Congress.
Currently, the farmers are insured under the Philippine Crop Insurance Corporation (PCIC) and the rice cultivating farmers number around 1.25m. PCIC provides a maximum coverage of PHP20,000 per hectare, about a third of the estimated PHP60,000 cost of rice production.
Mr Tiu Laurel said “PCIC’s current subsidy level is simply inadequate. We need to insure more farmers at realistic levels that reflect the true cost of production, especially as climate change and market volatility continue to impact the sector.”
Under the proposed 2026 national budget, PCIC’s subsidy remains at PHP4.5bn, the same level since 2022. The agriculture secretary said this limits the government’s ability to protect farmers from rising risks like typhoons.
“To insure 4.2m farmers, we need about PHP8bn. That means we are short by PHP3.5bn. Of the 4.2m farmers we aim to cover, 2.2m will be rice farmers—an increase of nearly a million from the current number.”
The agriculture secretary emphasised that expanding insurance coverage is a strategic investment in food security. “Crop insurance isn’t just a financial product—it’s a critical lifeline. When typhoons, droughts, or pest outbreaks hit, insured farmers can recover faster and get back to planting. Without it, many are left in debt or forced to abandon farming altogether.”
Mr Tiu Laurel appealed to lawmakers to prioritise agricultural resilience in the national budget, stressing that a fully funded insurance system is important to stabilise rural incomes, sustaining productivity, and protecting the country’s food supply.