To help stabilize prices and reduce the country’s reliance on imports.
In his directive, Agriculture Secretary Francisco Tiu Laurel Jr. has told state-owned Food Terminal Inc. (FTI) to set aside funds to buy large volumes of chili pepper and mung beans directly from local farmers.
This, as the Department of Agriculture (DA) identified these as priority high-value crops this year.
Although, for chili pepper, the focus is on dampening sharp price swings that regularly hit consumers. As for mung beans, the goal is to boost domestic output to achieve self-sufficiency and preserve foreign exchange now spent on imports.
“We import significant volumes of mung beans, mostly from Argentina, even though local production already reaches about 45,000 metric tons. Our goal is to be self-reliant by 2027,” said Tiu Laurel at meeting with officials.
He added that the FTI should initially purchase up to 80 percent of domestic output, which is equivalent to around 3,000 metric tons a month, and help shield them from volatile market prices.
A staple in Filipino diets and a major source of vegetable protein, roughly a third of local mung bean production comes from Isabela province.
Meamwhile, for chili, it can grow in many parts of the country, but highly vulnerable to heavy rains during the wet season—making the prices spike during that season.
In line with this, the DA is allocating budget ro build greenhouse facilities to protect high value crops from extreme weather and support year-round production.
“This infrastructure push is aimed at smoothing supply and moderating prices, particularly during peak demand periods such as the holidays,” the department furthered.
FTI has also been urged to invest in processing facilities that can convert fresh chili into flakes or paste—products widely used by restaurants, food processors, and retailers—and would allow surplus production to be absorbed during peak harvests and released when supplies tighten.
“By buying, processing, and distributing these crops, FTI will be fulfilling its real mandate,” Tiu Laurel underscored.
