Philippines Boosts Agricultural Resilience with Enhanced Crop Insurance Budget
April 9, 2024 - The Department of Budget and Management (DBM) of the Philippines has approved the release of a Special Allotment Release Order (SARO) and the corresponding Notice of Cash Allocation (NCA) to fund the crop insurance premiums for farmers and fishermen for the first quarter of 2024. The SARO amounts to ₱4.5 billion, with the NCA totaling ₱900 million, allocated to the Philippine Crop Insurance Corporation (PCIC).
DBM Secretary Mina F. Pangandaman authorized the release, emphasizing the importance of financial security and insurance for agricultural workers amidst the growing challenges of climate change. “This assistance is crucial for protecting the livelihoods of our farmers and fishermen, enabling them to persevere through unexpected events and continue contributing to our economy and food security,” Secretary Pangandaman stated.
Previously, President Ferdinand R. Marcos Jr. assured farmers of the government’s intensified support for sustainable harvests and highlighted the role of each planted seed in building a strong and prosperous future.
“Our collaborative efforts to advance our agricultural sector are key steps towards creating a New Philippines, where hunger is nonexistent, and everyone actively works towards a more abundant future,” the President declared.
In 2023, the PCIC insured over 2.3 million agricultural workers registered under the Registry System for Basic Sectors in Agriculture (RSBSA), surpassing the target beneficiary count by 44,8551. For 2024, the PCIC’s authorized appropriation of ₱4.5 billion under the FY 2024 General Appropriations Act (GAA) is expected to cover the total crop insurance premiums for more than 2.292 million targeted farmers.
The PCIC’s primary mandate is to provide insurance protection to farmers against losses caused by natural calamities, plant diseases, and pest infestations, as well as damage or loss of non-crop agricultural assets, including machinery, equipment, transportation facilities, and related infrastructure due to insured risks.
The release order was signed by Secretary Pangandaman on March 19, 2024, marking a significant step in strengthening the adaptive capabilities of the agricultural sector in the Philippines.