THE Department of Agriculture (DA) wants an additional P80 billion worth of farm-to-market road (FMR) projects under public-private partnerships (PPP) next year to reduce a backlog of 52,000 kilometers.
Agriculture Secretary Francisco Tiu Laurel Jr. said the proposed projects would be on top of the P16 billion allocated for FMRs in the 2027 National Expenditure Program.
In the proposed arrangement, eligible private firms would finance and carry out construction, with the government paying them for several years.
Legal documents concerning the proposal were being prepared, Tiu Laurel told reporters last week.
The DA also plans to involve the World Bank and the International Finance Corporation in developing the arrangement.
Tiu Laurel said tapping private capital would allow faster construction while spreading government spending over a certain period.
At an Oct. 21 Senate finance subcommittee hearing on the DA’s proposed 2027 budget, Tiu Laurel said the agency could expand the program in 2028 if the initial rollout succeeds.
The proposed P16-billion allocation for FMRs next year is less than half the P33.01 billion provided in the 2026 national budget.
Responding to a question from Sen. Francis Pangilinan on the status of this year’s allocation, Tiu Laurel said P23 billion had been released since the start of October.
Ongoing geotagging efforts placed the remaining road backlog at 52,000 km, Tiu Laurel said, adding that completing the network would require more than P780 billion at current prices.
