MANILA — The Department of Agriculture (DA) imposed about P81 million in penalties on contractors and suppliers in 2025 due to delayed deliveries of farm inputs and slow implementation of government-funded agricultural projects.

The sanctions were compiled by the agency’s regional field offices after Agriculture Secretary Francisco P. Tiu Laurel Jr. issued a directive on Feb. 18 requiring all regional offices to submit a detailed report on liquidated damages tied to violations of supply and infrastructure contracts.

Based on the submissions, the DA found repeated delays in the delivery of fertilizers, seeds, farm equipment and construction materials, as well as setbacks in building agricultural facilities and irrigation systems. The agency said such delays could disrupt planting schedules and undermine programs aimed at improving farm productivity.

As a result, the DA penalized more than 100 suppliers and contractors engaged by regional offices for the procurement of agricultural inputs and the construction of farm infrastructure.

Northern Luzon posted the highest penalties, reflecting the region’s large share of government-backed farming activities. Regional Field Office (RFO) II recorded the largest total penalties at P28.5 million, followed by RFO I with P18.2 million and RFO III with P15.4 million.

In Region I, the largest single penalty reached P14.1 million and was imposed on La Filipina Uy Gongco Corp. due to delayed delivery of complete fertilizer 14-14-14, an essential farm input during planting seasons. Leads Agricultural Products Corp. was also penalized P1.4 million for late delivery of 29,278 bags of hybrid seeds.

Region II also logged substantial penalties related to farm inputs, with liquidated damages reaching P20.1 million for delayed seed deliveries and P5.9 million for fertilizers. Companies cited included Farmex Corp., Jedeco Trading Corp., SL Agritech Corp., and fertilizer supplier Universal Harvester Inc.

In Region III, delays in infrastructure projects also resulted in sanctions. Verlin Konstrukt Inc. was fined P1 million for delays in providing labor and materials for a biosecure swine finisher facility, while Agri Component Corp. incurred P4.5 million in penalties for delays involving two Rice Processing System projects.

Smaller regions also reported violations. In the Cordillera Administrative Region, Modern Times Enterprises, Inc. was penalized P643,490 after delivering only 39,575 of the 80,603 bags of inorganic fertilizer ordered by the government, leaving more than 41,000 bags undelivered.

Except for Metro Manila and the newly formed Negros Island Region, all DA regional field offices submitted reports as required. The reported penalties included P3.1 million in Region IV-A, P5.8 million in Region IV-B, P1.0 million in Region V, P5.2 million in Region VI, P597,015 in Region VII, P295,187 in Region VIII, P3.9 million in Region IX, P1.8 million in Region X, P453,156 in Region XI, P7.1 million in Region XII, and P811,822 in Region XIII.

The contracts covered projects under several key DA programs, including rice, corn, livestock, organic agriculture, the Quick Response Fund, and the Special Area for Agricultural Development.

Tiu Laurel said stricter enforcement of procurement rules is intended to safeguard government funds and ensure timely delivery of assistance to farmers and fisherfolk.

“Every peso entrusted to us must translate into real support for our farmers and fisherfolk,” he said. “Timely delivery of inputs and projects helps farmers improve productivity, increase income and contribute to the country’s food security.”