MANILA – The Department of Agriculture (DA) has secured a P50-million sub-allotment to provide fuel assistance to thousands of farmers as increasing global oil prices begin to affect the domestic economy.

Agriculture Secretary Francisco P. Tiu Laurel Jr. said the program will grant P5,000 each to 9,570 farmers who depend on mechanized equipment, based on data from the DA’s Bureau of Agricultural and Fisheries Engineering (BAFE). The initiative is intended to help offset the immediate effects of higher fuel costs on farm production and transportation.

Eligibility for the assistance is limited to registered beneficiaries. “Farmers eligible for this cash assistance are only those listed in the Registry System for Basic Sectors in Agriculture, as provided in the General Appropriations Act,” Tiu Laurel said.

The release of funds followed a surge in global oil prices beyond the USD80-per-barrel benchmark set under government guidelines. Data certified by the Department of Energy showed that the 30-day average price, based on the Mean of Platts Singapore, reached USD89.02 per barrel as of March 13.

The increase in oil prices has been attributed largely to heightened tensions in the Middle East, which have disrupted supply and tightened global energy markets. For the Philippines, which relies on imported oil, the development has led to higher agricultural input costs, increased transport expenses, and added pressure on food prices.

Despite the allocation, the assistance covers only a small portion of the sector’s exposure to volatile fuel prices. Farmers using mechanized equipment are among the most affected, as diesel makes up a significant part of their operating expenses, particularly during planting and harvesting.

Meanwhile, a separate fuel subsidy program for fisherfolk is already being distributed.

Tiu Laurel said the government is seeking additional resources to expand support. “We will continue to look for resources to extend greater assistance to our farmers and fisherfolk—our food producers who are among those most affected by this geopolitical conflict that we are not part of,” he said.

The initiative reflects the government’s effort to provide targeted aid while managing limited fiscal space amid continued uncertainty in global energy markets.