MALACAÑAN PALACE
MANILA
BY THE PRESIDENT OF THE PHILIPPINES
[ EXECUTIVE ORDER NO. 100, October 25, 2025 ]
ESTABLISHING THE FLOOR PRICE OF PALAY, AND PROVIDING TRIGGER MECHANISMS FOR ITS IMPLEMENTATION
WHEREAS, Section 5, Article XII of the Constitution mandates the State to provide support to the agricultural sector through appropriate research and technology, and adequate financial, production, marketing, and other support services;
WHEREAS, Article 25 of the Universal Declaration of Human Rights provides that everyone has the right to a standard of living adequate for the health and wellbeing of himself and of his family, including food;
WHEREAS, the absence of a just and equitable floor price for palay exposes farmers' vulnerability to volatile market prices particularly during peak of harvest seasons when farmgate prices often drop due to oversupply, weather-related impacts or unjust trading practices, thereby undermining their livelihood, farm productivity, and long-term agricultural sustainability;
WHEREAS, in view of the rising production costs couples with climate-induced production risk and the widening profit margin gap between farmgate price and retail prices, the government recognizes the urgent need to guarantee a fair and just return to farmers by setting a floor price that covers production costs and provides reasonable income while ensuring the affordability and stability of rice supply for consumers;
WHEREAS, Section 11 of Republic Act No. 11321 or the "Sagip Saka Act" mandates the national and local government agencies to directly purchase agricultural and fishery products from accredited farmers and fisherfolks cooperatives and enterprises, provided that said agricultural and fishery products are necessary in the performance of their respective mandates; and
WHEREAS, Section 17, Article VII of the Constitution vests in the President the power of control over all Executive departments, bureaus and offices, and the mandate to ensure the faithful execution of laws;
NOW, THEREFORE, I, FERDINAND R. MARCOS, JR., President of the Philippines, by virtue of the powers vested in me by the Constitution and existing laws, do hereby order:
Section 1. Establishment of Floor Price of Palay. The Department of Agriculture (DA), upon consultation with the Steering Committee created under Section 2 hereof, shall determine, set, and adjust the floor price of palay to be purchased by the government based on the following considerations:
a. Cost of production;
b. Prevailing margins prices;
c. Reasonable margins for farmers;
d. Welfare of both farmers and consumers; and
e. Other relevant factors and conditions, such as:
i. Emergencies or calamities affecting the rice supply chain and palay production;
ii. Influx of import arrivals that could dampen farmgate price of palay;
iii. Sharp decline in global rice prices that may impact the estimated landed cost of rice; and
iv. Government's capacity to purchase palay at competitive prices and manage market intervention.
In establishing the floor price of palay, the DA ensure a fair return of investment to farmers on a regional level by recognizing regional variance in production costs, market conditions, and profit margin, to be reviewed and adjusted before the onset of cropping season or whenever necessary.
Section 2. Steering Committee. A Steering Committee is hereby created to assist the DA in establishing the floor price of palay and implementing this Order. The Committee shall be composed of the heads of the following agencies.
| Chairperson |
: |
DA |
| Co-Chairperson |
: |
Department of the Interior and Local Government |
| Members |
: |
Department of Trade and Industry |
|
|
Department of Social Welfare and Development; |
|
|
Department of Agrarian Reform; and |
|
|
National Food Authority (NFA) |
The Committee may invite representatives from local government units (LGUs), farmer representatives, private sector groups, and civil society organizations as observers and/or resource persons to aid in the performance of the Committee's mandate.
The DA shall serve as the Secretariat of the Committee, and shall provide administrative and technical support to the Committee.
The Chairperson, Co-Chairperson, and members of the Committee may designate their respective alternates, with ranks not lower than Assistant Secretary or its equivalent, who are fully authorized to decide for or on their behalf.
The Committee shall regularly convene at least once every quarter or as often as may be deemed necessary by the Chairperson.
The Steering Committee may request the assistance of other government agencies and LGUs to provide timely assistance and cooperation to ensure the effective and efficient implementation of this Order.
Section 3. Temporary Storage of Palay in Public Facilities. In the absence or insufficiency of available and suitable warehouses form the proper storage of purchased palay, national government agencies (NGAs) and instrumentalities, including government-owned or -controlled corporations (GOCCs) and state universities and colleges (SUCs), and LGUs shall be authorized to use public facilities such as covered courts, multi-purpose storage sites, subject to existing laws, rules and regulations.
Such use shall be coordinated with the concerned LGUs and other relevant government agencies to ensure that the storage of palay does not impede the delivery of essential public services.
Section 4. Sanctions. The purchase of palay by any NGA and LGU below the floor price and any violation of this Order shall be referred to the proper disciplining authority for administrative action, in accordance with relevant laws, rules and regulations.
Section 5. Implementing Guidelines. Within five (5) days from the effectivity of this Order, the Steering Committee shall formulate the necessary guidelines for the full and effective implementation of this Order.ℒαwρhi৷ The Implementing Guidelines shall include the proper utilization, maintenance, and security of temporary storage facilities to prevent post-harvest losses and ensure the protection and quality of stored palay, among others.
Section 6. Monitoring. To ensure effective implementation of this Order, the Steering Committee, shall conduct regular monitoring of farmgate transactions to ensure that palay prices remain fair, stable, and beneficial to both farmers and consumers.
Section 7. Reporting. The Steering Committee shall submit to the President, through the Office of the Executive Secretary, quarterly reports on the status of compliance, implementation progress, and the impact on farmer incomes and rice supply stability.
Section 8. Funding. The funding requirements for the initial implementation of this Order shall be charged against the existing appropriations of concerned agencies of the Steering Committee and such other funding sources as may be identified by the Department of Budget and Management, subject to relevant budgeting, accounting, and auditing laws, rules and regulations. Thereafter, the subsequent funding requirements for the continued implementation of this Order shall be included in the budget proposals of concerned agencies, subject to the usual budget preparation process.
Section 9. Transitory Clause. Upon effectivity of this Order, and pending the issuance of the guidelines to be issued by the Steering Committee, the floor price of palay shall be based on the current regional floor price computation of the NFA.
Section 10. Separability. If any or provision of this Order shall be held unconstitutional or invalid, the other provisions not affected thereby shall continue to be in full force and effect.
Section 11. Repeal. All orders, rules and regulations, and other issuances or parts thereof which are inconsistent with the provisions of this Order, are hereby repealed or modified accordingly.
Section 12. Effectivity. This Order shall take effect immediately upon publication in the Official Gazette or in a newspaper of general circulation.
DONE, in the City of Manila, this 25th day of October, in the year of Our Lord, Two Thousand and Twenty-Five.
(Sgd.) FERDINAND R. MARCOS, JR.
By the President:
(Sgd.) LUCAS P. BERSAMIN
Executive Secretary
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