By Stephanie Sevillano
MANILA – The Department of Agriculture (DA) on Wednesday said it has imposed about PHP81 million in penalties for delayed deliveries of farm inputs and slow implementation of government funded projects that disrupted key agricultural programs in 2025.
The sanctions were compiled by the agency’s regional field offices following a directive issued on Feb. 18 by Agriculture Secretary Francisco Tiu Laurel Jr. for them to submit a detailed accounting of liquidated damages linked to violations of supply and infrastructure contracts.
The submissions revealed a recurring pattern of late deliveries of fertilizers, seeds, farm equipment and construction materials, as well as delays in building agricultural facilities and irrigation works.
“Timely delivery of inputs and projects helps farmers improve productivity, increase income, and contribute to the country’s food security,” Tiu Laurel said in a statement.
More than 100 suppliers and contractors were slapped with penalties following the stringent liquidation of damages due to violations of infrastructure and supply contracts.
Of the erring suppliers, the largest penalties were imposed against contractors in Northern Luzon.
Regional Field Office (RFO) II (Cagayan Valley) logged the highest penalties at PHP28.5 million, followed by RFO I (Ilocos Region) with PHP18.2 million, and RFO III (Central Luzon) with PHP15.4 million.
In the Ilocos region, the DA imposed its largest single penalty amounting to PHP14.1 million to La Filipina Uy Gongco Corp for the delayed delivery of complete fertilizer (14-14-14), while the Leads Agricultural Products Corp. was fined PHP1.4 million for the late delivery of 29,278 bags of hybrid seeds.
Penalties linked to the delivery of farm inputs were also reported in Cagayan Valley, including liquidated damages worth PHP20.1 million for seed deliveries, and PHP5.9 million for fertilizers against Farmex Corp., Jedeco Trading Corp., SL Agritech Corp., and fertilizer supplier Universal Harvester Inc.
In Central Luzon, Agri Component Corp. was charged with PHP4.5 million in penalties for delays in two Rice Processing System projects; while Verlin Konstrukt Inc. faced a PHP1 million fine for delayed delivery of labor and materials for a bio-secure swine finisher facility.
Meanwhile, Modern Times Enterprises, Inc. incurred PHP643,490 in penalties in the Cordillera Administrative Region (CAR) after leaving more than 41,000 bags of undelivered inorganic fertilizer.
Out of 80,603 bags, only 39,575 of inorganic fertilizers were delivered.
All RFOs submitted their reports to Tiu Laurel, except for Metro Manila and the newly formed Negros Island Region (NIR).
In Calabarzon, liquidated damages amounted to PHP3.1 million and PHP5.8 million for Mimaropa.
The Bicol region logged PHP1 million in penalties, PHP5.2 million in Western Visayas, PHP597,015 in Central Visayas, and PHP295,187 in Eastern Visayas.
In Mindanao, PHP3.9 million liquidated damages were reported in Zamboanga Peninsula, PHP1.8 million in Northern Mindanao, PHP453,156 in Davao Region, PHP7.1 million in Soccsksargen, and PHP811,822 in Caraga. (PNA)
