MANILA, Philippines — In a major move to streamline support for the agricultural sector, three key government agencies have joined forces to overhaul how agricultural cooperatives are managed and supported. The government has established a unified policy framework to strengthen grassroots enterprises, reduce bureaucratic red tape, and directly assist farmers and fisherfolk nationwide.
The initiative was formalized through the signing of a historic Joint Memorandum Circular (JMC) by leadership from the Department of Agriculture (DA), the Department of the Interior and Local Government (DILG), and the Cooperative Development Authority (CDA).
The primary objective of the new JMC is to eliminate structural inefficiencies where multiple government offices accidentally duplicate support services or issue conflicting local guidelines:
[Old Fragmented Support System] ──► DA, DILG, and CDA Operating Individually in Silos
│
▼ (The 2026 JMC Alignment)
[Unified Data-Driven Network] ◄── Coordinated Intervention, Shared Mapping & Validation
According to a statement released by the DA, the harmonized framework will create a unified, data-driven system for cooperative development, monitoring, and support services. By reducing overlapping initiatives, the government aims to create a highly efficient, seamless environment that enables local coops to grow, innovate, and compete effectively in both domestic and international markets.
The interagency framework bridges national policy with local execution by delegating distinct operational responsibilities across the three signatory bodies:
- The Department of Agriculture (DA): Leads the technical, post-harvest, and financial intervention streams, focusing heavily on resource consolidation and agricultural productivity.
- The Department of the Interior and Local Government (DILG): Tasked with guaranteeing the active engagement of Local Government Units (LGUs). LGUs are now mandated to officially integrate agricultural cooperative development directly into their municipal and provincial development plans.
- The Cooperative Development Authority (CDA): Oversees institutional compliance, structural governance reviews, and grassroots capacity-building programs.
[ COOPERATIVE POWER MATRIX ]
│
┌────────────────────────────────┴────────────────────────────────┐
▼ ▼
[ RESOURCE CONSOLIDATION ] [ MARKET STABILIZATION ]
• Empowers independent, small-scale farmers and fishers to • Drives rural wealth accumulation by transforming standard
pool land, equipment, and capital to build economies of scale. farming groups into resilient, community-based business units.
• Mitigates unfair middleman exploitation by strengthening • Maximizes collective bargaining power during regional and
direct market access and wholesale logistics placement. national commercial trade transactions.
The policy shift aligns directly with the Marcos administration’s broader strategic goal of utilizing institutional convergence to modernize the countryside and protect food security.
“This memorandum is more than a policy document — it is a concrete whole-of-government commitment to empower our farmers and fisherfolk through stronger and more sustainable cooperatives. By aligning the efforts of national agencies and local governments, we can build a more responsive and efficient support system that contributes meaningfully to food security and national development.” — Francisco Tiu Laurel Jr., Agriculture Secretary
The DA confirmed that all necessary interagency reviews of the circular have been completed. The finalized text is currently being distributed to regional and field offices nationwide for immediate local deployment—unlocking a streamlined ecosystem where rural producers can scale their operations into highly viable, climate-resilient commercial enterprises.
