Results BriefsNovember 20, 2025

Enhancing Rural Incomes and Productivity in Agriculture and Fisheries in the Philippines

The Philippine Rural Development Project aims to increase rural incomes and enhance farm and fishery productivity in the targeted areas. To date the project has provided capacity building/technical assistance and financial investments for agri-fisheries enterprise and infrastructure subprojects to some 1.553 million beneficiaries, of whom 39% are women.

Challenge

Agriculture is the main source of livelihood for 25% of the country’s labor force and contributes to about 10% to the gross national product. It is the major employer of the rural population, and its transformation is critical for the country’s inclusive growth and job creation. However, its transformation has been slow due to (a) low productivity and value addition; (b) impacts of climate change causing decline in yields and production areas; and (c) poor connectivity and logistics gap. These result to high transport and logistical costs, high volume of food losses in the country, and high food prices. Food cost remains high which is one of the triggers for inflation.

Approach

The PRDP aims to increase rural incomes and enhance farm and fishery productivity in the targeted areas. Project interventions start with the Provincial Local Government Units (LGUs) preparing their Provincial Commodity Investment Plans (PCIPs) according to their agri-fishery priorities. The PCIPs are developed based on science-based studies prepared under the project such as value chain analysis, expanded vulnerability and suitability assessment, climate risk vulnerability assessments, and geotagging, among others to strategically guide public investments toward a modern, value-chain oriented and climate-resilient agri-fisheries sector. Based on the PCIPs, the project provides capacity building/technical assistance as well as financial investments for agri-fisheries enterprise and infrastructure subprojects proposed by LGUs and/or Producers’ Groups composed of farmers/fisherfolk’s associations.

Results

The project has helped raise rural incomes, enhance farm and fishery productivity, and improve market access throughout the country since it started in late 2014. Below are key project accomplishments:

  • Assisted about 1.553 million beneficiaries nationwide (39% are women-beneficiaries).
  • Supported the preparation of PCIPs in all 81 provinces of the country.
  • Constructed and/or rehabilitated over 2,362 kilometers of farm-to-market roads which resulted in a reduction of travel time by 66% and reduction in transport costs by 52%.
  • Increased by 26% the annual household real income.

The Tibolo Farm Workers Association (TIFWA), an Indigenous Peoples’ (IP) association in Mindanao belonging to the Bagobo Tagabawa Tribe, has received PRDP assistance for their "Green Coffee Beans Processing and Marketing Enterprise Subproject". The assistance helped TIFWA increase their capacity to produce high quality coffee beans which is the main source of livelihood for their 103 IP members and their families.  It also improved their confidence to work together and enabled them to compete in the local market and make their initial mark in the international coffee market.

PRDP assistance provided more opportunities especially to our women-members to learn more skills that enabled them to do more jobs than before. The Government support, such as the provision of training and capitalization for our business, allow women to prove that we can also succeed not only as individual workers but also as leaders of organizations. I believe that this is how other nations have advanced and why by empowering more women also contributes to the development of more countries.” Ms. Antic further added that “for me, gender equality means there is no discrimination whether you are male or female - everyone gets the same treatment and are treated equally. It's believing that men or women can do the same things without any difference.
Jeciry Antic of the Tibolo Farm Workers Association
Jeciry Antic
Tibolo Farm Workers Association
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1.553 million

1.553 million beneficiaries received capacity building/technical assistance and financial investments for agri-fisheries enterprise and infrastructure subprojects

Bank Group Contribution

  • International Bank for Reconstruction and Development: US$814.19 m (three loans composed of Original Loan, First Additional Financing (AF) and Second AF
  • European Union Co-Financing: US$21.98 m (co-financing to Second AF)

Partners

Implementing Agency: Department of Agriculture

Subproject Proponents: Local Government Units (LGUs) and/or Producers Groups (PGs; composed of farmers/fisherfolk’s associations)

Co-Financier: European Union

The LGUs/PGs as subproject proponents provide a good implementation arrangement for subproject counterpart/cost-sharing, procurement and contracts management, and operation and maintenance (O&M). The EU co-financing is instrumental and primarily targeted the Bangsamoro Autonomous Region in Muslim Mindanao and other vulnerable groups in Mindanao such as Indigenous Peoples and women.

Looking Ahead

Building on the project’s experience, two projects were approved by the World Bank Board in June 2023 following the relevant PRDP processes and institutional arrangements as well as best practices. The first project is the Mindanao Inclusive Agriculture Development Project (US$100 m) which focuses on Indigenous Peoples/Indigenous Cultural Communities in selected ancestral domains in Mindanao. The second project is the PRDP Scale-Up (US$600 m) which focuses on more transformational investments that support the LGUs’ priorities as per their PCIPs. Recently, the Government proposed another program to support an additional priority initiative within the agriculture sector. This proposal is set to encompass a climate adaptation and mitigation agenda. Three other projects under preparation in the social, water and education sectors (Pagkilos - Locally Led Climate Action, Philippine Water Supply and Sanitation Project, and Project for Learning Upgrade Support, respectively) will also adopt and replicate relevant PRDP systems and procedures in project design.