New legislators urged to freeze farmland conversions

Farmer organizations urged would-be legislators to file measures that would halt the conversion of farmland, citing the need to ensure food security.

Unyon ng mga Manggagawa sa Agrikultura (UMA) proposed that the 20th Congress consider a ban on land conversion by property developers.

“The country is losing precious agricultural land that could otherwise grow food staples like rice and vegetables to real estate projects for subdivisions and golf courses, commercial districts and pseudo-industrial zones,” it said.

It also called for measures to disincentivize farmers from switching away from staples to “plantation crops” like cavendish banana, pineapple, and oil palm.

“We cannot become food self-sufficient if the state prioritizes global market demand over domestic needs,” it added.

Agrarian reform beneficiaries are often forced to sell their land to developers due to unfavorable farming conditions, farmer organizations have said.

UMA is lobbying for the refiling of a Genuine Agrarian Reform bill, which seeks the distribution of land at no cost to farmer beneficiaries and the creation of cooperatives as vehicles for productivity.

President Ferdinand R. Marcos, Jr. in 2023 signed the New Agrarian Emancipation Act, which aims to condone all loans, including interests, penalties, and surcharges incurred by agrarian reform beneficiaries.

Farmer organizations have lobbied for the insertion of anti-land conversion provisions in a proposed Land Use Act, which was approved by the House of Representatives in 2023. The bill remains pending in the Senate.

UMA said legislators need to arrest the decline in the number of farm workers by improving their working conditions.

“The number of agricultural workers has long been on the decline — not because landless farmers are finally getting land, but because of rural wage discrimination against agri-workers,” it said.

UMA also pushed for the refiling of the proposed Rice Industry Development Act, which it views as an alternative to the Rice Tariffication Law of 2019.

The bill being backed by UMA seeks to increase rice industry productivity on a three-year timetable with funding of about P400 billion.

The allocations include a rice production socialized credit program (P25 billion), an accelerated irrigation development program (P45 billion), a post-harvest facilities development program (P30 billion), a research and development and extension services program (P15 billion, and a procurement program for the National Food Authority (P310 billion).

“The government needs to do more than bring food staples like rice directly to the market; it should also purchase directly from farmers, boxing out middlemen and, in particular, the rice cartel,” UMA said.

Source: Business World

Wholesale prices growth of building materials rise in April

Wholesale price growth of construction materials in the National Capital Region (NCR) rose in April, the Philippine Statistics Authority (PSA) reported on Friday.

The construction materials wholesale price index (CMWPI) in Metro Manila slightly picked up by 0.3% year on year in April, inching up from the 0.2% growth in March. However, this was lower than the 0.7% growth recorded in April 2024.

In the four months to April, Metro Manila’s CMWPI averaged 0.2%, slower than 1% growth during the same period.

The pace recorded in April was the fastest in nine months or since the 0.5% growth in July 2024.

Contributing to last month’s increase were faster growth in tileworks (3.6% from 1% in March), sand and gravel (0.4% from 0.3%), electrical works (0.4% from 0.3%), and painting works (1.1% from 1%).

The year-on-year growth in other commodities remained unchanged when compared with the previous month: plumbing fixtures & accessories/waterworks (0.9%) and doors, jambs, and steel casement (0.4%).

In a separate report by the PSA, the construction materials wholesale price index (CMWPI) in April eased to 1%, lower than 1.2% growth of March. It also cooled from 1.2% in April 2024.

Year to date, CMRPI averaged 1.1%, easing a bit from 1% growth in January-April 2024.

April print was the lowest in more than a year or since the 0.6% in March 2024The CMRPI is based on 2012 constant prices, while the CMWPI is based on 2018 constant prices.

The PSA attributed the slower annual CMWPI growth to prices in carpentry which slowed down by 0.4% in April from 0.7% in March and tinsmithry materials with 1.5% from 1.6%.

Commodity groups where rates steadied were painting materials and related compounds (2.4%), plumbing materials (0.7%) and miscellaneous construction materials (0.3%).

Jonathan L. Ravelas, senior adviser at Reyes Tacandong & Co., said that the modest construction growth could be influenced by several factors such as election ban and tariff risks.

“The ban on public works during the election period can lead to delays in construction projects and procurement of materials. This restriction, aimed at preventing the misuse of public funds for electioneering, often results in a temporary slowdown in construction activities. This can affect the demand for construction materials, contributing to the modest growth observed,” Mr. Ravelas said in a Viber message.

Mr. Ravelas added that tariffs on imported construction materials can increase costs and disrupt supply chains.

“These tariffs create uncertainty in the market, as companies may face higher expenses and delays in material delivery, impacting overall project timelines and budgets,” he said.

Source: Business World

Construction industry’s modernization to boost resilience amid trade uncertainties

The Philippine construction industry can improve its resilience amid ongoing global trade uncertainties by modernizing its operations and strengthening domestic supply chains.

“The tariff shifts introduced by US President Donald J. Trump have triggered ripple effects across global supply chains, affecting everything from raw materials to technology imports,” Vitaly Berezka, regional spokesperson for APAC (Asia-Pacific) at Austrian construction technology firm PlanRadar, said in an e-mail. “For the Philippine construction and property sectors, the most immediate risk lies in rising costs and potential delays tied to sourcing construction inputs.”

“The imposition of reciprocal tariffs by President Trump has certainly brought headwinds to the local construction industry. These tariffs will disrupt the construction supply chain, and hence might impact availability, lead times and pricing of imported construction materials,” Jason C. Valderrama, president and chief executive officer at construction firm JCV & Associates, said.

According to Mr. Berezka, the Philippines has an opportunity to position itself as a regional innovation hub as global firms rethink supply chains.

“By accelerating investment in digital infrastructure and construction technology, the country can increase project efficiency, attract forward-thinking investors, and strengthen its long-term resilience,” he said.

Local construction firms should push for digitalization to let them adapt to evolving global conditions accordingly, Mr. Berezka said.

“Embracing construction technologies like AI-powered platforms, cloud-based documentation, and digital twins will provide the visibility and flexibility needed to adapt in real-time to supply chain or regulatory shocks.”

In particular, they can adopt property technology or “proptech” platforms and digital construction tools, he said.

Construction-related technologies could also help these companies optimize procurement, automate workflows, and reduce material waste, he added.

AI is becoming a “powerful equalizer” in the construction industry amid the global uncertainties, he said, adding that using AI for predictive analytics can help construction managers anticipate delays or cost overruns and automate risk detection.

AI can also streamline reporting and compliance, which is crucial amid shifting regulatory and trade landscapes, Mr. Berezka said.

“Diversifying supplier bases and investing in local supply chains can reduce vulnerability to external tariff policies and logistical constraints. The Philippines has an opportunity to grow its internal capacity while still attracting international partnerships,” he added.

Mr. Valderrama said that with muted US demand for construction materials likely to lead source markets to consider exporting to the Philippines to skirt the higher tariffs, the Philippines must ramp up the development and completion of key infrastructure projects, address the housing backlog, and elevate the country’s manufacturing sector.

The construction industry must also widen its in-country and offshore supply pool, pursue vertical integration, utilize technologies, and adopt modern construction methods and sustainability practices, he said.

Mr. Berezka likewise said that industry players must collaborate with the government on long-term infrastructure plans to incentivize innovation and create a stable regulatory framework that encourages digital adoption and sustainable development.

“Resilience in this era will depend not just on withstanding disruption, but on using it as a catalyst to modernize and evolve. The future belongs to construction ecosystems that are digitally enabled, operationally agile, and strategically diversified.”

Source: Business World