DTI partners with DA, CIAC for Clark mega food hub

The Department of Trade and Industry signed a Memorandum of Agreement with the Department of Agriculture and the Clark International Airport Corporation to finalize the development of a mega food hub at the Clark Civil Aviation Complex.

At the signing ceremony in Makati City on Tuesday, the DTI said the National Food Hub is a step towards the Three-Year Food Logistic Action Agenda to “revolutionize the food distribution network in the country from farm to fork.”

“This MOU will accelerate the government’s efforts to make food available, accessible, and more affordable to the consuming public. The DTI expresses its full commitment to this initiative given our two-pronged objectives to ensure logistics efficiency, and expand food exports,” said DTI Secretary Fred Pascual.

DTI, DA collaboration

Under the project, the DTI is in charge of securing investments for construction and management, as well as promoting market and logistics linkage between suppliers and buyers.

The DA shall lead the development of the policies, public investments and other services that will support the hub.

“This project harnesses the mandate and resources of the three government agencies. Moreover, the PPP center has generously committed to provide the transaction advisory services to accelerate the feasibility study and bidding activities of the Hub. With the technical support from the USAID through its RESPOND Project, we can achieve the President’s goal of ensuring food security by empowering farmers and the private sectors, as well as strengthening supply chain and logistics systems and infrastructure development,” Pascual added.

The DTI chief said the approach of CIAC in facilitating a PPP arrangement for the project is very consistent to the direction of President Ferdinand Marcos Jr. to leverage on private sectors’ financial surpluses, technical competence, and innovative use of modern technology to ensure that we achieve the economies of scale in agricultural production that we need.

“The National Food Hub embodies the topmost strategy of our national government towards an inter-agency collaboration towards the achievement of multiple and cross/cutting goals such as the enhancing of food security, reducing of food inflation, increasing the purchasing power of the income of the households, and ultimately, increasing the income of our farmers.” added DA Secretary Francisco Laurel.

Nat'l Food Hub aligned with food security

 The National Food Hub will be established on a 64-hectare plot of land at Clark City, Pampanga near the Clark International Airport. The project cost is valued at around US$152 million.

Once established, the hub shall provide services for research and quality control, warehousing, food processing, international shipping, marketing services, and trading for local and foreign markets.

“The project is aligned with the call of the President Marcos to place food security at the forefront of the country’s national agenda,” said CIAC president Arrey Perez in a statement in November 2023.

 “The feasibility study of industry experts will soon commence, then we’ll start exploratory talks with prospective investors for a joint venture partnership so we’re looking forward to project completion in two years’ time. This is a huge infrastructure investment but will serve as a major support pillar to the national government’s efforts to boost the country’s agricultural economy,” he added.—Jiselle Anne Casucian/RF, GMA Integrated News