By Kenneth Marcos 
In farming communities where abaca is still king, many farmers continue to wonder why their hard work earns less than what producers are making in the market. But change may be coming.
The Philippine Fiber Industry Development Authority (PhilFIDA) has taken steps to address the long-standing issue of low and unequal farmgate prices for abaca. The agency is now benchmarking its price monitoring system on the Philippine Coconut Authority’s (PCA) model for daily copra price reporting—hoping to make abaca pricing more transparent and fair for farmers.
The initiative comes as more abaca farmers raise concerns about the large price gap between what they earn at the farm level and the selling price of abaca pulp in the market. By adopting PCA’s proven pricing model, PhilFIDA aims to bring clarity and accountability to the abaca trade, which remains one of the country’s major traditional export industries.
PhilFIDA’s delegation, led by Atty. Adrian Jude Echaus, recently visited the PCA to learn firsthand how the daily copra price tracking system works. The team included officials Grace Aurora F. Pastores, Jocelyn A. Agra, Gideon R. Rodelas, and John Michael Biccay.
PCA Administrator Dr. Dexter R. Buted welcomed the move, describing it as a step toward fairer trade for farmers. He emphasized the importance of data-driven reforms in achieving market transparency and strengthening the coconut and fiber sectors. The PCA team was joined by experts from its planning and technical departments to support the collaboration.
Aside from pricing, both agencies are also pushing forward a Memorandum of Understanding (MOU) to promote abaca-coconut intercropping. This mixed-cropping strategy is seen as a way to increase farmers’ income while maximizing land use.
Part of the plan includes conducting a comparative income study between traditional abaca-only farms and new abaca-coconut intercrop systems. If proven effective, the Department of Agriculture’s High Value Crops Development Program (HVCDP) may offer funding support for farmers willing to shift to the more profitable model.
In addition, the agencies are working to revive a Joint Administrative Circular (JAC) that clarifies the roles of each institution in regulating the country’s coir and coir product industries. Coir, a byproduct of coconut husks, holds growing economic potential if properly managed and marketed.
Dr. Buted stressed that this partnership is not just about price monitoring—but about building a future where fiber and coconut industries work side-by-side to empower farmers and grow rural economies.
“This is a step toward a more equitable pricing environment, farmer empowerment, and integrated fiber and coconut industry growth,” he said.
The effort shows growing recognition that farmers deserve fair value for their produce, and that pricing transparency is essential to building trust and stability in agricultural markets. For the thousands of abaca farmers across the Philippines, this may signal a new era of reform, one grounded in science, data, and cooperation.
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