The Department of Agriculture (DA) launches a new village-based feed ecosystem. 

According to the agency, this aims to boost corn and livestock production, which lowers feed costs.

On February 2, 2026, DA Secretary Tiu Laurel Jr. approved Memorandum Circular No. 2, granting permission to implement the Village-Type Feed Complete Chain Project.

This project is an integrated feed system in which farmers' cooperatives and associations can generate income through production, harvest, etc.

“Village-Type Feed Complete Chain Project (VFCCP), a vertically integrated feed system that allows farmer cooperatives and associations to engage in corn production, postharvest processing, feed milling, and Total Mixed Ration (TMR) preparation under a single, value-adding enterprise,” the agency explains

For financial allocation, the agency plans to set aside 40 million pesos. The initial fund will be sourced from the National Livestock Program under GAA.

“The DA will set aside a maximum budget of P40 million for each viable project, depending on the approved components and readiness of the recipient. Initial funding will be charged against the National Livestock Program under the General Appropriations Act, with succeeding allocations proposed under the regular budget to ensure continuity,” according to the DA

Cooperatives or associations will manage up to 25 hectares of land dedicated to corn and forage production.

The agency enumerates its task to execute seamless operations.

“These cooperatives will operate mechanized, community-managed feed systems covering crop production, postharvest handling, feed milling, storage, and distribution—effectively creating localized, closed-loop feed supply chains,” the agency stated

The projected net income for this project would be 8.2 million pesos if it reaches the estimated average annual revenue of 38.9 million pesos. The 30.7 million will be charged for operating costs. 

Therefore, the rate of return of this project would be 23%, based on the estimation of the agriculture department.