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Cagayan To Establish P275-M Rice Processing Center For Agri Modernization

by DitoSaPilipinas.com on Feb 09, 2026 | 09:49 AM
Edited: Feb 11, 2026 | 04:22 PM
Cagayan To Establish P275-M Rice Processing Center For Agri Modernization

Cagayan To Establish P275-M Rice Processing Center For Agri Modernization

Cagayan is moving forward with plans to construct a P275-million Rice Processing Center (RPC) as part of a broader push to upgrade its agricultural sector and strengthen support for local farmers. Provincial officials see the facility as a major step toward improving rice production, raising farm incomes, and making locally grown rice more competitive in the market.

Governor Edgar Aglipay said the province is already preparing for the project’s implementation, noting that he has personally inspected the site in Barangay Tabbac where the center will be built. The RPC is expected to play a central role in modernizing the local rice industry while expanding opportunities for farming communities.

Boosting Rice Value Chain and Farmer Income

The facility will be constructed on a one-hectare lot owned by the local government and is targeted for completion by 2027. It is classified as a flagship component of the One Cagayan Vision, a long-term development roadmap that prioritizes agricultural modernization, sustainable tourism, and the promotion of high-value crops across the province.

Beyond serving Buguey, the project is also expected to support surrounding towns.

“The project will benefit not only Buguey but also neighboring Santa Teresita and Gonzaga towns,” Aglipay said.

According to the governor, the RPC is designed to address two persistent problems in the local rice sector: low farmgate prices for palay and high retail prices of rice. With access to modern milling and drying facilities, farmers will be able to process their own harvests, improve product quality, and sell rice directly to buyers instead of relying solely on traders.

“This is the project that will increase the price of palay and lower the price of rice, because once we have a rice processing center with milling and drying facilities, it will help improve the lives of our farmers,” Aglipay said.

He also pointed out that the RPC could reduce post-harvest losses, enhance rice quality, and strengthen farmers’ bargaining power.

“By cutting out middlemen and allowing farmers to sell milled rice, the RPC could help stabilize prices and ensure that more of the profit stays in the community,” Aglipay said.

Complementary Projects for Tourism and High-Value Crops

Alongside the RPC, the provincial government is pursuing other initiatives aimed at broadening economic opportunities. Aglipay recently inspected the rehabilitation of the Port and Park in Santa Teresita under the Timmore Island Project, which is intended to attract more visitors, generate jobs, and diversify local income sources.

The governor also announced plans to establish a Pineapple Processing Center in Gonzaga, where a large pineapple plantation is already operating.

“This new facility will support farmers of high-value commercial crops, providing them with the means to process and market their produce more effectively,” Aglipay said.

He added that the pineapple center is expected to create employment, minimize waste, and open new markets, following the same approach as the Rice Processing Center.

“With the Rice Processing Center in Buguey and the upcoming Pineapple Processing Center in Gonzaga, the province is set to become a model for rural development and farmer empowerment in the Philippines,” Aglipay said.

Projects like the RPC translate into more stable rice supply, potentially lower prices at the market, and stronger local economies, showing how investments in farm infrastructure can directly affect food security, household spending, and community livelihoods.

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