The national government will construct a 500-million-peso mega cold storage facility in San Jose, Occidental Mindoro, designed for preventing agricultural price volatility and reducing post-harvest losses, the Department of Agriculture (DA) announced.

The 5,000-pallet-position facility is expected to modernize Mindoro’s agricultural infrastructure and support farmers who frequently face dramatic price swings during harvest seasons.

Agriculture Secretary Francisco Tiu Laurel Jr said bidding for the project is scheduled for July 2025, with the facility expected to become operational by June 2026 if contracts are awarded on schedule.

“We won’t have to throw away produce, and the farmer won’t have to sell tomatoes for 30 or 40 pesos only for the price to suddenly drop to 5 pesos [per kilo] when harvests coincide,” Laurel said during a recent visit to the province.

The facility will serve dual purposes as both a storage center and trading hub.

A government-run KADIWA store will be established on-site to provide farmers direct market access, eliminating middlemen who often contribute to price instability.

The country has long struggled with post-harvest losses, with the Food and Agriculture Organization estimating that developing countries lose 20-40% of their agricultural produce due to inadequate storage and handling facilities.

Filipino farmers frequently experience boom-bust cycles where oversupply during harvest periods leads to prices below production costs.

Occidental Mindoro and Oriental Mindoro are highly agricultural provinces specializing in rice, vegetables, and livestock.

The island’s geographic isolation has historically made it vulnerable to supply chain disruptions and price volatility.

Photo: a cold storage facility in Nueva Ecija (used for illustration purposes only)