Goal 3. Policy Environment and Governance Enhanced

As a complement to the preceding goals, the policy environment and governance shall be enhanced through: (a) the NCI; (b) the use of an effective common management strategy among agencies concerned; (c) budgetary reforms; (d) PPP; and (e) a review of laws and policy issuances.

Strategy 3.1. Reaffirm the mechanisms and objectives of the National Convergence Initiative (NCI).

The NCI is a multisectoral and integrated planning approach adopted by the DA, DAR, and the DENR towards more efficient use of resources. Through the NCI, the three rural development agencies undertake joint planning, programming and budgeting as well as monitoring and evaluation in the achievement of the sectoral goals and targets of the Plan. The objectives of the NCI include:

a)  Accelerating the completion of the CARPer up to 2014;

b)  Rationalizing land use policies and strengthen the system of land property rights;

c)  Promoting sustainable agriculture and preserve the land resource base;

d)  Enhancing the investment and opportunity climate for agribusiness;

e)  Promoting sustainable upland development and forest management; and

f)  Initiating CCA and mitigation measures.

Strategy 3.2. Adopt Managing for Development Results (MfDR) as a common approach among rural development agencies.

MfDR is a management strategy that focuses on development performance and sustainable improvements in outcomes, providing both framework and practical tools for strategic planning, risk management, progress monitoring, and outcome evaluation (OECD Policy Brief, March 2009). By focusing on clear and measurable results, government resources are translated into programs and projects that deliver development outcomes.

Strategy 3.3. Implement budgetary reforms.

The current budget system for the sector is commodity- and production-oriented and is not geared to promoting competitiveness. Funding for key functional areas under the AFMA, such as market and information services, regulatory functions, research, etc., is currently allocated to commodity programs, which are centrally managed and lack the ability to prioritize strategically across the entire sector.

A revised budget format shall correct this shortcoming by introducing a system based on priorities, functional responsibilities and market needs, consistent with the AFMA's goals. The revised format will also provide for a greater alignment between the planning and budget processes. This budgetary reform is also inherently linked with the MfDR strategy.

Strategy 3.4. Pursue PPP especially for infrastructure and value chain development.

The private sector will be tapped to participate in government's efforts in delivering immediately the needed infrastructure and services in the agricultural and fisheries sectors. Among the projects that may be eligible under PPP include irrigation infrastructure, food supply chain and postharvest services (i.e., bulk handling facilities, food/grains terminals and processing, storage, handling and port/transport facilities), production centers for various farm inputs, fish farming infrastructure, and market and trading centers.

Strategy 3.5. Review critical legislation (i.e., AFMA, Fisheries Code) and policy issuances (i.e., sugar trade).

A review of laws and policies shall be a continuing activity to ensure the responsiveness of such issuances to current developments in the sector. The AFMA of 1997 and Fisheries Code of 1998, mandates a mandatory review every five years. Corn and sugar trade policies will also be reviewed, to take into account the latest global trends and market forces, and to ensure supply adequacy supply, price stability, and affordability.