As El Niño conditions continue to strain the Philippines’ food system, Aboitiz Foods is taking steps to strengthen its supply chain and maintain operations amid growing climate and market pressures.
The weather phenomenon has already affected nearly 451,000 people nationwide, with agricultural losses and damage reaching P6.5 billion, according to the National Disaster Risk Reduction and Management Council. The Department of Science and Technology’s PAGASA expects El Niño conditions to persist into early 2027.
On World Food Day, the regional food and agribusiness company emphasized its mill-to-meal approach to managing disruption across its operations.
“Food security is not just about having enough food available today,” said Teddy Deocares, first vice president for supply chain at Aboitiz Foods. “We also need to consider how reliably we can produce and distribute food, and how we can withstand disruption and continue serving communities over time.”
Operating across eight countries, Aboitiz Foods is monitoring market developments, commodity trends and shipping conditions to reduce avoidable disruption. The company is working with suppliers on advance arrangements and coordinating with cross-functional teams to plan purchases and freight operations.
Deocares said the company’s preparation involves assessing the availability of ingredients, reviewing inventory needs for selected commodities and managing operational requirements such as water availability and feed quality.
Climate pressures are compounding existing challenges. Ongoing geopolitical tensions in the Middle East continue to drive up costs for fuel, freight and raw materials. In the Philippines, hog raisers face economic pressure when farmgate prices fall below production costs, threatening the industry’s capacity to maintain local supply.
“A resilient food system must work for consumers, farmers and businesses to remain sustainable over the long term,” Deocares said. “Closer public-private collaboration is needed to strengthen local production and supply chain agility.”
The company is investing in local capabilities to support more efficient production and distribution. A planned Pilmico feedmill at West Cebu Estate in Balamban, Cebu, is expected to boost production capacity and complement the existing feedmill in Iligan City, which serves customers across the Visayas and Mindanao.
In Butuan City, Aboitiz Foods’ subsidiary, Pilmico Animal Nutrition Corporation, is working with partners to relaunch a meat-cutting plant to supply fresh pork to restaurant owners, food-related businesses and households.
Deocares noted that even household practices can contribute to a more resilient food system.
“Simple practices such as reducing food waste, using food and water responsibly and avoiding unnecessary stockpiling can make a difference,” he said. “That same sense of responsibility needs to extend across the entire food value chain.”
Through its integrated operations and partnerships across Asia, Aboitiz Foods aims to manage potential risks while supporting a more reliable food supply from mill to meal.
