Philippines - Country Commercial Guide
Agricultural Sectors

This is a best prospect industry sector for this country. Includes a market overview and trade data.

Last published date: 2021-09-11

Overview

The Philippines is an emerging market with a young, growing working-age population. The economy is expected to partially recover in 2021 with an estimated 5.5% GDP growth.

The Philippines is the ninth largest export market of U.S. agricultural products, remaining resilient in 2020 and reaching a record $3.2 billion. Meanwhile, the United States remains the largest single-country supplier of agricultural products with a 24% market share.

The top five exports of U.S. agricultural products in 2020 by value were soybeans & soybean meal ($953 million); wheat ($826 million); dairy products ($410 million); meat products ($241 million); and prepared food ($109 million). 

Philippine Facts:

Demographics

   110 million population (July 2021 est.)

    1.49% population annual growth (July 2021 est.) Quick

    52% under 24 years old & median age of 24 years old

    47% urbanization rate

    13% resides in Metro Manila (capital city)

    76% speaks English & 98% literacy rate

Gross Domestic Product (GDP)

GDP: $390 billion (est.)

GDP growth rate: 5.5% (est.)

GDP per capita: $3,545 (est.)

GDP PPP: $1,081billion (est.)

Agricultural & Related Trade 

Exports to PH: $12.9 billion

  PH Exports: $6.8 billion

Consumer-Oriented Agricultural Products:

- Pork

- Sauces and condiments

- Beef

- Food preparations

- Poultry

- Fruits

- Dairy products

- Vegetables

- Beverages

- Biscuits, cookies and baked goods

Top Fast Food Chains

Jollibee, Mc Donald’s, Mang Inasal, Chowking, Shakey’s, KFC and Burger King

Top Supermarkets

SM, Robinson’s, Puregold Price Club, Metro, Gaisano, and Landmark

Top Convenience Stores

7-Eleven, Alfamart, Ministop, Familymart, All Day , and Lawson

Top Warehouse Clubs

S&R and Landers

Sources: Euromonitor, Global Agricultural Trade System, International Monetary Fund, The World Factbook, Trade Data Monitor,  The Economist, World Bank, Philippine Statistics Office, Department of Trade and Industry, and FAS Manila research

Growth of Consumer-Oriented Food & Beverage Products
Growth of Consumer-Oriented Food & Beverage Products

The Philippines continues to be the largest market in Southeast Asia for U.S. consumer-oriented food & beverage products, a sub-sector of total agricultural products. Export sales in 2020 reached $1.1 billion and is up 44% from January-May 2021 versus last year. Consumer-oriented food and beverage products remain the best prospects for future export growth due to strong preference for U.S. ingredients and perceived higher standard and quality.                                      

Leading Agricultural Sub-Sectors

Food Retail Sector

The modernization of the Philippine retail sector continues its acceleration under COVID-19 restrictions, which have greatly shifted consumer buying habits to choose upscale vendors and online solutions. With the continued plight of the food service sector, retail sales are expected to remain strong. In total, the market segment is expected to grow 10% in 2021.

Food Service Sector

COVID-19 related measures continued to greatly hurt the foodservice sector, which declined 34% in 2020 with still little prospect of recovery in 2021. Food service providers that remain in operation have generally shifted to online delivery platforms and curbside pickups. Larger chain restaurants have made in-roads selling ready-to-cook meals in retail.

Food Processing Sector

Following a second year of contraction, the food manufacturing sector is expected to remain relatively stagnant with upside potential. Philippine food manufacturing continues to offer excellent opportunities for several U.S. products, including but not limited to dairy, milling wheat, and raw materials for processed meat products.

Resources

Further Information and Assistance:

USDA-FAS Manila is ready to help exporters of U.S. food and beverage products achieve their objectives in the Philippines.  For further information or assistance, please contact us at AgManila@usda.gov.