The Sulong Saka Lending Program is a government-backed agricultural loan initiative designed to support Filipino farmers, agribusinesses, and related stakeholders engaged in cultivating high-value crops. Spearheaded by the Department of Agriculture (DA) and managed by the Land Bank of the Philippines (Landbank), it offers affordable and accessible financial assistance for various stages of farming and agribusiness activities.
Whether you’re a small farm holder, an SME, or part of a cooperative, this guide will walk you through the entire application process, from the eligibility requirements to the acceptable loan purposes, project coverage, and the application process for the DA’s Sulong Saka Program.
Program Overview
As mentioned earlier, this program was designed to support the financial needs of farmers and agribusinesses engaged in high-value crops such as:
- Banana
- Cacao
- Coffee
- Oil Palm
- Rubber
- Vegetables
- Other specialty crops including mango, pineapple, abaca, bamboo, soybean, and root crops
Not only that, it was also meant to support the entire agribusiness value chain, from production to post-harvest processing, marketing, trading, and even exporting. To this end, Landbank has allocated a total of ₱10 billion for this program, in a bid to show its commitment to enhance crop diversity and support income growth for farmers across the country.
Why Consider the Sulong Saka Program?
The Sulong Saka Program is specially designed for agricultural players who want to transition into higher-value crop production or expand their agribusiness. There are actually many reasons that makes the program appealing:
- With affordable interest rates, large loanable amounts, and broad eligibility, it’s an excellent opportunity for those aiming to grow their agri-based ventures in the Philippines.
- It also complements other Landbank programs like:
- AFFORD-ARBs Program
- Sikat Saka Program
- Socialized Credit Program for the Sugarcane Industry (SCP-SIDA)
- Agricultural Competitiveness Enhancement Fund (ACEF)
- Rice Competitiveness Enhancement Fund (RCEF)
What Projects Are Covered?
The program was designed to support a wide range of agriculture-related ventures. That means, you may apply for a loan under this program if you’re involved in any of the following:
- Crop Production
- Vegetables (highland, lowland, spices, legumes)
- Fruits (mango, banana, pineapple)
- Industrial crops (abaca, bamboo, cacao, rubber, oil palm)
- Alternative staples (saba-cardaba, soybean, root crops)
- Agribusiness Support
- Establishment of nurseries and mother plant gardens
- New plantation, replanting, rejuvenation, and rehabilitation of old crops
- Post-Harvest & Processing
- Fermentation, drying
- Manufacturing such as roasting, milling, packaging
- Storage and warehousing
- Marketing & Trade
- Local and export trading of produce
Loan Purposes
However, do take note that you can only apply for the program and avail of its flexible loan structures if you are going to use it to fund specific agribusiness needs, such as:
- Production Loans: For crop cultivation and farm operations
- Fixed Asset Acquisition: Farm machinery, equipment, and tools
- Building Construction: Storage units, processing centers, greenhouses
- Working Capital: For operational expenses
- Rediscounting: Converting receivables into immediate funds
- Permanent Working Capital: For long-term operational stability
How Much Can You Borrow?
According to the information available on the Landbank website, the loanable amount and interest rates under this program may vary depending on the nature of your project. The general rule is as follows:
- Production Loan: 80:20 cost-sharing ratio (90:10 for smallholders)
- Fixed Assets: Up to 80% of the asset’s acquisition or construction cost
- Commodity Loan: Up to 85% of the market price at the time of the loan
- LGUs: Based on net borrowing capacity as certified by the Bureau of Local Government Finance (BLGF)
Interest Rate
- Individual smallholders enjoy an interest rate of only 5% per annum
Who Can Apply?
The program welcomes a wide range of qualified borrowers, including:
- Individual Small Farm Holders
- Small and Medium Enterprises (SMEs)
- Cooperatives
- Farmers’ Associations/Organizations
- Large Agribusiness Enterprises (LAEs)/Corporations
- Local Government Units (LGUs)
- Non-Government Organizations (NGOs)
- Countryside Financial Institutions (CFIs)
This wide range of target audience means that it was intended to support both smallholders and institutional actors in the agricultural sector.
Eligibility Requirements
If you fall into one of the categories above, you’ll need to at least meet the following qualification requirement depending on your type of operation:
For All Borrowers
- Must pass Landbank’s Risk Asset Acceptance Criteria (RAAC) as of the date of application
- Must have no existing unpaid loan with Landbank or any of its conduits for the same project area
For Individual Small Farm Holders
- Must have a farm area of 0.5 to 5 hectares
- Must be either a landowner or a leaseholder
If you’re a landowner:
- You should be actively managing the farm or supervising its activities
- You must have a valid land title (e.g., OCT, TCT, EP, or CLOA)
If you’re a leaseholder:
- You must have a notarized lease contract with a remaining term that covers the entire loan period
Additional Requirement:
- You must have an identified buyer or market for your produce. Ideally, this includes purchase orders from reputable traders or distributors.
Documentary Requirement
To start the application, you would need to prepare the following documents that will support your application, such as:
- Valid ID
- Land ownership documents or lease contract
- Farm business plan
- Market agreements or purchase orders
- Proof of farming experience or track record
- Any existing financial statements (for enterprises and organizations)
How to Apply for the Sulong Saka Program
Here’s a step-by-step guide to start your loan application:
Step 1: Visit a Landbank Lending Center
Head to the nearest Landbank branch or lending center to inquire about the Sulong Saka Program. You may also contact their customer service for guidance.
Step 2: Prepare Required Documents
You will need to bring the required documents to prove that you are who you claim to be.
Step 3: Undergo Loan Evaluation
Landbank will then evaluate your application based on its Risk Asset Acceptance Criteria. They may request additional documents or conduct site visits to assess your project feasibility.
Step 4: Wait for Loan Approval
Once approved, you will be advised of your loan terms, repayment schedule, and fund release. Make sure to review the loan agreement thoroughly before signing.
Step 5: Use Funds for Approved Purpose
Make sure to use the loan amount strictly for the approved project activities. Misuse of funds can lead to disqualification from future assistance.
Video: Landbank Sulong Saka Lending Program
The Sulong Saka Program is a financing option for Filipino farmers, agri-entrepreneurs, and cooperatives looking to venture into high-value crop production or scale their current operations. With funding support from Landbank, access to affordable credit is now more feasible—providing the boost that agricultural communities need to thrive and diversify in today’s market. To learn more, watch this:
Contact Information
If you’re interested, the best time to inquire is now. You may visit a Landbank Lending Center or get in touch with their customer care team to get started.
- Customer Care Hotline: (02) 8-405-7000
- Toll-Free (PLDT): 1-800-10-405-7000
- Email: customercare@mail.landbank.com
- Website: www.landbank.com