The Kilusang Magbubukid ng Pilipinas (KMP) today said the government’s fuel subsidy program for farmers and fisherfolk has become “a mere token amid relentless oil price hikes that have already wiped out the meager incomes of basic sectors.”

Starting today, November 4, oil companies implemented another round of price increases: P1.70 per liter for gasoline, P2.70 for diesel, and P2.10 for kerosene, marking another big-time oil price hike (OPH). This follows last week’s increases of up to P2.00 per liter for diesel and P1.70 per liter for kerosene.

According to industry data, gasoline prices have risen by over P16 per liter and diesel by nearly P19 per liter since January 2025. “These cumulative hikes have far outpaced the one-time P3,000 to P5,000 fuel subsidy promised to farmers and fisherfolk,” KMP said.

“Every week, farmers spend thousands on fuel for tractors, irrigation, and transport, while fishers burn costly diesel daily for their fishing trips,” said KMP Chairperson Danilo Ramos. “A one-time subsidy cannot cushion the blow of relentless price shocks driven by oil deregulation and oil cartel profiteering.”

KMP urged the government to act decisively against oil price manipulation. The group also stressed that removing the 12% Value-Added Tax (VAT) and excise taxes on fuel would provide immediate relief far more substantial than token fuel subsidies. Currently, excise taxes add P10 per liter on gasoline, P6 per liter on diesel, and P5 per liter on kerosene, on top of the 12% VAT applied to the total pump price.

“Scrapping these unjust taxes would instantly reduce fuel prices by as much as P10 to P15 per liter,” Ramos added, “easing production costs and transport burdens for farmers, fishers, and consumers alike.”

“Ang nakalaang P150 million para sa fuel assistance ng mga magsasaka at mangingisda ay ilalabas lamang kapag umabot sa US$80 per barrel ang presyo ng krudo. Samantala, ayon sa Department of Energy, kumikita ang gobyerno ng humigit-kumulang P300 bilyon kada taon mula sa buwis sa langis — P125 bilyon mula sa VAT at P165 bilyon mula sa excise tax. “Kaya sa bawat OPH, pabor pa rin sa gobyerno,” according to KMP. “Nasa gobyernong Marcos Jr ang kapangyarihan at kapasyahan para bigyan ng economic relief ang masa sa pamamagitan ng agarang pagtanggal sa buwis sa langis at pigilan ang pagkaganid ng mga kumpanya ng langis. Dapat igiit ng publiko ang pagbaba sa presyo ng langis. Bawat pagsirit sa presyo ng langis, nagpapataas din sa presyo ng iba pang bilihin.”

KMP reiterated its call to scrap the Oil Deregulation Law and remove VAT and excise taxes on petroleum products to protect both producers and consumers. ###