Farmers and agricultural stakeholders should consolidate their products and adopt backhaul logistics to help ensure food security and reduce fuel consumption amid the state of national energy emergency, according to FAST Logistics Group, as it prepares to roll out a farm-to-market initiative with farmers of Aritao, Nueva Vizcaya and industry stakeholders.
The country’s largest third-party logistics provider (3PL) estimates that around 70% of trucks on Philippine roads return empty after completing deliveries — an inefficiency in the supply chain that, if addressed, could significantly improve the transport of essential goods such as fruits and vegetables while lowering transport costs.
This is especially critical as food prices in major urban centers can reach up to three times the farmgate price of fruits and vegetables, driven by inefficiencies such as multiple handling points, wastage, and underutilized transport capacity, based on FAST’s monitoring and industry consultations.
FAST CEO for Logistics Manuel L. Onrejas Jr. emphasized that maximizing backhaul logistics capacity, which refers to utilizing delivery trucks’ return trips to carry cargo, would reduce “empty miles” and help cushion the impact of rising food prices on Filipino consumers amid the energy crisis.
“In the face of rising fuel prices and food insecurity, strengthening backhaul logistics is an immediate and practical solution. Every empty return trip is a missed opportunity to move essential goods and ease cost pressures on consumers,” Manny said.
Collaboration for Greater Farm-to-Market Access
The collaboration brings together logistics expertise and digital platforms to streamline sourcing, consolidation, and distribution.
FAST operates the country’s largest transport fleet of over 3,100 trucks and maintains the biggest warehouse network, with more than 2 million square meters of space and over 1 million pallet positions.
Meanwhile, Agro-DigitalPH and Mayani have extensive experience working with farming communities to supply leading supermarkets, hotels, restaurants, and other institutional buyers.
FAST Logistics Group: Stronger Backhaul Logistics for Food Security
FAST has committed to leveraging backhaul logistics to transport farmers’ produce more efficiently from Nueva Vizcaya to Manila, reducing transport costs by maximizing otherwise empty return trips.
Nueva Vizcaya produces around 120,000 metric tons of vegetables annually, much of which is transported to Metro Manila and nearby regions. Its mix of upland and lowland terrain allows for year-round production, making it a key contributor to Luzon’s food supply.
Aritao is being positioned as a logistics hub due to its strategic location along key routes linking the Cagayan Valley to Metro Manila.
The Provincial Government of Nueva Vizcaya and the Local Government of Aritao have pledged support for the initiative, including farmer capacity-building programs to help producers meet institutional demand.
“The energy crisis underscores the need for stronger collaboration between the government and the private sector. Through closer coordination, we can build a more efficient and resilient supply chain that safeguards the interests of both farmers and consumers,” he said.
Aritao Mayor Remelina Peros-Galam expressed optimism for the project, saying it will provide Aritao farmers opportunities to professionalize the food supply chain and improve their livelihoods through stronger links with institutional buyers.
“This project is an important step toward making our farmers more competitive and market-oriented,” she said. Connect with our Solutions Experts to learn more
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