Manila: The Department of Environment and Natural Resources (DENR) has announced the opening of more than 1.18 million hectares of forest land for sustainable investments under a new policy aimed at expanding economic opportunities in rural areas while ensuring environmental safeguards are in place.
According to Philippines News Agency, Environment Secretary Juan Miguel Cuna stated that DENR Administrative Order (DAO) 2026-34 outlines the process for identifying and evaluating forest areas suitable for investment in agroforestry, tree plantations, ecotourism, renewable energy, grazing, and other approved forest uses. Cuna emphasized that this policy aims to transform underused forest lands into engines of jobs, incomes, and local enterprise by attracting responsible, climate-smart investments.
Cuna highlighted that the department's goal is to provide forest investment opportunities that create jobs while aligning forest conservation with economic growth. The policy mandates the DENR to assess and identify forest areas appropriate for various projects, ensuring environmental safety, climate risk resilience, financial viability, and community benefits before project approval.
Existing valid forest tenure agreements remain unaffected by the new policy, which also prohibits developments harmful to forests, such as sanitary landfills and housing projects. The DENR is tasked with providing information on investment-ready sites to potential investors.
The order supports President Ferdinand R. Marcos Jr.'s directive to create more jobs by expanding forestry sector opportunities, which contributed only 0.2 percent to the Philippine economy in 2025, according to Philippine Statistics Authority estimates. The DENR's Forest Management Bureau (FMB) has identified about 1.18 million hectares of Potential Investment Areas (PIAs) available through Sustainable Forest Land Management Agreements (SFLMAs), with the potential to generate around PHP4 billion in annual investment revenue.
Agroforestry accounts for the largest share of identified areas, with more than 550,000 hectares, followed by tree plantations and renewable energy projects. The PIAs are distributed across all regions except the National Capital Region, with Eastern Visayas, Caraga, and the Davao Region having the largest identified areas.
The FMB projects that investments in agroforestry and tree plantations in the PIAs could yield about PHP38 trillion in production value from 2027 to 2052, highlighting the potential of sustainable forestry to attract investments, create jobs, and stimulate economic growth while providing essential ecosystem services.
Cuna underscored that forest protection and economic development are complementary goals, with science-based planning, climate resilience, and strong safeguards ensuring that investment-ready sites generate employment while sustaining forest resources for future generations. DAO 2026-34 prohibits investment activities incompatible with sustainable forest management.
The DENR plans to establish a Forestry Investment Portal and promote investment-ready sites through forums, trade fairs, exhibitions, digital platforms, and stakeholder engagement activities.
