Agriculture sector expands 3.5% in H1

14 August 2007 – According to the Department of Agriculture, the agriculture sector grew 3.5% in the first half of 2007, but this is significantly slower than the 5.24% growth experienced in the first half last year. Agriculture Sec. Arthur Yap said the government has been doing its best to help farmers recover from losses brought about by the recent dryspell, including implementing quick turnaround schemes for rice and corn. Despite these interventions, however, the DA admitted that it might be difficult to attain the 4%–5% growth target for the sector by yearend.

Rice production posted a 2.88% growth in January to June, producing 6.73 million metric tons, while corn output rose 5.69% to 2.75 million metric tons. On the other hand, coconut and sugarcane production dropped 4.93% and 5.66%, respectively. The fisheries sector contributed significantly, posting a growth of 7.19%, while the livestock sector recorded a 2.58% growth.

RP to produce 16.2M metric tons of rice in 2007—DA

25 July 2007 –The country is targeting to produce 16.2 million metric tons of rice this year, according to the Department of Agriculture.

The country currently has between 4–4.1 million hectares of rice harvesting areas. However, some farmers are converting their rice lands to produce other crops. In the Davao region alone, 11,000 hectares of rice land have been converted and are now planted to bananas. Despite this, the DA is confident that rice production will not drop to critical levels. In the first quarter of 2007, the palay harvest reached 3.68 million metric tons, up 1.62% from 3.62 million metric tons in the same period in 2006.

To boost rice productivity levels, the DA is pursuing the following actions: identifying idle agribusiness lands and utilizing these to balance off the production of select commodities; encouraging farmers in areas like Northern Mindanao and the Visayas to shift to rice farming: promoting hybrid and certified seeds; placing location specific interventions; and improving irrigation nationwide.

According to the Philippine Rice Research Institute, hybrid and certified seeds can improve rice yield by up to 62.5%. Meanwhile, the DA says that location specific interventions are productivity-enhancing because they improve soil conditions, while improving irrigation can increase yield by 30%. The National Irrigation Administration has a three-year plan to irrigate 40,000 hectares of irrigable lands in 37 key provinces.

Agriculture posts 3.9% growth rate
in 2006

18 January 2007 – The farm sector grew 3.9% in 2006, surpassing the previous year’s revised growth rate of 2.3%, but unfortunately falling short of the government’s 4% growth target. Typhoons Milenyo, Paeng, Queenie, Reming, and Seniang put a damper on what would have otherwise been a quite fruitful year. Strong farm output growth in the first and third quarters at over 6% was pulled down by the 3.8% growth posted in the last quarter.

In terms of subsector breakdown, crop volume for 2006 showed a 15.8% growth in corn, 8% in bananas, 6.2% in sugarcane, 5% in palay, and 0.9% in coconut. Unfortunately, other crops like mango, tobacco, abaca, coffee, mongo, camote, garlic, onion, cabbage, and calamansi posted negative growth rates. The fishery subsector‘s 6% expansion was mainly driven by the 10.4% growth in aquaculture. In the livestock subsector, the 3.9% growth in hog output cushioned lower carabao, cattle, and goat production. On the other hand, declining chicken, duck, and duck egg production drove the poultry subsector to contract -0.4%.

The Department of Agriculture believes the agriculture sector will grow 5% this year, taking into account the El Niño but not the possible damage to be brought about by typhoons. In anticipation of the El Niño, the DA is implementing this year a P3 billion irrigation rehabilitation program. The department also hopes that the program will enable the sector to achieve 7%–8% growth rates in 2008.

Agriculture sector up 4.9% in
January to September

13 November 2006 – Despite the typhoons that hit the country, farm sector productivity in January to September grew 4.9% to P218.6 billion from P208.4 billion in the same period last year. In terms of volume, farm output grew 5.4% to 59.6 million metric tons from 56.6 million MT a year ago.

Crops amounted to P102.4 billion, up 5.8% from P96.8 billion. In terms of volume, crops rose 5.5% to 53.7 million MT. Palay production increased 9.7% to 9.5 million MT, while corn shot up 15.7% to 4.8 million MT. This was due to more harvest areas, early rainfall, continued use and expansion of the adoption of hybrid and quality inbred seeds, sufficient water, and increased fertilizer application.

The fishery subsector enjoyed the highest growth rate in the nine-month period at 7.5% to P55.7 billion from P51.8 billion a year ago. Fishery output soared 6.9% to 3.2 million MT due to the availability of fingerlings, better management, good market demand, the use of new technology, conservation and protection of mangrove areas and coral reefs, favorable weather, and intensified efforts against illegal fishing. Meanwhile, livestock growth came in at 2.7% at P29.2 billion, while output rose to 1.6 million MT due to the continued increase in stocks and inventory of fatteners and fewer animals slaughtered due to shifts in demand. Poultry, however, was the period’s loser, falling 0.3% to P31.3 billion with an output of 1.1 million MT. Typhoon Caloy and the avian flu scare were blamed for the poultry subsector’s poor performance.

Veggie prices up after
Milenyo onslaught

9 October 2006 – Retail prices of some vegetables rose after Typhoon Milenyo battered the country last 28 September. Data from the Bureau of Agricultural Statistics revealed that vegetable prices increased by P10 to P40 per kilo as of October 7.

For instance, pechay, which was selling at P30 per kilo before the typhoon, rocketed to P70 on 30 September, but has dropped slightly to P60 since then. Eggplants now sell for P60 per kilo from only P30 late last month. The per-kilo prices of carrots and tomatoes also went up by P10 to P80 and P50, respectively, while sitaw rose to P50 a bundle. Meanwhile, prices of white potatoes and red onions remained stable at P40 and P70, respectively. On the other hand, prices of other basic food items, like rice, fish, meat and poultry, fruits, sugar, and cooking oil, were not affected during and after the disaster.

Local governments initially estimate at least P2.2 billion worth of agriculture and fishery damage in Sorsogon, P920.2 million in Albay, at least P390.5 million in Laguna, and P52.37 million in Eastern Visayas.

Farm sector grows 5.14% in H1

14 August 2006 – According to the Bureau of Agricultural Statistics, agricultural growth in the first half of 2006 was measured at 5.1%, up from only 1.4% in the same period last year. Agricultural output was recorded at 44 million MT, compared to 42 million metric tons a year ago. At current prices, the first-half output amounted to P443 billion.

Crop production accounted for 90.7% of the total agricultural growth as it grew 5.0% to 39.9 million MT. Sugarcane production increased by 2.0% to 15.2 million MT, palay went up 8.4% to 6.5 million MT, banana grew 11.2% to 3.3 million MT, and corn increased 32.0% to 2.6 million MT. The good harvest was a result of high demand, the expansion of harvest areas, early harvesting and milling, favorable weather conditions and sufficient rainfall, increased usage of hybrid and quality inbred seeds and fertilizer application, and the availability of financial aid.

Meanwhile, fishery production went up 8.1% to 2.2 million MT, mainly led by the 13.0% growth in aquaculture. Livestock output also posted a 2.7% growth to 1.1 million MT due to a 4.2% expansion in the hog industry. On the other hand, poultry production fell 1.5% to 756,000 MT due to the effect of typhoons and the avian flu threat.

Agriculture growth in Q1 up 3.9%

11 May 2006 – The farm sector came up with a robust 3.9% growth performance in the first quarter, with total production coming in at 26.5 million metric tons amounting to P77.2 billion. A year ago, growth was a measly 0.57%, with production at 24.9 million metric tons equivalent to P74.3 billion.

According to the Bureau of Agricultural Statistics, as of March this year, crops had posted a 6.3% growth, recuperating from –3.3% last year. The growth in palay, corn, banana, and rubber were able to offset significant losses in mango and abaca. Livestock rose 2.2% from 0.2% last year. Meanwhile, poultry declined by 3.7%, with duck production posting –10.9% growth. Fishery also experienced lower growth at 5.4% from last year’s 5.6%, as commercial fishery fell –13.1%.

Rains induced by the La Niña weather phenomenon and the transferring of plantations to Mindoro, Palawan, and Quezon province reportedly contributed to the recovery of local rice and corn production. Other practices seen as positively affecting production were the use of better-quality seeds, high demand and prices, and more areas and plantations bearing fruit. The avian flu threat continued to be a cause for concern for the poultry subsector but the demand for halal-certified chicken is seen as a new area of opportunity. Commercial fishery was adversely affected by the strict implementation of fishery laws, high fuel costs, and weather disturbances.

Agriculture growth pegged at 5%

9 May 2006 – According to Agriculture Secretary Domingo Panganiban, increased production in rice, corn, and aquaculture caused the farm sector to grow by 5.0% in the first quarter of 2006. Last year, growth in the same period was only 0.55%.

Rice output was up 7.6 % at 3.63 million metric tons. This will mean a reduction in rice imports this year to about 1.5–1.6 million metric tons from 1.8 million metric tons. Fishery growth was estimated at 7%–8%.

The weakening La Niña and the expected start of the rainy season is seen to boost the sector, as this will encourage farmers to plant early.

Rice millers alarmed over
possible rice cartel

28 April 2006 – According to the Philippine Confederation of Grains Associations, rice-exporting countries might be eyeing to form an organization that would in effect lead to a rice cartel. Thailand and Vietnam have reportedly agreed to unify their rice marketing and pricing strategies on a trial basis. Phicongrains fears that China, Pakistan, and India may follow their lead.

However, the National Food Authority pointed out that rice, unlike oil, is a perishable commodity, and this should limit the impact of any rice cartel. Also, in the event of surpluses, any cartel would be hard put to keep prices up.

Nevertheless, Phicongrains urged the government and private sector to support the country’s drive to achieve self-sufficiency in rice production.

DA budget rises to P4 billion

6 March 2006 – The Department of Agriculture has been allotted an additional P1 billion in the 2006 budget. The new funds are intended to increase rice production, repair irrigation dams, and build catch basins.

The DA intends to attain at least 4% agricultural growth this year, after posting a measly 2.24% in 2005. Rice production, in particular, is expected to benefit from the excess rainfall brought about by the La Niña weather phenomenon this year. Production will have to increase by at least 300,000 metric tons in order to meet the 14.9 million metric ton target for 2006.