New administration, new agriculture

Learning from the agriculture industry’s past performances will help improve the next administration’s governance.

On April 18, this was commendably done by the Department of Agriculture (DA) when it presented its updated National Agriculture and Fisheries Modernization and Industrial Plan (NAFMIP) for 2021-2030.

Supported by the DA’s top management, Assistant Secretary Agnes Miranda spearheaded this initiative. For the very first time, the DA used outside experts to provide objectivity and an independent perspective. They were from the Asian Development Bank and the Food and Agriculture Organization.

The NAFMIP identified “three guiding stars.”

The first is “raising profitability and total incomes.” In the past, too much emphasis is given to production, and too little to market. NAFMIP, therefore, recommended a much larger budget for the DA. Currently, it is at 2 percent of the total government budget, compared to Thailand’s 4 percent and Vietnam’s 6 percent.

In addition, the monocrop practice in our major agriculture areas of rice, coconut and corn should be replaced by a multiple commodity system. This should mean increasing significantly the budget share for high value crops from today’s level of less than 5 percent.

Also, the lack of necessary government support services have deprived our farmers and fisherfolk the capability of being globally competitive. Instead of providing these services, our government decreases tariffs significantly and then suddenly increases imports without supporting our producers.

This happened in the implementation of the rice tariffication law. Our government did not provide the internationally accepted safeguard measure of temporarily increasing the effective tariff rate. Consequently, our rice farmers have suffered a 23-percent drop in income and increased rural poverty, which is already more than double that of our neighboring countries.

The second guiding star is “promoting health and nutrition.” Using the commodity system approach, guiding commodity selection will help accomplish this. In addition, our border controls must be implemented effectively to prevent diseases coming in with the imports.

A massive education effort should also be provided so that elementary level students will be guided with their food choices. This will help boost local production (by substituting less healthy imports with our own) and increase our farmers’ incomes.

The third guiding star is “environmental sustainability and resilience.” More collaboration with the Department of Environment and Natural Resources (DENR) should be done, with emphasis on reforestation and mangrove development. Bamboo should be promoted. It is low cost, low maintenance, prevents soil erosion and provides livelihood opportunities.

Mangroves are equally important. They protect the coastlines, prevent flash floods and increase fish supply. They also provide livelihood opportunities like crab cultivation.

During the April 18 meeting, the DA also welcomed suggested improvements to the NAFMIP, such as those provided by Alyansa Agrikultura:

An international trade section, given our fast changing global environment;

An effective export and an equally important import strategy;

Safeguard and international trade options, including antismuggling initiatives (especially in the context of Albay Rep. Joey Salceda’s April 19 statement: “I think the DA is the mother of all smuggling”);

Private sector’s meaningful participation in monitoring and evaluation (especially in the DA’s budget use after the Commission on Audit reported P22 billion in unliquidated 2020 expenses).

Though needing further adjustments, the improved NAFMIP should guide the new administration in birthing a new agriculture.

The author is Agriwatch chair, former secretary of presidential flagship programs and projects, and former undersecretary of the DA and the Department of Trade and Industry. Contact is [email protected].