Philippine farm output rose in Q1 after last year’s dip

MANILA  -The output of the agriculture sector expanded in the first quarter of 2023 amid the lingering threats of animal diseases such as African swine fever (ASF) and bird flu and the looming El Niño weather phenomenon.

In a report released on Wednesday, the Philippine Statistics Authority (PSA) said farm production posted an increment of 2.1 percent, a turnaround from a 0.3 percent dip in the same period a year ago.

The value of agriculture and fishery production at constant 2018 prices reached P428.69 billion, higher than P419.96 billion year-on-year.

Better weather conditions beefed up the essential economic sector’s overall performance, according to Rizal Commercial Banking Corp. chief economist Michael Ricafort.

“Higher prices and inflation globally and locally led to higher prices of some crops and agricultural products, thereby also partly adding to the year-on-year growth in terms of value,” said Ricafort.

He said higher prices of rice, corn, grains and other agricultural products, on top of the government’s efforts to bolster domestic production to bring down food prices and overall inflation, likewise provided a boost.

The PSA noted that all subsectors—crops, livestock, poultry and fisheries—registered increases in production during the January to March period.

Strong livestock sector

The livestock subsector recorded the largest growth of 4.1 percent after falling 1 percent last year. Hog production was 5.1 percent higher during the quarter.

Poultry came second with a 3.2 percent gain although this was smaller than the 12.3 percent expansion previously. Chicken and chicken egg output inched up by 3.3 percent and 2.8 percent, respectively.

“We credit the resilience of our local raisers, despite ASF, AI (avian influenza) and the deluge of imports and prevalence of smuggling. They continue to repopulate and increase productivity,” said Samahang Industriya ng Agrikultura executive director Jayson Cainglet.

Crops recorded a 1.7-percent improvement after a decline of 1.7 percent earlier. Both palay and corn, Filipino staple foods, climbed 5.2 percent and 3.2 percent.

Back to 2021 levels

“Compared to the low output in the first quarter of 2022, it appears that there was a significant growth in the first quarter of 2023. But in fact, we just got back to approximately 2021 output levels for crops,” said Federation of Free Farmers national manager Raul Montemayor.

Philippine Chamber of Agriculture and Food Inc. president Danilo Fausto said the Philippines is assured of rice stocks good for more than 120 days or 4 months.

“The good production and outlook will include livestock, poultry and fisheries. The first and second quarter rice production will be good enough to last us until the next harvest during the wet season which is around August and September,” said Fausto.

Cainglet said favorable farm-gate prices—or the selling price between farmers and producers—and cash assistance from the government encouraged producers to farm or raise animals.

Fisheries logged a slight increase of 0.3 percent although this was a reversal from a 5.8 percent decline. Double-digit expansions were observed in squid (pusit), tilapia and blue crab (alimasag).

“To our mind, the increase in bangus and tilapia accounted for the increase in performance,” said Tugon Kabuhayan convener Asis Perez. INQ

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