DA: Rice supply woes to remain a challenge

CEBU, Philippines - Agriculture is a sector of production that has been struggling and contributing less to the national economic output for the past decades.

The unequal distribution of investments is said to be one main factor that has decreased the sector’s contribution to the economy. Most investments go to the other two sectors: services and industry.

The country’s statistics agency said the farming sector’s share to the Philippine economy plunged to 11.1 percent in 2012, much lower than 29.7 percent in 1946, that was more than 60 years ago. 

Government data showed agriculture’s gross domestic product share has no longer reached past 20 percent since 1970. Services and industry, which relatively have even share to GDP, continue to be the main economic growth drivers. GDP is supported by these three productive sectors.

Challenge

But what can the Philippines do to recover its agriculture sector and eventually achieve rice self-sufficiency? This remains a crucial policy question. This also poses a challenge for the country to make the industry more competitive as ASEAN economies integrate next year.

How can the regions in the country better address the sluggish growth of farming and also food security?

Agri in Central Visayas

For instance, Central Visayas is one of the regions that have recently experienced sluggish agricultural development which has worsened rural poverty.

Department of Agriculture-7 director Angel Enriquez claimed one of the problems is CV’s limited land resources, making full rice-sufficiency a big challenge. 

“But we’re not stopping to our goal for sufficiency and that is to increase sufficiency in terms of rice,” Enriquez said. Of the four provinces, she noted, only Bohol is rice sufficient and can feed its growing population.

Every Filipino consumes 80 to 90 kilos of rice each year, she said, adding that feeding a growing population of seven million in CV is definitely a challenge.

The other three -- Cebu, Negros Oriental and Siquijor -- have to import to meet their rice needs.

The director said Cebu’s 3 metric tons of rice production per hectare have to be hiked to the ideal figure of 3.9 MT per hectare.

She said some farmers in Bohol produce 7 MT of rice per hectare, a more-than-average yield.

Statistics indicated CV's agriculture sector grew only 0.3 percent in 2013, much lower than the 3.4 to 3.9 percent growth target of the Regional Development Plan.

Production of sub-sectors crops, fisheries, livestock and poultry all posted a decline during the first quarter of this year. 

On a national level, the sector contracted to 2.7 percent in third quarter, pulling down the country's Q3 GDP growth by -0.3 percentage point to 5.3 percent.

‘LGUs should support’

The official explained local governments have to support farm productivity to help revive the underperforming agriculture industry.

Even if the country is moving toward industrialization, Enriquez pointed out the development of farming should be prioritized.

“There should be a balance between [commercialization and agriculture]. Food security should not be sacrificed. We’re not against commercial developments in the countryside -- much better that there must be but there should be balance,” she said.

The DA official urged mayors and governors to support farming since Philippines is an agricultural-based country.

The government must also invest more in infrastructure, productivity, technology and manpower development to address the problem.

In a previous interview, Director Efren Carreon of the National Economic and Development Authority-7 said agriculture has become more vulnerable to disasters which have affected many small farmers.

He said most poor citizens in the nation belong to agriculture sector, that’s why realizing inclusive growth extensively depends how the livelihood of farmers is uplifted.

The NEDA and the agriculture agency have already discussed on how to increase agricultural production, he said.

The economic planning agency said support services and infrastructure investments are important to connect farmers to markets.

Gerry Avila, DA-7 agribusiness chief, said the Philippine Rural Development Project is aimed to increase rural income and boost farm productivity.

The chief said the sector must invest into climate-resilient agricultural infrastructures, alternative farming methods and organic farming to be competitive.

The DA will receive a budget of P88.8 billion in 2015, up by 11.1 percent from P80 billion this year. With the increasing budget, the agency is expected to increase agricultural productivity by spending on infrastructure developments.

In addition, agriculture officials said farmers should adopt organic methods to make their products competitive in the ASEAN market.

Shift to organic growing

Former DA undersecretary Dante Delima, in a recent natural growing forum in Cebu, said organic farming in the Philippines is growing very slowly because most farmers still practice the traditional way.

He stressed organic agriculture is even more essential today as it preserves crop quality, soil and environmental quality.

“We need to maximize the opportunity of natural farming because the demand is also growing. Let’s grab that opportunity,” he said.

Enriquez also believed the country has a big potential in producing organic products which demand higher price in both local and international markets.