Corn output seen to hit target

MANILA, Philippines - Corn farmers are expected to meet the target production output of 7.8 million metric tons for the year as bumper harvest in expected in provinces unaffected by typhoon Pablo, according to the Department of Agriculture (DA).

Agriculture Secretray Processo Alcala said corn plants in Cagayan and Isabela are expected to contribute greatly to local production. Good buying prices have also encouraged farmers to cultivate the crop.

“We can expect high yield this year,” said Alcala. “We are also now conducting cloud seeding in the north were there has been no rainfall in the past few days.”

The National Food Authority (NFA) Council is still deliberating on the capability of the corn industry to export the grain cosidering that current production levels match the feed requirements of livestock growers and farmers enjoy good buying prices.

The National Corn Program of the Department of Agriculture (DA) has a production target of 7.8 million metric tons (MT) for 2012 and is targeting to attain corn sufficiency by next year.

This year’s projection by the National Corn Program is seven percent higher than the projection made by the Bureau of Agricultural Statistics (BAS) of 7.46 million MT, compared to last year’s output of 6.97 million MT. 

During the first nine months of the year, corn producrion grew 7.49 percent year-on-year to 5.90 MT from the previous year’s 5.48 MT. The gross vaue of production rose to P3.92 billion from P3.65 billion the previous year. 

Based on the 2011-2017 Corn Industry Development Roadmap, the government intends to increase corn production from 6.97 million MT in 2011 to 10.82 million MT by 2017 and to increase the annual income of farmers by 10 percent per hectare.

For 2012, the government expects to attain a sufficiency level of 98 percent with a deficit of 179,000 MT. This is because a small volume of corn requirements for animal feeds are still imported by livestock growers.

For 2013, the government intends to raise corn yield to 8.4 million MT with a sufficiency level of 101 percent with a surplus of 149,000 MT. To do this, the government is encouraging domestic consumption of ingredients for animal feeds.

The government is currently conducting intervention strategies such as the provision of production support services, irrigation development, post-harvest development services, marketing development services, as well as education and training for farmers.

A budget of P950 million has been allocated for the National Corn Program this year.

For 2013, the Natural Corn Program budget will be expanded to P1.5 billion. This will include support for the cultivation of cassava, which is used as an additive for animal feeds.

Alcala said corn farmers currently enjoy good buying prices at P14 per kilogram compared to the P18 per kilogram in the world market.

“(Selling) Price is the normal driver (of production). Farmers will try to replant as long as the price is good. Now, at P14 per kilo, this is good so farmers will be encouraged to replant,” he said.

The Agriculture chief said the primary consideration for exportation of yellow corn would still be the ability of the local industry to supply the feed demands of the livetsock sector.

“The demand for livestock continues to rise. So if increased corn production just matches the demand, why would we export?” Alcala.

At present, corn production “matches” the feed requirment of the livestock sector. Because of higher prices in the internatonal market, livestock raisers are forced to source their corn needs from local farmers.