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Agricultural production declines in Q3

By Luisa Maria Jacinta C. Jocson, A reporter

The Philippines’ agricultural output fell 3.7% in the third quarter, the biggest drop in nearly four years, statistics authorities said on Wednesday.

Data from the Philippine Statistics Authority (PSA) showed the importance of agricultural production and fshares at normal 2018 prices fell by 3.7% to P397.43 billion in the July to September period. This was worse than the 0.2% decline in the same period last year.

This was also the largest decline in farm output since the 3.8% decline in the fourth quarter of 2020.

Of fIn the first nine months, agricultural production decreased by 2.2%, a reversal of growth of 0.2% last year.

“This is due to the decrease in the prices of crops, livestock and fisheries production,” PSA said.

The Department of Agriculture (DA) in a statement said the decline in farm production is due to bad weather and the continued impact of African Swine Fever (ASF).

On the downside, crop production fell 5.1% in the quarter ending in September, the worst from a 0.2% decline a year earlier. Crops accounted for more than half or 53.2% of total farm production.

In the January-September period, plant production fell by 4.6%, reversing a 0.9% increase last year.

“Undoubtedly, the combined effects of El Niño and La Niña reduced the production of palay, which has a significant impact on the crop sector, which includes more than half of the total agricultural and fisheries production,” said Agriculture Secretary Francisco P. Tiu Laurel, Jr. he said.

Palay (unmilled rice) production was the main contributor to this decline, down 12.3% in the third quarter.

PSA data showed sugarcane fell by 83.8% during the July to September period. The lowest result was also seen in mango (-11.2%), the playa (-5.6%), rubber (-4.6%), cassava (-3.9%), banana (-1.1%), pineapple (-0.4%), and coconut (-0.1%).

“On the other hand, the amount of maize production was 1.3% higher than the level of the same quarter last year,” it added.

Meanwhile, livestock production, which accounts for 15.5% of the total, decreased by 6.7% in the third quarter. This was a reversal of growth of 2.5% last year.

The number of livestock decreased by 3.5% in the first nine months from a growth of 2.4% last year.

This as pig production fell 8% in the third quarter, reversing a 3.3% increase last year.

“There was also more livestock hit by ASF in this third quarter compared to last year’s quarter,” Samahang Industriia ng Agrikultura Executive Director Jayson H. Cainglet said in mixed English and Filipino.

A recent report from the Bureau of Animal Industry showed that there are active ASF cases in 108 municipalities in 25 states as of Oct. 18.

There was also a decrease in the production of goats (-4.1%) and carabao (0.5%). On the other hand, the highest production was seen for dairy products (6%) and cattle (0.9%).

Currently, fSheries production fell 5.5% in the third quarter, although an improvement from the 6.1% contraction in the same period in 2023.

The fishing industry accounted for 14% of the total output of the agricultural sector in the quarter.

Over a period of nine months, the amount of fSheries output fell 0.9%, an improvement from a 7% contraction last year.

Double-digit rejections were recorded for grouper or lapu-lapu (-31.9%), big-eyed scad or pumpkins (-23%), fimbriated sardines or tunsoy (-18.9%), Indian mackerel or alumahan (-18.8%); yellowfin tuna or tambakol (-18.6%), rounded scad or galunggong (-17.2%), tiger prawn or sugpo (-16.7%), mud or it is not mango (-14.8%), slipmouth or sapsap (-14.7%); again squid or push (-11.9%).

Production is similarly denied in frigate tuna or pumpkin (-7.5%), milkfish or the bank (-6.9%), Bali Sardinella or tamba (-6.7%), cavalla or talakitok (-4.6%), tilapia (-4.2%), and seaweed (-1.5%).

“I fisheries subsector and sufbecause of bad weather,” said the Ministry of Agriculture.

Mr. Cainglet said there are more typhoons this year compared to last year.

Many hurricanes and typhoons hit the country in the third quarter, which caused great damage to agriculture.

These include the combined effects of the southwest monsoon and Typhoon Carina (P4.73 billion), Severe Tropical Storm Enteng (P3.77 billion), and the combined effects of advanced southwest and tropical storms Ferdie, Gener, and Helen (P1. 09 billion), according to DA figures.

ONE STRONG PLACE
Meanwhile, poultry was the only sector to post a profit in the third quarter. Poultry production grew by 5.8%, faster than the 2.9% in the same period last year.

Poultry production grew by 6.8% in the January-September period from 2.5% last year. It accounted for 17.3% of the total value of agricultural production.

An increase was seen in chicken eggs (6.6%) and chicken (6%), while a decrease was seen in duck eggs (-5.7%) and duck (-3.2%).

The National Manager of the Federation of Free Farmers, Raul Q. Montemayor said that the decrease in farm production is also because the sector is vulnerable to shock.

“Even though we can point to weather disturbances and animal diseases as a result of the decrease in production, it comes back againfit shows the low level of resilience and vulnerability of the sector to external forces,” he said.

“The decrease in production is caused mainly by the reduction of volume, which cannot ofplan for regular price hikes,” he added.

Mr. Cainglet said farmgate prices for palay and pork continued to be low due to imports and tax cuts.ffs. “Even the price of farmgate chicken, although increasing, is below the cost of production. The price of chickens at the farm is P90 per kilo,” he added.

The executive order reduces tariffs in rice sales at 15% until 2028 taking iefcomplete in July.

Mr. Tiu Laurel said the government is working on measures to support the sector, such as continuing to develop the ASF vaccine.

“We are making changes to the rice planting calendar and building infrastructure such as water retention dams to reduce the impact of climate change on the agricultural sector,” he added.

The DA is targeting 1-2% agriculture growth this year.

The agricultural sector usually accounts for a tenth of the country’s gross domestic product (GDP). It also provides about a quarter of all jobs.

The PSA is scheduled to release third-quarter GDP data today (Nov. 7).


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