Performance of Philippine Agriculture

Agriculture contracted by 2.59 percent in the first half of 2010. This was largely caused by the El Niño phenomenon. The crops subsector registered the biggest production slump. There was also a reduction in fisheries output. The livestock and poultry subsectors continued to post production gains. Gross value of production amounted to P607.8 billion at current prices. This was 1.75 percent higher than last year's level.

Production in the crops subsector declined by 6.72 percent. The subsector contributed 44.83 percent to total agricultural production. Palay and corn output dropped by 10.24 percent and 24.95 percent, respectively. Sugarcane production was down by 21.86 percent while coconut production grew by a measly 0.40 percent. The gross value of crop production was P312.7 billion at current prices or 2.79 percent lower than last year's record.

The livestock subsector generated 2.11 percent more output this year. It accounted for 12.27 percent of total agricultural production. Bigger output increases were noted for carabao at 6.03 percent and dairy at 17.39 percent. Hog production increased by 1.60 percent. The gross receipts of the subsector was P104.9 billion at current prices which indicated a 12.36 percent expansion this year.

The poultry subsector grew by 2.46 percent in the first six months of 2010. The subsector shared 14.74 percent in the total agricultural output. Production of chicken and chicken eggs increased by 2.27 percent and 5.68 percent, respectively. The subsector grossed P77.9 billion at current prices, higher by 9.88 percent in 2010.

The fisheries subsector produced 0.11 percent less output this year. It accounted for 28.16 percent of total agricultural production. Aquaculture recorded a 2.74 percent growth. Production in commercial fisheries was reduced by 4.97 percent and in municipal fisheries, by 1.55 percent. At current prices, the gross value of fisheries production was P112.3 billion or 0.77 percent more than the previous year's level.

On the average, farmgate prices increased by 4.45 percent compared with last year's quotations. The livestock subsector posted the biggest price hike of 10.03 percent. Poultry prices went up by 7.24 percent. In the crops subsector, there was a 4.22 percent increase in prices. Meanwhile, average prices in the fisheries subsector indicated a slower rate of increase at 0.88 percent this year.