Performance of Philippine Agriculture

Agriculture contracted by 2.84 percent in the first quarter of 2010.  The decline was due to the effects of the El Niño phenomenon, particularly on production in the crops and fisheries subsectors.  The livestock and poultry subsectors managed to post output increases.  At current prices, the gross value of production amounted to P315.9 billion which was higher by 2.72 percent from last year’s record.

Production in the crops subsector dropped by 6.15 percent this quarter.  The subsector shared 47.75 percent in total agricultural output.  The output gains recorded by coconut, tobacco, cassava, onion and mango did not offset the huge production losses in palay at 11.41 percent and corn at 16.76 percent.  There were also big cuts in the production of sugarcane, mongo and rubber.  The subsector grossed P170.5 billion at current prices or 0.36 percent lower compared to previous year’s level.

The livestock subsector grew by 0.51 percent.  It posted a 12.28 percent contribution to total agricultural output.  Production increments were recorded for hog, goat and cattle ranging from 0.35 percent to 2.59 percent.  Dairy came up with a 17.22 percent output gain. The subsector grossed P51.3 billion at current prices, up by 9.20 percent from last year’s record.

Poultry production expanded by 2.02 percent.  The subsector accounted for 15.13 percent of the total agriculture output.  Chicken and chicken egg production went up by 1.81 percent and 4.43 percent, respectively.  Gross value of poultry production amounted to P41.1 billion at current prices or 14.85 percent higher than the 2009 level.

The fisheries subsector produced 0.63 percent less output in the first quarter of 2010.  It accounted for 24.84 percent of total agricultural production.  Aquaculture posted a 0.36 percent output increase.  Commercial and municipal fisheries registered production decreases of 3.50 percent and 0.15 percent, respectively.  The gross value of fisheries production was P53.1 billion, lower by 1.20 percent from last year’s record.

On the average, farmgate prices of agricultural commodities increased by 5.72 percent.  All subsectors posted price gains except fisheries.  Bigger price increases which averaged 12.57 percent were noted in the poultry subsector.  Prices in the livestock subsector increased by an average of 8.65 percent.  Prices in the crops subsector went up by 6.17 percent from the 2009 levels.  Fishery products were priced lower by 0.57 percent this year.