HIGHLIGHTS

Agriculture grew by 4.70 percent in the first half of 2008. The crops subsector registered the biggest production gain. This was followed by the poultry subsector. The growth in the fishery subsector slowed down while an output decline was registered in the livestock subsector. At current prices, the gross value of agricultural production amounted to P577.0 billion, up by 23.23 percent from previous year's gross earnings.

The crops subsector which contributed 48.42 percent to total agricultural output posted the biggest output expansion at 7.72 percent. Palay production was up by 5.84 percent. Sugarcane production increased by 32.19 percent. Corn, banana, and pineapple production also recorded two-digit growth rates of 19.62 percent, 20.85 percent and 11.94 percent, respectively. The subsector grossed P321.5 billion at current prices or 32.24 percent more than the 2007 level.

The livestock subsector which accounted for 11.67 percent of total agriculture registered a 3.33 percent contraction in production compared to last year's performance. This was attributed to the 4.33 percent decline in hog output. The gross value of livestock production in the first half of 2008 totalled P89.2 billion at current prices and recorded a 12.14 percent gain over last year's level.

The poultry subsector which shared 13.22 percent in total agriculture produced 5.65 percent more output this year. Chicken production increased by 7.10 percent. The subsector grossed P59.8 billion at current prices, indicating an 11.13 percent increase compared to last year's level.

The fisheries subsector which was 26.68 percent of total agriculture indicated a slowdown in its performance with 2.74 percent growth this year. Commercial and municipal fisheries produced 1.28 percent and 1.18 percent more outputs this year, respectively. Aquaculture production was 4.11 percent higher this year. At current prices, gross earnings from fisheries at P106.5 billion were 16.07 percent higher compared to 2007 record.

On the average, farmgate prices increased by 17.70 percent during the first six months of 2008. Except for poultry, all subsectors recorded two-digit increases in farmgate prices. The crops subsector experienced the highest increase averaging 22.77 percent. Livestock prices were on the uptrend and rose by 16.01 percent this year. Fisheries had an average price increment of 12.98 percent while prices in the poultry subsector grew by 5.19 percent.