YEARENDER: A disappointing year for farm sector

MANILA, Philippines - The year 2010 had been a disappointing year for the agriculture sector.

Hoping to revive the sector, the Department of Agriculture (DA) put in place last year measures to pave the way for a more faster growth in with the entry of a new political administration.

But once again, the weather refused to cooperate, leading to a slower than projected growth for 2010.

Based on the sector’s continued dismal performance for the first three quarters of this year, the Department of Agriculture (DA) is projecting that 2010 is likely to post a flat growth.

Economist are even more pessimistic, predicting a possible negative growth contraction of 0.5 percent for the sector.

The lower growth for 2010 is once again due to the whims of nature, with a drought in the first quarter and a devastating storm wiping out standing crops of palay and corn in the second and third quarter of this year.

The drought in the first quarter not only damaged palay crops, but has also led to a shortage in the country’s sugar production, forcing the industry to resort to importation to temper a sharp increase in sugar prices.

The government tried its best to halt these increase, but by December the government had to acknowledge the need to let market forces dictate sugar prices.

Thus from the P36 per kilo at the start of 2010, sugar is now hitting as high as P70 per kilo. Such rice has translated to an increase in bread prices.

It appears that the new administration started off on the wrong foot by criticizing the former DA chief’s decision to stock up on imported rice supplies.

Announcing that the overstocking of imported rice has led to some rice stocks rotting, the new DA in a brief couple of months found itself backpedalling and acknowledging the need to continue rice importations.

The DA is shifting policy direction and this could either result in the country finally attaining its long-sought goal of self-sufficiency in rice, or send the Aquino administration landing flat on its face.

Recently confirmed Agriculture Secretary Proceso Alcala said the Aquino administration is “resolved to restore public trust in the DA, and the government in general, through good governance and related initiatives.”

He said the Aquino administration vows to accelerate growth and rural infrastructure build-up through Public-Private Partnerships (PPPs) and through stronger collaboration with stakeholders and other partners within and outside government.

The current administration is committed to promote a sound environment for future generations through sustainable food production practices, he added.

At the core of the government’s food security blueprint is a plan for self sufficiency in basic staples, notably rice, Alcala continued.

The overall framework called Agrikulturang Pinoy or Agri-Pinoy, “is a commitment to a broad-based agricultural growth and rural development — the preconditions that will help emancipate smallholders from the bondage of poverty and hunger, of hopelessness and despair.”

Alcala said, Agri-Pinoy, “is guided by the rationale thinking and actions on food security and self-sufficiency; sustainable agriculture and fishery; natural resource management; and local development.”

He said the Aquino administration is resolved to “know, understand and act on the needs of smallholders.’

Shortly after his takeover of the DA, Alcala chose to merge the former Ginintuang Masaganang Ani- Rice Program with the separate GMA-Corn Program and just having one National Rice and Corn Program.

Additionally, Alcala has chosen to give more emphasis to rice production of certified seeds rather than to hybrid seeds. He explained such move by saying that more farmers prefer to use the more affordable certified seeds than the more expensive though high-yielding hybrid seed.

Moreover, the DA’s premier rice research institute –PhilRice – experienced a big cut in its budget at a time when the DA is targeting rice self-sufficiency by 2013.

This decision has raised eyebrows among observers including noted agriculture economist Dr. Rolando Dy who wishes the DA luck in its ambitious three – now down to two-years – rice self-sufficiency goal.

But being only six months in office, the new DA leadership is still on probationary status and must be given leeway in its program.

Next year, there are giving to be no more excuses.