Asean integration poses threats to Phl agri sector

CEBU, Philippines - While the Philippines is seen to lead the growth in services under the 2015 Asean integration, its agriculture sector is seen to be threatened if the government and the agriculture sector players won't make sound preparations now.

“We need to make conscious efforts in advancing our agriculture,” said economist Bernardo Villegas in an interview, adding that Philippine sugar production for instance is being threatened by the massive expansion of sugar plantations of Thailand.

If this concern will not be addressed, the Philippines may resort to total dependence of sugar import from Thailand, once the zero tariff environment will be implemented in the Asean Economic Community (AEC) as Thailand's produced sugar will come out cheaper than those produced in the Philippines.

On the other hand, Villegas said that Philippines should also double its effort in supporting the mango industry, while it has captured growing markets like the America and Japan.

He mentioned Cebu’s opportunity to prepare in shielding its niche in  mango production and processed mango foods, so as not to be left behind by other mango-producing countries in the Asean region.

If there is one thing the Philippines should take a look at seriously in the preparation for the integration, it would be in agriculture, he warned.

Likewise, the country should also improve the production of banana, coconut and other fruits that have big potential for international markets, as well as the Asean region.

Recently, other economists  also expressed the same sentiment urging the Philippines to further improve its agriculture niche.

According to Villegas, the Philippines should imitate Thailand in its success in developing and exploiting the agriculture sector.

Thailand’s success in establishing best agriculture infrastructure, like farm to market road, has paved the way for a vigorous agri-business sector, of which the Philippines has bigger potential to compete, if support infrastructure were properly established.

Asian Development Bank (ADB-Philippines) senior country economist Norio Usui emphasized the mango industry as the country’s leading edge in the agriculture sector, saying despite its huge potential for growth the government has yet to see the importance of the said industry.

Usui observed that at present, the country’s policy makers do not seem to know how to help the mango industry in the Philippines.

The government, he said, should see the plentiful ways of exploiting the opportunities of mango export, as the world has recognized the Philippine mangoes as one of the best. 

In Central Visayas, agriculture sector took a downturn in 2012 after posting a remarkable performance in the previous year. It registered a 9.9 percent drop in terms of agricultural production for the year.

A report from the National Economic and Development Authority (Neda-7), revealed that the dismal performance for the crop sub-sector,  which accounts for more than 80 percent of the sector’s output, and the continued poor showing by the fishery sector largely contributed to the inferior performance of agriculture in the region in 2012.

In Cebu, several corn farms were planted to cassava instead of corn as a result of the contract growing program of San Miguel Corporation.

There were also corn farmers in the region who simply shifted to planting other crops such as mongo, camote, eggplant, spring onions, patola, and cucumber. /JMD (FREEMAN)