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Farm sector posts 2.9% growth in Q2

Adrian Kenneth Halili - The Philippine Star
Farm sector posts 2.9% growth in Q2
Palay production rose to a record-high 4.63 million metric tons in the second quarter, PSA data showed.
STAR / File

MANILA, Philippines —   The country’s agricultural output grew by 2.9 percent in the second quarter, driven by broader gains from the crops, livestock, poultry and fisheries sectors, according to the Philippine Statistics Authority.

In a report, the PSA said the value of production in agriculture and fisheries – calculated at constant 2018 prices to weed out the effects of inflation –  reached P452.22 billion in the April to June period, from P439.66 billion a year ago.

The growth was a reversal of the 0.3 percent contraction in the first quarter, though at a slower pace than the six percent expansion in the same period in 2025.

As of the first half of 2026, agricultural output amounted to P889.68 billion, a 1.3-percent increase from P878.31 billion the previous year.

Crop production saw a 1.6-percent expansion during the second quarter to P248.9 billion. The sector accounted for more than half, or 55 percent, of total agricultural output.

Palay (unhusked rice) output rose by 5.7 percent during the period, while the growth in corn production was slower at 0.8 percent.

Department of Agriculture Secretary Francisco Tiu Laurel Jr. said the suspension of rice importation between September and December last year drove farmgate prices higher, improving the planting intentions of farmers.

Palay production rose to a record-high 4.63 million metric tons in the second quarter, PSA data showed.

However, Federation of Free Farmers (FFF) national manager Raul Montemayor expressed concern over the inconsistent growth patterns seen in the agricultural sector, especially for palay production.

“There is no consistent growth pattern despite the billions being poured into the sector,” he told The STAR.

As for poultry, the sector expanded by 6.3 percent in the second quarter to P79.84 billion. It contributed around 17.7 percent to agricultural output during the period.

Driving growth in the sector was the value of production for chicken eggs, which saw an annual increase of 13.2 percent, while chicken production rose by 4.1 percent.

PSA data also showed that the country’s livestock sector rose by 3.6 percent valued at P61.83 billion, driven by a 5.6-percent expansion in local hog production and dairy output at 37.8 percent.

The sector contributed about 13.7 percent to the agricultural sector during the second quarter.

University of Asia and the Pacific’s Center for Food and Agri Business executive director Marie Annette Galvez-Dacul told The STAR that the growth in the poultry and livestock sector was mainly driven by steady consumer demand and better production conditions.

Contributing 13.6 percent, the fisheries sector grew by 2.7 percent in the April to June period to P61.64 billion.

Tiu Laurel noted that the broad gains in agricultural output during the second quarter would strengthen the sector ahead of the anticipated impact of El Niño later this year.

“These gains also give us a stronger buffer against the production slowdown we expect from El Niño in the fourth quarter,” he said.

“We cannot control the weather, but we can equip our farmers to overcome it through irrigation, mechanization, climate-smart technologies, quality seeds, modern post-harvest facilities and better market access,” he added.

Former agriculture undersecretary Fermin Adriano told The STAR that generally good weather in the second quarter contributed to growth in the sector.

He added that the remaining months of 2026 would face the brunt of the effects of El Niño this year, coupled with higher fertilizer and fuel prices.

A very strong El Niño episode is forecast to occur during the months of October to December and could last until early 2027, according to the state bureau agency PAGASA.

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