NEDA: Agri development to help alleviate poverty

CEBU, Philippines - Focusing on the needs and challenges of the agriculture sector is one best solution to alleviate the poverty problem in the country.

Director Efren Carreon of the National Economic and Development Authority in Central Visayas said most poor citizens belong to the farming sector. And realizing inclusive growth could extensively depend on how the state of agriculture growers is uplifted.

Reviving the sluggish growth of the agriculture industry in Central Visayas remains to be a big challenge. At the same time, enduring poverty remains a perennial problem as the present administration ambitiously aims to achieve inclusive growth.

Carreon said the NEDA and Department of Agriculture have already discussed on how to increase agricultural production amid the slowing growth of the sector.

“This is one sector that is lagging,” the director said. “We have focused group discussion with DA and its attached agencies. We really want the agriculture to revive.” He warned that continued decline in production could eventually result to higher prices of goods.

The DA has started the Philippine Rural Development Project which is dominantly funded by the Washington-based lender World Bank to hike rural incomes and boost farm and fishery productivity in the country. The project is a nationwide replication of the Mindanao Rural Development Project. 

Gerry Avila of DA Central Visayas told The FREEMAN: “We have been trying to look at unsang mga areas sa sector nga hinay gyod. We acknowledge nga daghan pa gyod kinahanglang ma-implement to increase the performance of our agriculture sector.”

Government data showed that in 2013, CV’s agriculture industry grew only at 0.3 percent, much lower than the 3.4 to 3.9 percent growth target of the Regional Development Plan.

In the last four years, the sector grew relatively faster in 2011 with a 3.7 percent growth, higher than 3.4 in 2010. It then decreased to 0.6 percent in 2012. 

Various areas in the sector such as crops, fisheries, livestock and poultry all posted a decrease in the first quarter of this year. The industry’s 2013-2014 first semester performance indicated a 4.82 percent total growth rate, much lower compared to 11.89 percent recorded during first semester of 2012-2013.

Increase production

Avila, chief of Agribusiness and Marketing Assistance Division, said the six-year project basically aims to help small producers and fishermen increase their production and access to markets.

The rural development plan is worth P27.535 billion which consists of P20.553 billion loan from WB, P3.579 billion and P3.118 billion equity shares from the national government and local governments, respectively and P287 million funding from Global Environment Facility.

Avila noted CV has an indicative allocation of more or less P94 million from the project’s budget for enterprise development and more than P400 million for infrastructure development.

He shared proposals for Carabao dairy milk processing, distribution and marketing in Bohol and Goat dairy production in Cebu have been pushed through.

He explained LGUs would have specific sub-projects to support infrastructure expansion in product value chains – farm-to-market roads, communal irrigation, bridges, potable water systems, post-harvest facilities, production and storage facilities, trading posts, among others.

“This is one way to address the problems sa atong agri sector. In terms of infrastructure, medyo kinahanglan gyod ta mag-improve especially the farm-to-market roads, irrigation system,” the chief added.

The project finances as many sub-project proposals that LGUs and farmers' and fisher folks' groups can endorse.

Rural infrastructures such as farm-to-market roads are important in achieving increased agricultural production and improving the livelihood of the people in the countryside.

Carreon explained the good road networks can help reduce the poverty incidence as smallholding farmers would have better potential in attaining higher farm productivity.

The implementation of the project which covers the nation’s 80 provinces in 16 regions has started this year and is expected to end by 2021. Avila said the practices in the project should be made mainstream later on to sustain growth.

The agency has also engaged in the planning and budgeting processes on the industry’s modernization as one of plan’s components.

The enterprise development would help farmers grow their business and provide them economic opportunities and take advantage of the gains of value creation. It also aims to establish a market-oriented farming and fishery sectors.

All governors from different provinces will meet in Cebu with President Benigno Aquino and some World Bank officials probably on Nov. 21 to launch the PRPD. — (FREEMAN)