Agricultural manufacturing dips in 2022

Fish are left to dry below the solar on this file picture. Agricultural output contracted anew in 2022 attributable to a drop in crops and fisheries manufacturing, the Philippine Statistics Authority reported. — PHILIPPINE STAR/EDD GUMBAN

By Luisa Maria Jacinta C. Jocson, Reporter

AGRICULTURAL manufacturing shrank by 0.1% in 2022, marking the third straight yr of contraction, as crops and fisheries output declined, the Philippine Statistics Authority (PSA) mentioned on Wednesday.

Information from the PSA confirmed the full-year worth of manufacturing in agriculture and fisheries declined at a slower tempo than the 1.7% contraction in 2021. It additionally missed the Division of Agriculture’s (DA) 1.2-1.5% full-year progress goal.

Performance of Philippine agricultureFarm output has contracted for 3 years in a row, for the reason that 0.3% progress in 2019.

The PSA attributed the decline to decrease manufacturing in crops and fisheries, which offset the expansion in poultry and livestock.

Within the fourth quarter, agricultural manufacturing declined by 1%, a reversal of its 0.5% progress in the identical interval a yr in the past and the 1.6% progress within the third quarter of 2022.

At present costs, the worth of manufacturing in agriculture and fisheries amounted to P611.52 billion within the fourth quarter, up 9.4% yr on yr.

The agriculture sector contributes round a tenth to total gross home product (GDP). Fourth-quarter and full-year 2022 financial knowledge is scheduled to be launched at the moment (Jan. 26).

“Agriculture carried out higher in 2022 than in 2021, though enchancment is at a really low fee, due to the opening of the economic system by the second half of the yr and therefore, mobility of individuals (and) items and companies in agriculture is now much less constrained,” former Agriculture Undersecretary Fermin D. Adriano mentioned in a Viber message.

Nonetheless, fourth-quarter manufacturing was affected by latest typhoons that brought on billions price of agricultural harm and elevated enter prices equivalent to fertilizer and gas.

Current typhoons Karding (worldwide identify: Noru) and Paeng (worldwide identify: Nalgae) brought on agricultural harm price P3.12 billion and P6.4 billion, respectively.

“We had been truly anticipating a worse efficiency,” Federation of Free Farmers nationwide supervisor Raul Q. Montemayor mentioned in a Viber message.

“The minimal 1% decline within the crops subsector, together with palay, is suspect, given the most important will increase in fertilizer, gas and different enter costs which ought to have led farmers to cut back their hectarage or scrimp on inputs. To some extent, the worth of manufacturing might have been propped up by greater farmgate costs,” he added.

Crop manufacturing, which accounts for greater than half or 59.1% of complete agricultural output, fell by 1% within the fourth quarter and full yr, reversing the two.6% and a pair of.2% enlargement within the fourth quarter and full yr 2021, respectively.

PSA knowledge confirmed fourth-quarter crop manufacturing declined by 2.5% for palay (from 0.2% progress in the identical interval in 2021) and 6.9% for corn (from 28.6% progress).

“The slight lower within the manufacturing of rice and corn is predicted as a result of enhance in value of inputs like fertilizers, gas and pure calamities,” Danilo V. Fausto, president of the Philippine Chamber of Agriculture and Meals, mentioned in a Viber message.

China Banking Corp. Chief Economist Domini S. Velasquez famous the DA had already warned of a drop in rice manufacturing as elevated fertilizer costs discouraged farmers to plant.

“The dimensions of their manufacturing was truly smaller. They had been planting much less,” she mentioned in an interview on One Information.

Decrease manufacturing was additionally seen in rubber (-9%), mango (-5.8%), ampalaya (-4.7%), calamansi (-2.5%), mongo (-1.9%), banana (-0.8%), cabbage (-0.8%), and eggplant (-0.4%).

Solely onion and sugarcane manufacturing registered double-digit progress within the fourth quarter, with onions up by 23.3% and sugarcane up by 18.7%.

Increments had been additionally recorded in tobacco (8.5%), pineapple (6.6%), potato (5.4%), candy potato (3.4%), abaca (2.9%), cacao (2.6%), espresso (2.3%), and coconut (1%).

At present costs, the worth of crop manufacturing amounted to P334.24 billion final yr, up 8.2% from 2021.

PSA knowledge additionally confirmed fisheries manufacturing slumped by 6.6% within the fourth quarter, worse than the 1.1% progress a yr earlier. It accounted for 13.8% of the agricultural manufacturing throughout the interval.

For the total yr, fisheries output shrank by 5%, a reversal from the 0.1% enhance in 2021.

“The decline in fish catch had been famous for the reason that starting of 2000 as a result of depletion of our coastal useful resource areas,” Mr. Adriano mentioned, noting that the nation is gradual in creating aquaculture attributable to enormous capital necessities and strict bureaucratic processes.

Mr. Fausto famous the fisheries sector must be upgraded as a result of slowdown in industrial fishing.

“There’s a have to expedite the event of our aquaculture farms and the institution of extra mariculture parks with extra fish cages, to extend fisheries output,” he added.

In the course of the fourth quarter, double-digit declines had been seen in bigeye tuna or tambakol/bariles (-43.7%), mudcrab or alimango (-37%), slipmouth or sapsap (-34.3%), cavalla or talakitok (-34.2%), threadfin bream or bisugo (-31.4%), Indian mackerel or alumahan (-30.9%), grouper or lapu-lapu (-26.3%), Bali sardinella or tamban (-19.8%), tilapia (-14.6%) and tiger prawn or sugpo (-14.4%).

A drop in manufacturing was additionally seen in milkfish or bangus (-9.1%), blue crab or alimasag (-3.8%), roundscad or galunggong (-2.9%), and frigate tuna or tulingan (-1.7%).

However, manufacturing improved for skipjack or gulyasan (23.4%), bigeye scad or matangbaka (18.6%), yellowfin tuna or tambakol/bariles (11.9%), fimbriated sardines or tunsoy (8.1%), and squid or pusit (2.3%).

“At present costs, the worth of fisheries manufacturing, which amounted to P89.9 billion, was 6.2% greater in comparison with the earlier yr’s stage in the identical interval,” the PSA added.

Livestock and poultry had been the brilliant spots in agricultural manufacturing final yr.   

Mr. Montemayor mentioned he anticipated the rebound in livestock and poultry manufacturing as each sectors had been coming from a low base.

“Positive aspects had been registered in livestock and poultry as restricted repopulation was already occurring within the livestock sector and that the earlier yr’s benchmark was very low due to the African Swine Fever (ASF). In different phrases, with the opening of the economic system and better demand for meat, there was nothing to go for these sectors however upwards,” Mr. Adriano added.

Livestock manufacturing elevated by 2.5% within the fourth quarter, a turnaround from the 9.7% decline within the earlier yr. The livestock sector contributed 14.3% of complete agricultural output.

For the total yr, livestock output expanded by 1.9%, an enchancment from the 17% decline in 2021.

Within the fourth quarter, hog and dairy manufacturing went up by 3.4% and 1%, respectively.

“Hogs are (on the best way) to restoration as industrial farms are studying to stay with ASF via correct biosecurity measures,” Mr. Fausto mentioned.

In the meantime, contractions had been seen in goat, cattle and carabao at 2.5%, 0.4% and 0.3%, respectively.

Livestock manufacturing at present costs was valued at P96.65 billion, up 8.2% yr on yr.

Poultry output, which has a 12.8% share to complete agricultural manufacturing, grew by 1.8% within the October-December interval. This progress was slower than the two.7% seen within the fourth quarter of 2021.

The poultry sector additionally rose by 7% in 2022, a turnaround from the 0.3% drop from a yr earlier.

“Poultry is at all times resilient and may cope up even with avian flu,” Mr. Fausto added.

All commodities below poultry recorded greater manufacturing: duck eggs (4.3%), duck (4.3%), hen (2.3%) and hen eggs (0.2%).

At present costs, the worth of poultry manufacturing elevated by 19.1% to P90.73 billion yr on yr.


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