The agriculture industry bounced back in 2017, growing by 3.

97 percent amid improvements in most

sub-sectors.

This was a turnaround from the 1.4 percent decline in 2016, based on the latest report of the Philippine
Statistics Authority.

The growth, however, is still short of the government’s target of five percent.

For the fourth quarter alone, the industry expanded by 2.2 percent despite the typhoons that hit the
country at the tail end of 2017.

“We are happy (with the growth) but not that much because we missed our target. But I think that is
encouraging and it could only mean one thing, that we are on the right direction,” Agriculture Secretary
Emmanuel Pinol told The STAR.

“We saw a more favorable climate and more favorable political support from our local counterparts last
year,” he said.

Economist Pablito Villegas, however, said the growth in the agriculture sector was not enough to make a
significant contribution to boost the economy.

“This is still considered as marginal growth given the very high poverty situation in the countryside and
in the rural areas. If agriculture is growing at that pace, it will not make any positive contribution to this
administration’s economic growth target of seven to eight percent,” Villegas said.

“We really have to review and study our policies to have inclusiveness in the entire value chain,” he
added.

The agricultural sector grossed P1.71 trillion in 2017, up nine percent year on year.
Crops, which accounted for the bulk of total agricultural production, went up by 6.69 percent with palay
(unhusked rice) increasing by nine percent and corn harvest by 10 percent.

Palay production increased to 19.3 million metric tons (MT) while corn production went up to 7.9 million
MT.

According to PSA, the increment can be attributed to the increase in area harvested in major producing
areas due to sufficient water supply during the cropping period and the recovery from the damages
caused by the series of typhoons in 2016.

There was also expansion in harvest areas. The higher yields were attributed to the availability of quality
hybrid seeds and adequate water supply during the planting months.

Production gains were also noted among the major crops particularly coconut, sugarcane, bananas, and
pineapples, among others.

The crop sub-sector grossed P965 billion, up 10 percent year-on-year.

Livestock production, which comprised 18 percent of the aggregate output, inched up 1.1 percent. Gross
earnings rose 13 percent to P292 billion.

PSA said the increase was due to higher demand from consumers and local meat processors and the
bigger volume of disposals of stocks in some areas.

Poultry likewise increased 4.62 percent, representing 15 percent of the total agricultural output. Despite
the incident of bird flu in the third quarter, the emergence of new commercial farms and expansion of
existing ones contributed to the growth of this sub-sector. Gross earnings increased by six percent to
P215 billion.
The fisheries sub-sector, which made up 16 percent of total farm output, declined 1.73 percent in
volume but value increased by six percent to settle at P244 billion.

The decrease was due to heavy siltation in the marine cages in some areas, poor quality fingerlings and
the effects of changes in weather conditions.

Average farm-gate prices went up five percent with price gains recorded in all sub-sectors.

The Philippines needs to explore novel and sustainable food production methods to minimize the
adverse effects of climate-related challenges that affect the country, an official said.

“Making a balanced meal accessible to all is now a complex undertaking,” said Milton Stokes, Monsanto
director for Global Health and Nutrition Outreach, in light of the long dry spells brought on by El Niño
and currently affecting major food-producing regions in the Philippines.

“The high impact of natural hazards such as the persistent El Niño on agriculture calls for enhanced
mainstreaming of resilience-building programs and innovative farming interventions among small-scale
farmers,” he added.

Citing recent data released by the United Nations Office for the Coordination of Humanitarian Affairs
(UN-Ocha), Stokes said that below normal rainfall is expected in more than 60 provinces in the country
from January to April 2016 and this may lead to drought conditions.

Small-scale farmers in South Cotabato, North Cotabato, Sultan Kudarat and Sarangani provinces,
considered to be the breadbasket of Mindanao, are said to bear the brunt of El Niño.

The Department of Agriculture also recently announced that the current El Niño -- which climate experts
believe is strongest since 1998 -- has already affected a total of 194,060 hectares of farms, resulting in
P4.002 billion worth of damaged crops as of mid-February.
Such harsh climate conditions not only undermine the nation’s crop productivity but catalyze higher
commodity prices, said Stokes.

He said food insecurity caused by prolonged dry spells needs to be viewed as it interrelates with other
challenges, such as changing dietary demands from a growing population and hunger and malnutrition
issues.

He said Asia’s population is expected to grow to 5.9 billion by 2050, while the Philippines still stands as
one of the vulnerable countries to malnutrition, with around 17.5 million undernourished Filipinos.

For its part, Monsanto is looking at a broad range of solutions to help farmers get better harvests
through agricultural biotechnology, which helps crops in many ways, such as drought resistance and
disease protection, leading to improved harvests.

According to Stokes, the impressive profile of biotech corn is a testament to the viability of the
application of biotechnology in agriculture. Biotech corn is the earliest biotech crop to be developed and
planted in the Philippines and is considered to be one of the earliest strategic developments in
agricultural biotechnology in Asia.

“Applying biotechnology in agriculture has helped us develop highly effective solutions for farmers that
would not be possible through conventional plant breeding alone. As innovation stands at the core of
Monsanto, we particularly see the continued application of biotechnology in agriculture in making our
agricultural systems more sustainably productive,” Stokes said.

Through advanced plant breeding, Monsanto is also developing new vegetable seed varieties that
farmers around the world can grow into quality and nutritious produce that contributes to making a
balanced plate accessible to everyone.

“By providing farmers with vegetables seeds that are easier to grow and more cost effective, vegetable
products get to market faster and farmers are able to meet the demands from everyone in the produce
chain — including retailers, food service and consumers,” Stokes added.
Researchers and plant breeders at Monsanto continue to use innovative technologies to identify
promising vegetable characteristics and develop new varieties to improve farm productivity. They are
also making sure that seeds grow with the necessary sensory appeal so that people will enjoy eating
more vegetables and gain the nutritional benefits that come with increased consumption.

Monsanto’s biotech vegetable seeds on the market today include sweet corn and squash.