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Despite natural disasters that ravaged many farming communities, the country’s agricultural sector grew 2.34 percent in terms of value in 2011.

Farm production reached a value of P1.4 trillion at current prices.

Agriculture Secretary Proceso Alcala said that the industry was buoyed by high growth levels in the crops, livestock and poultry subsectors.

This year’s farm output is projected to increase at a range of 4 to 5 percent.

"We are confident of this since we are to conduct aggressive programs particularly on rice and cassava this year," said Alcala.

He added that for this year, the Department of Agriculture (DA) will focus on programs of the National Irrigation Administration, Agricultural Credit Policy Council and Land Bank.

Alcala said the DA may secure new loans to finance its 2012 palay-buying program as part of the government’s rice self-sufficiency objective.

"The loan will be used to buy locally produced palay since we have no importation for this year," he added.

Meanwhile, Alcala said that the recovery of the crops sector, the continued increase in livestock production and that of the poultry subsector pulled up the agricultural production.

Commodities under the crops subsector were priced 13.96 percent higher in 2011, according to the Bureau of Agricultural Statistics (BAS).

Alcala said the combined positive performance of the three subsectors cushioned negative growth rates in the fisheries subsector caused by successive typhoons in the second semester and the implementation of conservation policies to allow fish stocks to regenerate.

BAS data show that the crops subsector contributed 49.6 percent of total agricultural output, which registered a 4.82 percent increase led by palay and corn.

Palay harvest totaled 16.68 million metric tons (MMT), 5.8 percent higher than in 2010, which only had 15.77 MMT. Corn production amounted to 6.97 MMT, up 9.3 percent versus 6.38 MMT in 2010.

The DA projects palay production to hit 18.46 MMT this year.

Sugarcane production also grew significantly to 28.38 MMT, 58.3 percent more than in 2010’s 17.93 MMT. Tobacco, pineapple and rubber also posted positive gains last year.

BAS director Romeo Racide said total gross value of production of the crops subsector rose 19.4 percent in 2010, which amounted to P804 billion at current prices.

Racide said the livestock subsector contributed around 16 percent to total agricultural output, which registered a modest 1.99 percent growth.

"It was led by the hog industry which produced 1.94 MMT," he said.

"Cattle and dairy production also increased by 1.8 percent and 3.7 percent, respectively," he added.

The livestock subsector grossed P212.9 billion at current prices, only a 1 percent change versus 2010.

"The poultry subsector, which accounted for 13.7 percent of total farm output, grew by 4.3 percent," he added.

Data by BAS showed that chicken production increased by 4.5 percent, while chicken egg production moved up 4.2 percent.

Total value of poultry products amounted to P158.8 billion at current prices, 4.8 percent higher than in 2010.

Last year, the fisheries sector did not reach the government’s projected output.

The said subsector, which accounted for one-fifth or 20.7 percent of total agriculture output, decreased 4.1 percent.

Commercial and municipal fish production dipped by 16.3 percent and 2.9 percent, respectively. Aquaculture production, however, grew 2.4 percent.

The subsector grossed P225.1 billion at current prices, 1.85 percent more than in 2010.

"Commercial and municipal fish catch declined as rough seas and strong winds were experienced during the 2nd semester caused by several typhoons," Racide said.

"The decline in fishery output was also a result of the conservation policies and measures, particularly the implementation of a fishing ban during breeding season of several fish species and allow stocks to recover," said Alcala.

The policy was implemented by the DA through the Bureau of Fisheries and Aquatic Resources in coordination with commercial and municipal fishermen and industry stakeholders.

Overall, "farmers, fishers and rural folk were better off in 2011, as farmgate prices of various farm and fishery products increased by about 9 percent," added Alcala.

Farmers of major crops "enjoyed" higher average prices, at 14 percent more than in 2010.

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