ecretary Arthur
Yap of Agriculture may be among the reasons why various financial institutions
are looking kindly at the Philippines these days.
The Asian Development Bank revised its 2007 growth estimate
for the Philippine economy from 5.8 percent to a higher 7 percent. The
International Monetary Fund raised its projections from 6.34 percent to 6.7
percent. Citigroup Inc. projected a higher expansion of 7.1 percent for the
Philippine economy in 2007. The World Bank had a growth of 6.7 percent for the
Philippines, which was its highest projection among the four largest economies
in Southeast Asia including Indonesia (6.3 percent), Malaysia (5.7 percent) and
Thailand (4.3 percent).
A lot of this growth came from agriculture. One possible
indicator of progress in the farm sector was the Social Weather Stations (SWS)
survey that showed a sizable drop in the number of families suffering from
hunger.
The relatively robust performance of Philippine farms appears
more remarkable when set against the backdrop of a prolonged dry spell that was
initially expected to devastate farms and pull down the growth rate for
agriculture and fisheries.
How did the DA do it? Secretary Yap gives full credit to
Malacañang. Yap explains that President Gloria Arroyo put a lot of money into
rural infrastructure, post-harvest facilities and seed technology.
As a result, even the dry spell in Luzon ’s major
rice-producing areas failed to stop agriculture from growing 4.3 percent in the
nine months to September, with the fisheries subsector posting the biggest
expansion at 7.92 percent, arising from a production volume worth P134.6
billion. Palay output reached 9.87 million MT for a 3.45 percent increase, while
that of corn expanded 9.5 percent, as harvests totalled 5.29 million MT for the
third quarter.
As for the other subsectors, livestock production increased
by 2.06 percent during the third-quarter period, making up 13.08 percent of the
total agricultural production for the first nine months of 1007. The livestock
subsector grossed P117.9 billion at current prices, or a 4.39 percent more than
the 2006 record.
The administration’s unprecedented spending for agriculture
in 2007 was P3.1 billion allocated for the repair, rehabilitation and
restoration of national and communal irrigation facilities in 2007. This P3.1
billion for agriculture was 10 times the average annual outlay that amounted to
only P300 million in prior years – inclusive of funds for both foreign-assisted,
locally-financed projects and other sources.
To guarantee the quality of Philippine farm products and
reduce postproduction losses that undercut farm production and led to undue
price spikes in basic commodities, the DA programmed P1 billion for about 1,000
units of various types of mechanical grain dryers. Three integrated post harvest
processing centers have been completed and the DA is targeting an additional 50
centers all over the country, as well as about 50 assorted cold-chain facilities
in major trading points.
In the area of R&D and rural extension work, the DA embarked
on extensive studies on new technologies to further raise yields and planting
areas through its various Ginintuang Masaganang Ani (GMA) programs, and promoted
new varieties and reintroduced existing ones.
The centerpiece of this comprehensive plan to deal with the
dry spell was a quick-turnaround program or QTA, which involved a third planting
season in palay-producing areas unaffected by the dry spell. Implemented mostly
in Mindanao. The QTA, which covered some 123,000 hectares of land, raised an
additional 350,000 metric tons of palay and an extra 200,000 MT of corn.
One example of the DA’s farmer-friendly initiative was
President Arroyo’s approval of Yap ’s proposal to increase the support or
buying-price of palay from P 10.00 to P11.00 a kilo. Actually, the effective
rate increase as approved by the Arroyo Cabinet last October was P11.25/kg for
individual farmers and P11.50/kg for farmer cooperatives, inclusive of current
incentives being offered by the government.
The DA, in conferences with LGUs and the PNP also addressed
such sticky issues as the unnecessary checkpoints along major trade routes,
questionable ordinances by LGUs and the ubiquitous presence of "kotong" cops.
These unduly pad the cost of commodities from farms to their final destinations
in urban markets.
The DA has won praises not only from the media but from
Arthur Yap’s colleagues in the government service, leaders of Congress, the
private sector and foreign institutions.
The Rome-based United Nations Food and Agriculture
Organization (FAO) cited President Arroyo’s "dynamic leadership," commitment and
level of political will as the key to the success of the Philippines ’ ongoing
initiatives to mitigate hunger and reduce poverty.
The US Department of Agriculture or USDA praised Secretary
Yap for clearing the way to the full access of all American beef and beef
products to the Philippine market in compliance with international trade
standards.
Sen. Edgardo Angara, who chairs the Senate agriculture
committee and himself a former DA secretary, had lauded Yap for his timely
action to contain the spread of the Brontispa pest and, later, for the
successful agricultural trade and investment mission to Spain.
Sen. Juan Miguel Zubiri, the author of the Biofuels Act, and
Rep. Abraham Mitra, the chairman of the House food and agriculture committee,
also commended Secretary Yap for his efforts to bring investments into the
emerging Philippine biofuels sector.
The Bagong Buhay Multi-Purpose Cooperative (BBMC) in Mabini,
Sto. Domingo, Nueva Ecija commended the DA for carrying out an array of timely
intervention measures during the dry spell that helped them and the rest of the
palay sector cope with this abrupt climate change and keep growth targets on
track for the 3rd quarter and the entire year.
The PhilMaize Federation Inc., representing the corn
industry, thanked the DA for ensuring that growth targets were met for this
critical sector.
On rural credit, DA officials forged agreements with
commercial institutions such as Allied Banking Corp. and government institutions
like the Land Bank of the Philippines, which committed these banks to earmark
significant portions of their lending funds to micro-financing programs that
exclusively cater to small farmers and fisher folk.
To explore and open new and bigger markets for Philippine
farm products, Yap had put up agricultural trade desks locally to complement the
work of overseas-based attaches in tapping more investments for Philippine
agriculture; spearheaded the country’s participation in several food exhibits
and trade shows in Asia and Europe; and set up consumer-friendly barangay food
terminals (BFTs) and bagsakan or drop-off points for farm goods in retail
markets across Metro Manila and the other regions.
Secretary Yap tells his staff that the DA has a lot more on
its plate in 2008 to sustain the farm sector’s growth momentum in the face of
various global threats to the country’s food security
These serious challenges are regularly taken up at Arthur
Yap’s meetings with DA officials and the heads of DA-attached agencies. They
talk about climate change, which diminishes agricultural production and raises
food prices across the globe; the ever-increasing food demand by burgeoning
economies like China and India; and the rising conflict in certain countries
between the production of crops for food and for biofuel feedstock Yap and his
team immediately buckled down to work in 2008. For starters, DA officials say
Yap has decided to incorporate the highly successful QTA program into the
regular planting seasons beginning in 2008 as a way to increase yields.
Secretary Arthur Yap and the DA have an ambitious program to make the
Philippines self-sufficient in most, if not all, of its indigenous or homegrown
crops over the next 10 years. We can only hope for their success.