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AGRICULTURAL OUTPUT surged by an annual 5.7% in the second quarter — the swiftest rate in eight years — as improved weather conditions allowed high-value crops like rice and corn to achieve double-digit growth, the Philippine Statistics Authority (PSA) reported on Wednesday.
Information from the PSA indicated that the value of production in agriculture and fisheries at constant 2018 prices rose by 5.7% to P437.53 billion during the April-to-June timeframe, surpassing the 2% increase noted in the first quarter.
This marked a turnaround from the 3.2% decline in the second quarter of 2024 when the agriculture sector faced challenges due to drought and dry spells attributed to the El Niño weather phenomenon.
This was also the quickest growth in agricultural output since 6.4% in the second quarter of 2017.
“Crops and poultry observed increases in production value, while livestock and fisheries experienced reductions during the period,” the PSA stated.
At present prices, the production value in agriculture and fisheries climbed to P606.794 billion.
For the first half, the value of farm output grew by 3.8% to P875.56 billion, marking a reversal from the 1.5% drop reported a year prior.
“We recognize that we still need to accomplish significantly more to achieve the vision of President Ferdinand R. Marcos, Jr. for a contemporary agricultural sector, where farmers and fisherfolk receive the full advantages of their efforts. Nevertheless, this result — along with the first quarter’s performance — clearly indicates that we are moving in the right direction,” Agriculture Secretary Francisco P. Tiu Laurel, Jr. remarked in a statement.
Agriculture comprises about one-tenth of gross domestic product (GDP) and nearly a quarter of all employment. The PSA will disclose the second-quarter GDP figures today (Aug. 7).
Crop production, representing 56% of total agricultural output, increased by 11.3% to P244.9 billion in the second quarter. Palay and corn showed remarkable growth rates of 13.9% and 27.3%, respectively.
“Palay, corn, and poultry are anticipated to recover due to favorable weather and elevated prices,” former Agriculture Undersecretary Fermin D. Adriano commented in a Viber message.
Other crops that experienced substantial growth include sugarcane (341%), onion (77.5%), coffee (14.5%), cabbage (11.7%) and cacao (11.4%).
Conversely, decreases were recorded in the value of abaca production (18.2%), tomato (16%), mongo (13.6%), mango (8.6%), sweet potato (8%), potato (5.5%), banana (2.6%), and pineapple (1.1%).
Raul Q. Montemayor of the Federation of Free Farmers expressed that a better performance from the agriculture sector this year was anticipated since 2024 was considered an “abnormal year” due to the El Niño climate phenomenon.
For the first half of the year, crop output increased by 5.9% to P494.5 billion, reversing a 4.4% decline from the previous year.
Simultaneously, poultry, which constituted 17.2% of total farm output, increased by 7% to P75.07 billion in the second quarter. However, this was slower than the 9.8% increase in the first quarter and the 8.7% rise in the second quarter of 2024.
The value of chicken production grew by 8.2%, while chicken eggs rose by 4.8%. In contrast, duck production decreased by 1.1%, and duck eggs fell by 0.7%.
During the first six months of the year, poultry production leaped by 8.4% to P150.57 billion. This showed improvement compared to the 7.3% growth during the same timeframe in 2024.
LIVESTOCK, FISHERIES
Conversely, the production value for livestock saw a decline of 5.9% to P59.6 billion in the April-to-June period, worsening from the 0.3% decrease in the same quarter last year and the 2.8% drop in the first quarter. Livestock made up 13.6% of total agricultural output.
In the second quarter, hog output shrunk by 7.5%, while carabao production also decreased by 2.9%.
In contrast, dairy production increased by 9.6%, while cattle and goat output rose by 2% and 1.3%, respectively.
For the first six months, the value of livestock production decreased by 4.4% to P117.43 billion, a deterioration from the 1.9% drop in the same period last year.
On the other side, the value of fishery output dropped by 4.2% to P57.96 billion in the second quarter, reversing the 2.4% growth recorded in the same quarter in 2024 and the 1.5% growth in the first quarter.
Fisheries accounted for 13.2% of total agricultural output.
Significant declines were noted for skipjack (35.6%), bigeye tuna (28.8%), P. Vannamei (22.4%), blue crab or alimasag (19.6%), Bali sardinella or tamban (15%), mud crab or alimango (11.9%), fimbriated sardines (11.2%), and round scad or galunggong (10.4%).
An increase in production was observed for grouper or lapu-lapu (25.6%), Indian mackerel or alumahan (20.7%), slipmouth or sapsap (17.9%), yellowfin tuna or tambakol (12.5%), threadfin bream or bisugo (12.1%), and big-eyed scad or matangbaka (9.1%).
Seaweed production grew by 6.1% during the April-to-June period.
In the January-to-June timeframe, the value of fishery output contracted by 1.5% to P113.05 billion, reverting from the 1.1% growth observed last year.
Experts noted that agricultural and fishery production in the third quarter might exhibit a contraction due to the heavy rains leading to flooding across the nation.
“The outlook for the third quarter is quite challenging due to the occurrence and effects of extreme weather events such as typhoons, floods, and soil erosion,” former Agriculture Secretary William Dar commented in a Viber message.
The Department of Agriculture (DA) indicated in late July that agricultural losses attributed to monsoon rains and recent tropical storms reached P3 billion, impacting 93,070 farmers and fishers.
“The government needs to continue making essential investments to enhance the resilience of the agricultural sector against climate change,” Mr. Dar stated.
Mr. Adriano anticipates a decline in palay production for the third quarter.
“Corn production will contract as it is the rainy season, and corn does not thrive with excessive water,” he noted.
Mr. Adriano further indicated that livestock production will maintain its “lackluster” performance due to the African Swine Fever (ASF).
The Food and Drug Administration has yet to greenlight a Vietnamese vaccine against ASF for commercial use.
“Poultry is expected to grow unless impacted by bird flu due to higher demand, as it serves as the most affordable protein option, especially for the underprivileged,” Mr. Adriano remarked.
“Regarding fisheries, performance will hinge on whether we experience damaging typhoons,” he added. — KATA
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