Agriculture Philippines

Philippine Farm Growth Forecasted at 3%-4% in 2012

2012-01-05T08:20:00.004+08:00

The country’s farm sector could increase its output by 3 percent to 4 percent if the Philippines will not be hit by typhoons as strong as “Pedring” in 2012, the University of Asia and the Pacific’s Center for Food and Agribusiness (UAP-CFA) said.

UAP-CFA Executive Director Rolando T. Dy said the crops subsector which include palay and corn would drive farm growth for 2012. The poultry and aquaculture sectors will also boost the output of the sector.

“A 3 percent to 4 percent growth is doable under normal weather in 2012. But if we get hit by another Pedring-type typhoon, the farm sector may be hard pressed to grow by this much,” said Dy in a text message.

For 2011, the government has already scaled down its growth expectations for the farm sector to a range of 3 percent to 3.5 percent due to the destruction caused by typhoons in the last quarter of the year.

The Department of Agriculture (DA) had expected farm growth for 2011 to reach 5 percent “barring any adverse conditions.”

Figures from the Bureau of Agricultural Statistics (BAS) showed that the country’s farm sector grew by 4.28 percent on the back of the good performance of the crops subsector in January to September.

The combined good performance of palay and corn caused the production of the crops subsector to increase by 9.04 percent during the period. The subsector accounted for 50 percent of total farm output. The production of palay alone accounts for around 15 percent of farm output at any given time.

Palay production reached 10.75 million metric tons (MMT), 16 percent higher than what was produced in January to September last year. Corn output also grew by almost 16 percent to 5.49 MMT.

For the whole of 2011, however, the DA said the Philippines will be hard pressed to produce more than 17 million metric tons (MMT) of unmilled rice due to the havoc wreaked by a number of typhoons in the second half.

Documents from the DA revealed that the six typhoons that ravaged the Philippines from June to October last year destroyed a total of 902,285 metric tons (MT) of unmilled rice.

Because of the adverse impact of the typhoons, the “Rice and Corn Situation Outlook” released by the BAS showed that palay production for the whole of 2011 will reach 16.68 MMT, lower than the initial projection of 17.4 MMT.

BAS said paddy rice output for July to December may decline by 0.6 percent year on year. Unmilled rice production for the period is seen at 9.1 MMT.

For the main harvest during the months of October to December, the attached agency of the DA said output may settle at 5.93 MMT, 8.8 percent lower than last year’s level of 6.5 MMT based on standing crops.

Typhoons Pedring and Quiel, BAS noted, will cause the harvest area to contract by 8.6 percent and yield per hectare to go down by 0.3 percent.

By Business Mirror

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Merry Christmas from Agriculture Philippines

2011-12-05T07:35:00.006+08:00

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President Aquino Organic Farming Support Programs

2011-11-21T09:23:00.008+08:00

Aquino: Allot 2% of DA budget for organic farming.

President Aquino directed the Department of Agriculture to ensure that 2 percent of its annual budget be allocated for the implementation of its programs and policies on organic agriculture.

The President gave the directive in his speech at the 8th National Organic Agriculture Conference at the Aquino Center of Hacienda Luisita here.

“Inaasahan ko ang tuloy-tuloy na pagdodoble-kayod ng Department of Agriculture sa pagbuo at pagpapatupad ng mga polisiya at programa na magpapabilis sa pag-unlad ng organic farming sa bansa, sa ilalim ng kanilang National Organic Agriculture Program,” the President said.

“Katuwang naman ang Department of Budget and Management, sisiguruhin natin na mailalaan ng DA ang hindi bababa sa dalawang porsiyento ng kanilang taunang budget sa pagpapatupad sa nabanggit na programa, alinsunod sa RA 10068,” he added.

Republic Act 10068, otherwise known as Organic Agriculture Act of 2010, strengthens the state’s policy to promote, propagate, develop further and implement the practice of organic agriculture in the Philippines.

The President is promoting organic agriculture as a means to address the issue of food security in the country.

“Habang pinapalawak natin ang access ng bawat pamilya sa sapat na pagkain, kailangan din nating pag-igtingin ang pagpapalaganap ng mga kaalaman at teknolohiya na magpapanumbalik sa kalusugan ng mga lupang sakahan,” the President said.

“Dito pumapasok ang halaga ng organic agriculture,” he added.

The President said that through organic agriculture, farmers are ensured of cumulatively conditioning and enriching the fertility of the soil, increase farm productivity, reduce pollution and destruction of the environment, prevent depletion of natural resources, and further protect the health of farmers, consumers and the general public.

He added that the United Nations Food and Agriculture Organization has determined that organic agriculture has the potential to increase farm productivity, thereby increasing farmers’ wages and provide food for all.

“Makakatulong din ito sa pagbaba ng gastos sa pagsasaka,” the President added. (PNA)

In Photo Above: President Aquino, assisted by Agriculture Secretary Proceso Alcala, presents to Benjamin Lao the Gawad Saka Outstanding Organic Farmer Award during the 8th National Organic Agriculture Conference at the Aquino Center, Hacienda Luisita, Tarlac, on Tuesday

By Business Mirror

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Philippine Coffee Industry Update

2011-10-25T08:42:00.005+08:00

The Philippine Coffee Industry Needs ‘To Run’ to Overtake Vietnam

Despite having been overtaken by Vietnam as a top coffee producer in the Asian region, players in the Philippine coffee industry remain upbeat as the government hiked by P63 million its financial support to the industry.

“The coffee sector needs to run, not walk, if it wants to play catch up with Vietnam,” Rolando T. Dy of the University of Asia and the Pacific (UA&P) said on Thursday during the Fourth National Coffee Summit.

However, Dy, executive director of the UA&P Center for Food and Agribusiness, noted that it will be difficult to even approximate the production level of Vietnam without a road map “and if the industry road map is tied to an incumbent.”

“It should cover 10 to 15 years so we’re looking at 2020 or even better, 2025 for the Philippines,” Dy told the BusinessMirror on the sidelines of the coffee conference in Makati City.

According to Philippine Coffee Board (PCB) Director Emmanuel U. Torrejon, the Philippines’s coffee production continued to decline to nearly 23,000 metric tons last year from 40,620 MT in 1999 and 61,080 MT in 1992.

Vietnam continued to increase coffee production from 83,400 MT nine years ago to 1.11 million metric tons last year.

“It’s still mission possible,” Environment Assistant Secretary Marlo D. Mendoza said in the same conference.

Mendoza noted that the aim to hike coffee production can be included in the government’s National Convergence Initiative (NCI) program that has allotted 10 large tracks of agricultural lands with high production potential.

Mendoza said coffee producers can plant in areas allotted for cultivation of the total 750 million hectares targeted for greening by the Department of Environment and Natural Resources.

Agrarian Reform Undersecretary Jerry E. Pacturan added that the coffee farmers can also tap the Department of Agrarian Reform’s financial support of P13,400 a hectare for coffee planting.

Pacturan told the BusinessMirror that coffee farmers through the PCB can also tap other agencies involved in the NCI, foremost being the Department of Agriculture (DA), to increase the funding support.

Mendoza said they are also proposing an environmental cash-transfer program that coffee farmers, especially those in the upland, can enjoy in exchange for certain services like purposive planting, as well as demand certain standards and behaviors under the National Greening Program.

PCB official Pacita Juan told the BusinessMirror that they are overwhelmed with the pledges of support from the government.

Juan explained that the DA has allocated an initial P100 million next year for the propagation of coffee.

“That’s enough for the moment,” she said.

Dwindling harvest has undercut the local market’s capability to meet increasing coffee consumption in the Philippines, which was only at 49,200 MT a decade ago to 77,400 MT last year, according to Torrejon.

The country, hence, was forced to hike imports of coffee from 47,700 MT in 2008 to 54,420 MT last year.

By Business Mirror

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China Philippines Developing New Rice Hybrids

2011-10-10T15:26:00.004+08:00

China and PHL Center Helps Develop New Rice Hybrids

To help boost farmers’ production in the next five years, the People’s Republic of China is helping the Philippines breed new rice hybrids through a project implemented by the Philippine-Sino Center for Agricultural Technology (PhilSCAT).

In a statement, the Philippine Rice Research Institute (PhilRice) said this is the second part of the technical cooperation project of the PhilSCAT. The project aims to use the Philippiness local and China’s rice germplasm to create new hybrids.

The project, which begins this month, will also introduce China’s hybrid-rice varieties, as well as extend farm technologies to farmers in the Philippines. The project is being implemented in Nueva Ecija.

“The hybrid-rice varieties to be introduced and the hybrid-rice lines developed during the project’s first phase will be tested in six locations in Luzon. PhilSCAT, in collaboration with PhilRice bred seven promising hybrid-rice lines in the project’s first implementation in 2003-08,” PhilRice said.

Under the signed Minutes of Discussion and Implementation Plan, represented by Yuanxing Fang of China’s Yuan Longping High Tech Agriculture Co. Ltd. and Dante de Lima of the Department of Agriculture, PhilRice will help in testing the field performance of the introduced Chinese hybrids.

The project will also include the harnessing of biogas using China-developed techniques.  Dr. Jose Falla, head of the PhilSCAT Knowledge Management Division, said the research and development on biogas will be prioritized for farmers to adopt the technology in their households.

Hybrid rice in tropical countries like the Philippines can increase farmers’ yield by at least 15 percent over the best inbred. A maximum yield of 12 tons per hectare is also possible with proper management and favorable environment.

China, a rice self-sufficient country supporting its 1.3 billion population, recently set its third world record in rice production when Yuan Longping, the father of hybrid rice, and his team announced the 13.9 t/ha harvest of a new “super hybrid rice” in Longhui County in Hunan province.

China Daily reported that Yuan’s research team first made their record in 2000 when their variety reached 10.5 t/ha and in 2004, when the new hybrid rice registered 12 t/ha.

By Business Mirror

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Will Philippines Achieve Rice Self-Sufficiency?

2011-09-26T07:48:00.009+08:00

Will DA Really Achieve Rice Self-Sufficiency?

Statistics show targets are being met but some organizations are doubtful

Agriculture Secretary Proceso Alcala is optimistic that through the National Rice Program the country will achieve rice self-sufficiency in 2013. But with only P6.181 billion allocation for the program in 2012, doubts on the possibility of rice sufficiency loom.

The proposed appropriation for the Department of Agriculture (DA) for 2012 is P61.734 billion. And of the P6.181 billion budget for the rice program, P4.533 billion will be channeled to DA’s regional offices, while P1.647 billion will be shared by the Office of the Secretary, the Bureau of Agricultural Statistics (BAS), Bureau of Soil and Water Management (BSWM), Bureau of Plant and Industry (BPI), and the Agricultural Training Institute.

In a report in Interaksyon.com, the Kilusang Magbubukid ng Pilipinas (KMP) says that of the P4.533 billion, P3.31 billion will go to Maintenance and Other Operating Expenses (MOOE), while only P1.223 will be used for capital outlay (to buy palay from rice farmers with). The P1.223 billion, according to KMP, translates to a budget of only P452.96 per rice farmer.

With this amount, Anakpawis Party list Rep. Rafael Mariano asks: “How can we achieve rice self-sufficiency in the next two years if the government allocated a very meager P452 for each of the 2.7 million rice farmers?”

The group Bantay Bigas also finds the P6.181 billion budget for the National Rice Program “unrealistic.” In a report in Testigo, a website of human rights documentation system moderated by the Ibon Foundation, Bantay Bigas spokesperson Lita Mariano suggests that “the rice program should get about 50 percent of the DA’s budget considering that rice production is the most important economic activity in the country.”

But DA’s share and the appropriation for the rice program are just approximately 3 percent and 0.34 percent, respectively of the national budget for 2012.

Compared to top rice exporters “Indonesia and Thailand who [respectively] allocates 7.6 percent and 10.4 percent of their national budget for agriculture, the Philippines’ 3-percent share is embarrassingly ridiculous considering that it is targeting [rice] self-sufficiency by 2013,” says Roman Sanchez, national president of the National Federation of Employees’ Association of the Department of Agriculture, in the Testigo report.

Alcala’s Explanation of DA’s Proposed Budget

Actually, DA’s total budget even increased by 68 percent from P38 billion in 2011. The allocation for the rice program likewise increased from P5.217 billion in 2011.

These are one of the reasons why during the budget hearing at the House of Representatives, Alcala expressed optimism that the goal of rice sufficiency will be met. He said DA’s bigger budget will boost rice production.

In an interview with The Manila Times, Alcala also dismissed the belief of agricultural sectors that the inadequacy of the budget for the National Rice Program in 2012 will hamper the achievement of rice self-sufficiency in 2013. He said the agricultural projections for 2012 have been studied and computed and are covered by a financial plan.

Alcala is also very much aware of the criticisms thrown against the rice program. Earlier, he was quoted in news reports saying “the only factor that may impede the country to hit the target is when we cast doubts on our capabilities.” He also said that despite the pessimism of some sectors, the government is determined to pursue its vision to achieve rice sufficiency.

DA’s Roadmap Toward Rice Sufficiency

In order to achieve rice sufficiency, the DA is following the Food Staples Self-sufficiency Roadmap (FSSR).

The FSSR consists of three main strategies: to increase and sustain production of grains, improve farm mechanization and reduce postharvest losses; and manage consumption.

To increase and sustain the production of grains, the DA will increase farmers’ access to high quality seeds by establishing community seed banks in each province. The Philippine Rice Research Institute will supply breeder and foundation seeds, “while the Bureau of Plant and Industry will expedite seeds certification process.”

Very importantly, the Land Bank of the Philippines, on one hand, “will provide credit assistance to seed growers.”

Another strategy to boost grains production is the research, development and promotion of appropriate technologies. To do this, PhilRice will continue to research and develop rice production technologies, “the BSWM will promote balanced fertilization, and the National Organic Agriculture Board will promote sustainable farming systems in areas with low use of inorganic fertilizer.”

Farmers’ education is also part of the strategy to increase rice harvest. To achieve this, the Agricultural Training Institute will help rice farmers by conducting community organizing and trainings in rice farming. The DA will also develop upland rice-based farming systems “to address food insecurity” in poor areas in the upland.

Another strategy to intensify palay production is to institute mechanisms that will stimulate production response from farmers. This involves increasing the domestic palay procurement of the National Food Authority (see related story) and safeguarding irrigated areas from land conversion.

Irrigation-Serviceable Areas Being Increased

The DA will also develop and maintain irrigation systems. The FSSR says “the National Irrigation Administration (NIA) will implement projects that will increase irrigation-serviceable areas.”

To improve farm mechanization and lessen postharvest losses, DA will have farmers associations send their farmer-members into training for the operation and maintenance of farm equipment and facilities. It will also provide farmers associations with multi-purpose drying pavement, flatbed dryers, and modern rice mills.

Lastly, to manage rice consumption, DA will keep per capita rice consumption at 120 kg per year. This entails promoting the consumption of unpolished rice or brown rice and reduction of table wastes. It also includes diversification of staples; by boosting the production of white corn, sweet potato, cassava and plantain their increased market supply will lower their prices.

All things considered, there’s no question that the FSSR is a well-intended program. But this roadmap is implying something.

Commenting on the FSSR, UP Economics Professor and former National Economic Development Secretary Solita Monsod writes in her Inquirer column that “unless our appetite for rice (per capita consumption) decreases, and/or our incomes increase (which cuts rice consumption because we can then afford other food), and/or our population decreases, there is not a snowball’s chance in hell of attaining rice self-sufficiency (zero imports) by 2013.”

The State of Rice Production

The DA has been following the FSSR for quite some time now and Alcala has expressed confidence on its implementation. So what has the department accomplished so far in the FSSR?

In answer to our query, Alcala says that among the things that the DA has done is to improve farmers’ access to high quality seeds. He says that because the department has discovered that majority of farmers plant ordinary seeds, it has distributed registered seeds to farmers as these yield as much as 1.2 MT to 1.5 MT per hectare compared to certified seeds.

He also says that the DA has provided farmers’ associations with dryers, hand tractors, thresher and other postharvest facilities to reduce postharvest losses, especially during the wet season.

The DA has also expanded the production of non-rice staples like cassava in provinces like Tawi-Tawi, Zamboanga and Sulu where this is the main staple.

To address food insecurity in the upland where many indigenous people dwell, Alcala says that the DA has been aggressive in boosting the production of upland rice varieties like black rice, brown rice and red rice. These are the premium type of palay that have less water requirement and have a prized aroma.

In addition, National Rice Program director Dante Delima earlier reported that as of June 10, 2011, 1,247 farmers in Regions 11 and 13 benefited from the upland rice development program as they received 72,254.50 kg of seeds from the DA.

Delima also reported that 14,538 hectares (ha) have been utilized for seed production. Of this, 13,390 ha are planted to registered seeds, while 1,135 ha to foundation seeds, and 13.30 ha to breeder seeds.

These efforts are part of DA’s goal to produce 17.45 million metric tons (MT) of palay this year and it targets to increase this in 2012 to 19.2 million MT or by 10 percent. Achieving these goals will be tantamount to 84.4 percent rice self-sufficiency in 2011 and 91.9 percent in 2012.

These targets, however, are a challenge to the DA because according to the BAS palay production dropped by 3.04 percent in 2010. Data from BAS show that the volume of palay production decreased from 16.82 million MT in 2008 to 16.26 million MT in 2009 and to only 15.77 million in 2010.

Based on the data from BAS, one reason for the production decline is the decrease in area planted to palay. Area planted and harvested decreased from 4.46 million hectares (ha) in 2008 and 4.53 million ha in 2009 to 4.36 million ha in 2010. The long dry spell in 2010 is also a factor for palay’s negative growth.

The hope for DA is that palay production has increased in the first half of 2011. According to BAS, this is because the “harvest areas expanded due to recovery from the adverse effects of the El Niño phenomenon.” Palay production is 7.58 million MT and this is “14.45 percent higher than the previous year’s level.”

Monsod says that although this is true, the production growth is still because of the increase in area planted to rice and not because of an increase in yield per hectare. “While the 2011 yield was greater than that of 2012 yield, there was no significant difference from the 2009 yield.”

Alcala strongly questions this assertion by Monsod. He says before the average yield per hectare was 3.6 MT and lately it has increased to 3.8 MT.

“So we have improved. Actually, if we could get [an average yield of] 4.2 MT/ha sa buong Pilipinas [the entire Philippines] we won’t need to import rice [anymore],” adds Alcala. “At hindi po talaga kayang biglain kasi [And it can’t really be suddenly increased because] we have to educate our farmers on appropriate technologies to improve rice productivity.”

The Importance and State of Irrigation

Besides the recovery from the dry spell due to this year’s wet summer, improved irrigation is cited by Alcala in news reports as a big factor for the promising performance of palay.

Asked how has the DA improved irrigation, Alcala says the department has a better feedback mechanism. He says he personally reaches out to farmers and irrigators’ association even in far-flung provinces to query them about their difficulties. This has helped in addressing problems in irrigation.

How important is irrigation in achieving rice self-sufficiency? Very much.

First of all, far more irrigated rice paddies are being utilized than rainfed paddies. According to BAS, the total area harvested for irrigated paddies was 3.03 million ha in 2008, 3.06 million ha in 2009, and 3.01 million ha in 2010. Yet the total area harvested for rainfed paddies was only 1.43 million ha in 2008, 1.48 million ha in 2009, and 1.35 million ha in 2010.

Second, the yield per hectare of irrigated paddy is higher than rainfed paddy. Data from BAS show that the yield of irrigated paddy was 4.14 MT/ha in 2008, 3.95 MT/ha in 2009, and 3.99 MT/ha in 2010. But the yield of rainfed rice paddy was only 2.98 MT/ha in 2008, 2.83 MT/ha in 2009, and 2.81 MT/ha in 2010.

In all, irrigated rice paddies produced 12.56 million MT of palay in 2008, 12.08 million MT in 2009, and 11.99 million MT in 2010.

Considering irrigation’s contribution to rice production, it is no surprise that the development and maintenance of irrigation systems tops the list of strategies in the FSSR. And this year, NIA needs P12,790,650 to achieve these physical targets: irrigate 27,140 ha of new areas, rehabilitate 100,680 ha, and restore 31,707 ha.

Interestingly, this year’s physical targets are higher and require less funding compared to last year’s irrigation program. Because in 2010, the financial requirement for the irrigation program was P13,599,386 to establish 3,446 ha of new irrigation systems, rehabilitate 27,139 ha, and restore 26,125 ha.

So What Has the DA Done to Improve Irrigation?

To start with, Alcala told The Manila Times that the BSWM has established small water impounds, and these short-term projects immediately benefit farmers. The small water impounds “can influence 50 ha to 200 ha of rice land” and farmers can also use these in vegetable production, especially during the dry season.

In June, NIA administrator Antonio Nangel reported to Alcala that NIA had irrigated 1.034 million ha from May 2010 to March 2011, resulting in 135 percent cropping intensity. A total of 546,363 ha are irrigated during the wet season, while 490,153 ha during the dry season.

Nangel also said that NIA irrigated 194,570 ha from July 2010 to April 2011. Of these, 10,304 ha are new areas, 150,078 are rehabilitated areas, and 34,188 are restored areas.

Nangel is also pleased to report that NIA has continued implementing 38 irrigation projects in 2010. Five of these are foreign-assisted, 23 are locally funded, 3 are inter-agency, and 7 are carry-over projects. This year, NIA implements 5 ongoing, 1 foreign-assisted, 3 inter-agency, and 5 carry-over projects.

But recently, KMP reported that doubts are being raised on this year’s P25.7 billion allocation for irrigation projects because farmers are reportedly paying for the irrigation fees, hence the budget for irrigation cannot be considered as government support.

Alcala expressed dismay about this report. He asks, how can the government maintain the irrigation systems if it cannot source funds from the farming sector. He also reminds us that irrigation projects are “usually foreign-funded projects that we have to repay.”

“Ang daling magsalita ng paninira sa pamahalaan [It’s so easy to speak ill of the government],” adds Alcala. “These people keep on saying things na para bang sila lang ang magaling [as if they are so great]. Sila po ba ay may nagawa nang maayos para sa ating mga magsasaka [Have they really done something well for our farmers?]”

By Manila Times

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P10B Philippine Agriculture Funds Drained

2011-09-21T15:35:00.006+08:00

It was worse than the fertilizer scam.

A P10-billion fund meant to help small farmers, fisherfolk and agriculture entrepreneurs raise their skills and production was used as a cash cow of agriculture officials, politicians and businessmen “favored” by the Arroyo administration for almost a decade, officials said.

The discovery of irregularities in Acef (Agricultural Competitiveness Enhancement Fund) has led lawmakers and agriculture officials to suspend the program in January and to review its implementation.

What they saw, according to officials who checked the Acef records, was a long list of companies and beneficiaries who failed to pay back their loans.

The same officials also heard of complaints from borrowers who said that agriculture officials demanded kickbacks in exchange for loan approvals.

Agriculture Secretary Proceso Alcala said his office had received complaints from beneficiaries and those who tried to apply for the fund that former agriculture officials had asked for kickbacks in exchange for approving their loans.

Legitimate projects were also set aside in favor of proponents who have questionable projects but are willing to provide kickbacks, officials said.

“As we investigated it, we found out that the majority of those who did not pay were the ones who were complaining about the kickbacks,” Alcala said. “It was as high as 20 to 35 percent,” he noted.

A senior agriculture official also noted that the Acef executive committee was lax in approving projects. Some proponents, who promised to give commissions, were not even required to appear at the Department of Agriculture to explain their projects, the official said.

Alcala said it was the Acef management that was accused of being the recipients of bribes. “They got money out of proceeds. After the funds are released, something goes to them,” he said.

Although the reports and complaints were numerous, Alcala said it was difficult to pin down the errant officials. “Of course, these had no receipts,” he said.

Some borrowers were also reluctant to say something on record because they knew that they got the deal out of bad faith, Alcala said.

The practice of asking for commissions in exchange for loan approval was confirmed by Gregorio San Diego, president of United Broilers Raisers Association (Ubra).

Four years ago, Ubra applied as a cooperative for the Acef to build a broiler breeder facility in Pampanga. San Diego said his group was encouraged by then Secretary Arthur Yap, but when the application reached the central office of the agriculture department, it was denied.

“They asked 10 percent from us,” he said, noting that it was considered a discount. “Others were told to give 35 percent,” he added.

In the end, Ubra decided not to push through with its application, San Diego said.

Senator Francis Pangilinan, cochair of the congressional oversight Committee on Agriculture and Fisheries Modernization, and sources confirmed that some of those who applied for the fund were personalities and politicians “favored” by the past administration.

‘Lender of Last Resort’

An industry source and an agriculture official, who reviewed the project and requested anonymity because of lack of authority to discuss the matter, described the use of Acef in the last decade as “plunder.”

“This was bigger than the fertilizer scam,” the industry source said, referring to the misuse of P728 million in agriculture funds under then Undersecretary Jocelyn “Joc-Joc” Bolante.

The fund, intended to benefit farmers, was said to have been diverted to the campaign kitty of then President Gloria Macapagal-Arroyo in 2004. Bolante and former Agriculture Secretary Cito Lorenzo have been charged with plunder at the Sandiganbayan.

“This was supposed to be for agricultural enhancement but they have become the lender of last resort,” the source said, referring to Acef.

Acef, established in 1996 and funded by tariffs from agricultural products, is a funding mechanism aimed at providing financial support to the agriculture sector to increase their competitiveness in the global market.

Safety Net

The money from the taxes was supposed to be used to establish “safety nets” for agriculture sectors affected by trade liberalization.

“That was the basic tenet of Acef, but it was not followed. If it was implemented properly, say the industries were given common services, it would have made Philippine agriculture competitive. But this was not followed. Even those projects that were not aimed at competitiveness were given funding,” the industry source noted.

The fund was set up to enable farmers, fisherfolk, and cooperatives to upgrade their skills and facilities so that they can compete in an increasingly globalized agriculture market.

Loans up to P30M

Under the program, agricultural workers, cooperatives, nongovernment organizations, and local government units may take out loans ranging from P500,000 to P30 million.

Acef was supposed to have a 10-year life-span, but the agriculture department, during the term of former Secretary Yap, issued several memoranda extending the program and its scope.

Collateral Interest-Free

The program was especially designed to encourage small and medium agricultural enterprises to borrow from it as it does not demand a collateral from them and is interest-free. The lack of these requirements opened the fund to abuse and was the main reason for the low-repayment rate, officials said.

Acef contained P10.73 billion accumulated from collected tariffs from 1990 to 2010, according to the Department of Agriculture’s preliminary report as of February 2011.

During that period, the fund used P8.85 billion, mostly for grants and loans.

As of February, the agriculture department said P2.57 billion went to grants, while P5.82 billion went to loans to 299 accounts. Included in the loan portfolio was a P1-billion grant to the bankrupt Quedancor, which was supposed to be used for the agency’s training program. At about P372.78 million was used to fund scholarship programs.

Quedancor did not remit a single centavo to Acef and even borrowers who failed to pay were allowed to borrow huge sums again, officials said.

As of early 2011, only about P1.8 billion remained in Acef coffers as many of the creditors failed to pay back their loans over the years, the Department of Agriculture said.

Failure

Despite the huge amounts of money that were funneled into the fund since its creation, the credit mechanism that was supposed to improve Philippine agriculture, provide employment in the countryside and raise the income of farmers and fisherfolk failed in its vision.

In March, the technical working group on Acef said: “Available data indicate that the Acef has not been able to provide loans to the marginalized farmers and fisherfolk; but mostly to small and medium enterprises.”

In a report, the Commission on Audit (COA) said Acef was a failure. “The purpose of the program to raise farm productivity by extending credit to small farmers, fisherfolk and agricultural entrepreneurs was not achieved as manifested by the low collection rate of amortization due from the proponents. The inability of the proponents to pay the amortization is an indication that their livelihood agricultural activities did not succeed,” the report said.

Yap’s Friend

One of the borrowers who was not punctual in paying his loan was Lyndon Tan, owner of Basic Necessity, a vegetable farm in Cavite, and a friend of former Secretary Yap.

Yap, project head of the book, “The Art of Agribusiness: 111 and More Success Stories in Agri-Entrepreneurship,” cited Tan as an example of a successful Filipino farm entrepreneur.

Tan, according to a recent agriculture department audit, sells his greens to supermarkets and restaurants. He borrowed P38 million from the fund for his farm in the mid-2000s. He only paid P4 million of it.

The COA also noted that Acef was inefficient and questioned why certain companies that did not remit were still given a chance to borrow millions of pesos.

In its 2010 report, the COA said five proponents with Acef loans of P72.245 million were given additional loans of P35.659 million for the same project, even if previous loans were not yet paid.

Gemsum Marketing

The companies were identified by CAA as C and L Farms, Hi-Las Marketing Corp., Moraleda Farms, Queen’s Agro-Industrial Farms Inc. and Gemsum Marketing.

But that was just the tip of the iceberg. There were 46 proponents who got loans from 2000 to 2008 but “have not paid a single installment,” the agriculture department said. Their loans from Acef totaled P802.95 million.

Baler-Casiguran Road

Senator Edgardo Angara, a former agriculture secretary who authored the law that established the Acef, has been identified as one of the beneficiaries.

Angara’s home province Aurora received P300 million from the fund, according to an audit by the agriculture department.

Angara was cited by two sources as the one who recommended projects to the Acef committee.

The audit by the agriculture department found out that Aurora, Angara’s home province, benefited from two grants.

In 2008, the local government of Aurora received P200 million for the concreting of the Baler-Casiguran Highway.

Kilusang Magbubukid ng Pilipinas said the Baler-Casiguran Road was built to serve Angara’s Aurora Pacific Economic Zone and Freeport project.

In 2007, Aurora State University received P100 million for a project called Enhancement of Technology-Based Agribusiness Industry.

In a phone interview, Angara said he could not recall recommending the grant of P200 million for the concreting of the Baler-Casiguran road.

“Who is the source of that report? I do not recall … Why would they even use the word competitiveness for that? And why would I recommend it,” he told the Inquirer Tuesday night.

Angara said it was more likely that the P200 million came from his pork barrel.

“And if it indeed came from my pork barrel, that would not be considered irregular since it came from my (Priority Development Assistance Fund),” the senator added.

By Philippine Inquirer News

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Philippine Mango Congress Sept 28

2011-09-14T15:30:00.004+08:00

Mango congress to focus on competitiveness of PHL fruit.

Mango growers in Mindanao are urging more production areas to be developed in the region as it is also a suitable area for growing the produce.

The viability of Mindanao, as well as strategies to increase the competitiveness of Philippine mangoes in export markets are among the highlights of this year’s 13th National Mango Congress.

The congress will kick off on Sept. 28 with the theme, “Positioning the Philippine Mango Strongly in the World Market.”

“We would like to highlight this subregion, especially Sarangani, as a viable location for off-season mango production,” said Fred Dumasis, president of the Sarangani Federation of Fruit Industry Associations Inc., lead organizer of the congress in a statement.

Luzon remains the country’s primary producer of carabao mangoes, accounting for 64 percent of production, while Mindanao accounts for 23 percent, according to the Mindanao Fruit Industry Council (MinFruit).

Dumasis said Mindanao’s contiguous production areas and agro-climatic conditions, particularly in the southern part of the region, make it an ideal location for year-round, typhoon-free mango production.

He also pointed out investment opportunities in mango industry support services, such as hot-water treatment and vapor-heat treatment plants and packing houses.

The conference will also provide updates on export-market requirements, the latest production technologies and best production practices. It will also showcase areas in Mindanao with the potential for mango production.

About 500 growers, processors, consolidators, exporters and ancillary service providers from across the country are expected to attend the congress, which will be held in the resort town of Glan in Sarangani province, an emerging mango producer and tourist destination in southern Mindanao.

Conference delegates will submit recommendations to the national government on how industry stakeholders and government agencies can work together to ensure the mango industry’s continued growth and expansion.

Japan and Hong Kong remain the biggest buyers of Philippine mangoes, accounting for 51 percent and 31 percent, respectively, of mango exports, according to a recent report of MinFruit.

Other countries where Philippine mangoes have gained a market foothold are South Korea, the United States, Singapore and China.

The National Mango Congress is supported by MinFruit, the Department of Agriculture (DA) and the US Agency for International Development (USAID).

USAID, through its Growth with Equity in Mindanao Program, has partnered with MinFruit and the DA to enhance the production methods used by fruit and vegetable farmers across Mindanao, while linking them with prospective local and foreign buyers.

By Business Mirror

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Organic Rice Farm Produces 9 Tons in 1 Cropping Season

2011-08-30T08:06:00.007+08:00

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If only all rice farmers in the Philippines’ 2.7 million hectares of rice paddies can hit an average palay (unmilled rice) production of nine tons per hectare each cropping season, the country can easily reclaim its top position as the world’s rice granary.

Impossible? Not to Alexander Manguera, 47, of purok 8, barangay Base Camp here. Manguera recently harvested 9.6 tons of pure organic palay in his one-hectare rice paddy in his first-ever attempt at using the Integrated Rice-Ducks Farming System (IRDFS) propagated by the non-government organization Philippine Agrarian Reform Foundation for National Development (Parfund).

Manguera’s harvest is the biggest, so far, in the history of the IRDFS in the Philippines. He surpassed the erstwhile bounty harvest of 7.3 tons in the one-hectare farm of Rodi Dongallo in Lagonglong, Misamis Oriental.

But Dongallo’s 7.3-ton harvest was achieved only after four years of implementing the IRDFS while Manguera achieved his in just one cropping season (three months from seeding to harvesting) using the M3 rice variety.

“I was very happy when Sir Poloy informed me that I have the biggest harvest of palay using the rice-duck technology,” he told the BusinessMirror.

Poloy, nickname of Jose Apollo Pacamalan, Parfund program director, is the only IRDFS expert in the Philippines who studied the technology under the watchful eye of its developer, Japanese innovative organic farmer Takao Furuno.

The average palay harvest per hectare in the Philippines is 3.7 tons (or 74 bags of 50 kilos each), according to the Department of Agriculture (DA). But Manguera’s harvest was 9.6 tons (at 160 sacks of 60 kilos each).

“If each farmer can harvest 9 tons per cropping, we need not import rice anymore,” he said.

The Philippines imported a record 2.3-million tons of rice and spent about US$1.5 billion in 2010 alone, the biggest importation so far since the country started importing rice in 2000. The DA said that since 2000, the annual average rate of rice importation of the country until 2010 is 16 percent. This makes the Philippines the world’s number-one rice importer despite its basically an agricultural country like its rice-exporting neighbors in Asia.

The country’s irrigated rice production continually increased since 2000, with the country harvesting a total of 9,412,676 tons. It harvested 9,790,260 tons in 2001; 9,949,173 tons in 2002; 10,250,223 tons in 2003; 10,941,836 tons in 2004; 11,233,793 tons in 2005; 11,594,933 tons in 2006; 12,269,390 tons in 2007; 12,556,150 tons in 2008; 12,083,264 tons in 2009; and 11,992,459 tons in 2010.

The Philippines continues to import rice because of the rapid increase in population and the inefficiency of Filipino rice farmers.

According to data from the DA, the typical Filipino rice farmer “is only 40 percent efficient” with only 25 percent of this number able to attain a harvest of four tons per hectare (t/ha).

“Seventy-five of every 100 farmers produce less than four t/ha owing to their inability to benefit from high-yielding technologies arising from high costs of production (farming inputs) relative to profitability, uncertainties in production (insect pests, diseases, typhoons, drought), low or fluctuating prices of palay, and inaccessible credit facilities,” the DA said.

But the DA, under Sec. Proseso Alcala, is bent on making the Philippines a rice-sufficient country by 2013. Under the 2011-16 Rice Self-Sufficiency Plan drafted by the government, the Philippines is targeting to produce 17.46 million metric tons (MMT) in 2011, 19.2 MMT in 2012, 21.12 MMT in 2013, 21.76 MMT in 2014, 22.41 MMT in 2015 and 23.08 MMT in 2016. This, compared to the projected palay requirements of 20.68 MMT in 2011, 20.9 MMT in 2012, 21.11 MMT in 2013, 21.56 MMT in 2014, 22.02 MMT in 2015 and 22.49 MMT in 2016.

During the DA’s 113th anniversary last June 23, Alcala vowed to totally eliminate the Philippines’ over-dependence on imported rice, reducing to one-third the 2010 rice imports of 2,380,000 MMT to just 860,000 MT this year and 500,000 MT in 2012.

By 2014, the Philippines may start exporting surplus rice, including organic rice, to fulfill the central goal of the Aquino administration’s Food Staples Self-Sufficiency Roadmap (FSSR) for 2011-2016, which also serves as the country’s blueprint for food security, to make the country rice self-sufficient.

“Sa tuloy-tuloy na reporma natin, possible pong bago tayo bumaba sa pwesto sa tanghali ng Hunyo 30, 2016, sa halip na mag-angkat, baka tayo na ang magbebenta sa ibang bansa ng bigas,” the President said during the DA’s 113th anniversary celebration in Kawit, Cavite.

But Manguera said Aquino or Alcala should not wait for 2013 or 2016 to make the country rice self-sufficient.

“We can export rice the soonest possible time especially if we implement the rice-ducks technology all over the Philippines,” he said.

The IRDFS is regarded as the future of rice farming. Furuno developed it in 1989 in an effort to reintroduce ancient rice-farming techniques in Japan and increase productivity per hectare without increasing farm inputs.

“The system [IRDFS] is based on agro-ecological principles and biological synergies that require less input but yield the highest production of rice per hectare,” Furuno said in Japanese that was interpreted by Hirotaka Konagaya. Furuno extensively lectured on his own experiences in rice-duck farming during the Sixth International Rice-Ducks Conference at the San Carlos University-Talamban Campus in Cebu City in 2008.

By Business Mirror

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Increased Mango Production in Mindanao Sought

2011-08-16T12:20:00.004+08:00

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Farmers in Mindanao have been urged to plant more mangoes to boost the country’s production and increase its competitiveness in the international markets.

Fred Dumasis, president of the Sarangani Federation of Fruit Industry Associations Inc., said they will discuss the potentials of mango production in the region during the 13th National Mango Congress in Glan, Sarangani province on September 28-30.

“We would like to highlight the Soccsksargen Region, especially Sarangani province, as a viable location for off-season mango production,” said Dumasis, whose group is the congress’ lead organizer.

“Soccsksargen” actually refers to Region 12 or Southwestern Mindanao. It comprises the provinces of South Cotabato, Sarangani, Sultan Kudarat and North Cotabato and the cities of General Santos, Koronadal, Tacurong, Kidapawan and Cotabato.

Dumasis explained that the region’s vast land area and favorable agro-climatic condition “make it an ideal location for year-round mango production” and could host critical support service facilities such as hot-water treatment, vapor heat treatment plants and packing houses.

“Through the conference, we hope that our local mango growers will be encouraged to expand production and improve quality, and consequently, help boost our industry’s exports,” he said in a statement.

Themed “Positioning the Philippine Mango Strongly in the World Market,” the congress specifically aims to help local producers better understand and comply with the quality requirements of foreign markets which include Japan, China, Hong Kong and South Korea.

The conference will also showcase areas in Mindanao which have the potential to become mango production areas, update farmers on the latest production technologies, and share best production practices among industry stakeholders.

Last year, mango production in Region 12 increased to 44,413.44 metric tons from 42,229.16 in 2009, data from the Bureau of Agricultural Statistics showed.

Around 500 growers, processors, consolidators, exporters and ancillary service providers from across the country are expected to attend the three-day event.

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Supermarkets Restaurants Buying Locally Grown Produce

2011-08-02T09:34:00.005+08:00

Supermarkets, restaurants vow to buy local farm products

Major supermarkets, hotels and restaurants have committed to patronize, sell and use local agriculture and fishery products following an appeal made by the Philippine government.

Agriculture Secretary Proceso J. Alcala also disclosed that the Department of Agriculture (DA) will establish a central depot or distribution hub where small supermarkets could buy their regular stocks of various agri-fishery products, including onions.

“The private sector’s commitment will provide the much-needed boost to promote local farm products versus imported ones and subsequently encourage Filipino farmers to produce more and earn more,” said Alcala in a statement.

Alcala said the commitment was made during a meeting held on July 18 called by the DA to arrest the influx of imported farm products, particularly onions in public markets and supermarkets. The meeting was attended by officials and representatives of the Philippine Association of Supermarkets Inc. (Pasi), Philippine Amalgamated Supermarkets Association Inc., Hotel and Restaurant Association of the Philippines (HRAP), Rustan’s Supermarket and a farmers’ group, the Katipunan ng mga Samahang Magsisibuyas ng Nueva Ecija (Kasamne).

Pasi, the DA noted, indicated that they prefer selling organic agricultural products. The group was requested a list of organic products which the DA will refer to interested suppliers, farmers’ groups and producers.

The DA said HRAP committed to provide the DA with a list of farm and fishery products and ingredients that hotels and restaurants require and consume, which farmers’ groups could supply on a regular basis.

For its part, Kasamne committed to ensure a sustainable supply of onions. Its members will soon produce off-season yellow granex onions. These will be planted beginning August and could be harvested by October through November to meet the demand during the Christmas season.

Alcala said the DA will spearhead a program to revive the country’s garlic industry.

Imported onions and garlic are among the farm products usually sold in major supermarkets.

Alcala also said the agency will promote the production of local “Peking duck” to supply the requirements of Chinese restaurants.Some consumers prefer to patronize imported farm products such as garlic as these are cheaper than those produced locally.

Trade experts, however, noted that farmers in other countries can afford to bring down the prices of their farm goods because their production is subsidized by their governments.

By Business Mirror

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Securing Our Future Through Agriculture

2011-07-19T08:42:00.006+08:00

By ProPinoy Project

The average age of Filipino farmers, according to the Chairman of the Senate Committee on Agriculture and Food Sen. Kiko Pangilinan, is 57. Meanwhile, the average age of the Department of Agriculture‘s (DA) employees is mid 50′s. Aren’t the figures alarming?

To solve this hounding problem in the Philippine agricultural sector, DA Secretary Proceso Alcala announced during the third Cabinet Cluster on Climate Change Mitigation and Adaptation and Food Security on Wednesday, July 13, that the Aquino government is providing scholarship grants to Filipinos especially the children of farmers to encourage them to take-up courses in agriculture.

“Ang malaking kikitain ang nag-aakit sa mga magsasaka para payagan ang anak niya na kumuha ng agricultural classes. Meron po tayong scholarship funds,” said Alcala.

In addition, the DA Secretary affirms that government programs in agriculture are now in place to help farmers and empower them with proper farming practices and the provision of funding support to increase their productivity in their respective communities.

“Kung iyon pong magulang (farmers) nabigyan natin ng pagkakataon na kumita na hindi naman po sila nag-aral ng kumpleto nung una pero dahil sa tamang tulong ngayon na technical, may access sa funds, with that marketing help (from the government), kumikita na po sila ng mas mahigit sa isang ordinaryong empleyadong sumusweldo sa banko,” Alcala stressed.

With the continuous rise in unemployment rate in the country, Sec. Procy said that it is more wise and practical to send children in agricultural schools which are more affordable than allowing them to take-up expensive courses that won’t land them a job.

Sec. Proceso Alcala said that the Department of Agriculture is working hard to achieve and implement effectively government programs to meet President Aquino’s order to advocate and support the productivity of farmers in the countryside or rural areas where help is most needed.

On the other hand, the DA secretary also emphasized the need of Filipino farmers to undergo training in pest management, organic farming and other services to sustainable management of crops, livestocks and grains.

Sen. Kiko Pangilinan, who has been closely working with Sec. Alcala, said in one of his press releases that there are lots of opportunities in farming and what’s needed is actually a synergy of the whole chain–from the producers to the traders.

The Senator also wishes to change how farmers are generally perceived and turn them as “farmpreneurs.” (coined from the word farmer and entrepreneur)

“We will build their capacity to earn more by providing them the means to sell their products directly to market via our fellow AF2025 convenors. We also have in AF2025 the built-in network to ensure the sustainability of the project,” said the Senator.

Sen. Pangilinan along with the Department of Agriculture and the private sector convened the Agriculture and Fisheries 2025 (AF2025), gathering for the first time representatives of farmers, traders, suppliers and media to craft a long-term plan in addressing the country’s various agriculture and fisheries issues.

“This is an out-of-the box way of approaching decades-old problem of unemployment, poverty, and food self-sufficiency. And this is exactly the proverbial shot in the arm needed to boost further what the DA under the Aquino administration has accomplished. It is about time our agriculture and fisheries sector get the recognition and status that they deserve,” conveyed Pangilinan.

Philippine Farming Changes

The past 30 years have not been so profitable for the Philippine marginal farmer. With commodity prices in the past relatively low, its been cheaper to import food than grow and distribute it domestically. Philippine farmer parents have been telling their children based on the the parents past bad experience not to farm but to do something else for money making income. The fact is now into the foreseeable future, commodity prices, specifically soft commodities of food, prices having been steadily rising, and should continue to rise over the long-term with demand outstripping supply now with China now being a net importer of food and other global demand supply factors. The opportunity to profit handsomely from farming has never been so great in a generation or more. Share this news with Philippine marginal farmers to start producing more than they only consume to sell and earn income. Professional farmers already know this, and are profiting from it. The reality is now and into the future, its very profitable to be a Philippine professional and or marginal farmer.

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Rising Food Costs & Overseas Farming

2011-07-12T13:50:00.007+08:00

South Korea to Expand Overseas Farming on Rising Food Costs

South Korea, the world’s third-biggest corn buyer, plans to secure more farmland overseas to grow crops such as corn and wheat and secure a stable supply amid surging food prices.

The North Asian nation wants to secure a total of 380,000 hectares of overseas farmland by 2018, the agriculture ministry said in an e-mailed statement today, without giving a comparative figure. That area can produce about 1.38 million tons of corn, wheat and soybeans, or about 10 percent of the nation’s annual imports of the three major crops, it said.

South Korea, which relies on imports for almost all its corn and wheat while fully self-sufficient in rice, is seeking to boost supplies as surging global food costs fuel inflation. Corn futures prices have jumped 63 percent in Chicago in the past year, while soybeans climbed 42 percent and wheat gained 22 percent.

The government will help the nation’s companies lease arable land or buy stakes in overseas firms, the statement said. It will prioritize countries such as the Philippines, Cambodia, Ukraine, Indonesia and Russia for potential investments, it said.

South Korea also plans to expand its overseas grain trading business into countries including Brazil, Russia and Ukraine after a U.S. venture was set up earlier this year, the statement said. State-run Korea Agro-Fisheries Trade Corp. in April started a grain-trading venture in Chicago to help secure supplies, the statement said.

By Bloomberg

Philippine Agriculture Opportunity

Not only South Korea, but China and many other nations are running out of food due to high demand, low production, and high prices. The Philippines can benefit in two ways, by producing more for its own domestic consumption, and the growing foreign demand for food products. With commodity prices at record high levels and looking to stay that way, the Philippines has the potential to benefit in so many ways. Invest in Philippine farming and farmers, and watch that investment earn exponential returns in the long-term. Contact and urge your local government officials to help the Philippines be food self-sufficient and in time, a food exporting country again.

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United Nations Sees Improving Philippine Rice Production

2011-06-22T14:32:00.006+08:00

UN report mirrors PHL ambitions toward self-sufficiency in rice.

A United Nations (UN) agency sees the Philippines improving its rice production in the next two years, reflecting projections of the Aquino administration though to a lesser extent.

In its Food Outlook for June 2011, the UN Food and Agriculture Organization (FAO) estimated a 28-percent increase in Philippine rice production this year to 11 million metric tons (MT) from 10.7 million MT in 2010.

Rice production will go up at the same rate next year to 11.3 million MT, the FAO said.

The Philippines — like Bangladesh, Indonesia, and Vietnam — “reaped substantially larger crops in 2010, in spite of unfavorable weather." The UN agency also said it expects the Philippines to expand production along with Bangladesh, Cambodia, Indonesia, the Democratic People’s Republic of Korea, Nepal, and Vietnam.

The Aquino administration is eyeing rice self-sufficiency by 2013 — a goal that an official of the International Rice Research Institute has described as “ambitious."

Last month, the Department of Agriculture (DA) said rice production grew by 15.63 percent in the first quarter, bouncing back from the effects of the drought-inducing El Niño phenomenon in 2010.

The DA’s estimated rice production for 2011, however, is almost three-fifths higher than the FAO estimate. Quelling public fears about a supposedly looming rice crisis, Agriculture Secretary Proceso Alcala said the government projects rice production for 2011 at 17.46 million MT.

Meanwhile, the DA expects production to reach 19 million MT and 20.1 million MT for 2012 and 2013, respectively.

GMA News Online tried but was unable to reach Alcala for comment as of this posting.

Lower imports

The UN agency also projected a decline in Philippine rice imports as one of the world’s largest importers of the commodity. The agency said the Philippines will likely import 1.3 million MT this year, down from the 2.2 million MT in 2010.

Government statistics show that it bought 2.25 million MT in 2010, prompting authorities to eye a two-thirds reduction of imports in 2011.

From this year’s reduced rice importation limit of 860,000 MT, the government plans to further reduce it to 500,000 MT in 2012.

The FAO said the reduction of Philippine imports will affect import demands in Asia in general, bringing regional purchases down by 41 percent.

“The country’s retrenchment is consistent with current prospects of good crops in 2010-2011, but also reflects attempts by the new government to streamline imports by the National Food Authority while increasing private sector participation in trade," the FAO said.

Filipinos consume around 13 million MT of the highly-imported commodity every year, according to a report on GMA News TV’s “State of the Nation."

Rice an exception

Compared to other commodities, however, the FAO said rice is “an exception, thanks to… record world output and large opening stocks."

The bi-annual FAO report said “high and volatile agriculture commodity prices are likely to prevail for the rest of this year and into 2012."

“It all comes down to supply and demand, and the supply situation, as good as it may seem, is barely meeting the demand. And therefore, prices remain at these very stubbornly high levels," said FAO senior grains economist Abdolreza Abbassian in a video interview on the agency’s website.

“Poorer countries import a lot of these crops and food commodities from the international market, and when their prices rise in the world market, they will be obviously directly affected by this," the FAO analyst added.

By GMA News

Success Follows Leadership

Lead with vision of a better future for Philippine farmers and success will be the result. Work hard, and more good luck will come. Envision the Philippines being a rice exporter again. It happened before . . . it can happen again.

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Philippine Rice Self-Sufficiency Questioned Now

2011-06-14T09:10:00.006+08:00

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Philippine rice sufficiency at risk as government withdrew subsidy for hybrid rice seed.

The country’s rice sufficiency is reportedly in danger with the Philippine government’s decision to withdraw subsidy for hybrid rice.

The agriculture department’s exclusion of hybrid rice technology from its priorities spells doom to the country’s bid to become self-sufficient in rice, said Dr. Noel Manicpic, vice president for seed quality control of SL Agritech. The firm is a leading private hybrid rice seed producer in the country, supplying hybrid seeds to several South East Asian countries.

Manicpic criticized Agriculture Secretary Proceso Alcala for excluding the promotion of hybrid rice technology. He declared that the agriculture chief’s lack of interest in hybrid rice is unfortunate because with the “hybrid rice’s higher yield, the gap between the production of inbred rice varities and the former is very wide.”

Hybrid rice varieties yield as much as 17 tons per hectare compared to seven to eight tons from inbred rice.

“Previous DA secretaries have always made hybridization a core program but Alcala is not inclined towards hybridization,” said Manicpic.

He explained that the withdrawal of the government’s seed subsidy which had been enjoyed by farmers in the past is premature because acceptance of the technology by farmers is not yet at the point when no more government intervention is needed to keep farmers planting hybrid varieties.

Manicpic said that at its peak, only 300,000 hectares of the country’s 1 million hectares of irrigated land were planted with hybrid rice.

“Many farmers know of the advantages of planting hybrid rice but the inaccessibility of its seeds due to its high price gets in the way. Also, being a new technology, hybridization should be aggressively promoted. Hand in hand with seed subsidy, the govenrment should also provide credit and research and development,” said Manicpic.

Hybrid seeds go for P4,000.00 to P5,000.00 per hectare, an amount which is prohibitive for many farmers, said Manicpic. He said subsidizing at least half the amount would be a great help to local farmers.

“My point is that the hybridization program has not yet reached the point when it is wise to discontinue seed subsidy,” Manicpic repeated.

The hybrid rice promoter was in Tabuk City, the Cordillera’s rice bowl, as guest in the harvest festival to show to other farmers in the city the 100 hectares compact farm for commercialization of hybrid rice.

Cabaruan, Tabuk’s Barangay Chairman Rogelio Polon said that the average yield per hectare of the 17 hybrid rice farmers who already harvested their crops are 183 cavans, way above the 100 per hectare normal yield of inbred rice in Tabuk.

To further prove his point, rice farmer Edward Boclongan of San Julian village also in Tabuk, said he harvested 237 cavans per hectare this cropping season using the hybrid rice technology. He netted P180,000.00 from hybrid rice production.

Tabuk City agriculturist Gilbert Cawis said more farmers prefer subsidy than other interventions from the government. “If they cannot continue the subsidy program, they should instead subsidize the price of palay especially when prices of the grains fluctuate.

By Bulatlat

Hybrid Rice Seeds Provide 150 to 250 Cavans Per Hectare of Harvest

Planting and growing Hybrid rice seed can provide a harvest 2 to 5 times larger than typical inbred and certified rice seed. Investing in hybrid rice production can provide more money for the farmer, the government, and the economy. Using the right fertilizer and enough of it is an important part of having a successful rice harvest. Hard work brings good luck. Work hard and now for the tomorrows results, and the great results will take care of themselves.

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Agriculture Sector Inputs P2B Subsidy

2011-06-07T09:57:00.004+08:00

PNoy: Farm Sector May Get Input – Not Fuel – Subsidy

Rather than subsidize fuel, the government will likely opt to provide P2 billion in farm input subsidies for farmers and fisher folk affected by rising prices of the commodity, the President said Tuesday.

In an interview after a lake-seeding activity in Jala-Jala, Rizal, President Benigno Aquino III said the government will assist the agriculture and fisheries sectors by providing funds for buying seeds, fertilizers, and pesticides.

Aquino explained that the move will ensure that assistance is “directed" to the people in need of it. “Ayaw nating magkaroon ng maraming leakages — iyon bang hindi kasali ay bigla na lang nakipila at sila ang nakinabang," he said.

The government on Monday said it will exclude farmers and fisherfolk from its fuel subsidy program, citing the difficulty of directing the subsidy to deserving beneficiaries.

Speaking with reporters after the Gawad Saka awarding ceremonies in Malacañang, Agriculture Secretary Proceso Alcala noted that most farmers who use fuel-run tractors are well-off, and that the government cannot identify the poor ones who use small motor pumps.

Another alternative to subsidizing fuel is implementing a “food for work" program for farmers and fisherfolk, according to a report on GMA News TV’s “Dobol B sa News TV" on Tuesday.

Seeding Laguna Lake

Meanwhile, at the event where he spoke, the President led the seeding of the Laguna de Bay to boost the population of tilapia and bighead carp in the lake and to improve the livelihood of fishermen in the area.

Aquino and his party, composed of Environment Secretary Ramon Paje and other government officials, released 200,000 tilapia and bighead carp fingerlings during the activity.

“Ang humigit-kumulang 200,000 fingerlings ng tilapia at bighead carp na pinapakawalan natin ngayon ay maghahatid ng mas masaganang palaisdaan at dagdag na kabuhayan para sa ating mga kakabayan," Aquino said.

“Malinaw ang daing sa atin ng Laguna Lake. Ang tagal natin siyang pinakinabangan at obligasyon nating suklian ang kanyang pag-aaruga. Pagmalasakitan natin siya upang patuloy pa rin tayong buhusan ng samu’t-saring yaman at pagkakakitaan," the President added.

By GMA News

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Organic-Product Labeling Necessary

2011-05-31T07:59:00.006+08:00

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The Philippines has much to gain in enhancing the labeling, standards and certification of “organics” that will help promote the shift to an organic way of life and lifestyle, and help boost trading systems that will benefit both producers and consumers.

Roland Cabigas, managing director of La Liga Policy Institute, said what is needed is a labeling system with a clear government-check mechanism, to validate labels and promote products and byproducts certified as “organic.”

This way, he said, trading system will be enhanced, benefiting both the consumers and producers.

Cabigas, a convener of Go Organic! Philippines, just came from an international workshop held in New Delhi, India, dubbed “Workshop on Development of Standard Certification System for Organic Agricultural Products,” where he presented La Liga’s country paper entitled “Enhancing Labeling, Standards and Certification for Sustainable, Organic and Ecological Agriculture in the Philippines.”

The four-day event was jointly sponsored by the Asian Productivity Organization, an intergovernmental body based in Tokyo, Japan, as well as the Ministry of Agriculture of India and the National Productivity Council of India from May 16 to 20 at the India International Center.

The activity was participated by delegates, including key government officials and officers of private development organizations, from the Philippines, India, Bangladesh, Pakistan, Indonesia, Nepal, Vietnam, South Korea, Sri Lanka, Republic of China (Taiwan), Japan and Thailand.

Among the resource persons were Dr. A.K. Yadav from the Ministry of Agriculture of India; Gerald Hermann, past president of the International Federation of Organic Agriculture Movements; Prof. Shih Shiung Chen, president of Mingdao University based in Taiwan; and Dr. Muhammad Saeed representing the Asian Productivity Organization.

During his presentation, Cabigas stressed that labels, standards and certification should be developed not just for full, pure or completely organic agriculture products, but also for products of farms still on their transition to becoming full organic.

In an interview with the BusinessMirror, Cabigas said developing labels and standards for products that range from organic, semi-organic, organically grown, naturally farmed, pesticide free or less chemicals is important, instead of limiting the certification and labeling to “organic.”

Broadening the labeling, standards and certification policy to cover the bigger section of sustainable, organic and ecological agriculture practices can potentially contribute higher value-added in terms of the over-all growth and development goal of the country’s agriculture sector, the shift towards more sustainable, organic and ecological agriculture, Cabigas said.

While there is no denying the substantial steps undertaken by Philippine government agencies in partnership with nongovernment and people’s organization networks in formulating an organic agriculture standard and certification process that is compliant with international standards, he said there is a need to review the current Philippine standards on the certification and labeling of organic products and byproducts.

The current Philippine standards were developed in 2005, but have not been updated to include more recent consensus in Asian and international standards.

“As it is currently framed, there is, however, a very serious limitation to the Philippine organic agriculture labeling, standards and certification policies,” Cabigas said.

He noted that there is little mention of nonthird-party certification including first-and second-party certification and participatory guarantee systems. 

He said while no systematic baseline exists, many estimate a bigger number of full, pure and complete organic farms that follow internal control systems but cannot afford third-party certification and/or those who are not targeting the export market.

Cabigas said there is a need to improve the current policy language on organic agriculture labeling, standards and certification to put equal emphasis on nonthird-party certification. 

“Documentation of labeling and non-third party certification practices is very much needed in order to develop more comprehensive options for organic agriculture certification. 

This will necessitate a review of the current Philippine Organic Agriculture Act as well as its implementing rules and regulations.  In particular, key provisions of the implementing rules and regulations on the transition period for first- and second-party certification must be seriously reconsidered,” he said.

More critically, he said, labeling, standards and certification policies only cover and are applicable to full, pure and/or completely organic agricultural products.  As such, in the case of the Philippines, it only covers less than 1 percent of sustainable, organic and ecological agriculture production.

By Business Mirror

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Energy Development Corp Is Planting Flowers

2011-05-23T07:20:00.006+08:00

EDC Launches Ilang-Ilang Production Project in Leyte

Ormoc City — Energy Development Corp. (EDC) and the municipal government launched the Ilang-ilang Essential Oil Production in neighboring Kananga town to encourage residents to propagate ilang-ilang flowers.

A ceremonial signing by Mayor Elmer C. Codilla and EDC Community Partnership department manager Emeliano Argoncillo highlighted the event.

Argoncillo explained that the Philippines only has at the most 300,000 ilang-ilang trees, most of which are found in Tarlac province and Central Luzon (10.15 percent). The number couldn’t supply Europe’s demand for essential oils for perfume. At least 1.8 million trees are needed to cope with the demand.

Under the program, each barangay will identify 3 to 6 hectares of suitable land to plant ilang-ilang. Argoncillo explained that three hectares can be planted with 1,000 ilang-ilang trees that will bear flowers after three to four years. However, full harvest can be expected when the tree reaches eight years.

Fresh ilang-ilang flowers sell for P8 a kilo while extracted oil is worth P8,000 per liter. This means that 100 trees can earn for the farmer P8,000 a month or P95,000 annually. About 1,000 trees can fetch P1.9 million annually. At 3 to 6 hectares per barangay, Kananga will soon have 69 to 115 hectares of ilang-ilang plantations, or a potential income of P44 million to P87 million annually by 2015 and beyond.

Present at the signing ceremony were Liga ng mga Barangay president Procesa T. Baguio, Department of Education Kananga District 1 supervisor Tita P. Alajas and District 2 principal in charge Wilfredo Marquez, Kananga National High School principal Julita Clavel and Lim-ao National High School principal Marcelo Refuerzo.

By Business Mirror

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Yuan Longping the Father of Hybrid Rice

2011-05-17T07:30:00.005+08:00

China-Developed Hybrid Rice Key To Philippines' Rice Self-Sufficiency Programme

The report by the Department of Agriculture on May 10 that the country's rice production grew by 4. 10 percent for the first quarter compared to the same period last year has buoyed hopes that the Philippines could finally achieve rice self-sufficiency soon, reports China's Xinhua news agency Saturday.

Agriculture Secretary Proceso Alcala described the expansion of the rice sector by 15.63 percent to 4.03 million metric tonnes in the first quarter as "unprecedented."

"It was the highest rice volume we have seen since Filipinos started planting rice," Alcala said.

Agriculture's expansion, although lower than the target of 4.5 to 5.5 percent, was a turnaround from last year's negative growth and was the fastest first-quarter growth since 2004, as rains boosted corn and rice production, the Department of Agriculture said.

Data from the department showed that palay or unmilled rice production was only 3.49 million metric tonnes in the first quarter of 2010 because of drought.

Alcala said the sector's performance for the first three months this year was a step toward rice self-sufficiency by 2013, a key midterm goal of the administration of President Benigno Aquino III.

But despite this positive development, agriculture experts believe that without the adoption of hybrid rice varieties, first developed in China, along with new farm technology and equipment, the country could not hope to be self-sufficient in the staple food in 2013.

Ronilo A. Beronio, executive director of state-run Philippine Rice Research Institute, said the hybrid palay varieties his agency has developed with the International Rice Research Institute, such as tropical indica and japonica, can produce as much as 10-12 metric tonnes per hectare or almost thrice the 3.8 metric tons per hectare national yield average.

Philippine National Rice Programme director Frisco G. Malabanan also said earlier that hybrid rice seeds yield 15 percent more than the 4 to 5 metric tonnes per hectare produced by certified seeds.

The government has set a goal of expanding hybrid rice coverage to 500,000-700,000 hectares by 2013 from the current coverage of 375,000 hectares.

The Philippines could also learn from the latest developments in hybrid rice technology from China.

Yuan Longping, known as the "father of hybrid rice", has said that his team is working on a new version of high-yield hybrid rice and might complete it in 2012.

Yuan, director of China's National Hybrid Rice Engineering Technology Research Center and a faculty member of the Chinese Academy of Engineering, said the new phase-III super hybrid rice is expected to yield 13.5 metric tonnes of rice per hectare.

The previous hybrid, the second-generation super hybrid, was released for commercial production in 2006, yielding 9 metric tonnes of rice per hectare, on average.

Rice is a major food crop that feeds more than half of the world's population, Yuan said.

China is now planting 29 million hectares of rice per year, with an average output capacity of 6.3 metric tonnes per hectare.

Among the acreage, hybrid rice accounts for about 57 percent of the total, with an average output capacity of 7.2 metric tons per hectare.

Yuan, a Ramon Magsaysay Awardee for Government Service in the Philippines in 2001, said that the average yield of hybrid is at least 20 percent more than that of inbred rice, adding that this would feed 70 million more people annually.

According to China's Ministry of Agriculture, China needs to maintain an annual grain output of 500 million metric tons to feed the nation's 1.3 billion people.

"Hybrid rice will play a key role in ensuring food security worldwide in the new century," Yuan said.

He said if 50 percent of the world's paddies is planted with hybrids, rice production could be increased by another 150 million metric tonnes, enough to feed 400 to 500 million more people.

Statistics from the United Nations showed that about 1 billion people still suffer from hunger and malnutrition and every six seconds a child dies of hunger or related diseases.

The production of hybrid rice seeds is now being commercialized in other countries, including the Philippines, India, Vietnam, Bangladesh and the United States.

In fact, in the Philippines, a local firm, the SL Agritech Corp, has been exporting hybrid rice seeds to neighbouring countries in Southeast Asia starting 2007.

The Philippines is now third, after China and India, as hybrid rice seeds exporter.

By Bernama

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Philippine Fruit Exports to South Korea

2011-05-11T06:56:00.006+08:00

Mindanao Fruit Producers Eye South Korean Market

The Mindanao-based fruit producers have high hopes that they would gain more access in the lucrative Korean food market after joining top food exhibitors from at least 36 countries who participated in the biggest food show in South Korea.

Mindanao Development Authority (MinDA) chairman Luwalhati Antonino said eight fruit producers and exporters from Mindanao form part in this year’s Philippine delegation to the five-day Seoul Food 2011.

The food show was held from April 26 to May 1 at the Korea International Exhibition Center (Kintex) in Seoul, South Korea.

Antonino said the exhibit included a 54-square-meter Philippine pavilion, which featured the best of the country’s food products, including Mindanao’s fresh and processed fruits.

The Mindanao delegation was composed of the BG Fruits Manufacturing Corp., Soyuz Foods Corp., FruitGems Agricultural Corp., See’s International Corp., Philippine Fruits International Corp., Southern Philippines Fresh Fruit Corp., Agri-nurture/Fruitilicious Corp., and Federation of ARB-based Banana Cooperative.

Antonino said the exhibit featured some of Mindanao’s best-selling products such as banana chips, calamansi purée and extract, dried mango, pineapple and papaya, fresh banana as well as frozen and processed fruits.

South Korea is Mindanao’s fifth-largest export market, accounting for 4.86 percent share of last year’s total Mindanao exports, according to Antonino.

Last year’s Mindanao exports to South Korea were valued at $135 million.

These exports include oil cake and other solid residues of coconut, acrylic alcohols, fresh pineapples and bananas.

“Providing our Mindanao food producers sufficient exposure and opportunities to link with emerging foreign markets like South Korea is a strategic way to sustain economic growth in the island-region,” Antonino said.

Antonino added that the administration of President Aquino seeks to improve institutional linkages for local traders and enhance their export potentials for economic growth.

Due to rapid urbanization and a limited area for agriculture, consumption of food imports in South Korea has been rapidly growing by 13 percent from 2001 to 2009, Antonino said.

The South Korean food market is estimated at $46 billion and its per-capita food expenditure is expected to grow further by 2013.

As more Koreans are becoming health-conscious, Antonino said there has also been a growing demand for healthier and more nutritious food alternatives in South Korea in recent years.

“The changing trend in South Korea’s local food consumption offers a great opportunity for Mindanao food producers to provide more food choices in the Korean market,” Antonino said.

Mindanao’s participation in the exhibit was a joint effort of the United States Agency for International Development-funded Growth with Equity in Mindanao (GEM) Program, the Department of Agriculture and the Department of Trade and Industry.

By Business Mirror

Philippine Fruit Export Opportunities

The global demand for food and processed fruit products is outstripping supply. The opportunity for Philippine farmers to grow and sell more fruit products has never been greater. Try Nutriplant organic fertilizer to increase your harvest production, increase your crop quality, with lesser input costs, all naturally and organically.

Nutriplant Nutriplus Organics Protocol Input Costs Per Hectare for All Types of Crops

Includes organic nutrients for seed sowing.

P2,500 1 Spray Application - For Rice Always Apply at Panicle Initiation

P3,800 2 Spray Application - Typical for fruit, rice, corn, vegetables, and flowers.

P5,200 3 Spray Application - Full Nutriplant Nutriplus application protocol with no other application required of any other nutrient fertilizer products.

Increase harvests, naturally organically, with lower input costs.

Good for the farmer, the environment, and the consumer.

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Click the links below to naturally and organically increase harvest productions with lower input costs.

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Click here to review APSA80 All Purpose Spray Adjuvant

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President Aquino P2 Billion Agriculture Subsidy

2011-05-02T08:52:00.005+08:00

Govt readies P2-B ‘inputs subsidy’

President Aquino said on Sunday the government is finalizing a P2-billion “inputs subsidy” for farmers and fishermen as part of its efforts to provide relief for vulnerable sectors amid high oil prices.

Budget Secretary Florencio Abad said the measures so far announced by Malacañang in relation to high oil prices are “just the beginning” and that “there are more to come.”

Mr. Aquino said the Department of Agriculture (DA) is in the process of drafting the implementing rules for the subsidy, which will be taken from the DA budget.

The President mentioned the subsidy when asked in an ambush interview about the recommendations of his economic managers in terms of easing the impact of rising oil prices on concerned sectors and which of these measures he had approved.

“The Pantawid Pasada is the first one. The next, I’m waiting for the details from the Agriculture department but it will be...an inputs subsidy—the direct procurement of seeds, fertilizer, including pesticides. But we are awaiting the actual details—the implementing rules...P2 billion has been earmarked for that and that is another step,” he said.

Abad said in another interview that the subsidy will cover the “rural poor” or “small-owner cultivators, lease holders, tenants and farm workers, including those in the fisheries sector where together with the coconut industry the incidence of poor is really highest.”

“The President’s point about the mechanics is really the challenge that we’re facing right now because I think not more than 10 percent of the rural poor is organized into cooperatives or community organizations. So the mechanics of this will involve both their organized sectors, but I think for the most part, working through with the local governments,” Abad said.

He said the DA would have to determine “who deserve to be benefited” by the subsidy, but the money is there and the commitment is there.”

Abad said “there are more to come” in terms of relief measures once the President approves them.

“This is the beginning of measures that the administration is working on to respond to the emerging contingencies,” he said.

Abad added that concerned government agencies are working on the mechanics of an increased level of availment under the National Health Insurance Program to be funded out of “certain revenue measures” to be announced in the coming weeks.

“That is almost completed and there’s a committee there of the DOH, DOF, DBM and Neda that’s working out the mechanics of that because it will entail practically doubling the investments in the National Health Insurance program,” he said.

On where the funds for the program would be drawn from, Abad said “that will be related to certain revenue measures which will be announced in the coming weeks” but declined to elaborate.

Asked how much the government can spare for subsidies, assistance and other contingency spending in relation to higher oil prices, Abad said “given the present situation and given the fact that it seems like tensions are easing up, then I think that we are comfortable enough with what we have.”

“What we need to do is to prepare for the rainy months that’s coming up,” he said.

Congratulation President Aquino on Your Excellent Efforts!

We congratulate and are very proud of President Aquino and his efforts to help the Philippine farmers and fishermen with this agriculture subsidy. The Philippine agricultural sector has the potential to be a very significant contributor to the Gross Domestic Product of the Philippines. The effects of a strong and prosperous Philippine agriculture sector benefit all Filipinos in many different ways. We hope and encourage all Philippine politicians, and the private sector to work together to make the Philippine agriculture industry strong and an agricultural exporter again like it use to be decades ago.

Nutriplant Nutriplus Organics Protocol Input Costs Per Hectare for All Types of Crops

Includes organic nutrients for seed sowing.

P2,500 1 Spray Application - For Rice Always Apply at Panicle Initiation

P3,800 2 Spray Application - Typical for rice, corn, fruits, vegetables, and flowers.

P5,200 3 Spray Application - Full Nutriplant Nutriplus application protocol with no other application required of any other nutrient fertilizer products.

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Organic Brown Rice Provides More Benefits

2011-04-26T08:02:00.004+08:00

Brown rice pushed as centerpiece of organic agriculture.

Compare the nutrients of brown and white rice in the table above. You'll see that brown rice is more nutritious and healthy for your body.

Brown or unpolished rice has become the center of a campaign by organic farming advocates that seeks to ensure health and nutrition security, and in support of a government campaign for the efficient production and consumption of unpolished rice.

Roland Cabigas, managing director of La Liga Policy Institute (La Liga) and a convener of Go Organic! Philippines, said a change in the way “we do agriculture in the Philippines is necessary to veer away from the harmful effects of excessive use of agrochemicals.”

“A change in the lifestyle and preference of the Filipino people, such as their eating habit, will be crucial in addressing the challenge of food self-sufficiency and security,” Cabigas said.

The cultivation of organic rice varieties, for instance, will help boost food production as it does not require too much capital.  In conventional farming, farmers need to buy expensive chemicals to boost plant growth and ensure high yield.

Organic rice varieties, cultivated using organic fertilizers which farmers can source from their farms and easily produce, will allow farmers with very little capital to do business, he told the BusinessMirror in an interview.

La Liga and Go Organic! issued a statement supporting Agriculture Secretary Proceso T. Alcala’s initiative to promote the production of brown rice in Northern Luzon as well as its consumption by the general public.

The country’s food czar said production of brown rice, instead of well-milled rice, will boost productivity and help reduce the country’s dependence on imported well-milled rice, Cabigas noted.

In encouraging Northern Luzon farmers to produce more brown rice, the DA chief said producing brown rice will help reduce losses in the milling of palay by approximately 10 percent to 20 percent.        

Processing palay into well-milled white grains requires large amounts of fuel and equipment, and machines occasionally damage the grains, he said.  This is not the case for unpolished rice which requires a less extensive milling process, he said.

The recovery process for well-milled rice is only 65 percent while in unpolished or brown rice, it is 75 percent to 85 percent.  The difference of 20 percent will spell a big difference when it comes to reducing the demand-supply gap for rice.

La Liga and Go Organic! Philippines are aggressively promoting organic farming in the Philippines and supports the cultivation of organic rice varieties.

“Unlike hybrid rice varieties, organic rice varieties do not easily spoil and are healthier, especially when they are under-milled,” Cabigas said.

Brown rice is under-milled rice, in that the husk, germ and bran layers have only been partially removed. 

Experts say that brown rice is rich in fibers, and helps control blood sugar and cholesterol.  It is said to be a body building food and beneficial for stomach, and intestinal ulcers and for diarrhea. 

Brown rice is easily digested starch food.  Because of the mineral content, it supplies important nutrient for the hair, teeth, nails, muscles and bones.

By Business Mirror

Organic Brown Rice is Better for Everyone

From the farmer to the consumer, brown rice has more benefits than white rice. Try a brown and white rice combination. Enjoy the good taste of high quality white rice with the better nutrition of brown rice. It tastes good and is good for your health!

Nutriplant Nutriplus Organics Protocol Input Costs Per Hectare for All Types of Crops

Includes organic nutrients for seed sowing.

P2,500 1 Spray Application - For Rice Always Apply at Panicle Initiation

P3,800 2 Spray Application - Typical for rice, corn, fruits, vegetables, and flowers.

P5,200 3 Spray Application - Full Nutriplant Nutriplus application protocol with no other application required of any other nutrient fertilizer products.

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Good for the farmer, the environment, and the consumer.

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Click the links below to naturally and organically increase harvest productions with lower input costs.

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N. Cotabato Farmers Receive Govt Support

2011-04-19T11:28:00.004+08:00

Alcala Turns Over P13.9-M Farm Projects to N. Cotabato Farmers

Agriculture Secretary Proceso J. Alcala turned over P13.5 million worth of agricultural support inputs and livestock to farmers in North Cotabato and urged them to use high-yielding varieties of rice and select efficient rice mills to support the government’s rice self-sufficiency target.

The bulk of the funds or P10 million went to the dispersal of 70 heads of cows and carabaos, according to the Soccsksargen Agriculture office.

Half of the amount was shouldered by the province’s First District Rep. Jesus Sacdalan through his Priority Development Assistance Fund. The other P5 million was released by the Department of Agriculture (DA).

The DA also released P2 million for the 57,142 rubber-budded seedlings that were distributed. Also distributed were 40,000 coconut seedlings worth P1 million and 33,350 coffee seedlings worth P500,000.

The agricultural assistance came with four units of shallow tube wells worth P100,000 each and small farm implements. These were turned over at simple rites in barangay 8, Midsayap, North Cotabato.

Aside from the support, Alcala also assured North Cotabato residents that he would confer with Public Works Secretary Rogelio Singson on controlling the flood after every heavy rainfall.

Alcala especially urged farmers to improve their agricultural practices to increase the recovery rate of palay being dried.  He said his office would put up additional dryers and “to advise farmers to select the effective rice mill to have a 65-percent to 70-percent recovery rate of their produce and lessen spillage.”

“The Land Bank of the Philippines can provide funds for a much better rice milling facility,” he told farmers in the area.

The government goal was five metric tons per hectare “to attain rice sufficiency in the country.” Alcala said the recovery program would focus “on the selection of the right variety of rice seeds to produce more yields.”

Support infrastructure was already given to the province such as storage and drying facilities.

He also said government was implementing the Organic Agricultural Act of 2010, or Republic Act 10068 “which will be of great help to farmers who are promoting ecologically-friendly agriculture products.”

Municipal agriculturists would also be trained “to produce organic fertilizers to help farmers against the high costs of inputs.

The Agriculture secretary said on Saturday during the 65th Commencement Exercises of the University of Southern Mindanao in Kabacan, North Cotabato, that “there will no longer be rice importation by 2013 under the DA’s Agri-Pinoy program.”

He said only last year, the Philippines was “the No. 1 importer of rice in the world with 2.4 million metric tons. This year, Indonesia ranks as the top importer with 1.5 million metric tons.”

“Dahil sa ganda ng klima sa Mindanao, dahil sa ang gagaling ng tao sa Mindanao, gagawin nating agricultural hub ng buong bansa ang Mindanao,” Alcala said.

By Business Mirror

Thank You Secretary Alcala

We congratulate and are proud of Secretary Alcala efforts to help the Philippine farmers in all aspects of their farming efforts. Through a concerted team effort from the government and private agri-business, the Philippines can become food self-sufficient and a net rice and food exporter benefiting everyone involved.

Nutriplant Nutriplus Organics Protocol Input Costs Per Hectare for All Types of Crops

Includes organic nutrients for seed sowing.

P2,500 1 Spray Application - For Rice Always Apply at Panicle Initiation

P3,800 2 Spray Application - Typical for rice, corn, fruits, vegetables, and flowers.

P5,200 3 Spray Application - Full Nutriplant Nutriplus application protocol with no other application required of any other nutrient fertilizer products.

Increase harvests, naturally organically, with lower input costs.

Good for the farmer, the environment, and the consumer.

Nutriplant Organic Fertilizers

Click the links below to naturally and organically increase harvest productions with lower input costs.

Click here to review Nutriplus NPK 4-18-18 Organic Fertilizer

Click here to review Nutriplant AG Organic Fertilizer

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Click here to review APSA80 All Purpose Spray Adjuvant

Click here to review Nutriplus K+ Potassium

Click here to review Nutriplus Zn+ Zinc

More Rice Crisis & Price Increases

2011-04-13T15:16:00.006+08:00

The NFA Says Get Ready for P2 Per Kilo Increase in Rice Prices

The prices of commercial rice might increase by P2 a kilo as a result of rising fuel prices, the National Food Authority warned Tuesday. “When the present harvest is almost over by July, the price of local commercial rice may increase by as much as P2 per kilo despite projections of a good harvest,” administrator Angelito Banayo said.

DA: Rice Crisis Rumors to Hit Farmers

As suspicions emerged that rice cartels are benefiting from the alleged rice shortage in the country, Undersecretary Salvador Salacup of the Department of Agriculture said he would rather focus on who is at a disadvantage: the farmer.

While those behind the false reports should be investigated and penalized, Salacup stressed that the damage the rumors will do to farmers is a bigger concern.

“The buying price [of rice] sa farm gate ay naglalaro sa P16.20 to P16.40, magandang presyo iyan. Pero kapag sasabihing may krisis at kailangang mag-angkat ay baka ma-dampen ang farm gate prices,” Salacup told ABS-CBN’s Umagang Kay Ganda.

Such false rumors of a rice shortage will only do harm to the country, he said.

“Sabi nga ni Pangulong Aquino, ‘Let’s increase incomes in the countryside.’ Kaya talagang tinatancha ng mabuti kung ang ilan ang volume na dapat pumasok, para hindi maapektuhan ang selling price ng ating mga magsasaka at mangingisda," he said.

The undersecretary said food security is a primary concern of our country and agriculture serves as its backbone.

“Dapat tigilan ang masasamang balita, ayaw natin ma-dishearten ang farmers. Nasa magsasaka ang pag-asa ng ating bayan. Suportahan natin ang mga magsasaka at mangingisda natin,” he said.

Salacup also dispelled the rice shortage rumors by citing a 15 to 16% increase in the projection of the Department of Agriculture for 2011.

National Food Authority (NFA) Administrator Lito Banayo, meanwhile, assured that rice supply is not diminishing.

“Tatagal ng mahigit 80 days [ang supply]. Ang NFA alone, nasa 48 days ang stock ng bigas. Marami tayong bigas, kaya nakapagtataka 'yung looming rice crisis. Hindi iyon totoo,” said Banayo.

A report by the Philippine Daily Inquirer that the government received a warning from the National Intelligence Coordinating Agency (NICA) about shrinking rice supply was also subsequently denied by the Office of the President on Tuesday.

By ABS-CBN News

Rice & Food Crisis Solutions

We recommend supporting the Philippine farmers in all aspects of their farming efforts to increase Philippine crop productions, food for our country, food for export, income for the farmers, tax revenues, and a overall trickle down positive economic effect long-term for the entire country. Continuing to import rice and or subsidize it will only cost the Philippines more money in the long-term. Success starts with leadership. Through leadership, success can happen and be sustainable. Encourage your government leaders to lead on this concern, and not stop until the job is done.

Nutriplant Nutriplus Organics Protocol Input Costs Per Hectare for All Types of Crops

Includes organic nutrients for seed sowing.

P2,500 1 Spray Application - For Rice Always Apply at Panicle Initiation

P3,800 2 Spray Application - Typical for rice, corn, fruits, vegetables, and flowers.

P5,200 3 Spray Application - Full Nutriplant Nutriplus application protocol with no other application required of any other nutrient fertilizer products.

Increase harvests, naturally organically, with lower input costs.

Good for the farmer, the environment, and the consumer.

Nutriplant Organic Fertilizers

Click the links below to naturally and organically increase harvest productions with lower input costs.

Click here to review Nutriplus NPK 4-18-18 Organic Fertilizer

Click here to review Nutriplant AG Organic Fertilizer

Click here to review Nutriplant SD Organic Seed Germination Fertilizer

Click here to review APSA80 All Purpose Spray Adjuvant

Click here to review Nutriplus K+ Potassium

Click here to review Nutriplus Zn+ Zinc

Philippines Allows Monsanto to Sell Biotech Corn

2011-04-04T08:18:00.004+08:00

The Only Double-Stacked Corn Trait with Dual Modes-of-Action Against Corn Earworm

There has been worldwide controversy for many concerns in the past over the sale and use of biotechnology modified and manufactured crop seed. We currently take a neutral position to the use of biotech crop seeds, and are making time to learn more about this new farming technology. We present this article here to encourage all concerned to learn more about and educate themselves on the positives and negatives to using genetically modified and or manufactured farming crop seeds to decide whether or not using biotech seeds is best for them and the environment. If you have knowledge and experience on the use of biotech crop seeds we encourage you to email us your opinion about them.

BPI Allows Monsanto to Sell Biotech Corn to Farmers

The Philippine government granted biotech firm Monsanto to sell its latest biotech corn variant with engineered insect-and-weed resistance for cultivation by farmers in the Philippines.

The Bureau of Plant Industry (BPI), an attached agency of the Department of Agriculture (DA), awarded the permit for the traits under event codes MON 89034 x NK603. The traits are covered by permit 11-004 which is effective for five years.

The approval of MON 89034 x NK603 for cultivation opens Philippine farms to the use of a new stack product combining second-generation Yield Gard (YG2) and Round-Up Ready Corn (RRC2), with insect resistance and herbicide tolerance.

Monsanto said in a statement that the G2 trait, conferred by bacterial Bt genes Cry1A.105 and Cry2Ab2, provides maximum protection against the Asian Corn Borer and good control against corn earworm and common cutworm.

The RRC2 trait, the company said, enables simpler and affordable weed-control management through the use of RoundUp herbicide which kills weeds but not the biotech corn.

Meanwhile, the introduction of YG2 corn to the fields will also enhance insect-resistance management for Bt corn hybrids and extend the longevity of the Bt corn technology. YG2RRC2 corn, also known as VTDouble Pro, is extensively grown in the United States, Brazil and South Africa to provide farmers higher and more stable yields.

Monsanto said the sale of YG2RRC2 in the Philippines will start in May 2011. It noted that the approval of the project came after rigorous regulated field trials for almost three years in several locations across the Philippines and a thorough review of technical papers assessing its effectiveness and safety.

Yield Gard 2 single had been granted cultivation approval on November 19, 2010, after about two and a half years of thorough field testing and technical reviews. Two nontarget organism (NTO) studies were also conducted from 2009 to 2010, which showed no adverse impact of MON 89034 on NTOs.

Monsanto is one of the world’s leading providers of agricultural products and solutions to farmers.

The company has over three decades of presence in the Philippines and is involved today in the promotion of modern agricultural biotechnology. It is also taking the lead in educating Filipino farmers in using biotech products to achieve the country’s aim of food security and sufficiency.

By Business Mirror

Chance Favors The Prepared Mind

Through continuing education on new and even possibly controversial farming techniques, farmers can further understand how to produce higher quality and higher yield crop harvests. Through continued knowledge, setting crop goals, having a farming plan, and taking action, successful harvests can be the result. Help yourself and the Philippines become food self-sufficient and secure. Educate yourself, take action, and share with others what you know and do to help the Philippines become a better place for all to live and enjoy.

Nutriplant Nutriplus Organics Protocol Input Costs Per Hectare for All Types of Crops

Includes organic nutrients for seed sowing.

P2,500 1 Spray Application - For Rice Always Apply at Panicle Initiation

P3,800 2 Spray Application - Typical for rice, corn, fruits, vegetables, and flowers.

P5,200 3 Spray Application - Full Nutriplant Nutriplus application protocol with no other application required of any other nutrient fertilizer products.

Increase harvests, naturally organically, with lower input costs.

Good for the farmer, the environment, and the consumer.

Nutriplant Organic Fertilizers

Click the links below to naturally and organically increase harvest productions with lower input costs.

Click here to review Nutriplus NPK 4-18-18 Organic Fertilizer

Click here to review Nutriplant AG Organic Fertilizer

Click here to review Nutriplant SD Organic Seed Germination Fertilizer

Click here to review APSA80 All Purpose Spray Adjuvant

Click here to review Nutriplus K+ Potassium

Click here to review Nutriplus Zn+ Zinc

Philippine Rice Industry in Peril Says Agriculturist

2011-03-28T07:46:00.005+08:00

By Ina Alleco R. Silverio Bulatlat.com

A rice farmer in Davao del Sur. Agriculturist Finesa Cosico cites a host of reasons for the drop in output. (Photo by Karlos Manlupig / Bulatlat.com)

The rice industry is in peril as production of the staple food in the Philippines has been declining in the last two years, an agriculturalist said in a recently released report.

Finesa Cosico, an agriculturist and member of Agham (Advocates of Science and Technology for the People), cited figures from the Bureau of Agricultural Statistics showing that corn and rice production contracted last year.

Based on data from the bureau, from producing as much as 16.8 million metric tons (MT) of rice in 2008, the country only had a production of around 15.8 million metric tons production in 2010.

The same decrease in production happened to corn crop output in 2010. Total corn production went down by 9.34 percent from 7.0 million metric tons in 2009, to only 6.3 million metric tons last year.

Cosico said that there was a host of reasons that are cited for the drop in crop output.

“There are the effects of climate change and the vulnerability of our agricultural sector to both drought and rainfall. Then there’s the unabated land conversion for residential, commercial and industrial land and the replacement of staple food crops with high-value crops. These crops are grown mostly for export markets,” she said.

Cosico also pointed out that besides the inherent problems in the agriculture sector, there are the “problematic policies” of the government with regard to agrarian reform and food security. The Philippines continues to depending on imported rice to fill in the production gap, and in the last few years, the country has been one of the top rice importers in the region.

Food Shortage

In recent reports, Malacañang announced that said President Benigno Aquino will address issues concerning the country’s food supply next week.

On March 8, Presidential Spokesperson Edwin Lacierda said that Pres. Aquino will meet with his officials and discuss the matter after Aquino returns from state visits in Indonesia and Singapore. He said that Aquino will be meeting with agriculture secretary Proceso Alcala, NFA administrator Lito Banayo and Budget Secretary Florencio Abad after his arrival to discuss the food situation and the rice supply.

The Palace made the announcement in reaction to a statement made by senator Edgardo Angara that a food crisis could erupt as an effect of the the conflict in the Middle East and North Africa.

Lacierda said that for the moment, there is no crisis.

“The idea of whether there is a food crisis will have to be discussed because as I understand right now, there is no—and that is very clear—there is no food crisis right now,” Lacierda said.

The Palace official said Aquino has already received a briefing from the NFA on the country’s rice supply. According to him, the NFA has already set its rice importation quotas.

When asked by the media if the quotas could change due to rapidly changing international developments, Lacierda said, “The NFA has a standby authority to import in case the situation is aggravated.”

Protect the Rice Industry

The government’s assertions that everything in the rice industry is under control is not enough to satisfy farmers groups. An alliance of agriculture and peasant groups has issued its own recommendations on ow the industry can be genuinely protected.

Earlier in February, representatives of farmers’ organizations, cooperatives, rice millers, irrigators’ associations, suppliers and consumers held a conference on the problems in rice production in the country. Led by Bantay Bigas, the activity dubbed the National People’s Rice Congress, was held at the National Irrigation Administration’s Convention Hall. The goal of the Rice Congress was to strengthen the Philippine rice industry to ensure that the country becomes 100-percent rice self-sufficient in the next few years.

The groups presented the highlights of the event to agriculture secretary Alcala after the activity, and the official reportedly gave a commitment that the NFA Council will study Bantay Bigas’ recommendations.

Bantay Bigas has been conducting series of dialogues with the NFA on the determination of reasonable rice prices since 2009.

Cosico said that some of the policy actions that are recommended by the Rice Congress are to have an adequate budget for agricultural production and to give subsidies in particular to the grains industry.

“These should include production subsidies, seeds and organic fertilizers subsidies and improved services and facilities in the production chain. On top of these, the NFA should have the capacity to procure at least a quarter of the total rice production of Filipino farmers,” she said.

The agriculturalist said that modern tools and machinery for planting, harvesting, and processing of rice should be made available to improve and increase total rice production in the country.

“This should be coupled with the immediate development and improvement of agricultural infrastructure, especially for irrigation for rice production,” she said.

Cosico also shared that Bantay Bigas also carries a stand that irrigation fees should be reasonable, affordable or subsidized by the national government. The alliance also recommended that water for irrigation should be prioritized especially in times of drought.

In the meantime, the gathering of protection for the rice industry advocates have recognition to the role of women farm workers in the rice production.

According to Cosico, there is a consensus among the group’s allied members that there is a need for mechanisms that will support and enhance women’s significant role in the rice industry both as producers and consumers.

“Stress was given to the necessity of utilizing locally adapted rice varieties should in rice production and these should be protected from biopiracy and private appropriation. Farmer’s rights over the seeds should be recognized. Local seed exchange and seed banks should be encouraged and supported,” she said.

Public sector unions that joined the Rice Congress said that these privatization policies are in the form of the so-called “decoupling,” “rationalization,” “re-engineering” and restructuring of the NFA and other related agencies. Cosico reported that the stand of the delegates against land conversion was patently clear, and that they were also firmly opposed to the encroachment of mining and other industrial projects in agricultural lands should cease.

“While these suggestions may be easily done, a longer perspective to solving the rice crisis should also be taken into account. There is the long-running problem of landlessness in the country. This should be one of the top priorities of the government if it really wants to spur our agricultural output. The bills filed in the Philippine House of Representatives, House Bill 374, also known as the Genuine Agrarian Reform Act of 2010 and House Bill 3105 or the Rice Industry Development Act are steps in the right direction,” she concluded.

Support Philippine Farmers and Have a Stronger Philippine Economy

Please help support Philippine farmers anyway you can to build a stronger Philippine agriculture sector, which provides a trickle down economic effect to the entire Philippine economy, and the people who need it most, Philippine farmers. Continuing to import rice will only lead to higher and higher budget deficits. Continue to encourage the Philippine government to support the Philippine farming industry so we can be food self-sufficient, and a net rice and food exporter. The benefits and rewards of a strong Philippine agriculture industry will pay off exponentially over time.

Nutriplant Nutriplus Organics Protocol Input Costs Per Hectare for All Types of Crops

Includes organic nutrients for seed sowing.

P2,500 1 Spray Application - For Rice Always Apply at Panicle Initiation

P3,800 2 Spray Application - Typical for rice, corn, fruits, vegetables, and flowers.

P5,200 3 Spray Application - Full Nutriplant Nutriplus application protocol with no other application required of any other nutrient fertilizer products.

Increase harvests, naturally organically, with lower input costs.

Good for the farmer, the environment, and the consumer.

Nutriplant Organic Fertilizers

Click the links below to naturally and organically increase harvest productions with lower input costs.

Click here to review Nutriplus NPK 4-18-18 Organic Fertilizer

Click here to review Nutriplant AG Organic Fertilizer

Click here to review Nutriplant SD Organic Seed Germination Fertilizer

Click here to review APSA80 All Purpose Spray Adjuvant

Click here to review Nutriplus K+ Potassium

Click here to review Nutriplus Zn+ Zinc

Philippine Rice Imports & High Prices

2011-03-14T06:34:00.006+08:00

Philippines May Import More Rice Than Planned as Global Food Costs Advance

The Philippines may import more rice than planned as it seeks to secure supplies amid record global costs, according to the nation’s grain-buying agency.

“Many countries are in a stockpiling mode,” National Food Authority Administrator Angelito Banayo said in an interview in Manila yesterday. Rising prices are “a cause for worry,” he said, declining to specify how much the country will buy.

Countries across Africa to Asia are increasing imports to rebuild state reserves to cope with the impact of food prices that reached a record last month. This year’s surge has driven millions into extreme poverty, according to the World Bank, and fueled unrest in the Middle East and Africa. Rice costs have risen 6.8 percent in Chicago in the past year, lagging behind the 58 percent jump in wheat and 92 percent surge in corn.

The Philippines is seeking to more than halve imports to 860,000 tons of rice this year, from about 2.5 million tons in 2010, amid forecasts for a bigger harvest, Banayo said March 7. National Food will buy 200,000 tons and the remaining 660,000 tons will be purchased by private traders. Officials will meet with President Benigno Aquino this week to “validate” the plan “in light of rising commodity prices globally,” Banayo said.

The country may start tendering for rice as early as this month and may accept delivery of imported rice by the end of May, Agriculture Secretary Proceso Alcala said on March 9.

‘Politically Sensitive’

“The high cost of food is a politically sensitive issue in our country,” Philippine Senator Edgardo Angara said in a March 9 statement. About 80 percent of the nation’s population allots 60 percent of their expenditure on food, with half of that budget spent on rice, he said.

Some nations may shift to rice, pressuring supplies and prices, if wheat costs continue to climb, Banayo said.

“We have to start buying before the rainy season” he said. “Harvests in Thailand, Vietnam and Cambodia have begun. We shouldn’t wait for the lean months.”

Rice prices reached a record in January in Indonesia, the world’s fourth-most-populous nation, prompting the government to suspend import tax on the grain, the United Nations Food & Agriculture Organization said last week. Prices stayed at record highs last month in Bangladesh, the largest buyer in South Asia, because of low inventories, according to the report.

Price Gains

Futures for May delivery were little changed at $13.535 per 100 pounds on the Chicago Board of Trade at 11:07 a.m. in Singapore. Prices climbed 21 percent in the second half of 2009 as the Philippines boosted imports to a record.

National Food will allow private traders to bid as early as this month for a so-called service charge that will entitle them to import rice without a 40 percent tax, Banayo said. The agency may hold a tender or enter into government-to-government deals for its purchases, he said.

The government is seeking to recast National Food as rising rice purchases sold at lower prices sunk the state-owned company into debt. It may absorb the agency’s debts, which stood at 161 billion pesos on Dec. 31, and infuse fresh capital, Banayo said.

The plan must be approved by Congress, he said.

By Bloomberg

Philippine Dependence On Imported Rice Can Be Decreased and Eliminated

As in the past, the same opportunity is still available now. The opportunity for the Philippines to be self sustainable and a exporter of rice again as it was long ago. Ask your Philippine government officials on a regular basis to support Philippine farmers in all ways so they can be successful in their farming efforts. A strong and successful Philippine agriculture industry means there will be strong local rice supplies, and a strong and successful Philippine economy for all.

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Senator Villar Pushing for Agriculture Scholarships

2011-02-28T07:30:00.006+08:00

Villar Pushes Financial Aid for Agri Students

A bill has been filed aiming to provide scholarships to encourage more students to enroll in agricultural college courses.

Senator Manuel Villar Jr, author of the bill, wants the government to offer scholarships in agribusiness, forestry, fisheries, and veterinary medicine to attract more students to take them up.

The proposed Agri-Kabataan program will also fund graduate studies in environmental and marine sciences, hydrology, renewable energy, and agribusiness management programs.

"Agriculture as a profession has lost its attraction because of more lucrative job offers from other competing professions," Villar said, adding the lack of manpower in these fields has contributed to an underperforming agricultural sector.

The government will need a highly competent workforce to realize its declared commitment to modernize Philippine agriculture, he said.

"Opportunities in agriculture have to be created, developed, and made more lucrative to attract more students to enroll in agriculture courses," he said.

The Agri-Kabataan scholarships are aimed at graduates of agricultural and vocational high schools but will also offer assistance to college students already studying agriculture.

Besides study grants, the bill will include entrepreneurship and on-the-job training components in the curriculum for agriculture students.

Students will be sent to work at agribusiness ventures for 3-12 months at a time under a supervised farming schedule.

Villar's bill also sets aside P50 million as start-up capital for an agribusiness venture laboratory for students who seek to put up their own businesses.

By Sunstar

Senator Manuel Villar Jr Helping Philippine Farmers

We congratulate Senator Manuel Villar Jr on his vision and efforts to help support Philippine farmers have a better life through agriculture, and helping all Filipinos have enough food to eat each day. Success follows leadership . . . lead the way to success for the Philippines.

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Philippine Arabica Coffee Farming Opportunities

2011-02-21T07:41:00.006+08:00

Canadian Firm Partners with XU to Revitalize Coffee Industry

The “coffee with a soul” is partnering with the Xavier University-Ateneo de Cagayan (XU Ateneo) to help revitalize the coffee industry in Mindanao and perhaps, the rest of the country.

Pierre Yves Cote, Rocky Mountain Café (RMC) president, whose coffee producers are indigenous peoples of various tribes all over the country, recently signed a memorandum of understanding with outgoing XU president, Rev. Fr. Jose Ramon Villarin, S.J., for the development and promotion of Arabica coffee in Mindanao.

The university can do this through developing at least 50 hectares of Arabica coffee plantation on XU properties; setting up a center to provide training to Mindanao Arabica coffee farmers; establishing a training program on the best practices in Arabica coffee farming and processing; and establishing a research program on Arabica coffee production and processing.

For its part, RMC will also provide thesis support grants to XU undergraduate and graduate degree students; create a joint laboratory that specializes in finding solutions to the problems of Arabica coffee farmers in Mindanao; promote entrepreneurship by setting up RMC coffee kiosks and franchises on the XU campus; and provide job opportunities to XU graduates.

“Rocky Mountain Café is a Canadian company that wants to revolutionize the coffee industry in the Philippines,” Cote said during the Feb. 9 launch of Café Ateneo, which retails RMC’s coffee.

Café Ateneo’s launching was part of the program of activities for Social Consciousness Month of XU’s Research and Social Outreach (RSO). Café Ateneo is part of the Student Entrepreneurship Program (SEP) of RSO which seeks to promote entrepreneurship among the students by establishing enterprises that can serve as business laboratories for both business and nonbusiness students.

While serving as a training ground for future full-fledged entrepreneurs, Café Ateneo aims to expand the food and dining options of the university community. The café serves specialty coffee provided by RMC. With a temporary location at the Science Center building, the Café is convenient for students who may not have enough time to go to the cafeteria or a farther location for a snack in between classes. Tables and chairs are provided for chitchats or serious discussions that go well with coffee.

RSO hopes to make Café Ateneo more than just a snack bar but a hotbed of intellectual discourse.

Dr. Hilly Roa-Quiaoit, XU vice president for RSO, said that XU’s partnership with RMC will help boost the university’s research and outreach arm to help the community.

Quiaoit said the partnership with RMC is part of RSO’s program of providing food security to farmers.

RMC and XU can do this by “helping the farmers in Bukidnon in coffee production,” she said.

RMC is now setting up a 50-hectare Arabica coffee plantation in Miarayon, Talakag, Bukidnon.

The Bukidnon plantation, set for inauguration soon, is the fifth plantation that RMC has set up all over the country as part of its thrust of helping the Philippines regain its ranking among the 77 coffee-producing countries in the world. RMC is targeting to establish 10 plantations  in 10 provinces from Luzon to Mindanao, with 100,000 Arabica coffee trees in each plantation for a total of one million Arabica coffee trees nationwide.

The Philippines is currently ranked 76th in the world in terms of coffee production, a very far cry from its third-place ranking two decades ago.

“The coffee industry in the Philippines declined because the industry focused on making instant coffee and planting Robusta coffee, which is low-grade coffee,” Cote said.

He said the Bukidnon plantation is targeted to be RMC’s main production unit in this part of Mindanao. RMC also has another plantation in Mindanao, located in Kiamba, Sarangani province.

Having tasted Philippine Arabica coffee during its heyday, Cote, a French-Canadian married to a Filipina, has called the Philippines home for the last 20 years. He helped established the RMC in 2006 to help revitalize the country’s coffee industry.

“Coffee is selling today at double the price it was selling six months ago. If only Filipino coffee farmers are growing Arabica, they will have three times more money from Arabica than they’re earning from Robusta,” he said.

Misamis Oriental Governor Oscar Moreno confirmed Cote’s claim.

Moreno narrated an incident in Bal-ason, Gingoog City years ago where coffee farmers light their cigarettes using paper money from the sale of their coffee. The same farmers also washed their hands with beer.

“That showed how abundant coffee was then; the price was very high. And that was many years ago,” he said.

Cagayan de Oro City Vice Mayor Cesar Ian Acenas said RMC’s coming to CDO, through its partnership with Xavier University and Brew Brothers Coffee Services Inc., will surely give a boost to the industry.

Acenas said that he learned from the franchise owner of a famous coffee chain that recently opened here that its one-month income alone exceeded P4 million.

“This means that RMC has a very good market here in the city since Kagay-anons are coffee drinkers,” he said.

He also praised RMC for believing in the Filipino coffee farmers.

“Remember, every time you drink a cup of Rocky Mountain Café coffee, you’re helping the Filipino farmers. We want to develop our local farmers,” Cote said.

Aside from being a business, RMC is basically a social enterprise that distributes only organic Arabica coffee grown by local farmers, especially indigenous peoples.

Cote said that when they set up RMC in 2006, they deliberately chose to partner with the indigenous peoples of the Philippines.

“We could have partnered with the private sector and earn a windfall but we won’t have any impact on society. We won’t be helping the community. So we made the decision that since we are looking for high altitude locations, we decided to partner with the tribes,” he said in a separate interview.

“RMC is more than just coffee. There is nothing more common than coffee. It’s been here for thousands of years and everybody drinks it. But what makes our coffee special is that when  you buy a bag of our coffee, you help the indigenous peoples,” he added.

In RMC’s coffee plantation in Benguet, the company is partnering with the Ibaloi and Kankaney tribes; in Kiamba, Sarangani, with the T’Boli tribe; in the Davao Region, with the Mandaya and Mansaka tribes; and in Bukidnon, with the Higaonons and Talaandigs.

Partnering with indigenous peoples or establishing coffee plantations in the tribes’ ancestral territories, however, is not easy.

Cote admitted that this process really takes time, which is why RMC is working closely with the National Commission on Indigenous People and the Department of Environment and Natural Resources to ensure that all the provisions in the Indigenous Peoples Rights Act in doing a project inside IPs’ ancestral territories are being followed by the company.

“We do public consultations before we do any project. There is no hanky-panky deal that we do with anybody. What we do is an open and free process. We consult the community and inform them in advance. Once their Council of Elders approves the project, then we negotiate and sign an agreement.

It’s a regulated process. It takes time but at least it’s transparent, and it’s fair,” he said.

Because of this, RMC coffee is famous throughout the world as “the coffee with a soul.”

“The indigenous peoples of the Philippines, they give soul and character to our coffee,” he added, which is why RMC will continue to work with the IPs to help empower them and bring back their pride.

RMC even highlights the profile of each tribe-partner in its web site.

In its Corporate Social Responsibility Policy Statement, RMC states: “We believe that taking concrete steps to improve the quality of life of the Filipino people is not just important, it is necessary for a company like ours whose greatest assets are our people, and whose existence depends on the community that hosts us.”

Thus, RMC sees to it that its partner-tribes have access to schools, health facilities, continuing education through trainings, and cooperative development, among others.

But more than these, RMC helps the tribes in the promotion of their unique and traditional indigenous culture.

“Rocky Mountain recognizes that the lives of the indigenous peoples are closely linked to their land. We manifest our profound respect for the indigenous cultural communities and their natural heritage by ensuring that our operations do not degrade the land and its precious resources. Rocky Mountain respects indigenous farming practices and at the same time integrates new farming technologies that make the lives of the men and women coffee farmers easier.

“The company upholds the heritage and traditions of the tribes in all its operations in the Philippines. We use indigenous architecture in the design of our plantation offices and mills. We adopt ethnic patterns and style in our farmers’ uniform. We use indigenous materials, such as abaca, for our coffee harvest baskets and sinamay and buri for the packaging of our finished products.

“We are honored to promote worldwide Philippine Arabica coffee and the unique culture of each Philippine indigenous community that produces it. The identify of Rocky Mountain Arabica Coffee Co. is enriched by the Philippine indigenous peoples who nurture our coffee,” said Cote.

By Business Mirror

Philippine Arabica Coffee Farming Opportunities

Aside from traditional crops such as rice, corn, and vegetables, there are great opportunities for Philippine farmers in growing specialty crops such as coffee, and other high value crops for local consumption and export. With food commodities at record high prices currently, the opportunity for Philippine farmers being successful in their farming efforts has never been greater. We are proud to help Philippine farmers with Nutriplant organic farming nutrients that provide higher harvest yields, and quality, with lower input costs for all types of agricultural crops.

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PhilRice Wins International Award

2011-02-14T15:41:00.007+08:00

DA-Philrice wins AGFUND International Prize

A government program being implemented by the Department of Agriculture-Philippine Rice Research Institute (DA-PhilRice) has won an international award given by a Saudi Arabia-based funding organization.

The Open Academy for Philippine Agriculture (OPAPA) won the third category of the Arab Gulf Program for Development (AGFUND). The category concerns the “Role of Government Ministries and Public Institutions in the Adoption of New Innovations to Enhance the Application of ICT (Information and Communication Technology) for the Development of Remote and Rural Communities”.

DA-PhilRice and the winners of the three other 2010 AGFUND International Prize categories will receive their prizes at a ceremony to be subsequently convened.

For the feat, OPAPA will receive $100,000.

OPAPA was recommended to the AGFUND award by Dr. Suresh Ghandra Raj, representative in the Philippines of the United Nations International Development Organization (UNIDO).

Launched in 2003, OPAPA is being implemented by DA-PhilRice, currently headed by Executive Director Ronilo Beronio, to forge a strategic alliance among knowledge and resource generators, content developers, network providers, learning centers, extensionists, and farmers in information generation, dissemination, and sharing.

AGFUND is a regional developmental funding organization that actively works internationally in the field of development. To date, it has supported 1,268 projects in 133 developing countries.

Headed by Saudi Prince Talal Bin Abdul Aziz, AGFUND launched its International Prize for Pioneering Human Development in 1999 to “incite and encourage innovation and creativity in the areas of human development.”

The AGFUND 2010 winning projects were selected from among 28 nominated from 25 countries representing three continents.

AGFUND has recognized OPAPA for “its genuine efforts in developing and testing ICT applications that address challenges in agricultural development in the Philippines.”

OPAPA’s entry highlighted various ICT interventions, among them the PhilRice Text Center, Pinoy Farmers’ Internet (www.openacademy.ph), OPAPA e-learning program, Palay Chikahan (e-forum), virtual consultations, Pinoy Rice Knowledge Bank (www. Pinoyrkb.com), cyber communities, and ICT trainings using the Mobile Internet Bus.

“These modalities,” said DA-PhilRice, “connect lowly rice farmers to reliable sources of information, and also encourage collaborative learning among scientists, extension workers, farmers, and other concerned organizations. By keeping farmers informed of the latest technologies, they are more equipped to make better decisions in farm management.”

By Good News Pilipinas

Congratulations PhilRice!

PhilRice has done so much to elevate the global rice industry with its innovative rice technology programs. We commend and recognize PhilRice for its outstanding past efforts, and continued future efforts helping the Philippines and the world in the production of rice.

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Rice Prices Heading Higher

2011-02-07T08:13:00.005+08:00

Lower Input Costs Higher Harvest Yield Quality

Rice Rebounds From Two-Year Drop as U.S. Crop Shrinks

U.S. farmers are planting the fewest acres with rice since 1989 just as global demand surpasses production for the first time in four years, driving prices as much as 12 percent higher by December.

Plantings in the U.S., the third-biggest shipper, may drop 25 percent this year because growers can earn more from corn and soybeans, according to the median in a Bloomberg survey of nine analysts and farmers. Rice, the staple food for half the world, declined 4 percent last year, extending a 2.9 percent drop in 2009. The other crops jumped 34 percent or more.

“Why would you want to take that risk to plant rice, knowing that your income is going to be way down?” said Terry Hatley, a farmer in Marked Tree, Arkansas, who may not plant any rice this year after growing the crop for more than three decades. “Farming is a business, and you’ve got to look at the economics of it. Now, the economics on rice are very dim.”

Bangladesh, South Asia’s biggest buyer, doubled a target for imports in 2011 to curb prices, the Directorate General of Food said last week. The Philippines, the world’s largest importer, will probably start buying next month, according to the National Food Authority. While global stockpiles are predicted to be 26 percent higher this year than in 2007, consumption will gain 3.4 percent and harvests 2.6 percent, the U.S. Department of Agriculture estimates.

The Thailand export price, the benchmark in Asia, may climb as high as $600 a metric ton by December from $534 on Jan. 26, a gain of 12 percent, according to the median estimate in a Bloomberg survey of eight traders, exporters and analysts.

‘Acreage War’

“The acreage war has begun,” said Dennis Delaughter, the owner of Progressive Farm Marketing Inc. in Edna, Texas, who expects futures traded on the Chicago Board of Trade to advance as much as 20 percent to a three-year high of $18 per 100 pounds by November. “Of all the futures markets in the agricultural sector, rice is the sleeper,” said Delaughter, who correctly predicted an 11 percent gain in prices last March.

Rice represents almost 50 percent of the food expenses of the poorest across the developing world, and 20 percent of total household spending, according to the International Rice Research Institute, based in Los Banos, the Philippines. In the U.S., 6 percent of incomes are spent on groceries, data from Euromonitor International show.

While the United Nations says global food prices climbed to a record in December, grain stockpiles have been replenished since 2007-2009, when the U.S. State Department estimates there were more than 60 food riots around the world.

Chicago Futures

Combined inventories of corn, wheat, rice and soybeans will end this year at 457.6 million tons, 21 percent more than in 2007, USDA data show.

Rice futures climbed the 50-cent exchange limit today in Chicago to $15.51 per 100 pounds, still 38 percent below the record $25.07 reached in April 2008. Traders anticipate prices no higher than $16.265 through January 2012, Chicago Board of Trade data show.

Hedge funds and money managers more than doubled their net-long positions, or wagers on rising prices, in the past two weeks, according to Commodity Futures Trading Commission data. Net-long positions were 3,403 contracts, the most in a year.

U.S. farmers have little incentive to stick with rice. Prices in Texas, the sixth-largest producing state, are only enough to break even, according to Larry Falconer, an economist with Texas A&M University’s AgriLife Extension in Corpus Christi. Switching to cotton, which has gained about 144 percent in 12 months in New York, would mean $200 an acre of profit, he said.

Soybean Futures

In Missouri, the fifth-largest U.S. producer, farmers can make about $50 more per acre on soybeans and $100 more on corn, said David Reinbott, an agriculture business specialist with the University of Missouri Extension in Benton. Corn and soybean futures climbed this month to the highest level since July 2008.

Wheat, corn and soybean prices jumped last year because crops were ruined by Russia’s worst drought in at least a half century, parched fields in Kazakhstan, Europe and South America and flooding in Canada. Rice prices fell because of ample supply. Output in the U.S. increased 7.6 percent to 7.44 million tons in the current marketing year, USDA data show.

U.S. Production

U.S. production in the year that begins Aug. 1 will drop because farmers will plant 2.73 million acres, down from 3.64 million acres in 2010, according to the Bloomberg survey. The USDA’s first acreage estimate is scheduled for March 31.

A rally may spur governments to curb exports to protect supply and contain inflation, said Milo Hamilton, a former buyer for Uncle Ben’s, the rice unit of McLean, Virginia-based food and candy maker Mars Inc. Russia banned grain exports last year after its drought and Ukraine set quotas on shipments.

“The main problem, both now and in 2008, is whether countries will curb exports,” said Hamilton, the president of Firstgrain.com, a rice advisory service in Austin, Texas. “Twenty or 30 countries produce and export wheat, but I can look at my fingers and count the rice exporters.”

When rice surged to a record in 2008, India and Egypt banned shipments, Vietnam barred speculators from its domestic market and China imposed export taxes.

Global Food Prices

Global food prices rose 25 percent last year, according to the UN’s index. Food inflation in China, home to about 1.3 billion people, reached 9.6 percent in December while in India it stayed above 15 percent for a fourth consecutive week in the period ended Jan. 15, government data show.

Bangladesh doubled its rice import target to cool prices that surged to a record in December as consumers and farmers hoarded supplies, said Badrul Hasan, director for procurement at the Directorate General of Food in Dhaka. The goal was raised to 1.2 million tons for the year to June 30 from 600,000 tons.

The Philippines may import as early as next month, although probably less than last year, Lito Banayo, the head of the National Food Authority, told reporters on Jan. 11.

“The trigger will be pulled when the Philippines’ orders start coming in,” said Mamadou Ciss, the chief executive officer of Singapore-based rice brokers Hermes Investments Pte, who correctly predicted in 2006 that prices would double. Thai 100 percent grade-B rice may jump 22 percent to $650, he said.

Thai Production

Production in Thailand, the world’s biggest exporter, will increase 0.4 percent to 20.35 million tons this year, according to USDA estimates. In Vietnam, the second-largest shipper, output will be little changed at 24.98 million, the data show.

Vietnam will export about 6 million tons this year, compared with 6.75 million tons in 2010, Deputy Agriculture Minister Diep Kinh Tan said in an interview Jan. 4.

La Nina, the weather pattern that brought heavier-than- usual rainfall to parts of Australia and Asia in the past year, may persist through the second quarter, according to the Australian Bureau of Meteorology.

“There are so many reasons for prices to move up,” Dwight Roberts, president of the Houston-based U.S. Rice Producers Association, said by phone. “We sure are poised for a strong and upward movement in the market.”

By Bloomberg

Global Food Crisis Prices at Critical Levels

The world is at a tipping point with its deceasing food supplies, increasing demand, and prices. Further disasters which can easily happen from time to time are only a matter of when they will happen. Take action now to help yourself and your country be food self-sufficient instead of relying on dwindling food supplies from abroad and increasing prices.

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Philippine Agriculture Faces Challenges of Sustainability

2011-01-31T07:55:00.005+08:00

Philippine agriculture faces challenges of sustainability

Agricultural productivity now faces the challenge of sustainability as farmers themselves have gradually “fallen out of love” on the green fields.

This is the observation of Department of Agriculture (DA) Secretary Proceso Alcala who is lamenting that in practically all areas he had visited in the country, he has found that not many students are interested in agriculture and that only very few farmers want their children to follow in their footsteps.

“Lahat ng bayan na pinupuntahan naming (in all the towns we’ve visited), this is the situation,” Alcala said.

The agriculture secretary made these observations as he graced the opening of the three-day Bohol Organic Agriculture Summit and 11th Ubi Festival here last Tuesday.

In his keynote speech during the opening program at the Bohol Cultural Center, Alcala was amazed to see many hands when he asked the crowd how many farmers were there, but later lamented that barely a quarter of the parents and farmers in the crowd actually want their children to take up agriculture.

He said farmers “don’t even take pride of being tillers of the land, when, in fact, they produce the food that other professionals eat.”

On this matter, Alcala sought support from local officials and the agriculture sector in efforts to hone the skills of farmers and fishermen and develop them into entrepreneurs so as to uplift the image of those working in the agriculture sector and making the farming profession attractive to the younger generation.

“Our President (Benigno Simeon Aquino III) gave me an instruction to inform you that his administration is willing to invest in our kababayan. The 2011 budget includes an allocation for the training of farmers,” Alcala said.

He also announced that he had already endorsed the Implementing Rules and Regulation of the Organic Agriculture Act of 2010 which is set for publication soon.

He hailed Bohol Governor Edgar Chatto as his co-author in drafting the Organic Agriculture Act of 2010 when they passed its bill in Congress and had even cited the governor for having been very enthusiastic about the proposed legislation.

The Organic Agriculture Act of 2010 provides for the validation of organic products and its required allocation for the national certifier, Alcala said.

He also announced that the Department of Agriculture will make ube(purple yam) part of the master development plan to coincide road maps in different areas of the country.

Reader Comments

I think why most of our young generation lost their faith in farming because of this few following reasons:

1) comercial feeds and fertilizers are so expensive.. so profitability is so minimal that at the end of the day you only left with debts..

2) theres no financial and educational support for our local farmers.

3) only few business people are committed in micro financing to support our farmers. the banks are not lending money for the poor farmers.

4) yes our government has a lot of agri programs but no educational program for our farmers. how would they know if theres no education and financial support from our gov. We need a guaranteed buyer for our products and dedicated financier for our farmers. i think the government should take care some of the cost of feeds and fertilizers. a tax exempt or something.

For example,The duck farming in our country will never be the same as other country because of the price of our feeds.

By Manila Bulletin

A change in attitude will be a change in results. Education, training, mentoring, and complete support of all resources to Philippine farmers will result in success over time, and a change in the negative attitude that has been created over the decades with Philippine farmers will turn positive. The time is now for action before the food crisis gets worse and its an even harder struggle to recover. The investment will have great returns for those who have the forward vision.

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Philippine Agriculture and China's Food Imports Opportunity

2011-01-24T07:00:00.006+08:00

Philippine Agriculture Urged to Tap Chinese Middle-Class Market

The Philippine agriculture industry is urged to capitalize on China’s growing middle-class market, with its rising disposable income and more affluent lifestyles which include an increasing demand for imported foods.

Philippine Ambassador to China, Franciso L. Benedicto believe now is the "ripe time" for stakeholders in the country's agricultural exports to penetrate the Chinese market as studies show that in the next few years, China is projected to be the world's biggest importer of agriculture and agri-food products.

"With a huge potential market of about 1.3 billion people and escalating economic influence, China could become an exporter's paradise for those who know how to navigate the Chinese marketplace," Benedicto said in a statement.

According to the Benedicto, due to China's geographical size and vast population, the country has a highly segmented market where consumers and their purchasing habit differ across regions and provinces. "This could definitely work to an exporter's benefit," he said.

Benedicto noted that a growing number of the Chinese population is becoming more aware of the benefits of a healthy diet, thus, health, organics and natural food products are rising in popularity.

The younger generation and the upwardly mobile in China, he said, is now carving a niche for ready-to-eat gourmet food.

Benedicto cited Filipino delicacies such as crab paste and laing (taro leaves cooked in coconut milk) used as spread or toppings for biscuits, bread and pasta as stirring the Chinese palate.

In addition, banana chips and polvoron (shortbread cookies), mango, calamansi, coconut juices, purees and concentrates are also fast becoming popular in China.

He said the biggest buyers of banana chips are from Hong Kong, which distributes the snack food in attractive packages to thousands of outlets in mainland China.

The Chinese upper market is also showing greater interest in olive oil, soya and mushroom coffee, arrowroot cookies and instant ginger tea, and even Philippine products like malunggay noodles and powder.

There are also bright prospects for Philippine farm and fishery exports including tuna, shrimps, prawns, octopus and lobsters; fresh and chilled vegetables such as asparagus and okra; fresh guavas, bananas, papayas; and coconut products like virgin coconut oil, coco vinegar, dessicated coconut and fresh and young coconuts.

Benedicto said that to ensure that Philippine agricultural and agri-food products gain a foothold in China, "due diligence by our exporters is essential."

He urged, "Potential exporters must carefully examine the viability and marketability of their products before exporting their goods to China.”

Local producers are likewise told to pay closer attention to product presentation as Chinese buyers note a strong need to greatly improve the packaging of food products, particularly snack biscuits, calamansi juice and banana chips sold in retail.

By Manila Bulletin

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Senator Pangilinan Sees Increasing Food Crisis

2011-01-17T09:12:00.003+08:00

Pangilinan Sees Food Crisis as Farmers Getting Fewer

Filipino farmers are growing old and the young people are not replacing them in the fields.

Sen. Francis Pangilinan, chair of the Senate committee on agriculture and food, said this was an “unseen crisis” in the industry which could affect the country's food supply in the next few years.

The Philippines has about 4.3 million farmers, tilling an average of 2.5 hectares of land each, Pangilinan said in a media briefing.

Their average age is 57, much too old to till the fields. “This is reaching crisis level. If we don’t correct this in three years, we will have a problem getting our output,” he said.

Pangilinan said the demographics indicated that younger Filipinos were not enticed to enter in the agricultural sector. For them, farming is not a way out to poverty, he said.

“Their grandfathers were poor, their fathers were poor,” he said.

“Why don’t they come in? Because they don't find it viable,” he added.

Pangilinan said the key to encouraging new blood in the agricultural sector was to improve support to farmers so that they could increase their income.

He favored the strengthening of the local government’s role in agricultural productivity because the local executives know the needs of their farmers.

“I am more partial to the idea of just letting the [Department of Agriculture] set the policy direction and then let the local governments implement [that policy],” Pangilinan said.

The local governments’ capacity building should be improved so that they can provide the right agricultural extension services to farmers, he said.

Economists and experts said the Philippine government's weak extension service is one of the reasons for the low yield in the farm sector.

Currently, Pangilinan said the Senate was conducting hearings on Senate Bill No. 1337 or the “Agriculture and Fisheries Extension Act of 2010.” The bill, introduced by Sen. Loren Legarda, calls for the creation of the Philippine Agriculture and Fisheries Extension Agency (Pafea).

“It shall serve as the national apex organization for a unified and efficient agriculture and fisheries extension system of the country. It shall ensure that public extension services meet the national standards of performance and effectively contribute towards the achievement of the national goals of agriculture and fisheries modernization and sustainable development,” the bill said.

By Philippine Daily Inquirer

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More Rice Imports for 2011

2011-01-10T13:30:00.005+08:00

Private Sector May Import 440,000 MT of Rice in 2011

The Philippine government is keen on allowing the private sector to import as much as 440,000 metric tons (MT) of milled rice this year, in keeping with its goal of increasing private-sector participation in the importation of the staple.

Angelito T. Banayo, administrator of the National Food Authority (NFA), said that while there is no decision yet on the volume of rice that will be imported by the Philippines, the government wants the private sector to double its allocation for 2011.

“[The NFA Council] will give the private sector a bigger share than last year. Last year, the private sector brought in 220,000 MT of rice. They would probably get double [that volume in 2011],” said Banayo in a telephone interview.

Banayo, who is vice-chairman of the NFA Council, said the council would have a decision when it meets on Friday.

The council, which is the governing body of the NFA, consists of the Agriculture Secretary, the governor of the Bangko Sentral ng Pilipinas, the Finance Secretary, the president of the Land Bank of the Philippines, the chairman of the Development Bank of the Philippines and a farmer representative.

The NFA chief revealed that the food agency’s current rice inventory stands at around 1.4 million metric tons (MMT), which is good for 41 days based on an average daily consumption of 36,000 MT.  Banayo said the NFA Council would take into account the rice inventory of the agency as it deliberates on the volume of rice it will import.

He said the government would have to ensure that the NFA would have a buffer stock pegged at 30 days or an equivalent of about 1.08 MMT at the start of the lean months or by July.

“We may have to reconsider this volume given the increasing prices of other commodities in the global market which could impact the price of rice. We’re looking at increasing the buffer stock to [an equivalent of] 40 days’ consumption,” said Banayo.

The government may schedule tenders for rice within the first quarter this year to ensure that the Philippines will have enough supply of rice once the lean season starts.

Among the threats to commodity prices this year, the Department of Agriculture (DA) noted, is the changing weather patterns caused by climate change. For the rice market, Banayo noted that flooding in Australia as well as Indonesia’s entry in the rice market are expected to put pressure on global supply.

“Indonesia will import rice this year and we’re worried na baka kapusin ng supply [there could be a shortage],” he said.

To ensure that the Philippines will be able to have enough supply of rice while it shoots for self sufficiency by 2013 the government renewed a supply agreement with Vietnam.

Under the memorandum of agreement (MOA) which will remain in effect until 2013 the Philippines will be a priority market for Vietnamese rice.

The first MOA was signed in 2008 at the height of the rice crisis and will remain in effect until June 2011.

“The Vietnamese government agrees to sell, unless under circumstances of natural disaster and harvest loss, and the Philippines agrees to buy, up to 1,500,000 MT of Vietnamese white rice annually for starting year 2008, subject to market and production conditions and to terms allowable under applicable laws of both countries,” the Manila-Hanoi MOA read.

In 2010 the Philippines bought 2.4 MMT of rice mostly from Vietnam and Thailand. Agriculture Secretary Proceso J. Alcala maintained that the importation for this year will not exceed half of the volume bought by the government last year.

By Business Mirror

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Philippine Corn Harvest Increase Forecasted

2011-01-04T07:22:00.004+08:00

Philippine Corn production seen at 7.4 MMT in 2011, up .6 MMT

Corn farmers belonging to the Philippine Maize Federation (Philmaize) are confident that corn production will hit 7.4 million metric tons (MMT) in 2011 from the estimated output of 6.8 MMT for the whole of 2010.

Roger Navarro, president of Philmaize, said the expected increase in output is due to good weather coupled with the expected increase in areas planted to corn in Cagayan Valley.

“I am very positive that because of good weather conditions, good prices and the expansion of areas planted to corn, production in 2011 would surpass the expected production for 2010,” said Navarro in a telephone interview.

The Philmaize official said the good price of yellow corn in the local market, currently pegged at a range of P15 to P16 per kilogram, is encouraging farmers to go into corn planting.

“Even the international price of corn is good. It is currently at a range of P14.60 to P15.60 per kilo,” said Navarro.

Corn farmers, he said, are benefiting from the moderate La Niña episode, which is bringing rains to farmlands in most major corn-growing areas in the country.

“Moderate-strength La Niña conditions remained in the tropical pacific during the month of November. Oceanic and atmospheric indices were still consistent with the characteristics of the cold Enso (El Niño Southern Oscillation) phase. Most climate models predict that this event will continue at least into the March-April-May 2011 season,” said the Philippine Atmospheric, Geophysical and Astronomical Services Administration (Pagasa) in its Dec. 6 advisory.

Navarro disclosed that in February, after rice has been harvested in areas near Magat Dam in Cagayan Valley, farmers would plant corn as a “quick turnaround” crop.

“There will be an additional 60,000 hectares planted to corn. Assuming that the production would reach 5 metric tons [MT] per hectare, madadagdagan ng 300,000 MT of corn ang output for 2011,” he said.

For 2010, however, Philmaize said it expects output to settle at its earlier projection of 6.8 MMT.

The corn sector has been badly hit by the El Niño weather phenome-non, which ravaged farms in the first half of 2010.

The dry spell caused farmers to delay their planting and consequently delayed the harvest of the crops.

Aside from the dry spell, the sector was also hit by typhoons, notably Typhoon Juan, which damaged P367.96 million worth of corn grains this year.

By Business Mirror

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Wanted: Philippine Agriculture Investors

2010-12-27T09:48:00.004+08:00

The Department of Agriculture Urges US Firms to Invest in Philippine Agriculture Projects

The Department of Agriculture (DA) is encouraging American companies to invest in farm-related projects that will be undertaken under the private-public partnership (PPP) program.

Agriculture Secretary Proceso J. Alcala presented before the American Chamber of Commerce (AmCham) the six farm-related projects which the government plan to implement in 2011.

“As we all are painfully aware, our government’s financial and management resources are severely limited. We, therefore, would welcome as many partners and supporters to chip in and share their bit to these programs and projects,” said Alcala in his speech at an AmCham meeting held in Makati City recently.

Alcala cited three projects, namely, the establishment of cold chain systems along four major food routes to and from Metro Manila and Cebu and the construction of rice processing and trading centers with bulk handling and logistics support in 10 major seaports nationwide.

Each cold chain system cost around P1.35 billion while grains centrals with bulk handling capacities could reach P90 million to put up.

Alcala also made a pitch for the establishment of agri-food commodity handling service facilities in railway terminals of the Southrail to allow efficient transport of goods from South Luzon to Metro Manila. The project is expected to cost P1.5 billion.

“For all these projects, possible revenue sources will come from service fees to be collected from processing, drying, storage and transport of commodities as well as sales from various production inputs,” he said.

On irrigation development, the DA chief cited the P14.4-billion Kabulnan-2 multipurpose irrigation and power project in Sultan Kudarat, the P18.5-billion Balog-Balog multipurpose project Phase Two in Tarlac, and the P15.2-billion Jalaur River multipurpose project, Stage II in Iloilo.

“For these [irrigation] projects, possible revenue sources will come from irrigation service fees and the sale of electric power,” said Alcala.

The DA chief noted that President Aquino is banking on the PPP program to “hasten infrastructure buildup to help ensure food security and sufficiency at regional levels.”

By Business Mirror

Agriculture success starts with investing in yourself and your farm.

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National Rice Board Formed to Ensure Self-Sufficiency

2010-12-13T08:54:00.005+08:00

Rice Self-Sufficiency Using Nutriplant Organics

Major stakeholders in the rice sector, including local agriculture officers and the Regional Agriculture and Fisheries Councils under the Department of Agriculture (DA) formed an advisory board that seeks to ensure that the Philippines will be able to achieve its rice self-sufficiency target.

Dubbed as the National Rice Board (NRB), it also consists of leaders of national associations of farmers, seed growers and rice traders.

Agriculture assistant secretary Dennis B. Araullo, who also heads the national rice and corn program, swore in the members of the NRB which include Jaime Tadeo of the National Rice Farmers Council, Trinidad Domingo of Pambansang Koalisyon ng Kababaihan sa Kanayunan, Henry Lim of National Seed Network, Herculano Co of Philcongrains, Jessica Reyes-Cantos of Rice Watch and Action Network (R1), Jesusa Noveda of the League of Devolved Agriculture Personnel and a representative of the Regional Agriculture and Fisheries Council.

“We hope the board will contribute to improve transparency in the Department of Agriculture, especially in its rice program as we continue to lag behind our neighbors while our own rice farmers struggle to lift their families out of poverty,” said Tadeo.

Lim of the Davao Oriental Seed Cooperative believes that the convergence will bring to fore the real problems of the stakeholders including those of the seed industry and raise their level of participation in policy and program formulation.

Araullo said the creation of the NRB is “long overdue” because the corn sector has long established the National Corn Competitiveness Board that engages the DA on the corn program directions.

Co expressed willingness to be part of the NRB in order to promote greater coordination among stakeholders. “Hopefully, this will be the start of a partnership in order to truly see a rice-sufficient Philippines.”

The NRB was tasked to review and consolidate the stakeholders’ strategy proposals for rice sufficiency and serve as a watchdog of the DA’s rice-related program implementation.

“The DA has been hounded with so many issues, among them [such as] corruption in project implementation and the appropriateness of its programs at the ground level. We believe this cooperation will help define the right priorities of DA programs and plug the holes of government funds delivery and misuse,” said Cantos, lead convener of Rice Watch and Action Network that initiated the formation of the NRB.

Under the Rice Self Sufficiency Plan (RSSP) 2011-2016, the DA estimated that it would need some P124 billion requirement to bankroll the rice self-sufficiency initiative. Of the amount, 65 percent will go to expanding irrigated rice lands.

The estimated amount required for the RSSP also takes into account the government’s counterpart funds for foreign-assisted irrigation projects.

“Rice self sufficiency will be attained by 2013 at the earliest and 2015 at the latest,” according to the RSSP.

On average, the RSSP indicated that palay production will grow by 7.6 percent per year, from 16.2 million metric tons (MMT) in 2010 to 25.3 MMT in 2016.

By Business Mirror

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Rice Prices May Triple in 18 Months

2010-12-06T06:38:00.004+08:00

Rice May Triple in 18 Months as Supplies Tighten, Duxton's Peter Forecasts

Rice, the staple food of more than three billion people, may as much as triple in 18 months as flooding in exporters including Thailand tightens supplies and demand climbs, according to Duxton Asset Management Pte.

“Rice will blow out the stocks,” said Ed Peter, chief executive officer, who co-founded the company last year with Managing Director Desmond Sheehy. Both worked at Deutsche Asset Management and the Deutsche Bank AG unit owns 19.9 percent of Duxton, while Peter, Sheehy and staff own the rest. Duxton, based in Singapore, invests in farmland, Asian stocks and wine.

Peter’s forecast, in an interview on Nov. 29, would put rice at more than the peak during the 2008 food crisis, which triggered social unrest in poorer states. Wheat and corn also surged that year, while record oil prices boosted fertilizer costs. Kiattisak Kanlayasirivat at Novel Commodities SA, which trades rice, said farmers can replant quickly as floods recede.

“A price increase of 10 percent to 20 percent would be considered quite a lot, not to mention double or triple,” said Kiattisak, a director at Novel Commodities’s Thai office, which handles about 1.5 million metric tons of rice a year.

Thai 100-percent grade-B white export rice, the Asian benchmark, peaked at $1,038 per ton in May 2008. The grain was at $551 last week, up 15 percent since the end of June, according to the Thai Rice Exporters Association. “Prices will triple over the next 18 months,” Peter said in the interview.

Investment Strategy

Duxton oversees about $600 million, allocating 50 percent to farmland in Australia, Argentina, Zambia and Tanzania and about 45 percent to Vietnamese shares. Peter had headed Deutsche Asset Management for Asia Pacific, Middle East and North Africa, while Sheehy was in charge of that unit’s complex-asset team, which focuses on non-traditional investments including farms.

The most severe floods in five decades in Thailand, the top exporter, may trigger a 7 percent fall in rough-rice production, which accounts for 70 percent of its total output, the Agriculture and Cooperative Ministry has said. Crops in Vietnam and Pakistan have also been hurt by severe weather, while a typhoon cut harvests in the Philippines, the biggest importer.

Rice inventories held by the world’s five biggest exporters will likely decline next year, tightening supply, Concepcion Calpe, senior economist at the Food & Agriculture Organization, said in October. Prices were “unlikely to fall,” Calpe said.

Global production will be 697.9 million tons, 6.5 million tons smaller than previously estimated, as crops around Asia “deteriorated,” the FAO said in a report yesterday. That’s the third forecast cut since April.

Rough rice on the Chicago Board of Trade gained as much as 1.7 percent to $14.115 per 100 pounds today, extending an advance from the year’s low of $9.55, which was set on June 30. In 2008, the price peaked at $25.07 per 100 pounds.

“Rice is a long-term bet,” Duxton’s Sheehy said. Farm products including rice may outperform metals and fuel over the long term as the global population expands, Sheehy said.

By Bloomberg

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Philippine Food Imports Rise to Record

2010-11-29T07:34:00.005+08:00

Philippine Food Imports From U.S. Rise to Record, USDA Unit Says

The Philippines now ranks as the 11th largest market for U.S. food and beverage exports and shipments to the country will rise to a record, a unit of the U.S. Department of Agriculture said in a report.

Philippine Food Imports Forecasted To Rise

Exports to the Philippines are expected to rise 48 percent to a record $625 million in 2010, up from $423 million last year, according to the USDA Foreign Agricultural Service report. In 2009, the Asian country was the 14th largest market for U.S. food and beverage products, the agency said.

By Bloomberg

The Philippines Can be a Agriculture Exporter Again

The state of Philippine farming and agriculture is so bad that it now imports more food than it grows for its own population. The global food and rice crisis is at a very possible tipping point to disaster if something is not done very soon.

The Philippines has the potential to be a net exporter of food again in the future, but its going to take leadership from the government and the private sector together to win the battle and the war for food security.

Its all about leadership, and through leadership comes success. We challenge President Nonoy Aquino, and the Philippine political leadership to step up and help the Philippine agriculture industry, and help the Philippines become a net food exporter again instead of a net food importer.

Maybe it will take a severe food shortage, for the powers that be, to take the initiative in helping the Philippine farmers. There's nothing like hard times to move someone to action.

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Asian Development Bank Agribusiness Funding

2010-11-22T09:11:00.005+08:00

Philippine agriculture department to seek ADB funding for agribusiness project.

The Department of Agriculture (DA) is planning to propose to the Asian Development Bank (ADB) a project that will build on the achievements of a $75-million initiative that seeks to increase farm productivity.

Agriculture Undersecretary for Operations Joel Rudinas said the envisioned project could be an offshoot of the Infrastructure for Rural Productivity Enhancement Sector (Infres) which will be closed in June next year. The project is funded by a loan from the multilateral financing institution.

“We will craft the proposal together with the ADB. It is possible that it [envisioned project] will have an agribusiness component,” said Rudinas in a telephone interview.

Just like Infres, he said the project will also target the reduction of poverty particularly in the rural areas.

Infres is a $150-million project that seeks to “increase agricultural productivity and profitability, decrease poverty incidence, and reduce the transportation costs for agricultural products.”

ADB extended a loan of $75 million. The rest of the amount required by the project came from the national government, local government units (LGUs) and target-beneficiaries.

As of Oct. 31, 2010, the loan utilization rate was pegged at 75 percent. On its web site, the ADB noted that its initial review indicated that the project’s “social and economic objective will be substantially met with the implementation of the selected subprojects.”

So far, 1,478 kilometers of rural roads have been rehabilitated or constructed under the project, while 1,454 hectares of farmlands have been served by irrigation systems. Also, the construction of 37 potable water systems were completed by 2008.

The ADB noted that out of 144 subproject packages, 79 have been completed of which 31 have been turned over to various LGUs.

The original closing date for the availment of the ADB loan was 2008, but it was extended for two years. The loan closing date was again extended to June 30, 2011.

On Wednesday, the National Economic and Development Authority (Neda) disclosed that the ADB may extend a total of $2.3 billion in loans and grants to the Philippines in the next three years.

Neda Deputy Director General for Investment Programming Rolando G. Tungpalan said the ADB and the national government are still currently in the process of discussing the projects and programs that will be included in ADB’s Country Assistance Strategy.

By Business Mirror

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Flooding Hurting Philippine Rice Supply

2010-11-15T08:49:00.006+08:00

Rice Supplies Tighten as Flooding Hurt Harvests in Thailand, Philippines

Thailand, the world’s biggest rice exporter, said that output will drop because of flooding, while the Philippines, the largest buyer, said its harvest may miss a target, potentially raising import demand. Futures surged.

Main-crop, rough-rice output may decline 3.9 percent to 22.34 million metric tons, while second-crop production may gain 0.9 percent to 8.33 million tons, according to a statement from Thailand’s Ministry of Agriculture and Cooperatives today. The total harvest may drop to 30.67 million tons from last year’s 31.5 million, according to Bloomberg calculations.

The Philippines may miss a rice-production goal of 16.24 million tons this year after flooding caused by typhoons, Agriculture Secretary Proceso Alcala told reporters today. The government will probably decide by the first week of December how much rice it will import, Alcala said.

The developments add to signs that wetter-than-usual weather is harming Southeast Asian rice harvests, contributing to a rally in prices and rising food costs. World food prices climbed to the highest level in more than two years in October on more expensive cereals, cooking oils and sugar, the United Nations’ Food and Agriculture Organization has said.

‘Crop Losses’

“Crop losses in Thailand raise concerns supplies will be tightened during November to January as floods will likely delay crop availability onto the market until February,” said Kiattisak Kanlayasirivat, a director at Novel Commodities SA’s Thai office, which trades about $600 million of rice a year.

Rough rice for January delivery gained for a sixth day today, advancing as much as 2 percent to $15.55 per 100 pounds on the Chicago Board of Trade. That’s the highest price since last December.

A La Nina weather event has brought heavier-than-usual rainfall to parts of Asia this year, damaging rice crops in the Philippines, Thailand and Vietnam. The rice crop in the U.S., the fourth-largest shipper, has also been hurt by dry weather, while Pakistan’s rice crop was hit by floods last year.

The U.S. Department of Agriculture cut its estimate for global milled rice output to 452.5 million tons on Oct. 8, 171,000 tons short of forecast demand. The global deficit, the first in four years, may be wider as typhoons and flooding hit Southeast Asia days after the USDA released that estimate.

Lower Forecast

Global milled output may be 450 million tons in the 2010- 2011 season, 10 million tons less than previously forecast, Samarendu Mohanty, a senior economist at the International Rice Research Institute, said today. The revision came after the floods in Southeast Asia, as well as drought in parts of China, Mohanty said in an interview.

The “supply situation is definitely very tight this year and next year,” Mohanty said from Hanoi, where he’s attending a conference. Other food prices have also risen, including wheat and corn, Mohanty said.

Thai rice-export prices, the benchmark for Asia, may advance to $550 a ton, said Kiattisak at Novel Commodities. The price of 100 percent grade-B white rice rose to $521 a ton on Nov. 3, the highest level since March 31. Prices are set weekly.

About 7.56 million rai (2.99 million acres) of rice lands - - about 11 percent of Thailand’s total -- are estimated to have been damaged in the floods, the ministry’s statement said. Thailand’s crop year runs from late October, with the main crop contributing most production.

The Thai floods spread to 51 provinces over the past month, leaving 165 dead and affecting at least 7.6 million residents, according to the Department of Disaster Prevention and Mitigation. The La Nina will intensify around the end of the year, Thailand’s Meteorological Department has said.

Vietnam, the world’s second-largest rice exporter, will focus on keeping the amount of land devoted to the crop stable, Prime Minister Nguyen Tan Dung said at the conference in Hanoi.

The nation’s rice shipments totaled 5.7 million tons in the January-to-October period, a 5.8 percent increase from a year earlier, according to the General Statistics Office in Hanoi.

By Bloomberg

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