2021 might already be the worst year for the agriculture sector, but it could only get worse next year.
“It’s the worst year for us, the farmers. That’s the exact term to describe this year. We had to endure so much suffering,” Pambansang Kaisahan ng mga Magbubukid sa Pilipinas (PKMP) Chairman Ed Mora said in an interview with Business Bulletin.
That “suffering”, he said, was the result of the lingering impact of the pandemic, the billions of losses and damages brought about by strong typhoons, and government policies that they believe to favor cheap food imports over local production.
If this situation is not reversed by the next administration, which will be elected next year, Mora said he fears this suffering could go on “for the next hundred years.”
PKMP represents more than a hundred thousand of farmers from different parts of the Philippines.
“Importation is crippling farmers – rice farmers, hog raisers, fishermen. Basically all of us,” Mora further said.
“RTL , the Executive Orders (EO) on cheap imports issued this year, and even the Coco Levy Act that don’t favor us – these basically summed up our year,” he added.
For context, RTL is a law that was put in place in 2019 that paved the way for the liberalization of the rice sector, allowing unlimited importation of the main staple, while the Coco Levy Act, passed this year, should pave the way for the release of the controversial P75-billion Coco Levy Fund.
Instead of going directly to farmers, the Coco Levy Fund will be handled by several government agencies so they can implement programs for the development of the coconut industry.
Then there are also Executive Orders (EO) 135, 134, and 133. EO 135 temporarily lowered import tariff rates for rice coming from non-ASEAN countries, while EO 134 and 133 were meant to encourage the entry of more imported pork in the country.
Moving forward, Agriculture Secretary William Dar has already given his orders for 2022. He said he wants the Department of Agriculture (DA) to focus on four central measures to guide policy decisions and programs for next year.
In a Memorandum Order (MO) issued on December 28, 2021, Dar enumerated these four measures as effective fund utilization; proactive planning and implementation; publication of operations manuals for all units; and institutionalization of the food systems approach advocated by the United Nations.
“We have done much to ensure our national food security in these difficult times,” Dar said.
“However, the global COVID-19 pandemic continues to limit any semblance of normalcy for people already fed up with quarantine lockdowns and mobility restrictions. In agriculture, the African Swine Fever (ASF), the series of calamities, and the global hike in prices of inputs (corn, soybeans, fertilizer, petroleum, etc.) have aggravated the situation...Our job is far from over,” he added.
The agriculture chief directed all DA attached agencies, staff bureaus, and regional offices to realign unutilized 2021 funds towards priority focus areas, as well as in the rehabilitation and recovery efforts for Typhoon Odette-affected regions.
Another key measure that DA will implement for the coming year is the utilization of its 2022 government appropriation to ensure maximum agriculture growth.
“Implement the integrated regional workplans we have agreed during our ManCom and operationalize the different commodity industry and investment roadmaps that we have developed with the concerned stakeholders. These workplans and roadmaps should guide our various interventions towards our strategic goals,” Dar said in his memo.
Partners such as farmer cooperatives and associations, industry associations, as well as state universities and colleges will also be tapped for various DA projects.
Dar issued this MO as the agriculture sector reels from more nearly P9 billion worth of damage and losses due to Typhoon Odette, the strongest typhoon to hit the Philippines in 2021.
As of December 29, the DA took into account 125,161 farmers and fishermen that were hit by the typhoon as well as 175,720 metric tons (MT) and 347,072 hectares of affected agricultural production and areas, respectively.
Dar, in an earlier text exchange with Business Bulletin, said he believes Odette could have a massive impact on the agriculture sector’s growth performance for the entire year.
To recall, the overall Q3 agricultural production fell by 0.2 percent, with crops severely damaged by inclement weather.
Based on DA data, agriculture damages caused by Typhoon Maring alone reached P1.7 billion, while damages from Typhoon Jolina reached P1.36 billion. The southwest monsoon enhanced by Typhoon Fabian also caused P698.53 million worth of farm losses.
Right now, the Philippines is also among the countries most exposed to the physical risks of climate change, particularly storms and floods. In fact, climate-related hazards have caused P506.1-billion in losses and damages to the country from 2010 to 2020.
In 2020, Typhoon Ulysses alone caused a combined P16 billion in damages to agriculture and infrastructure.
‘Cautiously upbeat’
Because of the unfortunate events that the agriculture sector faced this year, Filipino livestock growers and fish producers are “cautiously optimistic” for the sector’s prospects in 2022.
In a forum hosted by food security advocacy group Tugon Kabuhayan, local tilapia and bangus producers said they continue to invest and expand capacity even with limited or no government support.
“All we ask is for the next administration to ensure ease of doing business and to stop excessive fish imports,” Taal Lake Aquaculture Alliance Inc. (TLAAI) spokesperson Adrienne Nera said.
For his part, National Federation of Hog Farmers Inc. President Chester Warren Tan said local hog raisers encountered difficulties in transporting pork products across the country.
“The local hog industry has been hit by a double whammy— we had to deal ASF outbreak and also COVID-19. Right now, the biggest challenge we are facing is on the transportation side, particularly on delivering our products from Visayas and Mindanao to Luzon,” Tan said.
“We hope the new government will study the procurement of transport vehicles such as vessels and trucks because for the past years, for the past decades, the private sector is handling it. We should replicate what other countries are doing such as providing subsidies, they have their own government-owned vehicles, even vessels,” he added.
For his part, Tugon Kabuhayan Convenor Asis Perez said Filipinos are known for being resilient.
“It is one of our strengths especially in times of difficulty. Although our local industries are robust and growing, they still need government support in creating food security policies to ensure sustainable development,” Perez said.
“We want to give credit to our farmers and local industries who still continue to produce and expand, despite the challenges of COVID-19 and rising importation,” he added.
Saying that the local agriculture sector is capable, Perez said the government should look at policies that will not have an adverse impact on local producers.
“We ask for very little help, but don’t give importers unfair advantage over Filipino producers,” he stressed.