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GSIS plans to invest in agri-automation

Published Jul 27, 2023 07:30 am
The Government Service Insurance System (GSIS) has announced its intention to invest in agricultural automation with the aim of enhancing agricultural output in the country. In a statement, Jose Arnulfo "Wick" Veloso, GSIS president and general manager said the pension fund is considering sustainable agricultural mechanization as an investment opportunity. Although Veloso did not disclose specific details about the investment, the GSIS chief revealed that he recently held a meeting with Department of Agriculture - Rice Industry Development Undersecretary Leocadio Sebastian to discuss the plan. During his recent State of the Nation Address (SONA), President Marcos emphasized the significance of agricultural mechanization as one of the key programs to enhance agricultural production. In line with this, Veloso said the GSIS’ potential investments will prioritize farming tools that are environmentally friendly, affordable, adaptable to local conditions, and durable. During his SONA, President Marcos highlighted significant advancements in the agriculture sector during his first year in office, noting a 2.2-percent growth in the local farm industry in the first quarter of the year. The President attributed this growth to various measures implemented, including consolidation, modernization, mechanization, and the enhancement of value chains. Additionally, the government has undertaken timely and calibrated importation of select food products to guarantee the nation's food security, the chief executive added. Moreover, President Marcos emphasized that the government's approach to achieving food security is guided by a balanced consideration of both scientific advancements and ecological principles. Despite the passage of the Agriculture and Fisheries Modernization Act of 1997, a recent study conducted by the Philippine Institute for Development Studies (PIDS) revealed that the technology gap in the agricultural sector has continued to widen. The study, citing data from the International Food Policy Research Institute, showed that the Philippines has lagged behind most Southeast Asian countries in terms of total factor productivity between 2001 and 2014. PID said this suggested a slowdown in technological progress during that period. Researchers at PIDS also noted that while there have been some improvements in productivity, particularly in rice and corn production, the Philippines still falls behind other countries in terms of both output outcomes and input utilization. The study highlighted the need for further advancements in agricultural technology to bridge the gap and catch up with regional counterparts.
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