By Adrian H. Halili, Reporter
THE PHILIPPINES’ agricultural output contracted by a record 2.2% in 2024, as farm production continued to decline in the fourth quarter.
Data from the Philippine Statistics Authority (PSA) showed the value of production in agriculture and fisheries at constant 2018 prices shrank by 2.2% to P1.73 trillion, a reversal of 0.4% growth in 2023.
The 2024 print was below the Department of Agriculture’s (DA) 1-2% growth target.
The farm sector’s dismal performance last year was mainly due to the contraction in the value of crops (-4.2%), livestock (-4.3%) and fishery (-1.1%) production. On the other hand, poultry output grew by 6.6%.
In the fourth quarter, the value of agricultural production contracted by 2.2% to P483.58 billion, a reversal of 0.9% growth a year earlier.
However, it marked the third successive quarter of decline, although slower than the 3.6% drop in the July-to-September period.
At current prices, the value of production in agriculture and fisheries went up by 0.4% year on year to P663.06 billion in the fourth quarter.
“The 2.2% decline in Philippine agriculture in 2024 was attributed to various challenges. El Niño in the first half and La Niña in the fourth quarter disrupted production in crops, livestock, and fisheries,” University of Asia and the Pacific (UA&P) Center for Food and Agribusiness Executive Director Marie Annette Galvez-Dacul said in a Viber message.
The country faced below-normal rainfall conditions during the first half of 2024 due to El Niño. This was followed by La Niña that brought a series of storms that wreaked havoc on several agricultural areas.
“The decline in agricultural output in 2024 is the result of the confluence of events which includes impacts of El Niño and La Niña, typhoons and flooding, and lack of technical assistance at the local level,” former Agriculture Secretary William D. Dar said in a text message.
El Niño, which started in June 2023, brought prolonged cases of low rainfall, dry spells, and drought. The state weather bureau declared its end in June 2024.
On the other hand, La Niña conditions are expected to persist until the end of the first quarter.
“The primary reason for the (contraction) was due to the damage that was reported for El Niño, the series of typhoons from La Niña, other plant and pest diseases, the volcanic eruption, and other weather systems,” DA spokesperson Arnel V. de Mesa said at a media briefing.
Data from the DA showed total agricultural damage from these events reached P57.78 billion, with total volume lost at 2.18 million metric tons (MT) covering 993,823 hectares of farmland.
Federation of Free Farmers National Manager Raul Q. Montemayor said the decline had been expected amid natural calamities and animal diseases that hit the farm sector.
“It points also to the lack of resiliency of the sector — slow growth during normal times, but vulnerable when calamities and disturbances arise,” he added.
CROPS, LIVESTOCKCrop output, which accounted for more than half of total agricultural production, declined 3.1% in the October-to-December period, a reversal of 0.3% growth a year ago.
For the full year, crop production shrank by 4.2%, reversing the 0.8% increase in 2023.
Former Agriculture Undersecretary Fermin D. Adriano said in a Viber message that crop production was severely affected by El Niño and La Niña.
PSA data showed that palay or unmilled rice production slipped by 0.1% in the fourth quarter from the 0.2% gain a year earlier. For 2024, palay production plunged by 5%, a reversal of 1.5% growth in 2023.
The volume of palay production declined by an annual 4.84% to a four-year low of 19.09 million MT in 2024. This was the weakest production since the 19.29 million MT logged in 2020.
In the fourth quarter, corn output slipped by 0.6%, easing from the 1.8% drop a year ago. For the full year, corn production declined by 3.2%, a reversal of 1.8% growth in 2023.
Other crops that posted double-digit declines in the fourth quarter were mongo (-48.2%), sugarcane (-23.5%) and onion (-11.1%).
PSA data showed that livestock production plunged by 6.2% in the fourth quarter, a reversal of the 2.7% increase a year earlier.
In 2024, livestock output declined by 4.3%, a reversal of 2.5% growth a year prior.
In the fourth quarter, declines were seen in hogs (-7.3%), goat (-4.1%) and cattle (-2.7%).
On the other hand, dairy production rose by 4.8%, slowing from 16.4% growth a year ago.
In a Viber message, National Federation of Hog Farmers, Inc. (NatFed) Vice-Chairman Alfred Ng said the impact of the African Swine Fever (ASF) on hog production dragged the livestock sector. Hogs accounted for 14.6% of the total livestock production.
“Many farmers sold their pig inventory before ASF hit their animals. Some have not repopulated for fear of disease recurrence, and some are waiting for the monitored vaccine trial results,” he added.
Mr. Ng said increased rains and flooding due to La Niña led to a spike in ASF cases “as viruses from shallow graves of previous pig mortalities may have resurfaced and infected the animals.”
FISHERIESMeanwhile, fishery production slumped by 2.1% in the fourth quarter, slower than the 5.3% decline a year ago. For 2024, fishery output slid by 1.1%, slower than the 6.6% drop in 2023.
For the October-to-December period, double-digit declines were seen in the production of mudcrab or alimango (-28.9%), cavalla or talakitok (-24.9%), big-eyed scad or matangbaka (-20.6%), Indian mackerel or alumahan (-20%), skipjack or gulyasan (-19.1%), slipmouth or sapsap (-17.7%), frigate tuna or tulingan (-17%), yellowfin tuna (15%), round scad or galunggong (-14.3%), seaweed (-12.7%), and squid (-12.4%).
Meanwhile, growth in production was recorded for P. Vannamei (59.4%), milkfish or bangus (10.9%), blue crab or alimasag (7.2%), threadfin or bisugo (4%), and bigeye tuna (0.1%),
Mr. Adriano said the decline in fishery output could also be attributed to “climate factors” and the slow development of the country’s aquaculture industry.
“The closed fishing season is a necessity, hence the need to enhance more investments in aquaculture,” Mr. Dar added.
Closed fishing seasons are declared over certain areas to help fish stocks to regenerate, as mandated by Republic Act No. 8550 or the Fisheries Code. These closures typically last for three months.
POULTRYThe PSA reported that poultry output grew by 6.1% in the fourth quarter, slower than 7.8% a year earlier.
For the full year, poultry production rose by 6.6%, better than 3.8% growth in 2023.
Higher production was seen for chicken (5%), chicken egg (9.8%) and duck (0.3%), while duck eggs declined by 3.1%.
“The poultry subsector was able to grow with efforts and investments of the private sector including medium-sized companies. There was a quicker turnaround in poultry,” Mr. Dar said.
UA&P’s Ms. Dacul said growth in the poultry sector was mainly due to stronger demand and shorter production cycles.
“Poultry is still in recovery mode, so as long as they keep diseases in check, the industry will keep on expanding. But excessive imports will put a brake on this growth trend,” Mr. Montemayor said.
The agriculture sector accounts for about a tenth of the country’s gross domestic product (GDP) and provides about a quarter of all jobs. The PSA is scheduled to release fourth-quarter GDP data on Jan. 30 (Thursday).
