Connect with us

Hi, what are you looking for?

Economy

Typhoons likely hurt farm output growth

By Revin Mikhael D. Ochave, Reporter

THE agriculture sector’s growth likely slowed in the fourth quarter, after a string of strong typhoons devastated rice-producing areas.

Glenn B. Gregorio, director of the Southeast Asian Regional Center for Graduate Study and Research in Agriculture (SEARCA), said the agriculture sector will post 0.58% growth in the fourth quarter, slower than the 0.7% growth in the third quarter. However, this will be a slight improvement from the 0.1% drop in farm output in the fourth quarter of 2019.

Mr. Gregorio said the crops subsector is seen to grow by 3.66%, while the fisheries subsector is estimated to rise by 1.69%.

“However, comparable to the previous quarters, the livestock and poultry sectors are estimated to experience negative growth rates at -6.37% and -3.45%, respectively,” Mr. Gregorio said.

Several typhoons, namely, Quinta, Rolly, Ulysses and Vicky, swept through the country in the last three months of 2020. Data from the Department of Agriculture showed the combined crop damage caused by Quinta and Rolly reached P8.46 billion, while losses from Ulysses amounted to P6.72 billion, and damage from Vicky totaled P129.8 million.

In a mobile phone message, Roy S. Kempis, a professor at Pampanga State Agricultural University, said the agriculture sector’s slow growth in the fourth quarter was due to the massive flooding that damaged crops and other farm produce.

“The growth of the agricultural sector in the fourth quarter of 2020 is slower than the third quarter of 2020, and is seen to improve 0.25% to 0.75%,” Mr. Kempis said.

Mr. Kempis said increased food consumption during the holiday season might have a positive effect for the farm sector, but is not enough to offset the typhoons’ damage.

“With recovery still ongoing in Luzon in the fourth quarter and then the weather disturbances in Visayas and Mindanao, the last quarter of 2020 could not be better than the third quarter,” he added.

In an e-mail interview, former Agriculture Undersecretary and current Bangko Sentral ng Pilipinas (BSP) Monetary Board member V. Bruce J. Tolentino said historical data show about 90% of typhoon damage takes place from July to December, with November being the most affected.

“The quarterly numbers are the result of artificially dividing the seasonal performance of crops. Most of the movements in these numbers are due to price fluctuations,” Mr. Tolentino said.

Rolando T. Dy, executive director of Center for Food and Agri-Business of University of Asia and the Pacific (UA&P), expected the farm sector to have declined by 2% in the October to December period.

“Typhoons and floods are setbacks for crops, while hogs are afflicted with African Swine Fever (ASF). I see the sector posting -2% for the fourth quarter,” Mr. Dy said in a mobile phone message.

During a virtual briefing on Tuesday, Agriculture Secretary William D. Dar said they are hopeful that the PSA’s result will turn out positive.

The Philippine Statistics Authority (PSA) is scheduled to release agricultural production data today.

Mr. Dar previously said he is hoping that the agriculture sector could grow by 1.5% by the end of 2020, lower than the previous 2% target.

According to PSA data, the farm sector accounts for about a tenth of the country’s gross domestic product (GDP) and around a quarter of the national workforce.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Get the daily email that makes reading the news actually enjoyable. Stay informed and entertained, for free.
Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

Investing

Post Office collection and cash delivery workers are to stage a one-day strike later this month in a dispute over pay. Members of the...

Investing

UK consumers cut back on credit card borrowing in May amid fears over rising interest rates and a slowing economy driven by a cost...

Investing

The bank said that it was introducing a £1,200-a-year pay increase from August 1, which would start to show in next month’s pay packets....

Investing

Postmasters caught up in the Horizon IT scandal say that they are still being “left in the dark” about a compensation package after the...

Economy

Expenditures for environmental protection declined by 4.6% year on year in 2021, data from the Philippine Statistics Authority (PSA) showed. The statistics agency’s Compendium...

Investing

BT staff have voted for their first national strike in 35 years, which is expected to affect customers across the country having broadband services...

You May Also Like

Investing

Having a good Instagram marketing agency to back up your Instagram account is an absolute must going into the new year. With competition stronger...

Economy

Ivermectin, an existing drug against parasites including head lice, has had a checkered history when it comes to treating COVID-19. The bulk of studies...

Investing

Insomnia is the most common sleep disorder in the global population. Therefore, it is a problem that many people suffer or have suffered throughout...

Investing

As a traditionally rigid insurance industry becomes bogged down by antiquated processes and operations, a handful of industry leaders are seeking to shake things...

Disclaimer: SmartRetirementReport.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 SmartRetirementReport. All Rights Reserved.