ISSN 0115-9097
iI
"<:<:::/_:_<
_<>_,+.,
_,_:<
+<y>:>........ +-'......... -<-/:5 L:m¸¸¸i-:: ;,...... ;
<
+ /<LI+-_L _i _i _
L:::I:: 7_:_ :i:_ ::'L _i_i_:_:_i_: :i_:: L:_: _: :i__:_ i_::_ _ :_:_<: i::_ _:!_ _: <: i::_': i_:_i I_<i_ :_>:: : _::::,_::_:: _:_:-_ :_ :.._L_:._ ::i_:_:::_: ::....... :_ ::__> :W: ::_!_'_ ::_ _i::: _: :_ !:_ _:..::: +:_ '_.::_ __i: :_ :<< _: i:i::_i _: _:_ _:_ _:L: L _:_ >_::__ < Tkel_hiiippir_es_on:tl_e threSh01d: i: ipv0fitableiiiveiiho0cl:ienterprises. For 0f: {he twentY.first century, finds itself oi_iy: then: can they beable to afford a ; iiii stili: fa:cedwhh :the proble_ni: of produo better !ire and contribute meanii_gfully : ing ienough::f0od: for i.ts:iburgeoning i : to:development. Andonty then can one population;:; ;: : :consfder i.hat the ism_e of food production
i 6f fhepopulati0n_isnot
even ei_Ough to Food:production:fOr derna_d: The ii:p0pulati0fb:tt.tereforei:is
the Filipino an equity is::
Departrne6{:i:of AgricultUre!s: :(DA) Isue for itlgoes beyond:_eing to it that : ::: devei6pm,e._t plan the: sector: for the: people, are able to Subsist artd to 1991: t0:1995 notes:timt "(alth0ugh)rice: i enabie :ttie maj0rity of tlle people to be output: rose:at an: average rate: 0f: 5: : more productive members of society. iiI percent annualiy in the 1970s; the rate: for the acceleration of I ofproductionincreases fell to 2 percent:: agrarlafi reform and the strengthening annually:in fhe 1980s while apparent : of small farmers' and fishers! organiza-: i: consUmpti:0ii :increased by: 3 percen ti0ns: ............ period. A:sa : result; some 180,000 tons: and 220,00011 :::enviromnent: for iagriculture to thrive : 1988and :and f0r rural .... industries to g 'row and ......... :toi_of:ricewereimportedin .... ...... .... 1989; respe:ctively tons. Ar0m_d 7(D;000 .... .......... multi muStp ly; government provide for .... ..... havebeenScheduledforimportationin ..... appro ...... P riatep01ic : Yand investment in _ 1990; TheSe importationS Were meant : CentiveS 9uch as improved rural infra' .... tO ............. augment:the ..... :Country's ............. dWmdhng StruCture; _sUpport;and social "services; ..... st0cks: follOwing the suCcessiVe oCCur-......... establish ar_incentives structure favor _.... .... v _ _ ........ _
the country would indicate, by and large, that widespread poverty has been, at least, contained: ..... Findings collated by the National Nutrition Council (NNC) from studies ' S' " " 1 conducted by th e Natlonal _tat_stlca Coor dinatio n Board (NS_CB) an d th e F ood a n d Nutn "tion Reseac " r h Ins"t.... ltute (VNIRI] of the Dor, nrtmont of Srion,'o and - Technolo gy( DOST . ) reveal the " f o1 : 1Owing: ' ..... ....
: renceofa .... :i: :Series 0f: .... Vest0fft_e ........ ......... a drou£ht .....
pr010nged droughtm........1987;a ...... :able t0:agriculture; .......... improve availabiltyphoons which hi!ithe har_: iiity:of:and: access t0 agricu!tural credit; maincropin 1988; sustaina-r ..... .... and again : and promote the......long4erm m 1989. ...... ...... ............ ......bfllty of the agricultural resource base ........ " thattlie0ther ................... ..... ..... .... .... .... ' P orted " ........ ..... ....... .... ....... .... ma Or food _tems such as yellow corn; ...... Food l:roduclion is Also a ....... ....... .... J ........ : • ..... , .... beef}:andfiSh;liavelikewisefallensllort: N_:itriti0na]:[Ssvte : : : .... ofthecontmuouslymcreasmgdemand ......... ..... ...... .... .... ] : : :
ycOOCl:::V_Od_t_Ch :]:] :: :
: ....
iGiven] the foregoing considera' hqll]ty : itions, the:last word has vet to be said :]: ] [ :: :::aboui;:f0odproduction, andthatis, nu: ::;: i: i:trifional::adequaeyi:Fo0d:;afterall, is :pro: y:: snonyn:_ous. .... to n0urishment. . .... There-
: duction:isnotmerely:.t0 feed thegrow: : :f0re; ihere has to _ enoUgh of the fight :......irlg, miinber 6f the population ....It is also_.......kinds of: food for :the ma'orij ty of the i0:help the::n_0Sf disadVantaged: farm, ::pOpulation; especially the young, the: : :i:: :inganclfishingCommmaitiesnaoVefrom::: nursing mothers, and: fhe most disad-: .......... : Wheie il_ey:ican:imdertake:and :;
sustain
i: :
nutritional
adeq:uaey Status for
i ]:; : : :
Cal0rieand. p-ioiein )er_cap.ira intake werebelow 100percent " adecmacy for th ee survey pe_a ........ rQo .,¢,lO .... ltULl_z llflll l_l_z_. l_a,o ylO kOO._ dl[_ .4 93 '_ _; ln°2 not _n_nn <_ ..... ;,_ r_a to_.UlOa u_.olo_; _ % £2 _ and 1987 (87.1 ...and %_%. Calorie and protein ver capita: "_xrailahili#xr roryie.trarorl mc_r,'_
i: i: thanlOOpercentadequacy, yet malnutrition has persisted in the: country, indieatg_g some : :: distributidnalc°nstraints" :± Discrepancy was reflected be:
;;
:
: : : .....
tween intake and supply ade_ quaCy levels indicating food : : wastages occurring from the farms to the households and ;i : within laouseholds, as well as ....
(Please turn to page 2)
: ;
::::::::::: :::CI?::: !:T:! !i_:.::::,):::(:(i:::(:):7:_:/:::::::: ::!::(7:::)7::/L::/: :i!/_[()i!::(:/::: :(:::/:)_ ,:::: ::.<:::::: :::: CT:::%(:::::: 4¸((i :::-:effeCL::Wlla:t:::is fh:e:refore need6d is !i i i ...... ........... [/[ide::the
:: 20 ye:arsll
ho:wever;
: ::
i: :Fill.
ese increa:_s,
grow:thOffl_eco.untry'Spopulation the rise:in: fhe per capita:consumption:
....
beenin4r:eag:: i :: ........ ...... gerl ....
.... ............
......
t::: ..... C An: ACt::,:0n: .[.i
.......
R_ce Nean.:term i
: ing percent: per year for {he .s (Table 4 Figure ]). The annual::increase was 5 percent from1970 to1979 and 2 percent i from 1980 to 1989. The uptrend was : : disturbed only in:1983 and1987 when :
::::::::::::::::::::
:
i
........ ::
:i : :Tl_at::ri:ce :is::d_:e: mosf:::impoti_y_ dr0ught: redi:_ced::tion. The 1989 dta stically harvest was a recordPr°duc_: 19.4: y: (ig undeni_ million metric tons;: some 5 4 percent , _ .......a_ ....... P higher: than that of 1988 and about 3 : ......... ......:.............. ................... :: rood. lot most Fili' is the way ot _erceiit hi',her than t'he _ r ¢,vi--OU_ s zec__2 .... t/[> ...................... .........mean ..... re:* must_ be some ..... ....... , .... :_ ....... _.............. ._ , Iv :i::o_erestim a ty_PrOV,dmg.hx e-ord crop in 1986. Production in 1989 ............. ' > flaY: :hhood to about 70 ......ercent ot the .... - ........ ::Oh: :i P :Some three i wou!d have been h,gher were _t not for ii I : .....a ........ ,, y, F'Iv • . .... • a set es of typhoons waich resulted in .... : n:at1oruntermsorspecmclooo: :miuion:farmerstOgetlierwith theirde: " _'_':_........lVli .............. : ............ . ............. ": : : Ds_,s o .... e_s _' tlma[eo" ..... a_ arouno/_o,uuu
......
:
: !:
......
: food:::Sups: ::: :reag:OnS:thaf _,
................................. .......
_
............... : :::::::::am:ounts;wlllcn:1nchcate :
......
the
t. -'_-J t I
:
t_,L_
:
]Jl_..tutlt.2I_"
VVXtl
s : ";; C'tin 1977 at 37millionha iS:for the_: andlowesi_in 1983at3 06millionha in has :: -1989 3 5 _illi,_n ba ,'_",_.'-_'_-_*_,_*_ '_ . ,, _ _ ,..t r-i ¥¥',,_1G JT-'ICIIiLCLI LU 111,_5 I_'G_ v.'xt_
__,,± u_.tv_
: } ,.... , of any government
. m
: .... , ..... t_il ppines : ..... .... ........................ th v, ols¢ led .... _ __ increasing ....... • ' , steadily , .................. . tthe .... index has ............. .... has, bee m the past : : ........ :: : fr0m::1982:t01987:.:Ttieindex: ......... .... ...... '_,"
H_ere isl sev6r:e: defi:cie:i_:cy i:ii : : :: iMs:es:and mltS;: fats and 6:ilsi : :.......: and:e: gg_,_ : : ....... ........ ....... :: : : :: Tliese: findings: (See:also Tables: 4: : ] :: 3)serv e [o:::reinforce fl_e agric tiI[ti ral: d ei: :: :: :: :i VeiOpme:i_f framewoi3kpre:mi_d:on:the: : : the: ...........: ........P P .... :: Sniall::fafmers:::aiid
: ::: : ::3:3 : Who
fishersi:wtiO
are:
:
t_ysfoodbui unt::amo_:g it-,e:most
faniiiies ;:a:fflicted :_ifl3 maln(itriti0n.
.......:: i :{riti0n:cotinciii
fforts is:fi_e formu:
::::
:
cro]D
r.. .... .... ..... . ....... Yield has been increasing irom:an average Of 17 metr c to _s of pa_ yper ha: in :]9702 t_%t 2 7 nv-,ri,' ,.,ms ---,-,-'-_ _-k-k t. kk_/ _ /tO, J,J.t Iv'.:/........ - 98n _Fi',ur", q) ..... ,-_z_',_:3. ca .... .....
: .... ....
SO_ir_es: ::Philippine Food BalanCe Sheet; CYs 1973ai986_ NSBC arid Third Nationwide Nutrition Survey; I98"9i DOST/FNRI rate_ forCYs 1973-198&
...... ...... .......
ii
......
__: :/
QLi
5:__::!///_I/_:;I _I:U:I _i_;:/_ _!_/:i_)i A<: __'_":::_!/:i ::¿::/7/!::ii:_:_::_ eg.n,ate ?:I_/:/:>_: :_:_:_i:)il/II_:. __:/:U!''#::!!(/:::_: -__:: ....... :__.i _ year's. Ab :ready; the January:t0: March harvest ::this year isa_ut 13 percent lower than ::tl........ ......
reached263;000MTorabout: ....
.oVer ttie
the drougtxt coupled with continuing increases in demand, Without importation, it is projected that in September I and October, following the lean months; i
mained ........ foll0win ¢
the:
gc
:ii have:: In t:he ,_1tl, 198%:NFA: St0ckS di:
i
to: 47:p:ercen:t:of :: ali_::been
total:rice
YJ
........
,: tasked
:
...... In Mr/Ha
:
_,_
with
'84;:1985, and iiains:industrg;
:i
st0¢ks:in::tt_e
:0n::an upirend
::
2:4
.... ..... : ....
_
_= :..--__
_;i;i_
i:::
i i
:::,_i,:
'IA_ _j
__
i ....
.........:::
i:8
78
the::::
79
80
:: ::: ,: ::: ::::: ::
_
_
: prices ::stayed
:
::
85 86
87
88
89
....
: .......
Palay: Production; Area Harvested :....... 1970-1989 ....... :: ....
and
Yield, Philippines
:
constant
: ::P1::35::::
mesfi¢ rice:price movements :12
in the last: : th::i::: ::
: i)::::i/i_ :¸:;:!I:: /:! :: :: i:
:
[ 81 82::83
,:a
:::i
:
_
Table4
:
: ::
::
i_:_ : ;:::::: :::: :'::::: :: ::;::::::'::::: ::: _ : ::i::: ,._ _ ::::;.:::::: ::':::: ::::_ii.:: ::::::'::. :: _::7: :::::::; .............. _.::;:i _:_, : _i!:::_':' :.;:_:; _.:. i
.......
:government s price m m_d:1988 until::: the increased its support: i:the!astquarker ofl989(Thble:::
::
: 'i:::: :: :::::::::::': ::
F
theless; real prices of rice ::::: trend has::since beenarres' : 1.8: were St!ll lowe r than ten years ::: ago:: Tl_eincrease Real:: in rice Dri:ees hasals0 beenmuch " ....increase _ m : : - : :s 1owe :r ...... than the i: : : ;: ::t!!_icoi_sumer:Price tndex :(Figure 6)i i
close: to: government: :priCes.
_i
:=:::i::i :?::::
::::::;;,:, ',::,,:::::
since 1972):::::::::i: ii :: :
:i
: ....
_
:==: i:=::i:;::: ::::::=:=: ;:::::=::: :::::::
:i
:: declined fr0m 1973 to 1983.::Thedown_
....
...... ........
::i: :i:: ii :::/):?:! !i ::i:i ¸I::ii!:¸:):::i ::::i:: i/! ::: :: !
level as Con, : .....
:
:is_siainabie
.....
over
:
.... ........ :ta ring {he movement of. _ a g:ri:culmral ..... outputs::: and inputS;: :reducing :_st, ::inte
ti:onw0uld::also pr0m0 tepriva te _ct0r : inves_meiits in posbharvest .........
::
CYs 1980-1988
.........
..... : ......
:
.....
........ i
and:: ::financial
i ::ii: i :::interventionS{{ atenecessalT: toe age the private sector to....... lend : to a ..... i_ tnral :::pr0je:cts;inClUding: rice pr0duc4: :
So
Department ....... :.... ..... t0:farmers_:millers; and traders: .... theDAasked: ........rural: bank :rehabilitation ii: the iLand Bank Of:the: Philippines to pro = ruralbanks, coopera = i ::i i i::areas:ii::The:Departmenf:of AgriCuiture: : ........ i 'ganiza-i i :alsdl phaSedout: its costlyland:: ineffi_;ii :::tions (NGOS) as credit retailers_ It also ........ :cient direct: lendingprograins:and in_ transferred: :the manag ement: .... of ...... the. stead:created a ComprehensiVe: Agri< integrated Rural Financing (IRF) pro; Cultural: l.oan: Fund (CALF)Whi:cl_ is: gra:m _0:tt_eLBPWhereitisnowused to : i ::: used::to :expand existing :guaran{eel: ii: redise0Un[::10ans:: whichi:mral banks piiotlendin_ pf0Vide to::farmers:_:The:iRFprovides
of AgrieMt_re
:: : ::i : : pr0jeets::ihatlower therisksoflending::
farmers:ofmlected:commoditieswitha
: the cost of fertilizer, pesticides, im _::
...... ......
....
:: ::2::_; : year-round credit line to support all their production activities. It also in_i : volves several banks and trained Cmna : i munity workers inmobilizing, strength; : ening and: assisting farmers :cooperatives to carry out livelihood and coma: i munity development projects .... :i : ....... Ma_cimizingsupplies and reducing_..... .... costs of inputs, meanwhile, provide the : incentive for fmTners to:continue pro:i ducingrice,: Government thus seeks to:: : : ensure adequate supplies and reduce:
"¸5?¸i¸:5/¸¸ 7(¸::::/¸:¸ .... :: ...........
Z
.-
i!:ii:i:iiii::ii i:ii
:i
_u__
fer tiiizef: ::tO:farmerS: is an imp0ttant:i i: :i
]11(2:,::i;:1:i:;:: :i:i,: i :/i::::::: ::if: :[ ,
:: :: ture: has impiemen ted a fer tiiizer su : :::: sidy: sc!_6_: f0r irrigated rice farmers::: :: : To reduce the C0st of::feftilizer 0vet tti:e :
::: :]:,:::: : ::I :::l: ::: [:/: ::::::::i[ ::: f::::
:
br6ke:Up:thefettiiizercariel
:Theentrv:
:::
::(;:::;:::
o f:more:: firms: into fertfl!zer d]stnbu_: ........ ge c encv In the
::40o:
........
:!:: ::: :::::;
::
: :
ertlhzer tradeand f0rfarmers
....
....
assured lowe r ..... :
:
:
:
l:::: :
:::',:!_',_
ii:n°tpr0du_edir|theC°untry
Theg°v-i:
:i::i:
i::i
i
I:I
::: :::i:: :::::: :::
: [,!.,,:.i::: :i( ::::1::::: ::: ::::::l'.:: _
: :::200: :::
:1
:::::::
::: ;: : ::
:!:4;i::_ ................. .....
:::::: ::fro 20 tO:5: percent: and i:n retainin :::::::: :: : [/)i:i::::i]:: ::.::.:i':: [ i i : scheme which a llowsthe du ty.free ira: :i :: 0: :p t onottertmzer:gracteswmCh:ave : :i:
...... iii l i -
: :.... :
i:'iFarmg
ate
_
Reta:d81
82
:_I1:;31(_]
86
:i:ii: : land; irrig_tioil: faCili[ie:s) fa_:machin:: : .......:i cry and:eqnipment; fertilizeLand other : : i i: in_u_sii: t6 :acCelerate: the transfer i::: idi_aS6:and pest Control: techn01o
87
88
89
::::
:
:: :::::researct-t:and:developmem program that SPecifi:caliy addresses thecountry!s : : needsand priorities in rice ..... :: rhe government's position of rnoder:ating: Simply in :i :c0n_nanee with its policy of free :en4 terprise.Go_emmentbelie_zesthatmar: : :: keting is a:function which the private i iiiii :sector :::can:more efficiently :tiandle: i .... PervaSive:cOntrols and excessiVe:inter-
3_emment
:monopolies,
:the::
i
.....
i:the Phili i :: pine:i Ricel Research Insti tu :i::ii was:::cfea:ted: to undertake:an: active:
by:inihe :gOvernment : i: : : vention private investments in:market-: in 5 See:tot: Philinnin,_¢discourages _,,_, " 1 C )r price _controls; irK*'':_'_ "_-_..... tlae enmina;
:
: ::::::::::::0_( ........ :: 1 i
..... ...... : b)l_cludesdonations from....... BurmaandAustralia : c) Repaymentforlndoneszan ........... : riceloan : ......
::
i: i ...... :
.............. ..... : : :........... ofAgriculture.:i: :i:
i
i ......
i ..... .... : ::....... ::
!i ¸:
:::
/
:and:_iis rice
:::including farmer to provide
....
: :
:
DOMESTIC
......
Figure 7
WHOLESALE
::/::::/::::,::?:: !::ii :ii!/,:::)!i/i::-i:! :(:::::: :::):'_i_ i¸¸::I :: :: :[: :i::: i: :i: i:::i: i : :i
: mentioned:policyframework, thePhilii ippine government has launched an : ......... .................
VS WORLD PRICE
OF RICE
iI:i:/:: :i¸::ii: i :i:
: ::....
:i : : ¸¸¸
! i:::¸_ !i
::::
::
NOn iln,a:dl
iiii!i :::
::: : :::::
::::efficient useof water, fertilizer,
:::::: _hea_err_d:: :::.... of:_ational .....:
,::7:_: :: ::::::vet: ::bili' Loss Redfie_oS_ne_e;'c(d)dPit_tv_a_::: :: :i :::i: Insurance,
laWfllcomCe_r:ta_ :the: program::::: Thus, tihreigePoi: the : ;:_c:edetofi_,t:?hsteniin;ho_ DOmestic fertilizer
:yst_lrnwSa_enrdithpoC°n_[n_i_[s _e_ ::the: tenance:ofirri-: : and strengthen the:
prices are ex-:
ernment[_t]_iaZseer_Lruk_" _f°fle°r_r:rheth°eStlanvd_will provide irrigated rice:: : : farmers with one or two bagsoffertil-: :::: : izer free for every tw 0 or four bags I
!?/::::!::,':,::::%:
::::::::::::::::::::::
:117:::1
:increase:
.....
:
lge/_
: ::lOS:: I : _
17q: : i : 124: : :::::_: 1:41 ...... :1"_1: :!
i : estabhsh boratones m each r i : h su"_l-' l-'l-" of ::
[......... :} l
::::I_7::::
;i
:::t_
: :_:
: :::::_
::
: : ::and: flee:deficit
g :
:: _a_ers
gpoliciesconto the:country-
: ::20&l_ :
:::91: I
:1_: ::140:: :]48: : :::::: ::_,::: .... ::124: : :::: _:: :::::::_ : ::_: :::::_:::: :::: ::":: ::: " :m': :::1._!::: ,:: :::::::::::::: :::,::::[::::::::: .................. .................................... ............. ........
:: :::l_kl_ :: :::: 2,55,80:
::::::::::::::::::::::::::::::: '
-
_'
"_
......
:
e_
:
.........
: ::::::::::::::::::::::::::::::::::::::: .... ::
::::creditflOw
[: _2_ : I _18 :: : I: ::glg_: I : :419
184 : l: 11167 I: 46,.']::::
:::i_ooI
.
:
::I : 221:: :
_md the O.*,_ral Bank
...... =_:
........ ....::::
"
"
:
_
Table 14 .....:: and Budgetary: 0990)
I
]II;Iili
:
:
:*_L
:
............
: ::
......... ........
:: : : ::
::::::::i i!! if:fill : i: :i
::
:i ure:cl_e
tO
i
govern-
L_lUity tO the Philf
:: :
:::::the extension :: :sU .... producers and:proces: the government will impr0ve the :: ........
struclure by: extension_ :integrating :i the services of govemunent :agencies cOncerned:with extension; in,pro, communications
:
.......... :
government
: :ment
of:
will stre_
_ties as:well
i
as
:
gles !:tothe budget: set aside ')ki1990i initiai estimates _i_rts; and:::: ilitiesindicatethat the: :: rice :::: :: billi availablei: i_
..... i
ppropria_ â&#x20AC;˘ the re:
.....
::
::
Tom acmmon, u appropn_ monsl and:d0n0r:funds(Table14)il :ii .........
_i:
!:i:: i!i ::!!!!: _(:,:: _ :_!: :(: :(i ::
_: i,_,,aJi,t_a_,,_o .... _ys_.
:b/
i:::
:
....... .......
i//::i;:i:(i:: (:::.:
....... i
i
:
:
:
: ii:,:
::
.....
....
......
:
i
, :i : :
:
....
::: ::;:: ::!:, (i::/(/:2::¸:,::