Overview of Philippine Agriculture

Economic Performance

In 2015, the country's Gross National Income (GNI) grew by 5.81 percent while Gross Domestic Product (GDP) was up by 5.90 percent. The Gross Value Added (GVA) in agriculture and fishing which accounted for 9.4 percent of GDP recorded a 0.34 percent increment.

Production Performance in Agriculture.

Gross output in agriculture increased by 0.19 percent in 2015. Production in the crops subsector declined by 1.98 percent. Palay and corn registered output losses of 4.31 percent and 3.24 percent, respectively. Downtrends were also noted for sugarcane, coffee, tobacco, onion, cabbage and rubber. Coconut production inched up by 0.26 percent. Garlic posted higher production growth at 15.86 percent.

The livestock subsector produced 3.83 percent more in output in 2015. Except for carabao, all the livestock components recorded production gains. In particular, hog production went up by 4.33 percent. The poultry subsector expanded by 5.74 percent in output. Increases were reported for chicken meat at 5.67 percent and chicken eggs at 6.95 percent. While production of duck meat dropped by 1.94 percent that of duck eggs rose by 2.15 percent.

The fisheries subsector recorded a 1.38 percent reduction in output. Production declines were noted among the major species such as milkfish, tilapia, roundscad and skipjack.

Prices

On the average, prices received by farmers for their produce in 2015 were lower by 5.96 percent from the 2014 records. The biggest price reductions were registered by cereals at 13.26 percent and commercial crops at 11.24 percent. Likewise, prices of rootcrops and tubers contracted by 2.97 percent. On the average, prices of livestock and poultry products went down by 3.66 percent and 0.10 percent, respectively.

A 2.08 percent price cut was recorded for fishery products. On the other hand, price gains were exhibited by vegetables and other hand, price gains were exhibited by vegetables and legumes at 5.71 percent and fruits at 3.43 percent.

Meanwhile, prices paid by consumers for food and non-alcoholic beverages in 2015 went up by an average of 2.54 percent.

Agricultural Trade

Earnings from agricultural exports decreased by 21.57 percent in 2015. The major export commodities were coconut oil and fresh banana with their respective contributions of 23 percent and 13 percent to the total value of agricultural exports. Major markets for coconut oil were United States of America (USA) and the Netherlands and for banana, Japan and China.

The 2015 import expenditures for agricultural products went up by 13.86 percent. Wheat and meslin recorded the largest share of 12 percent in the country's total value of agricultural imports. USA remained as the leading supplier of wheat and meslin.

The Philippines continued to record negative agricultural trade balance. It had trade deficits with major trading partners such as Australia, USA, ASEAN countries and the European Union. Agricultural trade surplus was maintained with Japan.

Employment and Wages

The country's labor force in 2015 totaled 41.34 million persons. Employment rate was 94 percent. The agriculture sector employed 11.29 million persons and this comprised 29 percent of the national employment.

Agricultural Support Services

In 2015, about P114.46 billion were spent by the government for the agriculture sector and this was 31.86 percent higher than the 2014 record. This amount comprised 4.39 percent of the total national expenditures. Agricultural loans in 2015 amounted to P832.59 billion of which 32 percent were allocated for production purposes.