PADDY RICE production in the first semester will likely rise by roughly the same volume recorded in the first half last year, despite early rainfall, better irrigation and availability of seeds; but corn output is expected to drop due to excessive rain.
In a crop production forecast released late last week, the Bureau of Agricultural Statistics (BAS) said palay production may increase by 1.31% to 7.21 million metric tons from 7.12 million MT year-on-year, but corn output may dip by 2.63% to 3.21 million MT.
“The impact that [high fertilizer prices] had on the volume of production for rice [last year] reflected [sic] in the lower production for corn for the first half,” Agriculture Sec. Arthur C. Yap told reporters late last week.
The third corn crop season that lasted from November-December was still subject to high fertilizer prices. The Agriculture department received reports in July last year of a 30% drop in petrochemical fertilizer use by farmers, as prices of these inputs, which account for a third of crop production costs, then rose to P1,600-P1,900 per bag from P850/bag year-on-year. Fertilizer prices dropped back to P850-P1,070/bag only last month. [Read More...]