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FOREWORD
EXECUTIVE SUMMARY
INTRODUCTION
TRADE & INVESTMENT
AGRIBUSINESS
ENVIRONMENT AND NATURAL RESOURCES
HOUSING
TOURISM
INFRASTRUCTURE
FISCAL STRENGTH
LABOR
POWER AND ENERGY
POWER SECTOR REFORM
BASIC NEED
PEACE AND ORDER
PEACE PROCESS
EDUCATION
SCIENCE AND TECHNOLOGY
ANTI-CORRUPTION
GOOD GOVERNANCE

CHAPTER 2  AGRIBUSINESS

 

   The region’s economy is highly dependent on agriculture. With limited land and physical resources, an over-increasing population is putting pressure on the region’s agricultural economy. The region is located in the typhoon belt which greatly affects the agricultural productivity. In the late part of the year, Bicol region was hit by several typhoons which greatly damaged agricultural crops and agricultural facilities.

 

Grains Production

 

   In 2006, a total of 699,442 metric tons of palay were produced. This figure represents a decrease of 28.77 percent compared to the previous year’s production output of 981,918 metric tons. The negative performance of play production may be traced to the decrease in the area harvested from 304,549 hectares in 2005 to 200,667 hectares in 2006. The super typhoons that hit the region in the late part of the year may have caused the decline in palay production. Average yield per hectare in palay production was 3.16 metric tons which is lower than the 2005 level of 3.22 metric tons. On the other hand, corn production increase its production output by 20.45 percent compared to the 2005 production levels. The increase is mainly attributed to the conversion of corn varieties from traditional to high yielding varieties, clustering of corn production areas and most of these areas were already harvested when the typhoons hit the region. 

 

   Supportive to GMA Rice Program, rice clustering was adopted for the planting of hybrid seeds production as one of the strategies to enhance production efficiency.  A total of 255 hybrid rice farmers cluster were formed in the provinces of Albay, Camarines Sur, Camarines Norte and Sorsogon. Likewise, fertilizer assistance were provided to rice farmers.

 

   To mitigate the Rice Bug occurrence, 46 Rice Bug light trappings were constructed in the municipalities of Sorsogon, Camarines Sur, Albay and Catanduanes. Research and Development were also pursued.  A total of 12 techno demos were established and 371 soil samples were analyzed and inputted into the soil fertility maps.

 

   For CY 2006, development of corn industry in the region was sustained.  About 1,945 hectares were developed and planted to hybrid and open pollinated variety (OPV). The intensive campaign for areas of hybrid corn production, a total of 20,000 kilograms of hybrid corn seeds were distributed to 1,000 farmers.  Also, under the Seed Exchange Subsidy, 553 bags of OPV were distributed to 350 corn farmers.

 

   On marketing, 20 market matching activities conducted for 135 farmers. Twelve (12) market agreements signed with 2,485 tons traded at a price ranging from P7.60 to P9.50 per kilogram. Directory of producers and end-users was updated and 1market forum were conducted among producers, feedmillers and corn board. 

Table 1 Agricultural Production, 2005-2006

Crops

2005
(MT)

2006
(MT)

% increase/Decrease

Palay

-

1,159

-

Corn

118,115

142,264

20.45

 Coconut

1,178,800

1,165,740

(1.11)

Pineapple

104,295

98,167

(5.88)

Abaca

20,173

20,548

1.86

 Cassava

122,195

100,747

(17.55)

 Pili

4,462

4,165

(6.66)

                 Source: BAS V

Other Crops

 

   Except of abaca, which posted an increase of 1.86 percent in 2006, all other crops had a negative performance in the year under review. The reason for the decrease was due to the super typhoons that hit the region in late part of the year.

 

   The coconut planting/replanting program of the Philippine Coconut Authority 5 was able to achieved a total of 3,428 hectares which is 27 percent of the annual target of 12,700 hectares. Likewise, the PCA 5 provided technical assistance to 4,454 coconut farmers in inter-cropping projects which involved 3,012 hectares planted to abaca, banana, corn, pineapple, tigergrass, vegetables, and  root crops.

 

   The continuing campaign for coconut planting and replanting, farm diversification through inter-cropping, livestock raising and aquaculture as well as intensified rehabilitation of coconut lands through fertilization is being done for sustained farm production and productivity.

 

   The PCA 5 further intensified its campaign for coir production in the region to maximize potential and increase income and productivity in the farm level. There are seven  active coir processors in the region. Three are in the province of  Albay, 3 are in Sorsogon and one in Camarines Sur.  A total of 2,512 coconut farmers were assisted in farm diversification activities covering an estimated 1,498 hectares.

 

   One of the priority crops in the region is pineapple. In CY 2006, a total of 207.89 hectares of new lands were developed to pineapple plantation and generated 93 new jobs.  Soil samples were analyzed with 140 farmers served.

 

   On marketing of pineapple, 45 boxes of  Formosa “Queen” variety were exported to South Korea on three shipments. This was an off-shoot of the participation of DA RFU 5 in the International Expo.

 

   On credit facility, one cooperative was able to access loan from Agricultural Competitiveness Enhancement Fund (ACEF) on the Pineapple Processing, Handloom (Pina Cloth). This project was evaluated and endorsed to DA Central Office. 

 

   Lowland Vegetables Development Program is being pursued.  A total of 544 kilos of assorted vegetable seeds were distributed to nutritionally depressed municipalities.

 

   One hundred soil samples were analyzed with 100 farmers served.  Likewise, 29 vegetable growers associations were organized where 14 are in Albay; 11, in Camarines Sur; 2 in Camarines Norte and 2 in Sorsogon. Trainings were also conducted in collaboration with the Agricultural Training Institute.

 

   On mango industry, a total of 14 Municipal Mango Growers Associations were re-organized. Trainings were conducted on Mango Production and Post Harvest Handling Technology on a cost sharing scheme with the LGUs.       

 

   In 2006, a total of 16,702 hectares were developed as agricultural lands (new areas, replanted and inter-cropped). This endeavor generated 12,315 new jobs in the sector under the program area of the Department of Agriculture 5.

 

Fishery

 

   In 2006, among the fishery sectors, municipal and aquaculture recorded a positive performance of 3.71 percent and 17.83 percent, respectively. On the other hand, commercial fishing, decreased by 17.94 percent compared to the 2005 level.  A total of 327 hectares were developed regionwide generating 4,354 new jobs.  Majority of the developed areas were devoted to tilapia, milkfish and seaweeds. 

Table 2  Fishery Production, By Type, 2005-2006

Fishery

2005
(MT)

2006
(MT)

% increase/Decrease

Commercial

52,799

48,606

(7.94)

Municipal

105,729

109,656

3.71

Aquaculture

54,238

63,910

17.83

 

 

 

                 Source: BAS 5

Livestock and Poultry

 

   In 2006, the Bicol region had a total inventory of 83,893 heads of cattle; 255,766 carabaos; 826,370 swine and 7.9 million chicken and ducks. Except for cattle, all other animals increased their inventory compared to the 2005 levels. Large and small ruminants are being exported to other parts of  Luzon.

Table 3 Livestock and Poultry Inventory, 2005-2006

Particulars

2005
(Heads)

2006
(Heads)

% increase/Decrease

Cattle

94,189

83,893

(10.93)

Carabao

255,102

255,766

0.26

Swine

680,460

826,370

21.44

Poultry*

7,831,004

7,943,737

1.44

                 Source:  BAS 5

                 * No.of Birds

Issues and Problems in the implementation of the agricultural programs and projects  in the region:

  • Low utilization of of hybrid seeds due to farmer's low financial capacity.

  • Farmers were discourage due to poor performance of some hybrid seed brands.

  • No fund release for rehabilitation activities for past calamities.

  • Small scale irrigation systems (SWIPs) need repair.

  • Inadequate marketing assistance for corn.

  • High cost of inputs.

  • Lack of post harvest facilities in corn production areas.

  • Inadequate farm mechanization and processing equipment/facilities.

Programs and Projects

 

   Ginintuang Masaganang Ani for:

  • Palay (Seed Production and Distribution, Fertilizer Assistance, Rice Bug Prevention and   Control, Capability Building, Research and Development.)

  • Corn (Seed Production/Distribution, Crop Protection Services, Fertilizer Assistance, Marketing Support, Credit Facilitation, Education & Trainings, etc.)

  • High Value Commercial Crops (abaca, coconut, pili, cassava, pineapple, etc.)

  • Livestock (Genetic Improvement Program, Reduction of Cost of Wage Goods, Research and Development.)

  • Fishery (Fish Seed Production & Distribution, Establishment of Seaweed Nurseries, Bangus and Tilapia Nurseries Maintenance, Maintenance of Mariculture Parks, etc.)

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