Towards a

Modern &
Industrialized
Dr. WILLIAM D. DAR
President, InangLupa Movement

The Framework for a

New Philippine Agriculture

Vision
A Modern and Industrialized
Philippine Agriculture

4 Pillars

4 Sustainable
Development
Goals*

4 Major
Objectives

- Inclusive

- Food Sufficiency

- Productivity

- Science-based

- Economic Security

- Profitability

- Resilient

- Nutritional
Sufficiency

- Competitiveness

- Market-oriented

- Environmental
Security

- Sustainability

Enabling Strategies
Plans and Programs*
Legislative Agenda
* Summation of all efforts to achieve food security

Inclusive

Pillars

The social process of growth must include all stakeholders

especially the poor farmers in defining problems and
searching for solutions. Higher levels of investments will
be needed for research and training.

Science-based
There is room for traditional knowledge but even this must be
validated by science. Technologies and systems must evolve and
must prove their economies of scale especially for smallholder
farmers.

Resilient
To achieve resilience, farmers must invest in agricultural
research-for-development (AR4D) to gain access to improved
agricultural practices and inputs for a more profitable
agriculture.

Market-oriented
Farming must run like a business; not simply as a hand-to-mouth
existence. Inclusive value chain approach is key where fresh and
processed products aim both domestic and export markets.

Sustainable Development Goals

Food Sufficiency

Economic Security

For the country to be

sufficient in rice along
with the diversification
into high-value
commodities

For the farmers and fisher

folks to consider
agriculture as
remunerative ventures
thru enterprise
development including
value addition

Nutritional
Sufficiency

Environmental
Security

For the crops and other

commodities to meet
the nutritional demands
of the people following
the balanced diet
framework

For the conservation

and sustainable
management of
natural resources
including coping with
climate change

Major Objectives

Productive

Profitable

Competitive

Sustainable

High productivity can

be achieved by utilizing
high yielding varieties,
adapting innovative &
efficient technologies,
& employing effective
ways of processing
agricultural & fisheries
outputs.

High profitability can

be achieved by
reducing losses during
harvesting, processing,
and transporting; it is
also achieved by
obtaining higher prices
for quality farm
produce.

Competitiveness of
products including
value-added products
in the global market
can be realized through
quality produce
satisfying international
export standards.

Sustainability is
ensuring continuous
benefits with minimal
long-term effects on
environmental
resources on flora &
fauna and water.

How can we

Modernize
&Industrialize
Agriculture

our

Agribusiness

pushes economic transformation

Linking agriculture to manufacturing is key and must be
properly tied up with both domestic and export market.
This can be done through corporative model strategy.

Corporative
Model

Contract Growing
Products

chicken broiler
and layer

banana,
pineapple, &
papaya

coffee

Company

Benefit System
Provides:
building plans (design and specifications)
feeds and nutrition (medicines and vaccines)
technical support & info/recording materials
delivery and hauling services
competitive payment scheme
Provides:
technical assistance
free planting materials
Full participation of growers from production to
harvest

Supplies superior coffee clones at cost

Provides extension support
Buys back the coffee beans at prevailing world
market price

Contract Growing
Products

Company

Benefit System

cacao

tobacco

hybrid rice

Provides:
financial support in the form of cash advances
input and extension support

hybrid corn

Assists credit for small growers with Land Bank of

the Philippines
Supplies high yielding planting materials
Provides extension support
Guarantees secure market for the cacao beans

Provides extension support

Advances fertilizers and pesticides to farmers
short of cash and also SL Agritech hybrid seeds
Buys back the palay at P2.00 - 3.00/kg higher than
prevailing market prices
Reduces operational costs
Provides extension support
Guarantees a pre-determined price for produce

catalyst to drive
Agribusiness: economic transformation
Transforms & upgrades agriculture from
traditional farming to a globally competitive
agribusiness sector
Phase II
2018-2021
Phase I
2014-2017
Focuses on rubber,
coconut, mangoes,
coffee, cacao, banana,
palm oil; other high
value crops
Attends to supply
chain gaps

Strengthens agroprocessing & its linkages to

production ---R&D;
strengthens supply chains,
upgrades commodity
clusters; provides access to
technologies, finance;
regulatory & certification
system

Phase III
2022-2025
Deepens
participation in
Global Value Chain
(GVC)
Presents the
Philippines as an
agribusiness regional
hub

(Source: RM Aldaba, DTI)

&Farm Mechanization

Irrigation

Total irrigated areas and level of farm mechanization can

substantially increase crop production and attain costefficient operations, resulting in better incomes for farmers.
Share of the Service Area in the total Irrigable Area

Comparison of Rice Statistics in

Philippines, Thailand and Vietnam (2012)

Philippines

Rice
Harvested
Area*

Irrigated
Rice Area

Rice
Production
(Paddy)

Population

Rice yield

Million ha

Percent

Million tons

Million

Average
ton/ha

4.7

35%

18.0

100

3.8

> 60%

30.6

88.8

2.8

97%

44.2

64.5

5.7

Thailand

10.8

Vietnam

7.7

*Including double- or triple-cropped irrigated areas (IRRI)

Mechanization

cuts production cost

Mechanization reduces labor cost in rice, corn and sugar

production
Note: Labor cost is one of the highest costs of palay production
Undoubtedly, the Philippines lags behind in farm mechanization
versus its Asian counterparts.

Japan
7 hp/ha

S.Korea
4.11 hp/ha

Vietnam
1.56 hp/ha

China
4.10 hp/ha

Philippines
1.02 hp/ha
(PhilMech, 2012)

More livelihood,

employment opportunities reduce poverty

A modern and industrialized countryside will provide more
livelihood and employment opportunities to millions of
Filipinos in the rural areas.

Population, Labor Force

and Employment and
Wage Rates Indices

Increase Budget

for Agriculture

In 2014, the countrys GDP amounted to P7.16 trillion,

and the GVA in agriculture totaled P712.5

billion.

Macroeconomic
Growth Indicators

(value at constant 2000 prices)

Top Philippine agricultural exports

Coconut (oil) 26%

Fresh banana 8.7%

Tuna 5.8%

Seaweeds & carrageenan 3.9% Tobacco manufactured 3.7%

Fertilizer manufactured 3.3%

Milk & cream products 3.2%

Pineapple & products 6.3%

Fresh mango 0.3%

Other Philippine agricultural commodities

that have export potential

Cacao

Coffee

Rubber

Palm oil

Peanuts & mixed nuts

Prawns

Papaya

Healthy drinks

Raw sugar

Total expenditures

in

2014

P112 B

Agriculture
2015

P85 B

Share of Agriculture in the National Government Expenditures

overnment should nurture

the hand that feeds the
nation, so farmers and fishers can
continue doing so, lest we all starve

Towards an inclusive, science-based, resilient and

market-oriented Philippine agriculture

Thank you!
Email me at:

w.dar38@yahoo.com
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