Q3 palay output growth seen below forecast

MANILA, Philippines – Due to the weather disturbances in July and August, the Department of Agriculture (DA) said palay output growth may reach 5% in the third quarter, below forecast.

Agriculture Assistant Secretary and National Rice Program Coordinator Dante Delima said the figure is lower than the 10% projection of the Bureau of Agricultural Statistics. 

Delima said palay production, however, is seen to recover in the fourth quarter because of the third cropping scheme that will be carried out this month.

He said some 75,000 hectares in irrigated areas have been identified for third cropping this month. If this is pursued, farmers will be able to harvest by December.

‘No repeat of 2008 rice crisis‘

Despite the ongoing drought in the United States, National Food Authority (NFA) Administrator Lito Banayo said a repeat of the 2008 rice price crisis would not be possible.

Banayo said to counter the ill effects of the US drought, measures should be put in place so local consumers could cope with the hike in the prices of basic commodities.

He advised local flour millers and feed millers to store ample stock of corn and feedwheat. This will also prevent a rise in the prices of pork and beef in the country.

“Depending on our forthcoming harvests, our rice stock may be affected, which could impact on prices next year. If (the) El Nino is severe, summer harvests next year could be less than production targets. I don’t expect a repeat of the 2008 price crisis though,” said Banayo. – Rappler.com