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Agriculture in the Philippines has receded in recent decades.

This Policy Note traces the sector's weak


growth to the slow expansion in the factors of production and total factor productivity. The study notes
that the population growth in rural areas, declining farm sizes, and low incomes have pushed workers to
shift out of agriculture. In addition, capital formation in agriculture is constrained by limited access to
financing. Poor rural infrastructure and climate extremes also contribute to low agricultural productivity.
To address these key challenges, this Note recommends that the government reorient its public
expenditure programs and promote research and development to boost long-term productivity. It also
underscores the need to improve the business climate for the agri-food system to raise agricultural
investment and productivity.

1. Lagare, Jordeene B.. 2021. PIDS: agri growth stunted by shrinking farm size, low productivity.
Inquirer.net.

2. Reganit, Jose Cielito. 2023. Agri scholarships, incentives for farmers’ dependents pushed.
Philippine News Agency.

Being the backbone of our country, agriculture with its workers unfortunately dropped from 45.69% in
1993 to 22.86% by 2019.

The government implemented the Comprehensive Agrarian Reform Program (CARP) to help
farmers by distributing land ownership more equitably. Still, it had a lot of loopholes that ended
up becoming one of the causes farmers are poor now. It caused a low retention ceiling of
hectares on farms which resulted in unviable farm sizes. Throughout the years, CARP
beneficiaries have subdivided their inheritance to their kids and grandchildren in minuscule
sizes. The reason why the average farmland size in the Philippines right now is less than 1.5
hectares. Farmland of 1.5 hectares might give decent income if the farmer cultivates high-value
crops like vegetables and flowers. However, suppose the crops of the farmer are traditional crops
such as rice and corn then it is not possible to get a decent income that would support their
families on a day-to-day basis.

Rice tariffication Law is not the issue; instead, the government has failed to prepare and support farmers.
The government prepared farmers by distributing fertilizers and tractors rather than giving them the
capital they needed to create their Agri corporations and venture into large-scale farming. Yes, some
would say that this assistance is enough if farmers have the skills and dedication. But what can faith do if
those tractors broke down? A tractor is very different from commercial cars, which is easily worked. How
can these struggling farmers fix the tractors provided to them if they struggle to grow and reap their crops
because of the weather? Farming is not just skill-based; even if Filipino farmers were unrivaled, what can
they do if they lack materials and equipment? Unlike importing crops from other countries, their
technologies in farming are9 significantly much more advanced.
Farmers are still exploited, neglected, and even waged low after heavily sufficing the country’s needs.
The Philippines was once a self-sufficient country that became excessively dependent on imported
agricultural products due to a lack of government support and insufficient subsidy. First, legal assistance
must be provided actively to the farmers concerning tenure security and land reforms. Second, the
country’s agriculture sector should be furnished with technological advancements to avoid environmental
crises further and promote climate resilience. The passive guidance to a sector should never be the case as
many Filipinos income depends on the agricultural sector. Many farmers and fishers rely on this sector to
have food on their plates daily. With the current set-up of the industry, many of the contributors to the
agricultural sector are experiencing poverty.

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