That the country’s economy maintained a steady gross domestic product (GDP) growth last year and prospects for 2025 remains bullish is welcome news.

I am, however, concerned that industry and services were the primary drivers of growth. What happened to agriculture? Despite advances in information and technology and rapid urbanization, the country still is an agricultural one.

The agriculture, forestry and fishery sector posted a decline of 1.6 percent in 2024 attributed to the ill effects of unfavorable weather, pests and diseases.

According to the Philippine Statistics Authority,  from January to December 2024, volume of crops production was estimated at 80.41 million metric tons, 6.3 percent lower that the previous year’s 85.83 million metric tons.

A news release by the Department of Agriculture stated that agriculture accounts for four in every 10 jobs in the country. 

As I was going over some books I’ve authored for former President Fidel V. Ramos, I came across his statement made 34 years ago that remains relevant to this day.  “Philippine agriculture clearly needs a shot in the arm, for on it depends much of our population for their livelihood,” he said.

As an essential sector in the country’s economy, reforms are needed in agriculture. A robust agricultural sector means more employment, better standard of living for farmers, more food for the population and more raw materials for industries. It will also help arrest inflation and lessen importation of agricultural products aside from contributing to the growth of the economy.

Last month, regional agricultural and fisheries councils presented recommendations to Agriculture Secretary Francisco Tiu Laurel, Jr. to address issues affecting the production of rice, fish and other aquatic resources, poultry and livestock, corn and feed crops, high value crops as well as domestic trade and mechanization.

One of the recommendations is the construction of farm-to-market roads or other modes for faster movement of agricultural products. Logistics, after all, is important to bring produce to consumers.

Another development on the agriculture sector is the forging of a partnership between the Department of Agriculture (DA) and San Miguel Corporation (SMC) subsidiary San Miguel Food, Inc. aiming to improve market access and boost incomes of farmers particularly those cultivating corn with the signing of a Memorandum of Understanding (MOU).

Corn is among the traditional crops being cultivated in most of the country’s agricultural areas along with palay and coconut.

This is the first nationwide public-private partnership in agriculture between the two entities and a Memorandum of Understanding was signed for the purpose. The signing was led by Agriculture Undersecretary Roger Navarro, representing SecretaryTiu Laurel Jr., and San Miguel Foods Group General Manager Emmanuel Macalalag.

As stipulated, SMC will establish and manage buying stations for key crops such as corn, cassava, sorghum, and soybeans.  Thus, farmers will have direct access to an institutional buyer to ensure a stable and fair market for their produce.

Strategies to modernize and streamline agricultural supply chains nationwide are incorporated to promote long-term growth and sustainability which will benefit not only the farmers but also consumers nationwide.

Under the partnership, SMC  will share laboratory procedures for crop acceptance and conduct capacity-building seminars for DA-recognized farmer cooperatives and associations (FCAs). San Miguel food products will also be offered to cooperatives, creating opportunities for additional income.

“This partnership allows us to invest directly in our farmers and the future of Philippine agriculture,” SMC Chairman and CEO Ramon S. Ang said. “ By offering fair prices and consistent support, we help farmers improve their livelihoods and make agriculture a more sustainable and rewarding industry.”

From its end, the DA will introduce advanced technologies to improve crop monitoring and harvest volume projections. It will also provide technical assistance to SMC farmer partners, particularly those in DA-recognized FCAs.

In a statement Agriculture Secretary Tiu Laurel Jr. said “This partnership will not only benefit the farmers, but also the broader society as a whole. By sourcing quality local ingredients for feed production, we can significantly reduce import costs which will in turn lower prices of meat in the market, eggs, and several other meat (products) for consumers — creating a win-win scenario for both producers and households by ensuring that only high-quality raw materials are used.”

“Let us continue to harness this partnership to create a more sustainable and resilient local agriculture industry that will empower our farmers and ensure food security, and drive economic growth in the country,” he added.

SMC’s support to agriculture is evident not only with the signing of the MOU. Already in place is its corn buying program which was launched in 2020 providing corn farmers in some provinces with ready market for their produce. It also has a Cassava Assembler Program providing guaranteed market to cassava cultivators. Aside from supporting the crop sector, SMC has invested in poultry with its mega poultry farm in Davao del Sur.

I am hopeful the synergy of the public and private sectors will impact positively on agriculture.