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By Conrad M. Cariño, Senior Desk Editor
Barely recovering from a rice crisis, the
country faces a major corn shortage that could cause a domestic
shortfall in meat products and force the closure of firms involved
in the livestock and poultry industry.
In a consultative meeting Thursday on the
commercialization of organic and microbial fertilizers, Dennis
Araullo, the head of GMA (Ginintuang Masaganang Ani) Corn Program,
said the high prices of inorganic fertilizers are forcing many
farmers not to plant corn, or cut their planting of the crop by
half. Corn in the Philippines is largely grown for animal feeds.
If the national production of corn does not meet
the 7.9-million metric ton target for this year, the country may
have to import the grain. This option poses problems, since corn is
in short supply worldwide because it is a major biofuel crop.
“The [corn production] gains in the first
quarter is significant, but worldwide, we could not find corn
supplies. Corn is very expensive, and it is also used as biofuel
[feedstock],” Araullo explained to journalists during a meeting in
Quezon City.
The Department of Agriculture has declared a
no-corn importation policy for this year, even if about 120,000
metric tons of corn were imported in 2008.
Araullo said a corn shortage will badly hit the
domestic livestock and poultry industry, possibly forcing the
closure of many firms in that industry.
If that is not enough, people who eat white corn
in place of rice will also be affected, and might switch back to
eating rice. Based on estimates of local food experts, up to 15
million Filipinos are eating white corn instead of white rice.
Problem with fertilizers
Araullo blamed the high prices of inorganic or
chemical fertilizers for farmers wanting to give up or to cut back
on corn production.
During the consultative meeting, Dr. Norlito
Gicana, the executive director of the Fertilizers and Pesticides
Authority, disclosed that a bag of urea now costs between P1,800 to
P1,900 per bag, and that the increasing prices of crude oil in the
world market are to blame. As of April, one bag of urea costs about
P1,200. Most inorganic fertilizers are made from crude oil.
Because of the high prices of inorganic
fertilizers, the Department of Agriculture through its various
agencies, such as the Bureau of Soils and Water Management, wants
more farmers to start using organic and microbial fertilizers, while
cutting down on the quantity of chemical inputs.
“Organic fertilizers cannot totally replace
inorganic fertilizers, but the good quality of organic fertilizers
should be in order,” Gicana said.
Self-sufficiency target
This year, the corn production target is 7.37
million metric tons, which is about 9 percent higher compared to the
6.74-million metric tons production in 2007.
Araullo said the 7.37-million metric ton target
translates to a corn self-sufficiency level of 94 percent. The
Agriculture department is aiming for 100-percent corn sufficiency in
2009 or 2010. About 2.7 million hectares of lands are planted to
corn.
The first-quarter production of corn hit 1.99
million metric tons. The figures for the second quarter are not yet
available.
Importing more corn would be very expensive for
the Philippines, since its price is P13 to P14 per kilo.
In the US, the price is about P15 and in
Argentina, P15.60, excluding freight cost, which is about $125 per
metric ton.
Because of the possible major corn shortage,
Gicana said the Agriculture department will set talks with the Land
Bank of the Philippines to provide financing for corn farming and
the production of organic fertilizers.
“We’ll try to talk with LandBank on how they
can help in corn and organic fertilizers,” he added.
Another option is to provide subsidy coupons for
fertilizers to corn farmers. Rice growers have been availing of
subsidy coupons for rice.
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