MANILA: The Philippines’ farm output dropped the most in nearly four years last quarter due to bad weather, showing a potential drag to growth in one of Asia’s fastest-expanding economies.
Farm production value fell 3.7% from a year ago in the July-to-September period, the statistics agency said on Wednesday (Nov 6). That’s the biggest quarterly contraction since the fourth quarter of 2020, according to government data compiled by Bloomberg.
The decline could temper third-quarter gross domestic product growth, with official data scheduled for release on Thursday. Agriculture accounts for nearly a tenth of the nation’s output. The economy grew 6.4% in the second quarter, the statistics office said on Wednesday, up from a preliminary estimate of 6.3%.
Rough rice production dropped 12.3%, which the Department of Agriculture attributed to the combined effects of the El Nino dry spell and the storm-boosting La Nina. Livestock output fell 6.7% due to the lingering impact of African Swine Fever on hog production.
The government will change the rice cropping calendar and build infrastructure to mitigate climate change impact, Agriculture Secretary Francisco Tiu Laurel said in a statement. A vaccine against ASF is also being developed, he added. - Bloomberg
