problems of agriculture

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    PROBLEMS OF

    AGRICULTURE

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    INADEQUATE

    SUPPORT

    SERVICES

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    Programs and projectsundertaken primarily bythe government mustreflect the measuresintended to improve both

    the sector and the lives ofthe millions who rely on

    agriculture.

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    a) The provision of infrastructure Irrigation in areas where water supply is

    scarce will be of great help to farmers,especially during periods of drought.

    Farm-to-market roads are needed tofacilitate the exchange of products and easethe farmers burden of transporting their

    harvest to the market. Facilities for processing and storing seeds

    and grains are needed to keep the producefresh and prevent spoilage.

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    b) Access to Credit Especially for small farmers to

    purchase equipment &

    necessary farm inputs.

    Credit agencies that offerminimal interest on loans would

    liberate farmers & fisher folkfrom usurious interest ratescharged by loan sharks.

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    c) Subsidies for farm inputs &

    implements Lowering production

    expenses.

    Provision for financialassistance.

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    d) Support for research Development of modern,

    scientific and safemethods & technology forincreasing production.

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    In terms of funding allocation,government support in

    agriculture & agrarian reformhas been declining.

    This has been mainly due to

    the governments commitmentto the policy of globalization.

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    Table 1

    National Budget Allocation for Agriculture and

    Agrarian Reform 1998 to 2005 (in percent)

    Year 1998 1999 2000 2001 2002 2003 2004 2005

    PercentageShare

    4.66 4.63 4.21 3.09 3.78 3.99 2.93 2.86

    Source: Department of Budget andManagement

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    GATT-WTO An international trade

    body that seeks todismantle protectionistpolicies in different

    countries to facilitateborderless trade.

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    With the removal of

    government subsidies,farmers and fisher folkshoulder the ever-increasing cots ofproduction.

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    FLAWED

    GOVERNMENTPROGRAMS AND

    FOREIGN CONTROL

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    GREEN REVOLUTION Set its sight on increasing

    production by modernizing

    agriculture. Farmers were enticed to use high-

    yielding varieties of rice and crops

    (HYVs and HYCs) which requiredthe purchase and use of importedpesticides and fertilizers.

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    MASAGANA 88 A credit program that gave

    farmers financial assistance.

    Imported seeds andagrochemical products weresold to the farmers whose only

    means of acquiring suchexpensive inputs was throughthe credit program.

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    HIGH VALUE CROPS

    DEVELOPMENT ACT Passed into law in 1995.

    Encouraged farmers to plantHVCs such as cutflowersand fruits instead of staples

    in the hope of earning morefrom export.

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    Agricultural modernization issupposed to result from theprivatization of importantagricultural agencies.

    Food Terminal inc. Bureau of Animal Industry

    Bureau of Plant Industry

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    AFMA Failed to deliver modernization.

    Paved the way for the rapid

    conversion of agricultural landinto industrial areas.

    118,000 (1991) 800,000(1998)

    Legitimized the entry of Gm

    crops in the country.

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    MONSANTO One of the biggest

    internationalagrochemical companies.Has been given

    permission to test Bt-cornin local farms.

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    TENURIAL

    RELATIONS ANDEXPLOITATION

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    The agricultural sector is incritical state because of theunjust relations betweenfarmers and landowners. 7

    out of 10 farmers donthave their own land to till.

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    Distribution of Landowners

    Farm area # of owners % to Total Land Area % to Total

    50.1- 9,466 0.46 1,854,179 20.79

    24.1-50 20,353 0.99 654,828 7.34

    15.1-24 48,376 2.35 912,790 10.24

    12.1-15 33,929 1.64 454,963 5.10

    7.1-12 158,879 7.70 1,451,412 16.28

    3.1-7 414,209 20.08 1,934,289 21.68

    3-below 1,377,508 66.78 1,655,550 18.56Total 2,602,720 100.00 8,918,011 100.00

    Source: 1991 Statistical Yearbook on AgrarianReform

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    Kasama system 50-90% of the harvest goes directly

    to the landlord as payment for land

    rent. Farmers are often forced to borrow

    money & inputs from usurers who areusually the landlords themselves.

    10,000-34,000 (This does not yetinclude the rent he has to pay)

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    LAND REFORM

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    LANDLESNESS The main reason why

    despite the bountifulnatural resources that wehave, majority of Filipinos

    are poor.