May 1, 2007

 

Philippines aims to be self-sufficient in corn next year

 

 

The Philippines is aiming to attain corn self-sufficiency in 2008 when output is expected to rise 8.4 percent to 7.5 million tonnes from this year's target of 6.9 million million tonnes.

 

With increased use of hyrbid seeds, farmers were expected to post higher yields this year, according to a corn outlook by Department of Agriculture.

 

There would also be expenditure on post-harvest facilities to reduce wastage by at least 5 percent from 25 percent currently. To achieve this, the government would be working with companies to increase investment in this area by adding more drying facilities, warehouses and silos, said GMA Corn director Dennis Araullo.

 

The government has so far released about 581.5 million pesos (US$12.26 million)  for the corn production programme this year. Corn production is projected to reach 6.63 million million tonnes in the first half, up from 6.54 million tonnes year-on-year. Off season or dry season cropping is expected to produce 800,000 tonnes.

 

Corn output this year expected to hit 6.92 million tonnes, up 13.73 percent from 6.08 million tonnes last year.

 

A production shortfall of around 500,000 tonnes has prompted the agriculture department to approve imports of 400,000 tonnes.

 

Despite the importation, there may exist a shortfall of around 1 million tonnes.

 

Importers sought 700,000 tonnes earlier this year but the Corn Board approved only 400,000 tonnes.

 

The first tranche of corn imports has been tendered earlier this month, of which 120,000 tonnes were subscribed by traders. The balance will be tendered next month.

 

The Philippine government would use the standby stock 200,000 tonnes if local stock was insufficent.