FAO says PH cereal production to recover this year
The Food and Agriculture Organization said Philippine cereal production this year will recover from last year’s reduced levels and noted that rice prices have been stable in recent months.
“Despite some delays, monsoon rains improved over most of the country from late May, benefitting planting activities and early crop development. Assuming normal growing conditions prevail, FAO forecasts the aggregate 2016 paddy production at 18.7 million tons, implying a seven-percent recovery from the 2015 weather-reduced level and close to the 2014 record,” it said in its country brief on the Philippines.
The FAO added that the national average prices of regular and well-milled rice remained stable which is reflective of an adequacy in supply. It expects Philippine rice imports to fall by 20 percent to 1.6 million tons.
The FAO expects the country’s corn output at 7.6 million tons, nine percent higher than last year’s reduced output but corn imports are expected to remain at last year’s level of 600,000 tons.
The FAO blamed the decline in the Philippines’ cereal production last year to dry weather conditions.
Philippine wheat imports, meanwhile, are forecast at 4.5 million tons, indicative of a high demand for both high-quality wheat for milling and low quality wheat for animal feeding.