PRODUCTION of palay in Northern Mindanao decreased by almost 16 percent in the second quarter of 2009 compared to the same period last year.

Data from the National Economic and Development Authority (Neda) showed that during the second quarter of 2008, the region produced 131,950 metric tons (MT) of palay valued at P2.250 million but production went down to only 111,225 MT with a value of P1.802 million in the second quarter of 2009.

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The reduction, according to the Neda data, can be attributed to the 31 percent decrease of irrigated areas in Bukidnon, the region’s top producer of palay, which was also due to the movement of harvest from the second quarter to July until September.

In the second quarter of 2008, Bukidnon was able to produce 61,502 MT of palay but this year, it only produced 43,706 MT. However, palay yield per hectare in Bukidnon increased by 2.8 percent in irrigated areas due to usage of fertilizer and less pest infestation.

The reduction in palay production can also be attributed to the cutting off of canal flow and tungro infestation in some areas of Lanao del Norte, which also affected the province’s production performance by 6.2 percent – from 49,677 MT in 2008 to only 46,597 MT in 2009.

Among the provinces in Region 10, only Misamis Occidental and Oriental posted individual increases in palay production.

Misamis Oriental had a slight increase of 0.34 percent from the 6,182 MT production recorded in 2008 to 6,203 MT in 2009 while some production increase was experienced in Misamis Occidental in both irrigated and rainfed areas. This was due to sufficient rainfall and the increase in irrigated areas with the operation of rehabilitated canals in the municipalities of Aloran and Sinacaban.

During the first quarter of 2009, Misamis Oriental posted a decrease in the production of palay due to the occurrence of flashflood in early January, which damaged crops and irrigation facilities, while in Misamis Occidental, most farmers in some areas had a change in their planting schedules which contributed to the decrease in the production of palay for the province.

Meanwhile, the average farm gate price of palay also declined by 4.99 percent during the second quarter of 2009 compared with the same period last year. In 2008, the price of palay was P17.05 per kilogram but in 2009, it went down to only P16.20.

This, together with the decrease in production, resulted in a 20 percent decline in the overall value of palay produced.

With the decrease, total gross rice production – without deductions for seeds, processing and allowance for feeds and wastage – was equivalent to only 58.41 percent or 72,296 MT of the total consumption requirement of 123,767 MT during the second quarter. This is based on the population of 4,580,451 in 2009 and the region’s per capita consumption for rice, which is 108.38 kilogram per year.