4.1% increase in palay production seen in Q1 2013

Palay (paddy rice) production may increase by 4.1 percent in the first quarter of 2013, with Cagayan Valley, Central Luzon and the Caraga Region contributing significantly to the increase.   According to the forecast by the Bureau of Agricultural Statistics (BAS), palay production is seen at 4.16 million metric tons (MT) from January to March of 2013 compared to the 3.99 million MT in the same period in 2012,    The BAS also predicted that harvest areas may expand from 1.08 million hectares in 2012 to 1.13 million hectares in 2013—an increase of 4.7 percent. Yield per hectare, however, may drop by 0.5%, from 3.70 MT to 3.67 MT, according to BAS.   The Department of Agriculture maintains output for 2012 at 17.98 million MT, or 7.7 percent higher than the 2011 output of 16.68 million MT.     Meanwhile, corn outlook in the first quarter of 2013 may increase by 0.4 percent, from 2.02 million MT in 2012 to 2.03 million MT in 2013.   Similarly, harvest area is foreseen to be larger by 3.9 percent from 651 thousand hectares to 676.5 thousand hectares.   However, yield may drop from 3.10 MT per hectare in 2012 to 3.00 MT per hectare in 2013, according to BAS.    Corn production for 2012 is forecast at 7.42 million MT, 6.4 percent higher than last year’s output of 6.97 million MT. — KBK, GMA News