Bankrolling various interventions aimed at hiking abaca output to 221,238 metric tons (MT) by 2022 would require a budget of P7 billion, according to a road map prepared by the Philippine Fiber Industry Development Authority (PhilFida).
In the Philippine Abaca Roadmap (PAR) 2017-2022, a copy of which was obtained by the BusinessMirror, the government indicated that it intends to expand abaca plantations to 231,859 hectares from the current 181,859 hectares.
Under the road map, the PhilFida would expand abaca plantations by 17,000 hectares this year; by 10,000 hectares in 2018; 9,000 hectares in 2019; and another 9,000 hectares in 2020. The government is targeting to increase abaca plantations by 5,000 hectares in 2021.
The attached agency of the Department of Agriculture (DA) is targeting to expand plantations in the Davao region by 13,000 hectares and by 8,530 hectares in Northern Mindanao. These additional plantations would be concentrated in lowland areas.
“Planting from upland to lowland to convert unproductive and idle lands has gained support among farmers and the private sector,” the PAR read.
In five years the PhilFida is targeting to rehabilitate 50,000 hectares of abaca plantation: 800 hectares this year; 7,000 hectares in 2018; 10,000 hectares in 2019; 20,000 hectares in 2020; and 5,000 hectares in 2021. The road map indicated that the rehabilitation and expansion of abaca plantations would increase output to 80,000 MT this year; 106,600 MT in 2018; 124,852 MT in 2019; 154,645 MT in 2020; 190,632 MT in 2021; and 221,238 MT in 2022. The annual abaca output of the Philippines is pegged at 72,734.71 MT.
Interventions
Under the road map, the PhilFida would allocate P5.55 billion, or 80.38 percent, of the total budget for fiber production. The PhilFida would also set aside P910.906 million for its fiber-processing and utilization programs, and P400 million for its research and development (R&D) department. The remaining P44.92 million would be used for fiber-trade development.
The PhilFida would also introduce an “intensive planting method”, which seeks to boost yield per hectare by shortening the growth period of harvestable abaca plant to 12 to 16 months from the typical 18 to 24 months.
The increase in output is expected to boost the country’s annual abaca-fiber exports by 10 percent to 15 percent annually starting this year until 2022, according to the road map. Data from the PhilFida showed that last year’s abaca output of 72,734.71 MT was 8 percent higher than the 67,328.94 MT recorded in 2015.
The Bicol region remained as the top abaca-producing region in the country, accounting for 39 percent of the total output. Its production reached 26,685.1 MT last year, 14.1 percent higher than the 2015 record of 17,708.56 MT.
Data from the PhilFida also showed that export revenues from abaca in January to October 2016 reached $113.52 million, 17 percent higher than the $96.95 million recorded in the same period in 2015.
Abaca pulp accounted for the lion’s share of the earnings at 68.4 percent. Exports receipt from abaca pulp grew 18.4 percent to $78.50 million, from $66.30 million earned in 2015.
The Philippines produces 85 percent of the world abaca supply, which is globally known as Manila hemp.