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Module No. 4

Philippine Agriculture and Irrigation Development

Irrigation development worldwide entered a heady period of rapid expansion after

World War II. In the Philippines, it started with pump irrigation as a priority government project,
which was initiated in 1949 and expanded in 1952. In 1963, the National Irrigation Administration
(NIA) was created to spearhead irrigation development in the country as a major backbone to
catalyse Philippine agricultural development.

According to Robi, agricultural development tends to takes place first on the best land,
whether at the scale of the individual farm or a whole country. Whenever there is a need to
increase agricultural production, it is usually directed to maximizing production in the areas
which have the best potential. But as demand for food increases, it is necessary to explore the
potentials of supposedly less productive areas (2015). This is the strategic approach adopted in
the case of irrigation development in the Philippines wherein flat lowlands are prioritized by NIA
over other areas in appropriating funds for irrigation projects.

The role of agriculture in ensuring food security and poverty alleviation is fundamental.
According to the United Nations Economic and Social Commission for Asia and the Pacific,
achieving food security means not just ensuring that sufficient food is produced, but also that
everyone has access to it. The Food and Agriculture Organization, on the other hand, stressed
that food security should contribute to better nutrition and reduced hunger through raising
incomes. Therefore, food security is not all about food availability to all at all time at reasonable
cost, but encompasses addressing malnutrition and poverty alleviation as well.

In this module, an overview of Philippine agriculture as influenced by irrigation

development is discussed. This will give you insights as to where we are now as compared to our
ASEAN neighbors in so far as level of agricultural development is concerned. Extra efforts were
made to ensure that the data presented as much as possible are the latest available from the
Philippine Statistics Authority and other reliable sources.

After thorough and diligent study of this module, you should be able to:

a. Synthesize the status of Philippine agriculture in terms of agriculture sector’s contribution in

the economy, land area, land holding, land tenure, and major crops produced;

b. Translate agricultural statistics data in percent to information in absolute quantities;

c. Analyze data trends and make conclusions;

d. Classify and identify the provinces according to their rice production capacity;

e. Compute the amount of palay to be produced annually in order to ensure rice security in
the country;
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f. Summarize the impact of irrigation development in reducing rural poverty and improving
the well-being of the people;

g. Identify the regions and provinces according to their level of irrigation development; and

h. Analyze the relationship of rice production capacity and irrigation development.

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I. Overview of Philippine Agriculture

A. Agriculture sector’s contribution in the economy

Agriculture plays a dominant role in the Philippine economy. A sustained expansion of

the national economy requires sustained growth in the agriculture sector. About 70 percent of
the country’s population is predominantly rural and two-thirds of this population depends on
farming for their livelihood. In terms of employment, about one-half of the labor force is
engaged in agricultural activities (Rodriguez, 2015).

In 1995, the agriculture sector’s contribution to the economy was 23 percent of the gross
domestic product (GDP). After almost two decades, the share of the agriculture sector is down
to only 11.09, 10.47 and 10.02 percent in 2013, 2014 and 2015, respectively (Table 1).

Table 1. Agriculture sector’s share in the gross domestic product

Economic Indicator 2013 2014 2015
GDP at constant prices (MP) 6,305,229 6,750,079 7,164,017
Agriculture sector (MP) 698,978 706,586 717,824
Sector’s share in the GDP (%) 11.09 10.47 10.02
Source: Philippine Statistics Authority (2017)

The country’s agriculture sector is made up of four subsectors: crops, fisheries, livestock,
and poultry (Philippine Statistics Authority, 2017). Table 2 shows the percentage distribution of the
subsectors’ value of production at constant prices. Among the subsectors, crops is the major
growth driver which consistently contributes more than 50 percent in the agriculture sector’s
value of production. The rest of the agricultural outputs are almost equally shared by the
fisheries, livestock and poultry subsectors ranging from 14 to 17 percent contribution each.

Table 2. Distribution of agriculture subsectors’ value of production

Agriculture Subsectors 2015 2016 2017
Crops (%) 54.17 52.17 53.65
Fisheries (%) 15.01 14.78 14.15
Livestock (%) 15.67 17.19 16.85
Poultry (%) 14.98 15.86 15.35
Source: Philippine Statistics Authority (2017)
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B. Land area

The Philippines has a total land area of 29.817 million hectares (ha), 7.190 million ha
(24.11%) of which are arable lands. Of these arable lands, only 41.99 percent or 3.019 million ha
are being considered irrigable by the National Irrigation Administration (NIA). This irrigable area is
based on NIA’s slope criterion of not more than 3 percent.

NIA records show that the total irrigable area of 3,126,340 ha in 2012 dropped to
3,019,609 ha in 2013, a 3.41 percent decrease equivalent to 106,731 ha of potential productive
arable lands supposedly for food production (2015). This decline is due maybe to population
pressure, wherein lowland, arable lands are being unscrupulously converted into residential lots.

The two most important grain crops in the country are rice and corn. The area devoted
to rice production is 4.66 million ha or 64.8 percent of the arable land; while 2.56 million ha or
35.6 percent for corn production (Bersales, 2016).

These indicate that the dominant cropping pattern in the country is rice-based. As first
crop, rice is planted during the rainy months. The time of planting is dependent on the type of
climate prevalent in the area. In rainfed areas, rice is followed by either corn or vegetables as
second crop but with supplemental pump irrigation. Sometimes, the rice paddy remains fallow
until the next rice production season.

C. Landholding

Landholding is any piece of land used wholly or partly for any agricultural production
involved in raising crops, livestock, poultry and other agricultural activities under single
management, and operated as one technical unit by one person alone or with others,
regardless of title, legal form, size or location. Table 3 shows the number of farms and average
area per farm. The number of farms steadily increased from 3,420,323 in 1980 to 4,610,000 in 1991
and further to 4,820,000 in 2002 and 5,562,577 in 2012. The average farm size managed by each
family is 2.84 ha in 1980, which declined to 2.16 ha in 1991 and further to 1.98 ha in 2002 and 1.29
ha in 2012. These trends could be attributed to the partitioning of farms from one generation of
agricultural operators to their succeeding generation (Bersales, 2015).

Table 3. Number of farms and average area from 1980 to 2012

Land Holding 1980 1991 2002 2012
Number of farms 3,420,323 4,610,000 4,820,000 5,562,577
Average area (ha) 2.84 2.16 1.98 1.29
Source: Bersales (2015)

According to Bersales’ report, Philippine agriculture is characterized mainly by small

farms (7 ha and below) which account 98.21 percent. Based on the 2012 census of agriculture
and fisheries, 38.83 percent are less than half hectare; while 18.06 percent are from 0.50 ha to
below 1.00 ha. Land holdings of 1.00 ha to less than 3.00 ha accounts 32.01 percent. About one
out of ten farms (9.48%) are 3 to 7 ha with an average area of 4.08 ha (2015).
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D. Land tenure

Land tenure refers to the right under which a farm holding or parcel of land is held or
operated. About 99 percent of the land holdings were operated by the household or by
individual farmer. About three out of five farm holdings in the country are fully-owned or in
owner-like possession. About 15 percent are tenanted (in kind) and about 3 percent are leased
or rented (in cash). Another 8 percent of the farms are rented free (Bersales, 2015).

E. Major crops

Based on gross value added (GVA) at 2015 prices (Table 4), the top seven major crops in
the country are palay, banana, sugarcane, corn, coconut, pineapple, and mango (Bersales,
2016). Rice is the main staple in the Philippines. On the average, each Filipino consumes about
105 kg of milled rice per year. With the country’s 105 million population and a 65 percent milling
recovery, the annual consumption translates to about 16.96 million metric tons of palay per year.
This amount must be produced otherwise rice importation is inevitable draining our reserve
foreign currency.

Table 4. Value of production of major crops at 2015 prices

Major Crops In Million Pesos Growth Rate
2015 2016 (%)
Palay 76,174.39 67,621.17 (11.23)
Banana 31,498.03 32,253.92 2.40
Sugarcane 21,025.19 24,903.91 18.45
Corn 29,668.42 24,141.67 (18.63)
Coconut 21,766.75 22,521.85 3.47
Pineapple 4,632.89 4,397.50 (5.08)
Mango 4,547.55 4,396.90 (3.31)
Source: Bersales (2016)

Reflected in Figure 1 is the relative volume of rice production in each province. For
example, Nueva Ecija is considered the “rice bowl” which produces more than 750,000 metric
tons (MT) per year. This becomes possible because of the irrigation water coming from the
Casecnan – Pantabangan dam, the largest earthen dam in Asia. The other top rice-producer
provinces are Pangasinan and Isabela, which produce 500,000 to 750,000 MT per year each.
Notably, these three provinces are located in the typhoon belt (see Module No. 3, Figure 4),
wherein 32 percent of the typhoons that enter the Philippine area of responsibility traverse. When
these provinces are hard hit by natural calamities such as super typhoons, most likely we will
have insufficient rice supply and hence rice importation from other Southeast Asian countries
such as Vietnam, Malaysia and Indonesia is inevitable.
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Source: Department of Agriculture (2009)

Figure 1. Rice production map of the Philippines

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II. Status of Philippine Irrigation Development

One of the government initiatives that have enabled the agriculture sector to contribute
more in the socio-economic development and the attainment of food security in the country is
the development of irrigation. In a worldwide scale study conducted by Robi, crop production
under irrigated agriculture is always higher and of better quality than under rainfed. For
example, rice production in irrigation schemes with developed irrigation infrastructures is over 5.0
tons/ha; while under rainfed agriculture the yield is less than 2 tons/ha (2015).

Government investments on irrigation infrastructures is a long-term, income-improving

measure, especially for drought-prone and rainfed areas, as it gives farmers an opportunity to
plant during the dry season and have the chance to double their incomes in a year. For the past
several years prior to 2006, the government allocated, on the average, ₱7 billion for irrigation
annually. Ten years later, the amount appropriated for irrigation network services ballooned to a
little more than ₱10.1 billion in 2016 and a little less than ₱14.8 billion in 2017. These investments
on irrigation infrastructures were no doubt worthwhile because palay production increased by
more than double the yields in previous years and with increased cropping intensity to boot.

The impact of irrigation in reducing rural poverty is shown in Figure 2. According to

Denison & Manona, when irrigation water is available in adequate amounts throughout the
growing period will redound to increased productivity, enhanced cropping pattern, increased
cropping intensity, increased gross and net income; more farm employment; and higher farm
wage rate (2007).

Source: Denison & Manona (2007)

Figure 2. Impact of irrigation to agricultural development

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Realizing the importance of irrigation development to agriculture, the government

institutionalized a concerted effort to develop irrigation infrastructures through the NIA. Its
mandates are to develop, operate and maintain irrigation systems nationwide, and to help
enhance food self-sufficiency in the country.

NIA began by investing mainly in large irrigation systems. But by the beginning of the
1970s, NIA began to place more emphasis on communal irrigation systems that would benefit
remote poverty-afflicted areas. To do this, community organizers were assigned in the field to
work hand-in-hand with the farmers to provide training and team-building support. Their goals
were to increase the ability of farmers to work together, negotiate effectively with the
government, operate and maintain the system, and manage it financially (Dela Cruz, 2006).

As Philippine agriculture develops, the total irrigable area also increases. The total
irrigable area consistently increased from mere 662,000 ha in 1964 to 1,533,000 ha in 1992, a 231
percent increase for a period of 28 years (Table 5). For another 15 years from 1992 to 2007, a 104
percent increase in the total irrigable area of 3,126,340 ha was further recorded. As of 2016, the
total irrigable area slightly increased to 3,128,631 ha. The status of irrigation development by
province is given in Appendix Table 1.

Table 5. 2016 status of Philippine irrigation development by region

Region Total Irrigable Area Total Irrigated Area Irrigation
(ha) (ha) Development (%)
CAR 111,295.65 96,227.54 86.46
I – Ilocos 264,491.00 188,519.32 71.28
II – Cagayan Valley 457,246.76 293,004.21 64.08
III – Central Luzon 483,830.18 314,193.28 64.94
1V-A – Calabarzon 85,929.00 60,903.00 70.88
1V-B – Mimaropa 143,558.95 91,344.52 63.63
V – Bicol 239,440.00 138,723.49 57.94
VI – Western Visayas 191,253.17 121,953.32 63.77
VII – Central Visayas 53,674.35 48,710.00 90.75
VIII – Eastern Visayas 91,982.90 71,924.65 78.19
IX – Zamboanga Peninsula 93,706.00 50,639.54 54.04
X – Northern Mindanao 121,122.69 70,565.66 58.26
XI – Davao 177,546.92 69,803.53 39.32
XII – Soccsksargen 293,226.24 122,196.43 41.67
XIII – Caraga 160,176.75 69,112.70 43.15
ARMM 160,150.45 48,160.99 30.07
Philippines 3,128,631.00 1,855,982.17 59.32
Source: National Irrigation Administration (2017)
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Notably, the status of irrigation development in the country is mere 59.32 percent as of
2016. If NIA has been able to accomplish this much for a period of 50 years of its existence, then it
will probably take another 50 years to cover all irrigable farms in the country. This is a gargantuan
task that needs trillions of pesos and political will of our leaders. Success stories along irrigation
development in other countries are that of China, Egypt, Israel and USA.

According to Dela Cruz, the World Bank (WB) has described the financial operation of
the debt-ridden NIA as a failed case due partly to low levels of irrigation charges and fee
collection (Table 6), wherein less than half the operation and maintenance costs are recovered
(2006). This dilemma of NIA is compounded even more by President Duterte’s fulfilment of his
campaign promise to make irrigation fee free. Nonetheless, in the 2017 General Appropriations
Act, Congress allocated ₱2 billion subsidy for irrigation service fees (ISF) for small farmers to cover
NIA’s foregone revenues.

Table 6. Rates of NIA irrigation service fees

Scheme Wet Season (cav/ha) Dry Season (cav/ha)
Diversion 2.0 3.0
Reservoir/Storage 2.5 3.5
Pumps 5.0 to 10.0 6.0 to 12.0
Source: National Irrigation Administration (2016)
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Passing Score: 75 points

Due Date: ASAP but not later than ____________________________________.
Penalty for Late Submission: 5 points deduction per day of delay

If space is not enough, continue at the left-side directly opposite the item being answered.

1. In not more than 150 words, summarize the status of Philippine agriculture in terms of
agriculture sector’s contribution in the economy, land area, land holding, land tenure, and
major crops produced. (15 pts)
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2. The Philippine population as of 2017 is estimated to have reached 105 million. Based on other
statistics presented above:

a. How many Filipinos are living in the rural areas? (5 pts)

b. How many Filipinos depend on farming for their livelihood? (5 pts)

3. Based on trends of data presented in Tables 1 to 4, will the Philippine agriculture be bleak or
bright in the near future? Justify your answer in not more than 200 words. (10 pts)
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4. Identify and classify the provinces according to their respective rice production capacity. Fill
out the table below. (10 pts)

Rice Production Capacity Province

(MT/year)
> 750,000

500,000 – 750,000

250,000 – 500,000

100,000 – 250,000

< 100,000

5. Show the solution on how to compute the 16.96 million metric tons minimum amount of
palay that we need to produce per year so that there will be enough rice for all Filipinos (see
Section E on page 5). (10 pts)
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6. What are the impacts of irrigation development insofar as reducing rural poverty and
improving the well-being of the people? Expound each in not more than 100 words. (10 pts)

7. What are the top three regions with most developed irrigation facilities and the top five
regions with least developed irrigation infrastructures? Identify the provinces therein. Make
scholarly comments. (10 pts)

A. Top three regions with most developed irrigation infrastructures

Region Province
a.

b.

c.

Comments:
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B. Top five regions with least developed irrigation infrastructures

Region Province
a.

b.

c.

d.

e.

Comments:
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8. From the latest General Appropriations Act, what are the top five on-going major irrigation
projects of the National Irrigation Administration in terms of funding allocation? Specify their
project locations and expected outputs/outcomes. (15 pts)

Name of Irrigation Project Location Expected Outputs / Outcomes

Project
a.

b.

c.
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d.

e.

9. Based on both Figure 1 above and Appendix Table 1 below, is there a relationship between
rice production capacity of a province and its level of irrigation development? Yes or No.
Justify your answer. (10 pts)
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Appendix Table 1. Status of Philippine irrigation development per province (as of 2016)
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Appendix Table 1. (continued)

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Appendix Table 1. (continued)

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Appendix Table 1. (continued)

Source: National Irrigation Administration (2017)

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Bersales, L.S. (2015). Special report – highlights of the 2012 census of agriculture. Quezon City:
Philippine Statistics Authority. Ref. No.: 2015-71.

____________________. (2016). Philippines in figures. Quezon City: Philippine Statistics Authority. ISSN
1655-2539.

Clipart Library. (n.d). Agricultural and biosystems engineering [Logo]. Retrieved from
http://clipa.cash/agricultural-biosystems-engineering-logo.html

Dela Cruz, R.T. (2006, March 27). WB: NIA operations a ‘failed case’? Manila Standard.

Denison, J. & Manona, S. (2007). Principles, approaches and guidelines for the participatory
revitalisation of smallholder irrigation schemes: A rough guide for irrigation development
practitioners. Water Research Commission. Gezina, Republic of South Africa. WRC Report
No. TT 308/07. ISBN 978-1-77005-568-1. Set No 978-1-77005-567-4.

Department of Agriculture. (2009). Philippine agriculture. Quezon City: Agency. Retrieved from
http://da.gov.ph

National Irrigation Administration. (2015). 2015 Annual Report. Quezon City: Agency. Retrieved
from http://www.nia.gov.ph

____________________. (2016). NIA clarifies fee collection. Retrieved from

http://www.nia.gov.ph/?q=content/nia-clarifies-fee-collection

____________________. (2017). Overview. Quezon City: Agency. Retrieved from

http://www.nia.gov.ph/?q=content/overview

Philippine Statistics Authority. (2017). Performance of Philippine agriculture: January to March

2017. ISSN 2012-0451. Retrieved from http://psa.gov.ph

Robi, A. (2015, September 29). Tanzania: Irrigation schemes stimulate agricultural development.
Tanzania Daily News (Dar es Salaam). Retrieved from
http://www.allafrica.com/stories/201509291588.html

Rodriguez, F. (2015). PH agriculture: Why is it important? Retrieved from https://www.rappler.com