1. Effects of agricultural liberalization on farmers

2. Multiple liberalization policies
IFI Sructural adjustment prescriptions
For Philippines first SAP in 1980
WTO AoA
AFTA

3. Philippines response Social safety nets
Modernization – Agriculture and Fisheries Modernization Act
Reduction of cereals production
Promotion of HVC
Agribusiness – farmer-peasant nexus
Problems
Framework on agricultural development
Resources and government capacity

4. Philippines agriculture performance under trade liberalization
Philippine Agricultural Production ( ) 
Volume in million metric tons; growth rates in percent   
Year Volume GrowthRate                             
Average

5. Agricultural Production Per Capita, 1990-2003 ('000 metric tons)

6. Balance of Agricultural Trade (FOB Value in million US dollars)

7. Agricultural Employment (1990-2003)

8. Assumed Implications on agricultural sector
Import surges and dumping
Price competition
Pressure on farmgate prices
Restructuring in agricultural production
Restructuring in control over land

9. ACTUAL EFFECTS – Different levels of development - not just between countries - but also among crop and agricultural sectors

10. Different levels of agricultural development in Philippines
Subsistence and commercial food production by small farmers
Traditional export crops
Modern corporate agribusiness

11. Subsistence and commercial food production by small farmers
Subsistence food production
Cereals and tropical vegetables
Small scale commercial domestic food production
Small scale, relatively low input commercialcrops such as vegetables, poultry and livestock
Negative effects of dumping and import surges of cheap imports
Cumulative effects of cheap imports on farmgate prices without reducing production costs

12. Subsistence and commercial food production by small farmers
Farmer bankruptcies further complicated by resulting increasing tenurial issues and merchant dominance, further reducing profitability for small farmers
Restructuring through crop conversion combined with contract growing, plantation leases and corporative schemes lead to peasant and farm worker economic and even physical displacement

13. Traditional Commercial crop production
Traditional export crop
Predominantly produced in small farms
Relatively low input export crop production such as sugar, coconut oil, hemp
Economic failure due to uncompetitive-ness in international markets and even in domestic market
Bankruptcies for small farmers and inefficient mills, displacement of farm workers

14. Expansion of TNC agribusiness
Modernization program and thrust for efficiency and competitiveness essentially favorable for TNCs without resorting to high government intervention in technology, capital, trading
Increase or re-concentration of land to TNC-comprador/landlord concerns through various schemes