Philippine corn/livestock sector : performance and policy implications

This report assesses the economics of the corn/livestock sector, and integrates these analyses using an agricultural supply/demand model to derive sectoral level policy implications. Following an introduction, Chapter 2 assesses general trends in supply and demand for corn, feed, and livestock, together with a description of government policies affecting the sector. Chapter 3 assesses the costs of production and marketing, comparative advantage, and the effects of government policies on incentives for corn production, by variety and technology levels. In Chapter 4, a comparable analysis is undertaken to assess the incentives, efficiency, and performance of hog, broiler, and egg production, by region and size of operation. In Chapter 5, the degree of market integration, patterns of price determination, and long run price transmission within Philippine corn markets are examined. Chapter 6 undertakes a comparative study of sources of differences in production and marketing costs in Thailand and the Philippines in order to assess the potential for policies to reduce costs in the Philippines, while Chapter 7 analyzes the response of hog and chicken supply to output and input prices. Chapter 8 undertakes an analysis of disaggregated demand parameters for food in the Philippines. Estimated parameters from these two chapters are utilized in an agricultural supply/demand model in Chapter 9 to analyze alternative prices and trade policies for the corn/livestock sector. Policy implications are discussed in Chapter 10. (Author abstract)