BEEF CATTLE INDUSTRY


The Philippine beef cattle industry is predominantly of the smallhold or backyard type and traditionally led by the private sector Commercial feedlot fattening operation emerged and proliferated on account of the huge demand for meat and meat products. Three things accounted for this great demand--the ever increasing human population, changing eating habits of the Filipinos and import liberalization. It is however, heavily dependent on the importation of feeder stocks coming mostly from Australia. From 1990 to 1999, feeder cattle importation totalled to 1,290,633 head as against that of breeder cattle importation of only 54,560 head.

On the other hand, commercial ranches engaged in cattle raising are steadily decreasing in number. This is largely due to a combination of factors such as poor peace and order situation in production areas, implementation of the comprehensive agrarian reform law, land use conversion, lack of domestic source of quality stock, changing policies on pasture lease, increasing input costs and poor herd and pasture management among others. This scenario shrank the country’s cow-calf operations both in number and production performance.
Nevertheless current trends in the livestock industry show that the beef cattle sector has the biggest room for growth. The volume of production has been increasing from 232.34 ('000 t) in 1996 to 271.24 ('000 t) in 1999. The total output in 1999 was valued at P5.3 B. (October 2000)


Reports have indicated that the Philippines has a comparative advantage in livestock products. Under the General Agreement on Tariffs and Trade (GATT), the country could be a net supplier of livestock products to emerging markets in East Asia if appropriate investments in the sector are provided. The cattle industry lags behind other livestock industries. The declining trend in cattle population is brought about by unabated slaughtering of stocks (estimated at 450,000 head/year) to meet the increasing demand for beef and beef products. The widespread incidence of diseases e.g. homosep, tick fever, and FMD has contributed to the decrease in inventory. Hence, an increased importation of feeder stocks, breeders, and frozen beef products becomes the "stop-gap" measure of the government.

Source: DOST-PCARRD