Hybrid Rice Seeds in the Philippines Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

Rice is the primary food for about 80% of Filipinos and is therefore a key item in the consumption basket of consumers. Since the Government of the Philippines has implemented a food security policy based on rice self-sufficiency, this extra rice production will have to come from using less water and less land, labor, and pesticides. Hybrid rice technology is known as a key approach to increasing rice productivity in the country. Since the government introduced the Hybrid Rice Commercialization Program in 2002, project proponents from both the public and private sectors have proposed various hybrid rice seed varieties. Further, in 2022, after a sixteen-year technical collaboration, SL Agritech Corporation (SLAC) and the Bangladesh Agricultural Development Corporation (BADC) made a memorandum of agreement (MOA) for SL-8H F1 seed production, which further reinforces agricultural technological development between the Philippines and Bangladesh.

Moreover, the General Appropriations Act of 2021 allocated P15 billion (USD 315 million) to the Hybrid Rice Program, more than double last year's approximately P7 billion (USD 147 million). About 1.3 million ha are currently planted with hybrid rice, indicating 27 percent of the rice area planted and 36 percent higher than 2020's level. DA's (Department of Agriculture) program will target 15 provinces that have demonstrated high yields with hybrid rice. Top-performing areas get up to 12 MT/HA matched to the national average of 4 to 5 MT/HA. Additionally, in 2020, a rice-breeding program between China and the Philippines, although not as widely publicized as big-ticket infrastructure projects, has become one of the most significant hallmarks of the two countries' cooperation. China is the world's pioneer in hybrid rice technology and allows the country to feed its growing population even though the nation has only 7% of the world's arable land.

Hence, the Philippines Government programmed aims at utilizing hybrid rice technology as a new approach to growing national rice production and the productivity and keenness of Philippine farmers over the short term, and to achieve national rice self-sufficiency and food security over the long term. As a result of this government initiatives, the production of rice has increased. For instance, according to FAO the production of rice in Philippines in 2021 is 19.9 million metric ton which showed an increase from 18.8 million metric ton in 2019. Therefore, the increased government initiatives is catering to the increased production of rice during the forecast period.