Analysis of Market Options of Rambutan Farmers in San Pablo, Laguna, 2023

Date

6-2024

Degree

Bachelor of Science in Agricultural Economics

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Nora DM. Carambas

Committee Member

Geny F. Lapiña, Maria Angeles O. Catelo

Abstract

Rambutan cultivation held significant economic importance in the agricultural landscape of Laguna, particularly in the municipality of San Pablo. This study examined the market options adopted by rambutan farmers in the municipality, alongside the factors that influenced their decisions and the challenges encountered in the process. A survey- based approach was employed, engaging 108 randomly selected farmers across 16 barangays. The market options and outlets compared were contract market 1 (CM1), contract market 2 (CM2), selling to wholesalers, selling to retailers, and selling to consumers. The findings revealed that farmers with higher educational attainment tended to favor selling to the non-contract market outlets, while those with immediate financial needs preferred contract market options due to prompt payment. Furthermore, the presence of familial labor significantly impacted farmers' choices, with family labor often choosing one of the non-contract market outlets. Multinomial logit regression analysis indicated that the factors affecting farmers' marketing decisions were educational attainment, immediate need for cash, unpaid familial labor, and availability of vehicle and equipment. Contrary to previous studies, age and farm proximity to markets were found to have no influence on marketing preferences. Among all the contract and non-contract options, selling to retailers had the highest net profit, followed by selling to wholesalers, CM2, CM1, and selling to consumers, which had the lowest net profit. This, along with the ROA ratios, demonstrated that selling to retailers was the most profitable option, while selling to consumers was the least profitable. The most cost-efficient option was CM1, followed by CM2, selling to retailers, selling to wholesalers, and selling to consumers. Notable problems encountered included price fluctuations, wastage, buyer scarcity, market access difficulties, and input cost burdens. The 2023 season witnessed a notable surplus in rambutan yield, along with price fluctuations and market saturation issues towards the end of the season. Moreover, accessibility constraints stemming from remote farm locations with limited road access posed operational challenges for farmers. Limited market connections were also significant barriers for some farmers.

Language

English

LC Subject

Fruit trade, Market surveys

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993.5 2024 A14 L38

Notes

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Document Type

Thesis

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