An Analysis of Crop Production-Based Investment and Development Opportunities in the Municipality of Tanauan, Leyte

Date

12-2019

Degree

Bachelor of Science in Agribusiness Management

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Arlene C. Gutierrez

Committee Member

Jeanette Angeline B. Madamba, Hanna D. Miranda-Quibot, Agnes T. Banzon, Normito R. Zapata, Jr.

Abstract

The special problem report entitled, “An Analysis of Crop Production-based Investment and Development Opportunities in Tanauan,Leyte “ aimed to (1) describe the physical resources, the demographic characteristics, the economic profile, and the agricultural sector profile of Tanauan, Leyte; (2) present the existing agribusiness support programs or projects in the area; (3) recommend crop production-based investment and development opportunities in terms of its production, marketing, processing, and support services; (4) assess the challenges and constraints for those investment opportunities; and (5) recommend feasible agribusiness opportunities for the municipality.

In identifying the investment and development opportunities, the following steps were followed: (1) determination of the municipal agribusiness investment priority; (2) evaluation of the demand and supply situation; (3) matching of the technical requirements; (4) identification of production-based, processing-based, marketing-based and support-based opportunities, (5) determining government programs, infrastructure, marketing, and financial support in the agribusiness sector; (6) investment and cost and return analysis; and (7) determination of feasible agribusiness opportunities.

Given the factors, the municipality wants to achieve food security through farming, planting commodities that are suitable to be planted in their respective lands. Most of the farmers are into crop-production, and the farmers plan to venture into livestock farming such as swine raising and egg production. Their buyers are the ones that goes to their barangays and buy their products which are mainly palay. Other intermediary is the existence of the Sunday market (tabo) of the municipality which allows the farmers to sell their products in the locality.

The physical resources like the land area, land use, soil type and climate of Tanauan is discussed in this study. Also, demographic characteristics such as population and employment and labor force werealso considered in determining the investment and development opportunities of the location. The economic profile, which mainly focuses on the commerce and trade was also used to determine the investment opportunities of the location.

For the past years, the farmers of the location mostly plant palay, and due to recent problems such as climate change that hinders them to plant accordingly to the planting calendar of the commodity, lack of machineries and irrigation system to most of the areas devoted to rice production, existence of laws that puts the local farmers at disadvantage like the rice tariffication law, and the loss of power to bargain to its traders for they sell their commodity as is, it was the signal for the municipality to find a suitable and demand driven commodity to have an efficient and effective way of agricultural production that would lead to the uplifting of the status of the locality.

The farmers of the municipality are readily a member of an association/cooperative since all the help from the government and private institution was given not individually, but through these organization. Common help that the farmers get from this organization are the acquisition of different planting materials (usually vegetable crops), capital, and machineries. In addition, they can have wider market by joining associations/cooperatives. Programs such as the rice competitiveness enhancement fund, plant now, pay later,free inputs for vegetables and rice, crop insurance offered by the PCIC and creation of irrigation systems that would make crop production for the farmers easier.

In the production sector, the opportunity was to produce the suitable crops that were identified such as rice, corn, banana, pineapple, coconut and vegetables. Oversupplied commodities are palay and banana and processing these products into rice through rice mills and banana into banana chips through trainings that would be provided by the LGU or investors was considered as an opportunity. In the input sector, providing the inputs such as fertilizers and loans since there are inconsistencies in terms of these farm inputs. Marketing their products outside the municipality and putting it in the Sunday market was one of the opportunities in terms of marketing aspect.

The study recommends to not only focus on mono-cropping which is the way of planting the farmers are used to, but also venture into multi-cropping that are more profitable than their standard way of planting. Table 26 summarizes the recommended crops in the municipality while Figure 13 shows the possible multi-cropping combinations that can be done by the farmers of Tanauan.

Language

English

LC Subject

Crops, Production management, Investment analysis

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993 2019 M17 G57

Notes

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Document Type

Thesis

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