Production and Marketing of Black Rice in Macalelon, Quezon

Date

5-2017

Degree

Bachelor of Science in Agribusiness Management

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Nohreen Ethel P. Manipol

Committee Member

Jewel Joanna S. Cabardo, Nanette A. Aquino, Agnes T. Banzon, Dinah Pura T. Depositario

Abstract

Pigmented rice varieties such as red and black rice are the healthier forms of rice. The different coloration of the grains is due to the anthocyanin present in the bran. Furthermore, anthocyanin is a coloring agent and also has antioxidant properties that fight free radicals in our body which causes cancer and other age-related diseases.

The pigmented varieties are under the traditional varieties of rice which have lower yield capacity compared to modern varieties. The average yield of TRVs are only at 1-2 metric tons per hectare. Additionally, these varieties are mostly planted in upland areas in the Philippines where production is limited to one cropping per year. They are planted during wet season because rain is the only source of irrigation in the uplands. As a result of the low supply of black rice and its healthy benefits, its market price is higher compared to other rice. Most families cannot afford such pricey rice and thus, customers of black rice are limited to middle and high income families. These were the major problems that black rice producers in Macalelon were found to experience. This study generally aimed to analyze the current status of the production and marketing of black rice in Macalelon, Quezon. Specifically, it aimed to: (1) present the overview of black rice production and marketing in Macalelon; (2) describe the production and marketing practices by the key participants in black rice production; (3) determine the issues and prospects in the operations of the key participants involved in the production and marketing of black rice; and (4) formulate recommendations to address the identified problems and prospects.

A total of 40 farmers, three millers, and five retailers were interviewed through survey questionnares. Data on production were acquired from farmers and data for marketing, from farmers, millers, and retailers. Key informant interviews were also conducted with the Municipal Agriculturist, Philippine Rice Research Institute (PhilRice) technicians and the Provincial Agriculturist’s Office to obtain data and insights related to black rice production and marketing. Generally, the overview of the production and marketing of black rice was developed from qualitative data while quantitative data were used for the cost and return analysis.

Results showed that production volume of black rice in Macaelelon was fairly average. The yield from the 2016 wet season was 1.5 kg/ha while the average production of these varieties were between 1 to 2 kg/ha. Their production were only average because of the following reasons: (1) majority (60 %) of the farmers were not trained in proper upland farming techniques and management; (2) there was a lack of machines which resulted to labor-intensive post-harvest operations and thus, reduced efficiency and reduced post- harvest yield; and (3) the incidence of typhoon, partly led to lower production in 2016. In terms of marketing, the main product they sold was in the form of milled rice bagged in sacks with maximum capacity of 50 to 60 kilograms per piece. They were mostly sold within the municipality and were seldom brought to other places to sell. The players involved in marketing the product were the farmers, millers and retailers. The farmers’ selling price of dried palay was Php35-40/kg while the milled black rice was Php 50-55 /kg. Other marketing players priced their milled rice at Php 60-65/kg. Generally, the issues in marketing were: (1) farmers lack training in proper marketing; (2) the location of distribution was not the ideal target market to maximize the market scope; and (3) promotion of the product was also lacking.

The recommendation to help farmers in the production of black rice in the area was to utilize machineries to be more efficient. An increase in adoption of machineries like

threshers and millers would be helpful in their production since they will incur lesser post- production losses, increasing their total yield. The utilization of other management

practices like using organic fertilizers could also be done because most of them did not apply any at all. In marketing the produce, they could cluster their produce and market it collectively. So that they could cater to bigger markets and have a better bargaining power. For the retailers, they should find markets outside of Macalelon like Catanauan which is a first class municipality and Lucena, a second class city. Since, black rice has higher price, the target market should be middle to high income class market. Currently they are distributing the produce in Macalelon- a fourth class municipality. Additionally, millers could acquire the retrofitted milling machines that were specially made for brown, black and other pigmented rice. For the local government, the Municipal and Provincial Agriculture should still continue to provide trainings and should focus more on organic farming. Other agencies like Philippine Center for Postharvest Development and Mechanization (PhilMech) could help with the conduct of postharvest trainings and could aid in making available of better milling machines like the retrofitted compact milling machine.

Language

English

LC Subject

Rice trade, Production control, Marketing

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993 2017 M17 C37

Notes

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Document Type

Thesis

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