Analyzing the vegetable supply chain efficiencies and post-harvest losses in Sambat Bagsakan Center of Tanauan City

Date

5-2025

Degree

Bachelor of Science in Agribusiness Management

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Dia Noelle F. Velasco

Co-adviser

Jeanette Angeline B. Madamba, Rolando G. Allam, Jr.

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Abstract

Vegetables, as high-value crops, are vital to food and nutrition security in the Philippines. However, substantial postharvest losses (PHLs) persist, especially in localized and informal markets such as bagsakan centers. This study focused on the vegetable trading activities at the Bagsakan Center in Barangay Sambat, Tanauan City, Batangas. It aimed to map the supply chains of bitter gourd (ampalaya), eggplant (talong), and string beans (sitaw), and identify inefficiencies—particularly the critical points where losses most frequently occur.

It involved 46 stakeholders, including nineteen (19) farmers, five (5) assembler- wholesalers/transporters, thirteen (13) wholesalers, four (4) wholesaler-retailers, and five (5) retailers, operating in four barangays—Bilog-bilog, Cale, Santol, and Malaking Pulo— and the bagsakan center. Eight (8) distinct sub-chains were identified, varying in composition, origin, and efficiency. All used cash-based transactions, with pricing influenced by locality and player behavior. Though operational practices were generally uniform within each actor group, the sub-chains showed considerable differences in number of players involved, volume handled, PHLs, and transport costs.

Among the eight (8) sub-chains identified, sub-chain 6 garnered a low loss rate (1.00%) and cheapest transport cost (₱1.02/kg), owing to its short, streamlined flow. In contrast, sub-chain 1 accumulated the highest losses (26.75%) and longer player involvement. Sub-chain 2 also showed notable losses (3.62%) and the most expensive transport cost (₱6.67/kg). Locally, sub-chain 7 recorded the lowest losses (0.62%), while sub-chain 8 had the highest (9.79%). However, focusing solely on chain length or volume proved insufficient: the most efficient sub-chains were not necessarily the shortest or smallest, but rather those that exhibited tight coordination, timely movement, and minimal handling throughout the process, leading to a considerable low percentage of loss, despite handling larger volumes and involving many players.

Losses were most prevalent during transport and retail stages, particularly in sub- chains 1 and 8, both exceeding the FAO’s 2% benchmark for critical loss thresholds. Economic losses did not always match physical loss rates, as factors like price depending on the stage the loss was incurred and volume influenced outcomes. Sub-chain 2 had the highest economic loss (₱3,617), followed by sub-chains 1 (₱2,990) and 4 (₱2,670).

These sub-chains, affected by inefficiencies, directly impacted business performance. Key issues included poor transportation infrastructure, overloading, excessive stacking, lack of proper containers, and minimal postharvest management. Uncovered stalls and the congested layout of the bagsakan further contributed to losses, especially under adverse weather conditions. Although coordination among same-level players was observed, major gaps in technology adoption and loss prevention strategies remained.

With these findings, several recommendations were proposed. For farmers, adopting better harvesting, sorting, and grading practices and using low-cost tools like plastic crates and grading tables is essential. Trainings from the City Agriculturist Office and digital tools like the FAO Food Loss App (FLAPP) are also encouraged. Transporters should shift to enclosed, ventilated vehicles and follow standard handling procedures. Traders should invest in sanitary sorting areas, basic mechanized tools, and training in quality control and packaging. Local government units (LGUs) are urged to improve infrastructure and collaborate with national agencies for support. To make value chain players more conscious of the consequences of postharvest inefficiencies, the opportunity costs—or the income they would have otherwise earned if losses had been avoided—were presented alongside the recommendations. Lastly, future studies may explore cost-benefit analyses of postharvest technologies, consumer demand dynamics, and digital tools for coordination and pricing, and replicate the study in other areas or crops.

Overall, the findings emphasize the need for integrated interventions—spanning infrastructure, technology, policy, and coordination—to build a more efficient, resilient, and loss-minimized vegetable supply chain in Tanauan City and similar localities.

Language

English

LC Subject

Vegetable trade, Supply chain management, Vegetables--Postharvest losses--Prevention

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993 2025 M17 H47

Notes

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Document Type

Thesis

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