An assessment of the operations of the Tanauan City vegetable Bagsakan Center, income of farmer-sellers and marketing efficiency of its trader-participants, 2011.

Date

10-2012

Degree

Bachelor of Science in Agricultural Economics

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Delos Reyes, Julieta A.

Abstract

The main focus of this study was to assess the operations of the Tanauan City Vegetable Bagsakan Center, income of the farmer-sellers and market efficiency of its trader-participants. Specifically, the study aimed to: 1) describe the marketing operations being done in the bagsakan center; 2) evaluate the adequacy and suitability of the facilities and amenities existing in the bagsakan center; 3) determine the change in income of the farmers selling in the bagsakan; 4) determine the income and marketing efficiency of the bagsakan’s trader-participants; 5) determine the problems encountered by the different stakeholders in operating and utilizing the bagsakan center as a trading facility; 6) assess the level of satisfaction of the farmer- and trader-participants on the services and facilities of the Tanauan City Bagsakan Center; and 7) recommend possible courses of action that can help improve agricultural trading in the bagsakan. Thirty-one (10 farmers and 21 traders) were randomly chosen and personally interviewed. Descriptive analysis was employed to evaluate the facilities and determine the problems encountered in the bagsakan center.Meanwhile, the profitability of the farmers selling directly at the bagsakan center was determined through the use of partial budgeting whereas traders’ efficiency was determined through the analysis of the marketing margin and computation of the returns on operating capital (ROOC). Likert- Summated Rating Scale was also usedto determine the satisfaction of the users of the TanauanBagsakan Center. Results revealed that the facilities of the Tanauan City Vegetable Bagsakan Center have experienced extensive wear-and-tear and it is most evident in the market shed and roads leading to the selling area. It has also exceeded its carrying capacity and this has been mainly due to the increase in the volume of traded commodities (100 tons of vegetables/day) and the number of traders also. This resulted to inadequate road capacity and lack of parking space, which led to tremendous traffic jam, and insufficient/congested selling area. There is also lack of storage spaces for the not so perishable commodities like onions, garlic, and squash. Partial budget analysis showed that on the average, farmers gained an additional income amounting to P2,840 per trading day when they brought their goods directly to the bagsakan. Meanwhile, marketing margin analysis indicated that the market is also efficient in providing profit to the traders with profit as percentage of the marketing margin reaching 62% to 75%. Likewise, examination of the ROOC revealed that vegetable trading in the bagsakan is really profitable for the farmers (113.44% ROOC) and for the traders (25.65% ROOC) as well. The present condition of the bagsakan led its users to experience the following problems: overcrowding during peak trading hours; inefficient vehicle circulation leading to difficulty in market fee collection (market management); insufficient parking spaces; and flooding, all of which result to delay in the conduct of business in the market. However, despite these problems and the poor market facilities, results of the Likert- Summated Rating Scale revealed that majority (81%) of the respondents were satisfied with what the bagsakancenter is offering them in terms of facilities. Similarly, all of the respondents were satisfied with the availability and quality of products in the bagsakan, and also its accessibility. Almost all (97%) of them were also satisfied with the assurance that if they bring their produce to the bagsakanthey will be able to sell them, and most of the time within a shorter period of time as compared with other markets. It was concluded that the Tanauan Vegetable Bagsakan Center, despite its infrastructure problems, provides a sure market and sufficient profit to its farmer- and trader-participants such that these participants are satisfied with their use of the facility. While this is so, for further improvement of vegetable trading in the area and for enhancement of competition among the sellers, the following courses of action were recommended: careful planning of the renovation and expansion of the assembly and distribution facilities and the bagsakan and increase in the allocation of funds for repair and maintenance of the market and its facilities.

Language

English

Call Number

Thesis

Document Type

Thesis

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