An assessment of the contract growing scheme in backyard swine farming in Lipa City, Batangas, 2015

Date

6-2016

Degree

Bachelor of Science in Agricultural Economics

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Jose M. Yorobe, Jr

Abstract

The study was undertaken to assess the contract growing scheme in backyard swine farming in Lipa City, Batangas. Specifically, it 1) described the socio-demographic characteristics of the independent growers and the contract grower as well as their farm profile. 2) Described and compared their cultural management and marketing practices, 3) compared their net incomes. 4) Analyze the credits sources, credit requirements, credit cost and credit utilization of independent growers and 5) identified the problems faced by both types of grower. For this purpose, 30 independent growers and 30 contract growers were purposively selected from the list obtained from the City Veterinary Office of Lipa. They were interviewed with the aid of pre-tested questionnaire. Descriptive (frequency counts, percentage, and means), cost and return inferential (t-test) analyzes were done in analyzing the data. The results revealed that majority of the backyard swine raisers are female, married, high school graduates and have an average of 14 years of experience in backyard and swine raising. Aside from swine raising, some of them are engaged in other agricultural sector activities for additional income. Other sources of their income include salaries as government or private employees and remittances from OFW relatives. Contract growers were operating on a higher scale of production. Feeding the fatteners, bathing them and cleaning the pens are the major activities done in the farm. Higher amount of labor was used for all the major activities done in the farm. Higher amount of labor was used for all the major activities for independent growers compared to contact growers. If diseases occurred, they use different kind of medicine to cure them. The nearest input dealers and market are located Lipa City Public Market. Independent growers received higher selling price than contract growers. Contract growers incurred higher investment cost compared to independent growers. Independent growers had significant higher cost of production in terms of average cost on electricity and mortality. Net income was not significantly different between the independent growers and contract growers. Some independent growers sourced credit from formal and informal sources. Based on the return on investment analysis, contract growing was found to be more profitable than independent growing. Furthermore, continuing on investing the money on backyard swine production will be more profitable than investing on time deposits. It is concluded that contract would not bring higher income to backyard swine raisers. The major problems encountered by the backyards swine raisers were the occurrence of diseases and low market price of swine. The occurrences of diseases were mainly due to the environment and climatic conditions. The low market price of swine on the other had had significant effect on the income of the backyard swine raisers.

Language

English

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993.5 2016 A14 H47

Document Type

Thesis

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