Assessing the sustainability of coffee farmers in Amadeo, Cavite

Date

6-2016

Adviser/Committee Chair

Agnes T. Banzon

Abstract

This study was conducted to assess the sustainability of coffee farmers in Amadeo, Cavite, in the light of the ASEAN Integration. More specifically, the objectives of this study were the following: 1) present the profile of the coffee farmers and their farms 2) assess the sustainability of the coffee farms 3) determine the farmers? and industry representatives? perceived level of preparedness of their farms and the industry, respectively for the ASEAN Integration 4) evaluate the actual level of preparedness of the farms and the coffee industry for the ASEAN Integration 5) identify the best practices that will possibly lead to the sustainability of coffee farming 6) identify the challenges, problems and factors that are critical in attaining sustainability and will require additional help and support from the government and 7) formulate recommendations and suggestions that will help in improving their productivity and increasing the chances of survival in the light of the ASEAN Integration. This study focused on the influx of cheaper imported goods implied by the AEC 2015. The respondents consisted of 92 coffee farmers, 4 representatives of institutions relevant to the industry and 1 farmer-trader-processor. The sampling method employed was stratified random sampling, based on farm classification. All in all, 15 farmers of small-scale farms, 76 medium-scale and 1 large-scale farm were interviewed, using a semi-structured questionnaire as a guide. Secondary data were obtained from the internet and, previous studies including theses and journals articles. To interpret the data, descriptive analysis was used. Aside from this, the mode answers obtained from the 5-point Likert scale was also used in relation to the questions determining the awareness, preparedness and sustainability of the farmers. In addition, value chain analysis was also conducted for the Robusta variety produced in Amadeo. Majority of the interviewed farmers were male and high school graduates, ranging from 38-84 years old. Most of them (89%) owned the land that they used for farming, which was obtained from inheritance. Farmers with less than 1-hectare farm size have a common gross income of Php5,000 and Php20,000, while in the case of the 76 medium-scale farmers, their common gross income was Php10,000 for 2016. The level of sustainability of the farmers was determined based on three aspects: economic, social and environment. The sustainability level for the social aspect was assessed to be moderate due to the good living and community conditions of the farmers. In addition, the sustainability level for the economic aspect was low due to limited market access, low market information, low farm productivity and profitability, and low number of sources of financing. The quality of their produce was high however, quality was not taken into consideration since their beans were used in making the ?fake? coffee. On the other hand, the level of sustainability for the environmental aspect was low mainly due to improper quantity and type of fertilizer used. Most of the farmers were found to have a low level of awareness regarding the ASEAN Integration, with only 20 farmers claiming that they were aware of the said integration. According to them, the ASEAN Integration will make the importation of goods from other countries easier thus, cheaper imported goods like coffee will enter the country and this will result to the further lowering of prices. In terms of production, all of the respondents admitted their low level of preparedness due to the decreasing production volume resulting from climate change, the old age of coffee trees and land conversion. The researcher validated this claim through ocular inspection or observations. In terms of the preparedness based on the accessibility to capital, all of them stated that it was very low due to the farmers? reluctance to borrow money even though different sources of financing were available. In addition, financial stability was not attained, which implies that other sources of income aside from farming was needed to sustain the family needs of the farmers. In relation to the marketing aspect, all of the farmers agreed on a low level of preparedness of the farmers. As price takers, farmers depend on the world market price relayed by Nestle through the traders. On the other hand, the main problem experienced in marketing was the lack of value addition. Due to very limited access to processing machineries, farmers were not able to add more value to primary processed beans thus, unable to cater to other markets. Since the price is very unstable and there is the presence of ASEAN countries which are top producers of Robusta, the influx of cheaper goods will definitely affect the price and main market of the farmers. AEC 2015 may induce the decline in prices due to the cheap prices in Vietnam and Indonesia and the shifting of markets to the said countries. Finally, for the human resource, the level of preparedness was also low due to the lack of proper training especially in proper harvesting. Aside from this, the lack of young people who were interested to engage in agriculture has also affected the coffee industry. Thus, to ensure the sustainability of the coffee farmers in Amadeo, looking for new markets like roasters and coffee shops may help. To serve these markets directly by producing specialty coffee, proper processing and production practices should be done. To address the most important problem of low level of sustainability of the farmers, it was recommended that processing machines be acquired, more attractive credit program can be offered to increase their production capacity along with their proper application of fertilizer, conduction of more trainings and hands-on experience and climate change-varieties be continuously developed.

Language

English

Location

UPLB Main Library Special Collections Section (USCS)

Call Number

Thesis

Document Type

Thesis

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