Professional Documents
Culture Documents
September 2002
FOREWORD
The third of the serialized report for the Studies on Marketing Costs Structure for Selected High Value Commercial Crops features the results of the research for mango which was conducted in the second semester of 2001 under the GMA-HVCC Program. The results of the studies may help the marketing participants in their production and marketing decisions and the policy makers in the formulation of the types of assistance and interventions to improve marketing efficiencies for crops of commercial value. Other series will feature the results of marketing costs studies for other crops such as calamansi, papaya, potato, rose and orchids.
ii
TABLE OF CONTENTS
FOREWORD ii I. Study Procedures Team Composition Research Sites Selection of Sample Respondents Data Processing Report Preparation II. Limitations 1 1 1 2 2 2 3
III. Discussion of Results 3 Geographic Coverage 3 Distribution of Respondents 3 Types of Marketing Participants 3 Profile of Respondents. 4 Marketing Practices and Functions. 7 Procurement 7 Distribution 8 Geographic Flow.. 8 Marketing Channels.. 15 Marketing Costs 21 Labor .21 Transportation 21 Material Inputs 22 Miscellaneous and Other Operating Costs 22 Depreciation 22 Aggregated Marketing Costs . 23 Total Marketing Costs .. 23 Marketing Costs by Point of Destination 23 Marketing Margins 31 Marketing Costs of Processors 33 VI. Problems/Constraints Encountered40 Statistical Tables 41 Annex 111
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STATISTICAL TABLES
1 MANGO : Distribution of respondents, by type, by province/municipality, 2001 Distribution of respondents, by type of marketing participants, by province, 2001 Number and percentage distribution of farmer-respondents, by size of farm, by province, 2001 Number and percentage distribution of farmer-respondents, by tenurial status, by province, 2001 Distribution of trader-respondents by type of business, by province, 2001 Distribution of trader-respondents, by type of marketing participants, by type of business, by province, 2001 Distribution of trader-respondents, by nature of capitalization, by province, 2001 Distribution of trader-respondents, by type of marketing participants, by nature of capitalization, by province, Distribution of trader-respondents, by length of experience, by province, 2001 Major sources and destinations, by location, by province, 2001 Trading Pattern, by activity in selected provinces, 2001
42
2 MANGO :
43
3 MANGO :
44
4 MANGO :
45
5 MANGO :
46
5a MANGO :
47
6 MANGO :
49
6a MANGO :
50
7 MANGO :
52
8 MANGO :
53
9 MANGO :
55
iv
10 MANGO :
Distribution of respondent by manner of procurement, by province, 2001 Distribution of respondents, by type of marketing participants, by manner of procurement, by province, 2001 Distribution of respondents, by mode of payment in buying stocks, by province, 2001 Distribution of trader-respondents, by marketing participants, by mode of payment in buying stocks, by province, 2001 Distribution of respondents, by manner of distribution, by province, 2001 Distribution of respondents by type of marketing participants, by manner of distribution, by province, 2001 Distribution of respondents, by manner of payment in distribution, by province, 2001 Distribution of respondents, by type of marketing participants, by manner in payment for distribution, by province, 2001 Labor costs incurred by activity/practice, by province, 2001 Labor costs incurred by marketing participants, by activity/practice, Metro Manila, 2001 Labor costs incurred by marketing participants, by activity/practice, Pangasinan, 2001
56
10a MANGO :
57
11 MANGO :
59
11a MANGO :
60
12 MANGO :
62
12a MANGO :
63
13 MANGO :
65
13a MANGO :
66
14 MANGO :
68
14a MANGO :
70
14b MANGO :
71
14c MANGO :
Labor costs incurred by marketing participants, by activity/practice, Iloilo, 2001 Labor costs incurred by marketing participants, by activity/practice, Guimaras, 2001 Labor costs incurred by marketing participants, by activity/practice, Cebu, 2001 Labor costs incurred by marketing participants, by activity/practice, Davao City, 2001 Labor costs incurred by marketing participants, by activity/practice, Davao del Sur, 2001 Labor costs incurred by marketing participants, by activity/practice, General Santos City, 2001 Transportation costs incurred by activity/practice, by province, 2001 Transportation costs incurred by marketing participants, by activity/practice, Metro Manila, 2001 Transportation costs incurred by marketing participants, by activity/practice, Pangasinan, 2001 Transportation costs incurred by marketing participants, by activity/practice, Iloilo, 2001 Transportation costs incurred by marketing participants, by activity/practice, Guimaras, 2001
72
14d MANGO :
73
14e MANGO :
74
14f MANGO :
75
14g MANGO :
76
14h MANGO :
77
15 MANGO :
78
15a MANGO :
79
15b MANGO :
79
15c MANGO :
80
15d MANGO :
80
vi
15e MANGO :
Transportation costs incurred by marketing participants, by activity/practice, Cebu, 2001 Transportation costs incurred by marketing participants, by activity/practice, Davao City, 2001 Transportation costs incurred by marketing participants, by activity/practice, Davao del Sur, 2001 Transportation costs incurred by marketing participants, by activity/practice, General Santos City, 2001
81
15f MANGO :
81
15g MANGO :
82
15h MANGO :
82
16 MANGO :
Cost of material inputs, by activity/practice/cost item, by province, 2001 Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Metro Manila, 2001 Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Pangasinan, 2001 Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Iloilo, 2001 Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Guimaras, 2001
83
16a MANGO :
84
16b MANGO :
84
16c MANGO :
86
16d MANGO :
87
vii
16e MANGO :
Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Cebu, 2001 Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Davao City, 2001 Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Davao del Sur, 2001 Cost of material inputs incurred by marketing participants, by activity/practice/cost item, General Santos City, 2001 Other operating costs by cost item, by province, 2001 Other operating costs incurred by marketing participants, by cost item, Metro Manila, 2001 Other operating costs incurred by marketing participants, by cost item, Pangasinan, 2001 Other operating costs incurred by marketing participants, by cost item, Iloilo, 2001 Other operating costs incurred by marketing participants, by cost item, Guimaras, 2001 Other operating costs incurred by marketing participants, by cost item, Cebu, 2001
88
16f MANGO :
89
16g MANGO :
90
16h MANGO :
91
17 MANGO :
92
17a MANGO :
93
17b MANGO :
93
17c MANGO :
94
17d MANGO :
94
17e MANGO :
95
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17f MANGO :
Other operating costs incurred by marketing participants, by cost item, Davao City, 2001 Other operating costs incurred by marketing participants, by cost item, Davao del Sur, 2001 Other operating costs incurred by marketing participants, by cost item, General Santos City, 2001 Imputed cost of depreciation by material/facilities/equipment used, by province, 2001 Imputed costs of depreciation incurred by marketing participants, by material/facilities/equipment used, Metro Manila, 2001 Imputed costs of depreciation incurred by marketing participants, by material/facilities/equipment used, Pangasinan, 2001 Imputed costs of depreciation incurred by marketing participants, by material/facilities/equipment used, Iloilo, 2001 Imputed costs of depreciation incurred by marketing participants, by material/facilities/equipment used, Guimaras, 2001 Imputed costs of depreciation incurred by marketing participants, by material/facilities/equipment used, Cebu, 2001
96
17g MANGO :
97
17h MANGO :
97
18 MANGO :
98
18a MANGO :
99
18b MANGO :
99
18c MANGO :
100
18d MANGO :
100
18e MANGO :
101
ix
18f MANGO :
Imputed costs of depreciation incurred by marketing participants, by material/facilities/equipment used, Davao City, 2001 Imputed costs of depreciation incurred by marketing participants, by material/facilities/equipment used, Davao del Sur, 2001 Imputed costs of depreciation incurred by marketing participants, by material/facilities/equipment used, General Santos City, 2001 Total marketing costs, by cost item, by province, 2001 Total marketing costs, (cash and noncash), by major item, by province, 2001 Total marketing costs (cash and noncash) by province, 2001 Marketing costs incurred by mango processors, selected provinces, 2001 Distribution of respondents, by problems encountered, by province,
101
18g MANGO :
102
18h MANGO :
102
19 MANGO :
103
20 MANGO :
106
21 MANGO :
107
22 MANGO :
108
23 MANGO :
110
LIST OF FIGURES
1 MANGO: Trading Pattern, by province, 2001 5 2 Geographic Flow of Mango in Pangasinan, 2001 10 3 Geographic Flow of Mango in Guimaras, 2001 11 4 Geographic Flow of Mango in Iloilo, 2001 12 5 Geographic Flow of Mango in Davao City, 2001 13 6 Geographic Flow of Mango in Davao del Sur, 2001 14 7 Marketing Channels for Mango in Pangasinan, 200116 8 Marketing Channels for Mango in Guimaras, 200117 9 Marketing Channels for Mango in Iloilo, 2001 18 10 Marketing Channels for Mango in Davao City, 2001 19 11 Marketing Channels for Mango in Davao del Sur, 200120 12 Total Marketing Costs for Mango, by Point of Destination, Pangasinan, 2001 26 13 Total Marketing Costs for Mango, by Point of Destination, Iloilo, 2001 27 14 Total Marketing Costs for Mango, by Point of Destination, Guimaras, 2001.. 28 15 Total Marketing Costs for Mango, by Point of Destination, Davao City, 2001 29 16 Total Marketing Costs for Mango, by Point of Destination, Davao del Sur, 2001. 30 17 Marketing Costs for Mango, by level of Marketing Participants, Pangasinan, 2001 18 Marketing Costs for Mango, by level of Marketing Participants, Guimaras, 2001 19 Marketing Costs for Mango, by level of Marketing Participants, Iloilo, 2001. 20 Marketing Costs for Mango, by level of Marketing Participants, Davao City, 2001. 21 Marketing Costs for Mango, by level of Marketing Participants, Davao del Sur, 2001 35 36 37 38 39
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retail markets within the province and/or trading centers in the partner provinces. The demand areas in Pangasinan include several municipalities within the province. Mangoes from Guimaras went to Iloilo and Cebu; Iloilo mangoes were consumed mostly within Region 6 provinces. Mango produced in Davao provinces were traded in Davao, General Santos and Cebu Cities. Metro Manila was covered primarily as a major demand area for these provinces. Selection of Sample Respondents At each level of the marketing system, key informants, traders and farmers were interviewed. At the farm level, the chairman/other officers of the barangays, members of farmer associations and cooperatives served as key informants in locating farmer respondents and other information on mango marketing practices. The results of the listing made under Ginintuang Masaganang Ani High Value Commercial Crops Project served as reference in identifying the barangays and the names of the farmer-respondents. The total number of respondents in the supply province were 40 farmers and three (3) traders per type/classification. Data Processing The research team performed on-field validation of the data gathered at the farm level against the information given by respondents at the trading center level to 1) integrate the findings, 2) ensure the accuracy of primary data on costs; and 3) facilitate the compilation of survey returns. At the central office, the survey returns were compiled manually. summary tables were generated out of the compiled returns. Report Preparation The research team prepared the technical report that described the components of the marketing costs structure of mango produced in Pangasinan, Guimaras, Iloilo, Davao City and Davao del Sur. The report also contained the marketing costs borne by traders in the demand provinces consisting of Cebu, General Santos City and Metro Manila. The
Trader-respondents were grouped into assembler-distributor, exporter and retailer. (See Annex for the definition of each type of traders). Thirty six (36) of the trader-respondents were large distributors; 22 were medium and 8 were small distributors; 45 were retailers and 2 were exporters. Profile of Respondents The characteristics of the respondents are presented in frequency distribution tables. Farmers were classified by size of farm and land ownership. Traders were grouped according to type of business ownership and length of experience in the business. Sample Farmers Size of Farm. The study purposively chose farmers who had land areas ranging from small to above-average in size. The distribution of farmerrespondents by farm size is found in Table 3. Mango is produced in relatively small land areas. Majority (148 out of 200) of the respondents have farm areas of less than one hectare. Forty (40) respondents or twenty percent (20%) have land holdings of one to 4.99 hectares. A mere 6% (12 respondents) reported land area of more than 5 hectares. Land Ownership. In terms of land ownership, most (161) of the farmerrespondents owned the land they operate. Two of them were awardees of Certificate of Land Transfer (CLT), 18 were tenants, 5 were lessees, 6 were part owners and 8 used public land. In Pangasinan, 32 out of 40 respondents were landowners, 8 were tenants and one used public land. Of the farmer-respondents in Iloilo, 31 were landowners, 5 were tenants and 4 were public land users. In Guimaras, out of 40 respondents, 30 were land owners, 1 CLT holder and 9 rented/leased land.
All farmer-respondents in Davao City were owners of the land they cultivated for mango. Among the respondents from Davao del Sur one was a CLT awardee while 10 were renting/using public lands. Trading Pattern. Table 9 shows the number of farmer-respondents who traded mango for each month of 2001. This is further described in a chart (Figure 1) showing the following: In Pangasinan, mangoes were in the market from January to May only; peak trading happened in March. Most of the respondents from Iloilo traded mango from March to May; no trading occurred in August and September. Mangoes were available in Guimaras in the first semester of the year; none were available in July, August and November. In Davao provinces, the fruit was visible in the market throughout the year. Peak trading months were June, July and August both for Davao City and Davao del Sur.
Pangasinan
Iloilo
Guimaras
Davao City
Davao Sur
Sample Traders Business Ownership. Majority of the trader-respondents (89%) operated/ran their own business under single proprietorship. In Metro Manila, fourteen out of 15 respondents were single proprietors. One retailer went into business with partner. Eighteen (18) respondents from Pangasinan including one exporter managed business on their own. The other exporter was a member of a corporation. Two assembler-distributors from Iloilo were engaged in mango trading with business partners. One large distributor from Cebu ran his business through the auspices of a cooperative; another with partnership. Retailers from Davao City and Davao del Sur were single proprietors. Nature of Capitalization. The amount and source of his working capital give the traders flexibility in underwriting certain cost items. Ninety-four out of 113 or about 83% of the respondents could afford to finance their own business. Except in Metro Manila, there were 17 respondents from covered areas who are into business with capital under financing scheme. Two of the respondents were under contract agreements; one large distributor from Pangasinan and one retailer from Cebu. Length of Experience. The study considered the length of experience as an important gauge of the accuracy of the respondents estimation of costs. Traders with longer experience should come up with more accurate estimate of their costs. Twenty-one percent (21%) of the total trader-respondents were relatively new in the business with less than 5 years experience. Forty-two or 37% were already 5 to 10 years in mango trading.
Seventeen traders (15%) had been in the business from 11 to 15 years. Another fifteen percent (15%) were in this venture for more than 20 years. Marketing Practices and Functions Farmers and traders perform marketing practices and functions that add value to the product. Correspondingly, they incur certain amount of costs for value-adding, transfer of ownership and for moving the products from one point to another. The major practices and functions and the corresponding marketing costs are described in the succeeding topics. Procurement In the supply province, traders procured mangoes from the producing barangays. In the demand areas, traders sourced mango within the same province and from the established supply provinces. Manner of Procurement. In supply procurement, traders preferred modes which required less effort and cost. Of the total trader-respondents, 61 or 54% picked-up mango from the source. Fifty-one or 45% had their mangoes delivered by their suppliers. One large distributor from Pangasinan practiced both manners in procuring mangoes. Mode of Payment. Different modes of payment were practiced in buying mango: cash, consignment, delayed payment or every 15th of the month. In some instances, payment was made both in cash and consignment. Majority of the trader-respondents (83 out of 113) paid their mango suppliers in cash. Twenty seven or 24% of them paid in consignment basis. Two assembler-distributors paid their suppliers every 15th of the month.
Distribution Most of the respondents sold mangoes within and outside the province. The mode of delivery and terms of payment depended on the agreement between the buyer and seller. Mode of Delivery. The mode of delivery for distribution or selling depended on the type of buyer and the location. Most of the buyers picked-up mango from the business location of the respondents. Some traders however, delivered their products to the buyers. One large distributor from Iloilo practiced both manners in the delivery of his products. Mode of Payment. The mode of payment in selling mangoes was either cash, consignment or every 15th of the month. Eighty-five percent (85%) of the respondents received payment for their fruits in cash from their buyers. A few of them were being paid in consignment basis; the rest received payment after one week, every 15th of the month or 3-5 days after delivery. Geographic Flow Figures 2-6 illustrate the flow of mango by location and by province. Tabular presentation of the sources and destination of mango by province is in Table 8. Pangasinan The identified supply municipalities within the province are Malasiqui, Urdaneta, Calasiao, Bolinao and Manaoag. Other sources of mango outside Pangasinan were Ilocos Sur, La Union, Nueva Ecija and Tarlac. From the supply areas, mango passed through the trading centers in San Carlos, Urdaneta, Dagupan Cities, Tayug, Alaminos and Villasis on their way to Metro Manila, Isabela, Laguna and Cavite. From Metro Manila, exporters shipped mangoes to other Asian countries, namely, Hong Kong and Japan.
Guimaras Sources of mango in Guimaras were the towns of Buenavista, Nueva Valencia and San Lorenzo. The produce were assembled in Jordan, Buenavista and Gaban trading centers. From there, traders distributed mangoes to the demand areas particularly in Iloilo, Metro Manila, Cebu and countries outside the Philippines. Iloilo Mango supplies in Iloilo came solely from the municipalities within the province. These municipalities included Guimbal, Tigbauan, Tubungan, Buga, Leon and Cabatuan. Outlets aside from the traders in the supply areas were trading centers in Iloilo City and Sta. Barbara. The reported demand areas were municipalities within Iloilo and provinces like Antique, Aklan, Cebu and Manila. Davao City Supply areas of mango within Davao City were Toril, Buhangin and Tugbok. Other sources of mangoes were Davao del Sur, Davao Oriental, North Cotabato, South Cotabato and Samal Island. From the supply areas/provinces, mangoes were brought to Bangkerohan, Toril, Calinan and Marahan Markets. The locally produced mangoes went to other districts of Davao City. Other demand sites were Davao del Sur, General Santos City, Surigao del Sur, Bukidnon and Cebu. Davao del Sur Mangoes in Davao del Sur were produced in Digos and Matanao. The fruits were being assembled in trading center found in Digos. From there, mangoes were distributed to Davao City, Cebu, Leyte and Manila.
DEMAND AREAS
HONGKONG JAPAN
METRO MANILA
TRADING CENTERS
SUPPLY AREAS
10
DEMAND AREAS
METRO MANILA OR CEBU
ILOILO
TRADING CENTERS
SUPPLY AREAS
11
DEMAND AREAS
TRADING CENTERS
SUPPLY AREAS
12
DEMAND AREAS
DAVAO SUR GEN. SANTOS CITY SURIGAO SUR BUKIDNON CEBU METRO MANILA
TRADING CENTERS
SUPPLY AREAS
13
DEMAND AREAS
TRADING CENTERS
DIGOS
SUPPLY AREAS
14
Marketing Channels Figures 7-11 illustrate the marketing channels of mango from the mango groves to the retailers in provinces covered by the study. Pangasinan From the farm, mangoes were sold to the agent at the supply area for distribution to the exporter. Other outlets were assembler-distributors in the trading centers. Suppliers outside the province sold mangoes directly to interregional assembler-large distributors. Traders sold their products to retailers, buyers outside the province, institutional buyers and consumers. Guimaras In Guimaras, interregional, provincial and municipal assemblers were the buyers of mangoes at the supply areas. These traders distributed their fruits to retailers, consumers and buyers outside the province. Iloilo Mango supplies coming from the farm within and outside the province were bought by provincial assembler-distributors who further distributed the fruits to municipal assemblers at the trading centers. The products were finally sold to retailers and consumers. Davao City Farmers in Davao City sold their mango to interregional and provincial assembler-distributors at the trading centers. They also sold their produce directly to processors, exporters and buyers outside the province. Davao del Sur Similarly, interregional and provincial assemblers, exporter, processor and buyers outside the province were the outlets of mango farmers in Davao del Sur. Retailers and consumers were the final destination of the commodity.
15
CONSUMER
INSTITUTIONAL BUYER
RETAILER
EXPORTER
IRA-LD
PA-LD
AGENT
FARMER
16
CONSUMER
RETAILER
MA-SD
PA-MD
MA-MD
IRA-LD
FARMER
17
CONSUMER
RETAILER
MA-MD
MA-SD
PA-LD
PA-MD
PA-SD
FARMER
18
CONSUMER
RETAILER
EXPORTER
PROCESSOR
IRA-LD
PA-LD
PA-SD
FARMER
19
CONSUMER
RETAILER
EXPORTER
PROCESSOR
IRA-LD
PA-LD
FARMER
Figure 11. MARKETING CHANNELS FOR MANGO IN DAVAO DEL SUR, 2001
20
Marketing Costs Marketing mango from the farm level up to the retail level entails a lot of costs. The expenditure items include labor, transportation, material inputs, other operating expenses and depreciation. The succeeding topics describe the expenditure items and the corresponding costs borne by the marketing participants in the transfer of the commodity from the farmer to the retailer. The items may be similar among certain level of marketing participants but the amount varies depending on the extent of business operations. Labor The activities performed in the process of procuring mango from the farm include hauling (loading from the farm to the truck/vehicle) and handling (loading and unloading from the truck to the stall/bodega/pier or place of buyer), sorting, weighing, packing and supervision. For areas with shipment of mangoes from the supply to the demand areas particularly in Manila, traders pay for arrastre, stevedoring and porterage. In distributing the fruits, the activities that entail costs are handling, sorting, weighing, packing, cleaning, selling and supervision. In the supply areas, labor costs were highest in Pangasinan at P2.05; followed by Davao del Sur at P1.06; Guimaras with P0.99, Davao City at P0.58 and Iloilo with P0.29 per kilogram of mango. The labor costs for other areas ranged from P0.89 (General Santos City) to P1.05 per kilogram (Metro Manila). Transportation Transportation is a major consideration in moving the commodity from point to point and from one participant to another. The cost depends on the distance and destination of the commodity. The highest cost of transportation for mango trading was about P5.79 per kilogram in Davao City. This included plane fare for shipping the commodity to Manila. The traders from other areas incurred transportation costs ranging from P0.19 (General Santos City) to P1.08 (Iloilo) per kilogram of mango.
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Material Inputs Mango trading requires a lot of material inputs. In buying and selling of mangoes, the basic materials used are kaing, old newspapers, twine, bayong, sacks and cartons. Table 16 presents the materials used and the corresponding costs. Traders from Cebu spent a minimal amount of P0.14 for material inputs (P0.08 for procurement and P0.06 for distribution). Total cost of materials was relatively high in Iloilo and Davao City at more than P2.00 per kilogram. Miscellaneous and Other Operating Costs Marketing participants also incur miscellaneous and other operating expenses. Miscellaneous expenses include business permit, market fee, storage fee, utilities (electricity, telephone, water), repair and maintenance, toll fee, stall rental, gas and oil, meals and beverages, cell cards, etc. The items and its corresponding amount of cost incurred are enumerated in Table 17. Wastage of mango during the marketing process contributed the largest portion in other operating costs shouldered by traders ranging from P0.18 (Iloilo) to P1.04 per kilogram (Guimaras). The total amount for other operating expenses ranged from P0.55 to P3.31 per kilogram. Depreciation Depreciation is the value given to the used portion or life of an item for a given period. Depreciation costs were imputed for items used in marketing of mango. In Pangasinan, traders incurred a total of P2.42 for every kilogram of mango for the depreciation of transport facilities, office building and weighing scale used in the mango trading business. Traders in other areas shouldered a depreciation cost amounting to less than P0.50 per kilogram of mango.
22
Aggregated Marketing Costs The costs items are aggregated according to cash outlay which include cash, non-cash and imputed costs. Total Marketing Costs The highest amount of expenses in mango marketing was estimated at P9.91 per kilogram in Davao City. This amount consisted mainly of the transportation cost incurred by traders in cost of air cargo of mango to Manila. The costs of material inputs and other operating expenses were also high in Davao City. In Pangasinan, the big contributors to the total marketing cost of trading mango were depreciation (P2.42), labor (P2.05) and other operating costs (P1.49). High cost of mango marketing was also observed in Guimaras at P5.90 per kilogram attributed mostly to other miscellaneous expenses, material and labor inputs. Cost of material inputs was the highest cost component in Iloilo followed by transportation. The total marketing costs were estimated at P5.03 per kilogram. Mango traders in Davao del Sur spent much for labor inputs (P1.06 per kilogram). Other costs items ranged from P0.04 to P0.86. The total costs in the demand areas were placed at P2.70 for General Santos City; P3.13 for Metro Manila and P3.00 for Cebu.
Marketing Costs by Point of Destination The transfer of a commodity from the supply area to the first point of sale entails costs for transportation, material inputs, labor and other expenses. Figures 12-16 illustrate the estimated costs of moving mangoes from the supply barangay to every trading/demand area.
23
Pangasinan Mango trading within the producing barangays entailed a total cost of P0.74 per kilogram. When the fruits were moved from the barangay to the trading centers within Pangasinan, another cost amounting to P3.28 should be added. From Pangasinan to Nueva Ecija, traders who picked-up the fruits from the farm should set aside an amount of P6.95 for every kilogram of mango. For mangoes delivered to Cavite and Laguna, a total cost of P4.63 per kilogram was spent. However, mangoes brought to Manila had P5.01 cost. Iloilo Within the supply barangays, mango trading had an average cost of P1.96 per kilogram. When transported to the trading centers, another cost amounting to P1.01 was spent. Traders who transported mangoes to Aklan or Antique needed an P3.77 allowance for every kilogram of the fruits. Those who traded mangoes in Bacolod City spent a total of P4.70 while those who traveled to Cebu City needed around P5.14 per kilogram of mangoes. Mangoes shipped to Manila required a total amount of P3.91 per kilogram for marketing costs. Guimaras Marketing cost for mango inside the producing barangays was estimated at P1.06 per kilogram. Bringing the fruits from the production areas to Iloilo entailed another P2.31. When distributed to Bacolod via Iloilo City, the total marketing cost was P4.05 per kilogram. Davao City From the supply areas to Bangkerohan, mango trading had a total marketing cost of P1.76 per kilogram. When distributed within Davao City, another P2.41 was spent per kilogram. When shipped to Manila, the total cost was P10.49.
24
MATRIX OF MARKETING COSTS FOR MANGO BY POINT OF DESTINATION, 2001 Supply Area/ Destination Marketing Costs (peso per kilogram) Origin Next point Final Destination TOTAL
Pangasinan
within barangay within the province Nueva Ecija Cavite/Laguna Manila within barangay within the province Aklan/Antique Bacolod Cebu Manila 0.74 0.74 0.74 0.74 0.74 1.96 1.96 1.96 1.96 1.96 1.96 1.06 1.06 1.06 1.76 1.76 1.76 1.67 1.67 1.67 1.67 3.28 3.28 3.28 3.28 2.93 0.61 0.99 0.74 4.02 6.95 4.63 5.01 1.96 2.97 3.77 4.7 5.14 3.91 1.06 3.37 4.05 1.76 4.17 10.49 1.67 3.58 5.69 4.46
Iloilo
1.01 1.01 1.01 1.01 1.01 0.8 1.73 2.17 0.94
Guimaras
- from barangay - Iloilo - Bacolod via Iloilo 2.31 2.31 0.68
Davao City
- Bangkerohan - within the province - Manila 2.41 2.41 6.32
Davao del Sur Within the farm, a total marketing cost of P1.67 was determined for each kilogram of mango. When brought to the trading centers within the province, another amount of P1.91 should be added to the cost. If traders intend to sell mangoes to Davao City, they should have another P2.11 allowance for every kilogram of the fruits. Those traded and distributed to Surigao, Butuan or Bukidnon, a total expense of P4.46 was put for one kilogram of mango. Marketing Margins A marketing margin is the difference between the value of a product at one stage and the value of an equivalent product at another stage in the marketing process. Measuring this margin indicates how much has been paid for processing and marketing services applied to the product at that particular stage. This information can provide hints in assessing the performance of the food marketing system.
The initial step in measuring the marketing margins is to describe the structure of the marketing chain, starting at the farm gate and tracing the product through the various intermediaries until it reaches the final consumer. Second is to identify and list the various functions that are performed at each stage in the marketing process. The estimation of marketing margin needs price data at which the product is bought and sold at each stage in the marketing process. Costs incurred in marketing plus the buying price give the estimated selling price. On the part of traders, buying price can be considered an expense. They have to pay for the commodity as the initial investment at prices agreed by both parties, the farmer and the trader. The gross margin, which still includes the cost of trading and the risk/losses, is the difference between the retail price and the effective buying price at the farm level. The net margin, or the net return, therefore, is the remainder when the total marketing costs were subtracted from the total gross margin. Below is the illustration of the concept:
RP NM
TGM FP + TC FP
where: RP
= retail price FP = farm price or the effective buying price at farm level FP+TC = farm price plus the total costs TGM = total gross margin (RP - FP) NM = net margin or return [RP (FP + TC)]
Presented in the succeeding table is the estimated marketing margins for mango based on the average prices collected by the BAS in 2001 for the supply areas under study. Likewise, the costs of marketing mango at each level of marketing participants and the estimated selling price for each supply province are presented in Figures 17-21.
Pangasinan
The price of mango at the farm level was P21.25 per kilogram. With the total marketing costs of P7.51, the estimated selling price without margin is P28.60. At retail market price of P57.13, the total gross margin is P35.88 per kilogram or 62.80%. Of that P35.88 peso-gross margin the farmers share was P13.35 while the traders had P22.53. The net margin was estimated at P28.37 per kilogram.
Guimaras
Traders paid P24.51 per kilogram of mango from the farm and spent around P5.90 during the process of procurement and distribution. The estimated gross margin was P22.34 of which the farmers share was P11.69 (52%) and the traders with P10.65 (48%). A net return of P16.44 per kilogram was derived.
Iloilo
The total cost of marketing mango in Iloilo was P5.03 per kilogram. This amount plus the buying price at the farm of P20.33 gave the estimated selling price of P25.36 per kilogram. At an average retail price of P50.61, the farmers and traders shares to the total gross margin are 40.17% or P12.16 and 59.83% or P18.12, respectively.
Davao City
The total gross margin in marketing of mango in Davao City was P21.95 at retail price of P36.36 and buying price of P14.41 per kilogram. With the total marketing costs of P9.91, the net margin was placed at P12.04 per kilogram.
Farmers registered greater share than the traders in the consumers peso. With the estimated selling price of P24.57 and average retail price of P31.16, traders had gross margin of P3.09 or 31.48%. After deducting the marketing cost of P3.22, a return of P6.59 per kilogram was remained.
Marketing Costs of Processors. There were 9 processors interviewed mainly to gather information on supply utilization of mango. The number of processor-respondents by province is as follows: Iloilo 1; Guimaras 3; and Cebu 5. Table 22 presents the expenses borne by mango processors in their supply procurement and processed products distribution.
The lone processor-respondent in Iloilo spent only for labor costs in pre-marketing and distribution stages amounting to P0.40 per kilogram of mango. He paid P0.08 for hauling of mangoes from the farm. In selling his products, he hired laborers for handling, weighing, sorting and packing. The average marketing cost incurred by the processors in Guimaras was P4.66 per kilogram. This amount included labor cost for weighing during procurement and imputed depreciation of materials, facilities and equipment used in the business. In Cebu, the estimated cost of mango trading was P0.74 per kilogram. The processors paid P0.50 per kilogram as agents commission and P0.14 per kilogram for wages. Other contributors to the total cost were imputed values of depreciation for the materials, equipment, transportation and warehouse facilities.
IV.
PROBLEMS/CONSTRAINTS ENCOUNTERED
The following are the problems cited by the respondents in mango trading: One major problem identified by the respondents from all the covered areas was the low sales and low prices due to oversupply of mango during peak seasons. Another common constraint in the business was the lack of financial assistance/lack of capital and the slow turnover of capital due to the delayed or non-payment of loan. Poor quality, limited supply of fruits and high percentage of spoilage were some of the problems encountered by the traders in this venture. Other problems included competition among traders, limited consumers, high transportation costs and emergence of transient.
AVERAGE PRICES AND MARKETING MARGINS FOR MANGO, SELECTED AREAS, 2001 PANGASINAN GUIMARAS ILOILO Margins Prices Prices Margins Prices Margins Percent Peso per kg. Percent Peso per kg. Percent Peso per kg. 21.25 30.95 57.13 37.20 62.80 100.00 13.35 22.53 35.88 7.51 28.37 24.51 46.85 52.32 47.68 100.00 11.69 10.65 22.34 5.90 16.44 20.33 50.61 40.17 59.83 100.00 12.16 18.12 30.28 5.03 25.25
ITEM
Farm Wholesale Retail Farmer Trader Total Less: Total Costs Net Margin/Return
AVERAGE PRICES AND MARKETING MARGINS FOR MANGO, 2001 DAVAO CITY DAVAO DEL SUR Prices Margins Prices Margins Percent Peso per kg. Percent Peso per kg. 14.41 36.36 39.63 60.37 100.00 8.70 13.25 21.95 9.91 12.04 21.35 31.16 68.52 31.48 100.00 6.72 3.09 9.81 3.22 6.59
ITEM
Farm Wholesale Retail Farmer Trader Total Less: Total Costs Net Margin/Return
Practice/Activity/Cost Item
BUYER OUTSIDE THE PROVINCE CONSUMER INSTITUTIONAL BUYER
Amount (P/kg)
Level Retail
Ave. 57.13
Estimated Selling Price w/o margin (buying price & total costs) Total Costs
RETAILER
28.60 7.51
EXPORTER
IRA-LD
PA-LD
Wholesale
21.14
45.91
30.95
FARMER
Figure 17. Marketing Costs for Mango, by level of Marketing Participants, Pangasinan, 2001
CONSUMER
Practice/Activity/Cost Item Estimated Selling Price w/o margin (buying price & total costs)
Average (P/kg)
Level Retail
Ave. 31.16
24.57 3.22
RETAILER
Total Costs
EXPORTER
PROCESSOR
IRA-LD
PA-LD
Pre-marketing Hauling
1.02
Buying Price
21.35 Farm
12.92
27.59
21.35
Figure 21. Marketing Costs for Mango, by level of Marketing Participants, Davao del Sur, 2001
CONSUMER
Practice/Activity/Cost Item Estimated Selling Price w/o margin (buying price & total costs)
Average (P/kg)
Level Retail
Ave. 36.36
24.31 9.91
RETAILER
Total Costs
EXPORTER
PROCESSOR
IRA-LD
PA-LD
PA-SD
FARMER
0.01
Buying Price
14.41 Farm
13.02
15.57
14.41
Figure 20. Marketing Costs for Mango, by level of Marketing Participants, Davao City, 2001
CONSUMER
Practice/Activity/Costs Item Estimated Selling Price w/o margin (buying price & total costs)
Amount (P/kg)
Level Retail
Ave. 50.61
25.36 5.03
RETAILER
Total Costs
MA-MD
MA-SD
PA-LD
PA-MD
PA-SD
FARMER
Materials Labor Shipping Transporting Shipping Pre-marketing Hauling Transportation Buying Price
Figure 19. Marketing Costs for Mango, by level of Marketing Participants, Iloilo, 2001
CONSUMER
Practice/Activity/Cost Item Estimated Selling Price w/o margin (buying price & total costs) Total Costs
Amount (P/kg)
Level Retail
Ave. 46.85
30.41 5.90
RETAILER
MA-SD
PA-MD
MA-MD
IRA-LD
FARMER
0.03
Buying Price
24.51 Farm
18.31
39.57
24.51
Figure 18. Marketing Costs for Mango, by level of Marketing Participants, Guimaras, 2001
Statistical Tables
Table 1. MANGO: Distribution of respondents, by type, by province/municipality, 2001 Province/Municipality Metro Manila Manila Quezon City Pasay Pangasinan Malasique Urdaneta Calasiao Sta. Barbara Iloilo Guimbal Leon Cabanatuan Tubungan Iloilo City Sta. Barbara Guimaras Buenavista Jordan Nueva Valencia Gaban/San Lorenzo Cebu Tabunok Mandaue Cebu City Davao City Davao City Buhangin Toril Tugbok Davao del Sur Digos Matanao General Santos General Santos City TOTAL 200 40 8 8 24 40 24 16 8 8 9 9 113 40 16 8 8 8 40 8 8 16 Farmer Trader 15 9 5 1 20 9 3 8 26 5 9 6 2 4 12 5 4 2 1 15 5 3 7 8 8 Total 15 9 5 1 60 25 11 16 8 66 13 17 22 2 4 8 52 13 20 10 9 15 5 3 7 48 8 8 8 24 48 32 16 9 9 313
8 40 8 16 8 8
Table 2. MANGO: Distribution of respondents, by type of marketing participants, by province, 2001 IRA-MD/RAMD/PAMD/MAMD/BA-MD 2 4 7 3 2 5 3
Province
Farmer
IRA-LD/RALD/ PA-LD 7
PA-SD/MASD/BA-SD
Retailer
Exporter
Total
Percent
Metro Manila Pangasinan Iloilo Guimaras Cebu Davao City Davao del Sur General Santos City TOTAL 200 40 40 40 40 40
6 5 9 5 8 5 4 2
15 60 66 52 15 48 48 9 2 313
9 5 1 5 3 4 2 36
4 22 8
3 45
Table 3. MANGO: Number and percentage distribution of farmer respondents, by size of farm, by province, 2001 Farm Size (in hectare) less than 1.0 1.00 - 1.99 2.00 - 2.99 3.00 - 3.99 4.00 - 4.99 more than 5.0 TOTAL
Pangasinan 22 8 6 1 1 2 40
Iloilo 31 1 1
Guimaras 37 2
Davao City 27 7
Davao Sur 31 6 3
Total 148 24 10 2 4 12
1 1 6 40 40 1 1 4 40 40
200
Table 4. MANGO: Number and percentage distribution of farmer-respondents, by tenurial status, by province, 2001 Davao del Total Sur 29 1 1 161 2 18 5 2 7 40 40 40 40 6 8 200
Tenurial Status Pangasinan Owner CLT Tenant Lessee Part-owner Othersa/ TOTAL
a/ Rentals
Iloilo 31
31
4 5
4 1 40
Table 5. MANGO: Distribution of trader respondents, by type of business, by province, 2001 General Santos City 9
Metro Manila 14 1
Pangasinan Iloilo 17 2 1 24 2
Guimaras 12
Cebu 13 1
Davao City 7
Total 101 9 2 1
1 1
15
20
26
12
15
113
Table 5a. MANGO: Distribution of trader respondents, by type of marketing participants, by type of business, by province, 2001
Province
IRA-LD/RALD/ PA-LD
Exporter
Total
Metro Manila Single Proprietorship Partnership Pangasinan Single Proprietorship Corporation Partnership Iloilo Single Proprietorship Partnership Guimaras Single Proprietorship Cebu Single Proprietorship Cooperative Partnership Davao City Single Proprietorship Corporation Davao del Sur Single Proprietorship Partnership General Santos City Single Proprietorship Under financing TOTAL
5 1 5 1 1
14 1 18 1 1 24 2 12 13 1 1 7 1 5 3 8 1
4 1
4 1 1 4 1
4 1 3
3 1 1
5 8
2 1 1 3 2 4 2 1 11
35
23
42
113
Table 6. MANGO: Distribution of trader respondents, by nature of capitalization, by province, 2001 General Santos City 8 1
Cebu 12 2 1 15
Davao City 7 1
Total 94 17 2
113
Table 6a. MANGO: Distribution of trader respondents, by type of marketing participants, by nature of capitalization, by province, 2001*
Province
Exporter
Total
Metro Manila Self-financed Pangasinan Self-financed Under financing Under contract agreement Iloilo Self-financed Under financing Guimaras Self-financed Under financing Cebu Self-financed Under financing Under contract agreement Davao City Self-financed Under financing Davao del Sur Self-financed Under financing General Santos City Self-financed Under financing TOTAL
7 5 3 1 5
2 3 1
6 5 2
15 15 4 1 24 2 10 2 12 2 1 7 1 3 5 8 1 2 113
6 1 3
4 1 3
3 2 5 2 1 4 1 1 3
2 2 2 4
2 1 8 45
36
22
* Table is limited to traders, excluding processors (no data about the nature of capitalization)
Table 7. MANGO: Distribution of trader respondents, by length of experience, by province, 2001 General Santos City
Metro Manila 1 5 2 3 4 15
Pangasinan 5 8 2 1 4 20
Iloilo 8 8 4 2 4 26
Guimaras 4 7 1
Cebu 1 4 2 4 4
Davao City 2 3 1 2
Total 24
5 3
42 17 13
1 8 8 9
17 113
12
15
Table 8. MANGO: Major sources and destinations, by location, by province, 2001 Province/City/Area Metro Manila Source Within the province Outside the province Manila Destination Within the province Outside the province Manila Quezon City Pasay City Paraaque Mandaluyong Muntinlupa Pasig City Valenzuela San Carlos Villasis Urdaneta Calasiao Manaoag Dagupan Bayambang Tayug Iloilo City Guimbal Leon Sta. Barbara Jordan Buenavista Negros Oriental Guimaras Davao Sur Bohol Cagayan de Oro Davao Sur South Cotabato North Cotabato Mandaue Cebu City Laguna Cavite Rizal Batangas
Quezon City
Pangasinan Bulacan Zambales Iloilo Cagayan de Oro Cebu Davao City Davao Sur General Santos City Zambales Ilocos Sur La Union Nueva Ecija Tarlac
Pangasinan
Iloilo
Guimbal Tubungan Leon Cabanatuan Buenavista Nueva Valencia San Lorenzo Cebu City
Guimaras
Manila Antique Cebu Capiz Aklan Iloilo Negros Occidental Manila Leyte Bohol
Guimaras
Cebu
- Carbon - Tabunok
Davao City
- Bangkerohan - Pag-asa
Davao City
Digos Matanao Davao Sur Davao City South Cotabato Sultan Kudarat
Digos
Table 9. MANGO: Trading Pattern, by activity in selected provinces, 2001 Province Pangasinan Iloilo Guimaras Davao City Davao Sur Jan 5 1 5 1 Feb 10 7 3 5 2 Mar 32 12 4 2 6 Apr 21 12 16 2 2 May 5 12 14 4 2 6 6 10 9 9 7 5 7 2 1 1 6 2 1 1 3 3 5 6 Jun Jul Aug Sept Oct Nov Dec. 3 2 6 2 3
Table 10. MANGO: Distribution of respondents, by manner of procurement, by provinces, 2001 General Santos City 6 3
Metro Manila 4 11
Pangasinan 12 7 1
Iloilo 17 9
Guimaras 6 6
Cebu 7 8
Davao City 2 6
Total 61 51 1
15
20
26
12
15
113
Table 11. MANGO: Distribution of respondents, by mode of payment in buying stocks, by province, 2001 General Santos City 4 4
Metro Manila 11 4
Pangasinan Iloilo 18 1 1 22 4
Guimaras 8 3
Cebu 12 3
Davao City 4 4
Total 83 27 1
1 15 20 26 12 15 8 8
1 9
2 113
TOTAL
Table 11a. MANGO: Distribution of trader respondents, by type of marketing participants, by mode of payment in buying stocks, by province, 2001
Mode of Payment
BA-SD/MDSD/PA-SD
TOTAL
METRO MANILA Cash Consignment PANGASINAN Cash Consignment Both ILOILO Cash Consignment GUIMARAS Cash Consignment Every 15th of the month CEBU Cash Consignment DAVAO CITY Cash Consignment DAVAO DEL SUR Cash Consignment GENERAL SANTOS CITY Cash Consignment Every 15th of the month TOTAL 8 5
11 4 18 1 1 22 4 8 3 1 12 3 4 4 4 4 4 4 1 2 113
5 4 3 2
2 1
2 1
5 3 2 3
2 1 4
4 2 1 1 22 2 3
36
45
Metro Manila 14 1
Pangasinan 37 22
Iloilo 55 10 1
Guimaras 27 25
Cebu 13 2
Davao City 44 4
General Santos 8 1
Total 240 71 1 1
1 15 60 66 52 15 48 48 9
313
Table 12a. MANGO: Distribution of respondents by type of marketing participants, by manner of distribution, by province, 2001
Mode of Delivery
BA-SD/MDFarmers SD/PA-SD
PA-MD/MAMD/RAMD/IRAMD/BA-MD
IRA-LD-RALD/PA-LD
Retailer Exporter
TOTAL
METRO MANILA Picked- up Delivered PANGASINAN Picked- up Delivered No response ILOILO Picked- up Delivered Both GUIMARAS Picked- up Delivered CEBU Picked- up Delivered DAVAO CITY Picked- up Delivered DAVAO DEL SUR Picked- up Delivered GENERAL SANTOS CITY Picked- up Delivered TOTAL 201 8
5 1
14 1
35 5 1
1 8
2 3
38 22 1
40
2 3
2 5
4 1
7 2
55 10 1
22 18
2 1
3 2
27 25
4 1
7 1
13 2
40 3
4 1
44 4
40 4
2 2
42 6
3 1 22
8 1 2 314
36
45
Table 13. MANGO: Distribution of respondents, by manner of payment in distribution, by province, 2001 General Santos City 6 2
Mode of Payment Cash Consignment Every 15th of the month Weekly 3 - 5 days after delivery No response TOTAL
Iloilo 56 10
Guimaras 32 14 6
Cebu 10 2 1 2
Davao City 44 3 1
Total 266 35 8 2
1 1 15 60 66 52 15 48 48 9
1 1 313
Table 13a. MANGO: Distribution of respondents, by type of marketing participants, by manner of payment in distribution, by province, 2001 PA-MD/MAIRA-LD/RAMD/RARetailer Exporter LD/PA-LD MD/IRAMD/BA-MD 2 6 1 6
Mode of Payment
Farmer
BA-SD/MDSD/PA-SD
TOTAL
METRO MANILA Cash Consignment PANGASINAN Cash Consignment No response ILOILO Cash Consignment GUIMARAS Cash Consignment Every 15th of the month CEBU Cash Consignment Every 15th of the month Weekly DAVAO CITY Cash Consignment Every 15th of the month DAVAO DEL SUR Cash GENERAL SANTOS CITY Cash Consignment 3 - 5 days after delivery TOTAL 200 8
14 1
38 1 1
3 1
8 1
56 3 1
36 4
2 3
3 2
8 1
56 10
32 4 4
2 1
2 1
32 14 6
4 1 1 1
6 1 1
10 2 1 2
39 1
2 1
3 1 1
44 3 1
40
48
2 1 1 22
1 1
6 2 1 2 313
36
45
Table 14. MANGO: Labor costs incurred by activity/practices, by province, 2001 General Santos City
Marketing Activity/Practice
Metro Manila
Pangasinan Guimaras
Iloilo
Cebu
Davao City
0.10
0.05 0.05
0.08 0.24 0.02 0.14 0.08 0.55 0.12 0.12 0.09 0.10 0.10 0.02 0.01 0.01 0.004 0.12 0.06 0.06 0.009 0.003 0.003 0.003 0.44 0.17 0.17 0.05 0.01 0.04 0.48 0.04 0.04 0.02 0.02 0.02 0.32 0.02 0.15 1.05 0.16 2.05 0.99 0.42 0.15 1.00 0.12 0.58 0.07 1.96 0.12 0.002 0.002 0.04 0.01 0.005 0.06
0.67 0.89
Table 14a. MANGO: Labor costs incurred by marketing participants, by activity/practice, Metro Manila, 2001
Marketing Activity/Practice
IRA-LD
MA-MD
Retailer
Table 14b. MANGO: Labor costs incurred by marketing participants, by activity/practice, Pangasinan, 2001
Marketing Activity/Practice
Farmer
IRA-LD
PA-LD
PA-MD
0.66
0.20
0.64
1.15
Table 14c. MANGO: Labor costs incurred by marketing participants, by activity/practice, Guimaras, 2001
Marketing Activity/Practice
Retailer
0.25
Table 14d. MANGO: Labor costs incurred by marketing participants, by activity/practice, Iloilo, 2001
Marketing Activity/Practice
Retailer
0.43
1.10
0.20
0.16
0.28
Table 14e. MANGO: Labor costs incurred by marketing participants, by activity/practice, Cebu, 2001
Marketing Activity/Practice
IRA-LD
PA-MD
Retailer
Processor
Table 14f. MANGO: Labor costs incurred by marketing participants, by activity/practice, Davao City, 2001
Marketing Activity/Practice
Farmer
IRA-LD
PA-LD
PA-SD
Retailer
Table 14g. MANGO: Labor costs incurred by marketing participants, by activity/practice, Davao del Sur, 2001
Marketing Activity/Practice
Farmer
IRA-LD
PA-LD
Retailer
0.08 0.21 0.09 0.09 0.01 0.01 0.01 0.02 0.14 0.60 0.17 0.48 0.17 0.04 0.04 0.03 0.03 0.03 0.48 0.08 0.08
0.32
Table 14h. MANGO: Labor costs incurred by marketing participants, by activity/practice, General Santos City, 2001
Marketing Activity/Practice
IRA-LD
IRA-MD
Retailer
0.01
0.21
Practice/activity
Metro Manila
Pangasinan Guimaras
Iloilo
Cebu
Davao City
General Santos
Pre-marketing cost
0.66
0.21
Procurement
0.35
0.03
0.17
0.43
0.42
0.51
0.25
0.15
Shipping
0.18
0.02
0.45
4.70 *
Distribution
0.11
0.03
0.05
0.42
0.14
0.58
0.37
0.04
TOTAL
* Includes plane fare
0.46
0.72
0.40
1.08
1.01
5.79
0.62
0.19
Table 15a. MANGO: Transportation costs incurred by marketing participants, by activity/practices, Metro Manila, 2001
Marketing Activity/Practices
IRA-LD
Retailer
Table 15b. MANGO: Transportation costs incurred by marketing participants, by activity/practice, Pangasinan, 2001
Marketing Activity/Practice
peso per kilogram Pre-marketing Procurement Distribution TOTAL 0.66 0.66 0.15 1.59 1.74 0.20 0.200 0.40 0.18 0.180 0.36 0.08 0.080 0.16 0.40 0.40 0.80 0.00
Table 15c. MANGO: Transportation costs incurred by marketing participants, by activity/practice, Guimaras, 2001
Marketing Activity/Practice
IRA-LD
MA-MD
MA-SD
Retailer
peso per kilogram Procurement Shipping Distribution TOTAL 0.17 0.18 0.09 0.44 0.01 0.02 0.01 0.04 0.07 0.23 0.63 0.16 0.63
Table 15d. MANGO: Transportation costs incurred by marketing participants, by activity/practice, Iloilo, 2001
Marketing Activity/Practice
Farmer
PA-LD
PA-MD
PA-SD
MA-MD
MA-SD
peso per kilogram Pre-marketing Procurement Shipping Distribution TOTAL 0.21 0.21 0.44 0.02 0.40 0.86 0.38 0.41 0.03 0.22 1.43 1.65 0.32 0.54 0.86 0.99 0.67 0.32
Table 15e. MANGO: Transportation costs incurred by marketing participants, by activity/practice, Cebu, 2001
Marketing Activity/Practice
PA-MD
0.42 0.06
0.48
Table 15f. MANGO: Transportation costs incurred by marketing participants, by activity/practice, Davao City, 2001
Marketing Activity/Practice
IRA-LD
PA-LD
PA-SD
Retailer
peso per kilogram Procurement Shipping Boat Air cargo Distribution TOTAL 1.00 0.20 0.42
Table 15g. MANGO: Transportation costs incurred by marketing participants, by activity/practice, Davao del Sur, 2001
Marketing Activity/Practice
IRA-LD
Retailer
0.25
0.25
Table 15h. MANGO: Transportation costs incurred by marketing participants, by activity/practice, General Santos City, 2001
Marketing Activity/Practice
IRA-LD
Retailer
Table 16. MANGO: Cost of material inputs, by activity/practice/cost item, by province, 2001 Marketing Activity/ Cost Item Metro Manila Pangasinan Guimaras Iloilo Cebu Davao City Davao del Sur General Santos
peso per kilogram Procurement Kaing Old newspaper Twine Bayong Sacks Cartons Kalburo Plastic bag Plastic sacks Banana leaves Wire Padding box Padding paper Staple wire 0.42 0.07 0.02 0.01 0.07 0.25 0.51 0.42 0.02 0.01 0.04 1.08 0.36 0.05 0.03 0.03 0.25 0.002 0.30 0.06 0.08 0.001 0.01 0.01 0.74 0.26 0.004 0.08 0.01 0.14 0.04 0.04 0.03
0.02
0.04 0.02
0.34 0.33
0.10 0.03
0.02 0.01
Metro Manila
Pangasinan Guimaras
Iloilo
Cebu
Davao City
General Santos
peso per kilogram Distribution Kaing Old newspaper Twine Plastic bag Kalburo Bilao Cartons Gloves Laddle Plastic sack Banana leaves Padding box Padding paper Net TOTAL
a/ Less than 0.001
0.10
0.02 0.003
0.37
0.83
1.06
2.61
0.14
2.32
0.64
0.66
Table 16a. MANGO: Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Metro Manila, 2001 Marketing Activity/ Cost Item IRA-LD MA-MD peso per kilogram Distribution Kaing Plastic bag Old newspaper Bilao Kalburo Twine TOTAL Retailer
0.72
Table 16b. MANGO: Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Pangasinan, 2001 Marketing Activity/ Cost Item Farmer IRA-LD PA-LD PA-MD MA-MD Exporter Retailer
peso per kilogram Procurement Kaing Old newspaper Twine Bayong Sacks Distribution Kaing Old newspaper Twine Plastic bag Kalburo Transportation TOTAL 0.67 0.18 0.67 0.34 0.05 0.04 0.24 2.40 2.61 1.85 0.51 0.54 0.72 0.14 0.04 0.02 0.006 0.07 0.11 0.10 0.003 0.002 1.58 1.36 0.06 0.16 0.51 0.45 0.04 0.02 0.54 0.23 0.04 0.02 0.25 0.04 0.02 0.02 0.004 0.11 0.10 0.003 0.003 0.27 0.23 0.01 0.03 0.72 0.37 0.06 0.08 0.06 0.15
Table 16c. MANGO: Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Guimaras, 2001 Marketing Activity/ Cost Item Farmer IRA-LD PA-MD MA-MD MA-SD Retailer
peso per kilogram Procurement Sacks Kaing Plastic bag Old newspaper Banana leaves Twine Wire Distribution Kaing Plastic bag Old newspaper Sack Twine Banana leaves TOTAL 0.52 0.43 0.06 0.02 0.005 0.003 0.52 0.55 0.52 0.53 0.50 0.01 0.02 0.51 0.45 0.04 0.02 0.20 0.18 0.01 0.01 0.001 0.002 0.14 0.10 0.005 0.01 0.02 0.003 0.12 0.12 0.41 0.02 0.32 0.05 0.02
0.02 0.02
0.01 0.005
0.27 0.27
0.58
0.26
0.68
Table 16d. MANGO: Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Iloilo, 2001 Marketing Activity/ Cost Item Farmer PA-LD PA-MD PA-SD MA-MD MA-SD Retailer
peso per kilogram Procurement Sacks Kaing Plastic sacks a/ Plastic bag Old newspaper Twine b/ Calburo Cartons Distribution Plastic sacks Kaing Calburo Plastic bag Old newspaper Twine Carton TOTAL
a/ Include sack b/ Rattan strips
0.56 0.02
0.31 0.30
0.10
0.31
1.34
1.30
1.68
1.12
2.12
1.76
Table 16e. MANGO: Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Cebu, 2001 Marketing Activity/ Cost Item IRA-LD PA-MD Retailer Processor
peso per kilogram Procurement Kaing Old newspaper Twine Cartons Kalburo Distribution Kaing Plastic bag Old newspaper Twine Kalburo Carton Gloves Laddle TOTAL
a/ Less than 0.001
0.08 0.001 0.01 0.01 0.04 0.02 0.02 0.01 0.01 0.003 0.001
0.09 0.01 0.02 0.04 0.02 0.03 0.007 0.01 0.01 0.003
0.00
0.00
0.001 0.001
Table 16f. MANGO: Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Davao City, 2001 Marketing Activity/ Cost Item Farmer IRA-LD PA-SD Retailer
peso per kilogram Procurement Box Kalburo Twine Padding box Padding paper Distribution Kaing Plastic bag Old newspaper Twine Kalburo Box Padding box Padding paper Net TOTAL 1.33 0.14 0.22 0.48 0.41 0.34 0.02 0.01 0.04 0.61 0.47 0.005 0.24 0.04 0.003 0.18 0.13 0.13 0.33 0.33
Table 16g. MANGO: Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Davao del Sur, 2001 Marketing Activity/ Cost Item Farmer IRA-LD PA-LD Retailer
peso per kilogram Procurement Kaing Old newspaper Twine Carton Kalburo Staple wire Distribution Plastic bag Twine Old newspaper Cartons Kaing TOTAL
a/ Less than 0.001
0.18 0.18
1.61
0.31
0.18
Table 16h. MANGO: Cost of material inputs incurred by marketing participants, by activity/practice/cost item, General Santos City, 2001 Marketing Activity/ Cost Item IRA-LD IRA-MD peso per kilogram Procurement Kaing Old newspaper Twine Carton Kalburo Distribution Plastic bag Kaing Old newspaper Twine Kalburo TOTAL 0.14 0.03 0.05 0.04 0.01 0.01 0.22 0.07 0.004 0.04 0.11 0.36 0.23 0.11 0.02 0.001 0.10 Retailer
0.17 0.17
0.17
Table 17. MANGO: Other operating costs by cost item, by province, 2001 Cost Item Other Operating Expenses Business permit Market fee b/ Storage fee Telephone Electricity Water Repair and maintenance Toll fee Stall rental Gas/oil Meals and Breverages Interest on loan Wastage Calibration of weighing scale Agent's commission Cell card Wharfage fee Other Operating Expenses c/ TOTAL
a/ Less than 0.001 b/ Includes barangay permit c/ Includes tong, donations and sanitary
Metro Manila
Pangasinan Guimaras
Iloilo
Cebu
Davao City
General Santos
peso per kilogram 0.01 0.40 0.02 0.02 0.001 0.001 0.25 0.03 0.01 0.001 0.08 0.19 0.37 0.12 0.01 0.12 0.30 0.22 0.18 0.03 0.09 0.001 0.01 0.001 0.04 0.01 0.14 0.11 0.03 0.18 0.002 0.002 a/ 1.24 0.01 1.49 0.02 0.02 3.31 0.65 1.07 a/ 1.21 0.02 0.04 0.30 0.03 0.02 0.02 0.02 0.09 0.008 a/ 0.02 0.50 a/ 0.05 0.14 0.06 0.03 0.86 a/ 0.03 0.01 0.02 0.01 0.003 0.001 0.04 0.01 0.002 0.001 a/ 0.01 0.02 0.05 0.10 0.49 a/ 0.12 0.02 0.86 0.04 0.88 0.02 0.01 0.06 0.01 0.003 0.21 0.50 0.01 0.01 0.003
Table 17a. MANGO: Other operating costs incurred by marketing participants, by cost item, Metro Manila, 2001
Cost Item
IRA-LD
Retailer
Other Operating Expenses Business permit Market fee Telephone Water Electricity Meals Wastage Others a/ Stall rental Interest on loan TOTAL
a/ Includes donations, tong, sanitary
1.33
1.99
Table 17b. MANGO: Other operating costs incurred by marketing participants, by cost item, Pangasinan, 2001
Cost Item Other Operating Expenses Business permit Market fee Storage fee Repair/Maintenance Tong Toll fee Stall rental Telephone Electricity Water Gas/oil Meals Interest Wastage TOTAL
peso per kilogram a/ 0.50 0.32 0.56 0.010 0.19 0.35 0.02 0.39 0.01 0.04 0.50 0.140 0.001 0.02 0.43
0.08
0.03 0.02
0.01
0.04 0.67
0.56
0.15
0.65
1.55
Table 17c. MANGO: Other operating costs incurred by marketing participants, by cost item, Guimaras, 2001
Cost Item Other Operating Expenses Business permit b/ Electricity Calibration of weighing scale Market fee Rental fee Wastage Interest on loan Gas/oil Other cost c/ Toll fee Meals Repair and maintenance Wharfage fee TOTAL
Farmer
IRA-LD
PA-MD
MA-MD
MA-SD
Retailer
peso per kilogram 0.34 0.85 0.18 0.02 0.60 0.09 0.001 0.14 0.004 0.46 0.75 0.11 0.02
0.09 0.02 0.90 0.11 0.04 0.02 3.03 0.13 0.02 0.03 0.13
0.21
1.74
0.55
0.13
1.69
Table 17d. MANGO: Other operating costs incurred by marketing participants, by cost item, Iloilo, 2001
Cost Item Other Operating Expenses Business permit a/ Market fee b/ Repair and maintenance Meals and beverages Telephone Electricity Wastage Calibration of weighing scale Toll fee Stall rental Cellcard Interest on loan Gas/oil TOTAL
a/ Less than 0.001
Farmer
PA-LD
PA-MD
PA-SD
MA-MD
MA-SD
Retailer
peso per kilogram 0.01 0.09 0.001 0.11 0.001 0.002 0.28 0.30 0.17 0.71 0.11 0.06 0.12 0.002 0.10 0.86 a/ 0.02 0.01 0.001 0.03 0.02 0.20 0.13 1.47 0.01 0.11 0.10 0.02 0.88 0.04 0.03 0.002 0.11 0.17 0.01 0.004 0.24 0.04
0.14
0.14
0.95
0.10
0.02 1.34
0.07 1.07
0.03 0.34
0.24 0.89
1.19
Table 17e. MANGO: Other operating costs incurred by marketing participants, by cost item, Cebu, 2001
Cost Item Other Operating Expenses Business permit Market fee b/ Electricity Telephone Storage fee Calibration of weighing scale Meals and beverages Rental Wastage Interest on loan Agent's commission Repair and maintenance TOTAL
a/ Less than 0.001 b/ Include barangay permit
IRA-LD
PA-MD
Retailer
Processor
peso per kilogram 0.01 0.02 0.02 0.02 0.02 0.08 0.02 a/ 0.02 0.01 0.02 0.10 0.14 0.43 0.08 0.30 0.004 0.02
0.10
0.002
0.19
0.25
1.02
0.52
Table 17f. MANGO: Other operating costs incurred by marketing participants, by cost item, Davao City, 2001
Cost Item Other Operating Expenses Business permit Market fee Electricity Telephone Meals and beverages Wastage Interest on loan Gas and oil Tong Calibration of weighing scale Water Toll fee Stall rental TOTAL
a/ Less than 0.001
Farmer
IRA-LD
PA-SD
Retailer
0.45 0.13
0.02 1.29
0.42 1.56
Table 17g. MANGO: Other operating costs incurred by marketing participants, by cost item, Davao del Sur, 2001
Cost Item
Farmer
IRA-LD
PA-LD
Retailer
peso per kilogram Other Operating Expenses Municipal permit Market fee Telephone Electricity Meals Wastage Toll fee Water Cellcard Repair and maintenance Interest Gas/oil Others "tong" Calibration of weighing scale Salaries and wages TOTAL
a/ Less than 0.001
0.32
1.24 0.13
1.00
a/
0.01
Table 17h. MANGO: Other operating costs incurred by marketing participants, by cost item, General Santos City, 2001
Cost Item
IRA-LD
Retailer
Other Operating Expenses Business permit a/ Market fee b/ Repair and maintenance Meals and beverages c/ Donation d/ Telephone Electricity Calibration of weighing scale Toll fee Stall fee Others e/ Interest on loan TOTAL
a/ Includes municipal permit b/ Includes ticket c/ Includes cigarettes d/ Includes association fee e/ Includes tong
0.003
0.02 0.02 0.004 0.02 0.04 0.06 0.04 0.002 0.50 0.03 0.05 0.79
0.29 0.08
0.60
Table 18. MANGO: Imputed cost of depreciation by facilities/equipment used, by province, 2001 Cost Item Metro Manila Pangasinan Guimaras Iloilo Cebu Davao City Davao del Sur General Santos
peso per kilogram Materials Used Weighing Scale Electric fan Tolda Plastic crates Cellphone Basin Knife Peeler Strainer Colander plastic Kettle Band sealer Mechanical dryer Pulper Tables Chairs Computer Radio tranciever Blender Laddle Office building Warehouse/storage Transportation TOTAL
a/ less than 0.001
a/ a/ 0.01
0.01
0.02
0.05
0.02
a/
0.03
0.005
0.03
0.005 a/ 0.001 0.02 0.002 0.005 3.02 2.40 0.01 2.42 3.25 0.005 0.34 0.40 0.004
0.004
0.01
0.03
a/
a/
0.001
0.002
0.04
0.01
0.04
0.08
Table 18a. MANGO: Imputed costs of depreciation incurred by marketing participants, by facilities/equipment used, Metro Manila, 2001 Facilities/Equipment Imputed Cost Weighing scale Chains Electricfan Tolda TOTAL IRA-LD MA-MD peso per kilogram a/ a/ a/ 0.004 a/ 0.002 0.005 0.001 0.01 0.01 0.03 Retailer
a/
0.01
Table 18b. MANGO: Imputed costs of depreciation incurred by marketing participants, by facilities/equipment used, Pangasinan, 2001 Facilities/Equipment Imputed Cost Weighing scale Storage/Office Bldg. TOTAL Farmer IRA-LD PA-LD PA-MD MA-MD Exporter Retailer
peso per kilogram 0.25 0.01 0.005 0.02 0.001 0.004 0.002 0.06 0.05
0.25
0.001
0.004
0.002
0.06
0.05
Table 18c. MANGO: Imputed costs of depreciation incurred by marketing participants, by facilities/equipment used, Guimaras, 2001 Facilities/Equipment Imputed Cost Weighing scale Cellphone Radio Transciever Plastic crate Knife Peeler Blender Kettle Laddle Building TOTAL Processor Farmer IRA-LD PA-MD MA-MD MA-SD Retailer
peso per kilogram 1.30 0.001 0.01 0.02 0.001 0.03 0.002 0.005 0.02 0.03 0.002 3.02 4.41 0.001 0.01 0.021 0.001 0.02 0.18 0.001 0.02 0.06 0.12
Table 18d. MANGO: Imputed costs of depreciation incurred by marketing participants, by facilities/equipment used, Iloilo, 2001 Facilities/Equipment Farmer PA-LD PA-MD PA-SD MA-MD MA-SD Retailer
peso per kilogram Imputed Cost Weighing scale Storage Bamboo table Radio Imputed Cost TOTAL 0.02 0.01 0.04 0.24 0.02 0.02 0.02 0.01 0.001 0.005 0.002 0.004 0.04 0.03 0.01 0.24 0.24 0.02 0.020 0.06 0.03 0.03 0.02 0.02
0.38 0.44
0.23 0.25
Table 18e. MANGO: Imputed costs of depreciation incurred by marketing participants, by facilities/equipment used, Cebu, 2001 Facilities/Equipment Imputed Cost Plastic crates Weighing scale Cellphone Basin Knife Peeler Strainer Colander plastic Kettle Band sealer Mechanical dryer Pulper Office Warehouse Tables Chairs Computer Tranportation TOTAL
a/ less than 0.001
Processor 0.05 0.01 0.002 a/ a/ a/ a/ a/ 0.002 0.001 0.001 0.001 0.01 0.01 0.001 a/ 0.01
0.03 0.08
Table 18f. MANGO: Imputed costs of depreciation incurred by marketing participants, by facilities/equipment used, Davao City, 2001 Facilities/Equipment Imputed Cost Weighing scale Cellphone Chair TOTAL
a/ less than 0.001
IRA-LD
Retailer
a/ 0.004 a/ 0.004
0.002
0.007
0.002
0.007
Table 18g. MANGO: Imputed costs of depreciation incurred by marketing participants, by facilities/equipment used, Davao del Sur, 2001 Facilities/Equipment Imputed Cost Weighing scale Storage Cellphone Chair TOTAL
a/ less than 0.001
Farmer
IRA-LD
PA-LD
Retailer
a/ a/ 0.01
0.33
Table 18h. MANGO: Imputed costs of depreciation incurred by marketing participants, by facilities/equipment used, General Santos City, 2001 Facilities/Equipment IRA-LD IRA-MD peso per kilogram Imputed Cost Weighing scale Chairs Cellphone Facilities Storage TOTAL
a/ less than 0.001
Retailer
0.004 0.004
0.03
0.14
0.004
Table 19. MANGO: Total Marketing Costs (Cash & Non-cash) by province, 2001 Item Metro Manila Pangasinan Guimaras Iloilo Cebu Davao City Davao del Sur General Santos
peso per kilogram Cash Labor Hauling Handling Loading Unloading Sorting Weighing Packing Supervising Arrastre Stevedoring Portarage Cleaning Selling Salaries and Wages Transportation Pre-marketing cost Procurement Shipping Distribution
0.99 0.03 0.18 0.18 0.09 0.15 0.10 0.02 0.14 0.08 0.02
0.58 0.01 0.17 0.17 0.05 0.01 0.04 0.003 0.003 0.003
0.89
0.32 0.15 0.46 0.35 0.11 0.16 0.72 0.66 0.03 0.03 0.40 0.17 0.18 0.05 1.08 0.21 0.43 0.02 0.42 0.15 1.01 0.42 0.45 0.14 0.12 5.79 0.51 4.70 d/ 0.58 0.07 0.62 0.25 0.37
Item
Metro Manila
Pangasinan Guimaras
Iloilo
Cebu
Davao City
General Santos
peso per kilogram Materials Kaing Old newspaper Twine Bayong Sacks Cartons Kalburo Plastic bag Plastic sacks Banana leaves Wire Padding box Padding paper Staple wire Bilao Gloves Laddle Net Other Operating Costs Business permit Market fee b/ Storage fee Telephone Electricity 0.37 0.08 0.03 0.01 0.83 0.11 0.04 0.04 0.07 0.25 0.26 0.06 1.06 0.75 0.16 0.02 0.04 2.61 0.89 0.31 0.07 0.03 0.27 0.02 0.85 0.17 0.14 0.008 0.02 0.01 2.32 0.01 0.07 0.04 0.64 0.12 0.12 0.05 0.66 0.11 0.04 0.06
0.18 0.06
0.02 0.08 0.04 0.01 a/ a/ 0.49 1.24 0.01 0.40 0.02 0.02 1.49 0.001 0.25 0.03 0.01 3.31 0.22 0.18 0.65 0.03 0.09 0.001 0.01 1.07 0.02 0.04 0.30 0.03 0.02 1.21 0.03 0.01 0.02 0.01 0.86 0.001 0.04 0.01 0.002 0.88 0.02 0.01 0.06 0.01
0.18
Item
Metro Manila
Pangasinan Guimaras
Iloilo
Cebu
Davao City
General Santos
peso per kilogram Water Repair and maintenance Toll fee Stall rental Gas/oil Meals and Breverages Interest on loan Wastage Calibration of weighing scale Agent's commission Cell card Wharfage fee Other Operating Expenses c/ Non-cash Weighing Scale Electric fan Tolda Plastic crates Cellphone Basin Knife Peeler Strainer Colander plastic Kettle 0.001 0.001 0.08 0.19 0.37 0.12 0.01 0.12 0.30 0.003 0.04 0.90 0.36 0.13 0.09 0.13 1.04 0.004 0.001 0.04 0.01 0.14 0.11 0.03 0.18 0.002 0.002 a/ 0.01 a/ a/ 0.01 0.01 2.42 0.01 0.02 0.02 3.25 0.02 0.40 0.05 0.10 0.02 a/ 0.01 a/ 0.02 0.02 0.09 0.008 a/ 0.02 0.50 a/ 0.05 0.14 0.06 0.03 0.86 a/ 0.001 a/ 0.01 0.02 0.05 0.10 0.49 a/ 0.12 0.02 0.04 0.03 0.04 0.08 0.005
0.03
0.004
0.01
0.03
Item
Metro Manila
Pangasinan Guimaras
Iloilo
Cebu
Davao City
General Santos
peso per kilogram Band sealer Mechanical dryer Pulper Tables Chairs Computer Radio tranciever Blender Laddle Office building Warehouse/storage Transportation Total
a/ Less than 0.001 b/ Includes barangay permit c/ Includes tong, donations and sanitary d/ Includes plane fare
0.005 a/ 0.001 0.02 0.002 0.005 3.02 2.40 3.28 7.67 9.02 0.005 0.34 5.17 0.004
a/
a/
0.001
0.002
0.04
10.03
4.20
3.37
Table 20. MANGO: Total Marketing Costs (Cash & Non-cash) by province, 2001 Item Metro Manila Pangasinan Guimaras Iloilo Cebu Davao City Davao del Sur General Santos
Table 21. MANGO: Total Marketing Costs (Cash & Non-cash) by province, 2001 Item Metro Manila Pangasinan Guimaras Iloilo Cebu Davao City Davao del Sur General Santos
peso per kilogram Cash Labor Salaries and Wages Transportation Materials Other Operating Costs Non-cash Imputed Cost Total 0.01 3.28 2.42 7.67 3.25 9.02 0.40 5.17 0.10 3.47 0.01 10.03 0.04 4.20 0.08 3.37 1.05 0.15 0.46 0.37 1.24 2.05 0.16 0.72 0.83 1.49 0.40 1.06 3.31 1.08 2.61 0.65 0.99 0.42 1.00 0.15 1.01 0.14 1.07 0.58 0.12 5.79 2.32 1.21 1.96 0.07 0.62 0.64 0.86 0.89 0.67 0.19 0.66 0.88
Table 22. MANGO: Distribution of respondents, by problems encountered, by province, 2001 Problems 1. Lack of financial assistance/capital to finance the business, delayed/non-payment of loan and slow turnover of capital. 2. Low sales/price due to over supply during peak months. 3. Poor quality/limited supply of mango. 4. Competition among traders/limited consumers. 5. High percentage of spoilage. 6. Unstable prices/sometimes controlled by trader/exporter. 7. High transportation costs. 8. Emergence of transient. 2
Metro Manila
Pangasinan Guimaras
Iloilo
Cebu
Davao City
General Santos
3 2
4 2
1 5
3 1
5 1 2
2 1
Annex
TYPES OF TRADERS
1. Assembler procures from farmers and traders in the supply areas; usually has agents or relatives (considered as extension of him/herself) responsible for procurement and assembly. Assemblers are classified according to geographic area of procurement. These are: a) Barangay Assembler (BA) procures from one barangay only. b) Municipal Assembler (MA) procures from two or more barangays within the municipality. c) Provincial Assembler (PA) procures from two or more municipalities within the province. d) Regional Assembler (RA) procures from two or more provinces within the region. e) Interregional Assembler (IRA) procures from two or more regions. 2. Distributor sells commodities to other traders and consumers. Since his/her business is primarily to sell than to procure, he/she provides more services to his/her buyers than to his/her suppliers. Distributors are classified according to the geographic sphere of his/her selling operations (location of buyers), but are described according to size (i.e., small, medium, large). There may be instances, however, when classification could be according to the relative volume of commodities rather than the traders geographic sphere of influence. The following are the classifications of distributors: a) Small Distributor (SD) - handles only a small volume of goods; sells to retailers within the same market; may sell to several small eateries (carinderias). b) Medium Distributor (MD) - sells larger volume than small distributor; sells to traders coming from other markets in the province; may also sell to few institutional buyers (hotel, restaurant, hospital, military camp). c) Large Distributor (LD) - handles the largest volume among the three types of distributors; usually sells to traders from other markets within and outside the province; may also sell to several institutional buyers.
110
3. Assembler-Distributor uses about the same efforts and resources in procuring and selling a commodity; usually finances farmers and traders in supply areas and has agents responsible for procurement; sells commodities to other traders. Several combinations are possible as shown below: a) b) c) d) e) f) g) h) i) j) k) l) m) n) o) Barangay Assembler-Small Distributor (BA-SD) Barangay Assembler-Medium Distributor (BA-MD) Barangay Assembler-Large Distributor (BA-LD) Municipal Assembler-Small Distributor (MA-SD) Municipal Assembler-Medium Distributor (MA-MD) Municipal Assembler-Large Distributor (MA-LD) Provincial Assembler-Small Distributor (PA-SD) Provincial Assembler-Medium Distributor (PA-MD) Provincial Assembler-Large Distributor (PA-LD) Regional Assembler-Small Distributor (RA-SD) Regional Assembler-Medium Distributor (RA-MD) Regional Assembler-Large Distributor (RA-LD) Interregional Assembler-Small Distributor (IRA-SD) Interregional Assembler-Medium Distributor (IRA-MD) Interregional Assembler-Large Distributor (IRA-LD)
Note: An assembler remains only an assembler and not an assembler-distributor if the trader sells exclusively to only one trader. Examples of traders who are purely assemblers are interregional, regional, provincial and municipal assemblers who sell to only one processor/exporter with whom they have contract quotas to fulfill. 4. Agent/canvasser receives cash advance from the trader; procures on behalf of the trader; add his/her profit margin to the procurement price from the farmer. 5. Retailer a type of trader who sources his/her stock either directly from the farmer or distributors and sells directly to consumers. 6. Processor transforms a raw commodity to a different product form (with valueadded). 7. Exporter - a type of trader whose outlet/s for his/her product is/are outside the country.
111