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FOREWORD

Being a land of bountiful opportunities, the Philippines possess a wide variety of crops, livestock and fisheries that can be harnessed not only for livelihood but to build agribusiness enterprises as well. The purpose in preparing the cost and return brochure on a wide-range of agricultural commodities and related support facilities is to entice numerous private sectors to invest in agribusiness sector. The brochure will serve as a start-up of business information in preparation of business plan for aspiring agribusiness entrepreneurs. Having a simple business idea can ignite a desire to develop into an agribusiness enterprise that is globally competitive. Further this publication likewise spells-out in general the Department of Agricultures (DA) interventions and assistance to strengthen partnerships with the private sector. Agribusiness and Marketing Assistance Service (AMAS) (as a DA unit) serves as a facilitating and coordinating unit of DA for agribusiness entrepreneurs who need assistance on investments as well as on marketing their products. We hope that this brochure will serve as a catalyst in Philippine agribusiness development.

ENGR. LEANDRO H. GAZMIN Director, AMAS

TABLE OF CONTENTS
I. Crops Abaca Ampalaya Black pepper Cacao Calamansi Cassava Coffee Cucumber Garlic Hot Pepper Jackfruit Lettuce Mungbean Oil palm Okra Onion Papaya Peanut Pili Nut Pineapple Rubber Squash Stringbeans Sweet Potato 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

II. Livestock Dairy Cow Farm Goat Native Chicken

III. Fisheries Bangus Grow Out in Cages Bangus Grow Out in Pond Bangus Hatchery Bangus Nursery Bangus Siganid Polyculture Cage Fabrication Green Bay Mussel Culture Grouper Cage Culture Fish Processing Plant Ice Plant and Cold Storage Mudcrab Fattening Mudcrab Hatchery Saline Tilapia Culture in Pens Seaweeds Hectare Plant Seaweed (Kappaphycus sp.) Farming Seaweed Nursery One Hectare

25 26 27

28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43

Department of Agriculture Agribusiness & Marketing Assistance Service

Initial Project Cost : Product Market

Preferred Location : :

One Hectare Abaca Production Catanduanes, Northern Samar, Leyte, Davao Oriental & Surigao Del Sur PhP 65,010 Abaca Fiber

Cost and Return Cost of Production (10 years) Gross Income (10 years) Net Income (10 years) Average Farm Price per Kilo Payback Period Return on Investment (ROI) ___________________
Source: FIDA, 2011

Local traders, Cordage firms, Pulp manufacturers, Fibercraft processors : : : : : :

PhP 639,813 PhP 768,000 PhP 128,186 PhP 40.00 5 years 20 %

Uses

Government Support

Training, market linkage, local government incentives (seedling/seeds subsidy), provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Cordage, ropes and twines Pulp and specialty papers Fibercrafts Textiles/fabrics Handmade paper sheets and converted items Furniture

Philippines Agribusiness Investment Opportunities

One Hectare Ampalaya Production Preferred Location Project Cost Product Market : PhP 457,211 : Throughout the Country

: Ampalaya fruit and leaves : Wet markets and Local processors, Medicine manufacturer

Cost and Return Cost of Production : PhP 457,211 Gross Income : PhP 658,350 Net Income : PhP 201,139 Farmgate Price /kg. : PhP 35.00 Return on Investment (ROI) : 44% Gestation Period : 90-100 days ______________________________________
Source of data: www.afmis.da.gov.ph, 2012

Uses

Ampalaya (Momordica charantia) known as bitter gourd or bitter melon, is one of the scientifically recognized medicinal plant endorsed by Department of Health (DOH) for its ability to cure diabetes (diabetes mellitus) for the non-insulin dependent patients, aids in liver problems as well as HIV. It also aids in detoxification, strengthening of immune system and fertility regulation. Several medicinal uses of ampalaya: roots, seeds or leaf decoction were used as astringent, for treating wounds, purgative to expel intestinal parasites among others.

Training, market linkage, local government incentives (seedling/seeds subsidy), provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Government Support Proposed Investment Arrangements / Modalities
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Nutritional value: Ampalaya leaves and fruits are excellent source of vitamins B1, B2, B3, and C, magnesium, folic acid, zinc, phosphorus, and manganese. This vegetable is high in dietary fiber and very low in calories. It contains twice the carotene of broccoli, twice the calcium of spinach, and twice the potassium of a banana.

Sole Proprietorship Partnership and/or Contract Growing Cooperative Plantation Joint Ventures

Department of Agriculture Agribusiness & Marketing Assistance Service

Initial Project Cost : PhP 159,550 Product Market

Preferred Location : Ilocos Region, Central Luzon, Southern Tagalog, Western Visayas, Western and Central Mindanao : Black Pepper : Wet markets, Processors, Supermarkets

One Hectare Black Pepper Production

Uses

Cost and Return (Ave. for 10 years) Cost of Production : PhP 45,143 Gross Income : PhP 275,828 Net Income : PhP 230,068 Farmgate Price / kg. : PhP 205.00 Return on Investment (ROI) : 145% Gestation Period : 3 years ___________________________
Source of data: DA, BAS, 2012

Government Support

Training, market linkage, local government incentives, provision of credit (Rural Banks, Development Banks) technical information, site identification, facilitation of business licenses and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Cooperative Plantation Joint Ventures

Black pepper, often referred as king of spice is one of the most versatile spices used in virtually in all kinds of savory cooking. Peppercorns contain piperine which gives strong spicy pungent character. They contain a good amount of minerals like potassium, calcium, zinc, manganese, iron, magnesium. Likewise, peppercorns are good source of many anti-oxidant vitamins such as vitamin-C and vitamin- A.

Philippines Agribusiness Investment Opportunities

Preferred Location Project Cost Product Market

: Cacao dry beans

Cost and Return

Source of data: PCA, updated, 2012

Production Cost Gross Income (Yr. 2-4) Farmgate Price/ kg. Net Income Return on Investment Payback Period Economic Life

: Local and foreign processors

: PhP 165,155

: Southern Mindanao, Southern Tagalog, Central Visayas

One Hectare Cacao Production

: : : : : : :

PhP 165,155 PhP 252,000 PhP 90.00 PhP 86,845 53% 4 years 30-40 yrs.

Uses

AFMIS on-line service/market linkage, improved breed/varieties, seminar/training on value-adding (BPI, DOST), clustering/consolidation (DA, LGUs extension service), LGU incentives (seedling subsidy, tax holidays, business licenses, permits, etc.), Credit (rural banks and development banks. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership Cooperative Plantation Joint Ventures

Government Support

Chocolate, confectioneries, drinks Flavorings, coating for medicines, etc. Contains traces of Vitamin A, Thiamin (B1), Vit. C, Riboflavin (B2), Niacin (B3), Panthothenic Acid (B5), Minerals such as Magnesium, Calcium, Iron Zinc, Potassium, Copper and Manganese High in antioxidants Lowers cardiovascular disease, cancer Good for skin Anti-depressant Gives relief from diarrhea/bowel disorders

Department of Agriculture Agribusiness & Marketing Assistance Service

One (1) Hectare Calamansi Production


Preferred Location Initial Project Cost Product Market : MIMAROPA, CALABARZON Davao Region

: PhP 64,975 : Calamansi

Cost and Return (Average: 4-10 years) Cost of Production : PhP 25,977 Farmgate Price /kg. : PhP 10.00 Return on Investment (ROI) : 165% Gestation Period : 3 years Economic Life : 10 years ___________________________________

Gross Income Net Income

: Wet markets, Processors , Supermarkets

: PhP 76,373 : PhP 50,396

Uses

Source of Data: DA RFU IVB, 2012

Training, market linkage, local government incentives (seedlings/seed subsidy), provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licenses and other related matters. Government Support Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Cooperative Plantation Joint Ventures

There are many uses of calamansi that make this fruit a wonder fruit. Calamansi is a rich source of vitamin C. The juice is used as a meat tenderizer and as a flavoring ingredient or an additive in various food preparations. Further, the juice can be utilized in beverages, syrups, concentrates, and purees. The peel can be processed into jams, candies and marmalade. With its alkalinizing effect, calamansi juice can helps blood circulate energy and facilitates normal digestion. It is a treatment for itchy scalp, clear up acne and deodorize underarms. Calamansi in its pure form is when taken orally is a good remedy for cough.

Calamansi or calamondin (Citrofortunella microcarpa) is a fruit tree indigenous and widely cultivated in the Philippines. The tree is low set, spreading and well branched attaining 2 to 7.5 meters at maturity. The leaves are broad and oval and dark green to pale green on the upper and lower surfaces, respectively. The fruit is usually round, ranging from 2 to 2.5 cm in diameter, dark green when unripe and yellow orange when ripe, with loose skin, segmented contents and the pulp is very acidic.

Philippines Agribusiness Investment Opportunities

Preferred Location Initial Project Cost Product Market

Cost and Return

Cost of Production

Uses

Fresh tubers Dried Chips Gross Income : PhP 75,000 PhP 85,000 Net Income : PhP 36,537 PhP 38,037 Farmgate Price / kg. : PhP 3.0 PhP 8.50 Return on Investment (ROI) : 78% 81% Gestation Period : 6-10 months after planting _____________________________
Source of Data: DA-AFIS, 2012

: PhP 46,963

: Wet markets, Processors, Feed millers, Alcohol ethanol producers

: Fresh cassava tubers

: PhP 46,963

: Throughout the country

One (1) Hectare Cassava Production

Government Support

Training, market linkage, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Cooperative Plantation Joint Ventures

Cassava is a very functional crop, as all of its parts have beneficial uses. Food - confectionaries, native pastries like (suman and bibingka), sago, vegetables, food seasoning, noodles and flour. Industrial Cassava starch (tapioca flour) is used in many industries such as: food, pharmaceutical, paper, adhesive, textile, mining and other manufacturing industries. It is a good feed stock for bio-ethanol production. Feeds- cassava meal is a good substitute for feed grains in animal rations. Cassava leaf meal contains 18-20% protein, is a good feed for poultry and livestock. Further, In China, Thailand, and Brazil, cassava is becoming an important biofuel crop in the production of bio-ethanol.

Department of Agriculture Agribusiness & Marketing Assistance Service

One Hectare Coffee Production Preferred Location : Sultan Kudarat, Cavite, Compostela Valley, Davao del Sur, Sulu PhP 55,911

Initial Project Cost Product Market

Uses

Cost and Return for 4-8 years Cost of Production : PhP 64,564 Gross Income : PhP 160,000 Net Income : PhP 95,436 Farmgate Price/kg. : PhP 80.00 Return on : 148% Investment (%) Gestation Period : 4 years Economic Life : 60 years ____________________________________________________
Source of data: Provincial Office, Sultan Kudarat, 2012

Fresh/Dried beans, Green beans

Local processors, Traders, Millers

Government Support

Training, market linkage, market promotion, provision of technical assistance Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Cooperative Plantation Joint Ventures

Coffee is rich in antioxidant properties. It acts as stimulant because of the caffeine contents It stimulates metabolism and supports mental alertness and concentration. It helps maintain the body in good health over time because of its nutrients called Polyphenols. It is use as main ingredient for soluble or instant coffee, particularly Robusta variety.

Philippines Agribusiness Investment Opportunities

Preferred Location Project cost Product Market

Uses

Cost and Return Cost of Production : PhP 169,870 Gross Income : PhP 400,000 Net Income : PhP 230,130 Farmgate Price / kg. : PhP 20.00 Return on Investment (ROI) : 135% Gestation Period : 45-60 days after transplanting __________________________________
Source of data: ATI, PCARRD, 2012

: Wet markets, Processors Supermarkets

: PhP 169,870

: Cucumber fruit

: Throughout the country

One Hectare Cucumber Production

Cucumber has is a healthy, flavorful addition to salads and are often served along with spicy Asian dishes to help cool off the diner's palate. Many people make pickled cucumbers as a side dish with a mixture of salt and sugar or preserve them in a brine for later use. The uses of cucumber also extend to skin care, from helping to reduce the swelling of puffy eyes to serving as an ingredient in facial masks. Some people even recommend using cucumbers to help clean bathrooms and shine shoes.

Government Support

Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Cooperative Plantation Joint Ventures

Training, market linkage, local government incentives, provision of credit (Rural Banks, Development Banks) technical information, site identification, facilitation of business licenses and other related matters.

Cucumber contains Vitamins B, B1, B2, B3, B5, B6 and C, folic acid, calcium, iron, magnesium, potassium and zinc. Based on some medical and scientific reports, cucumber can reduce cholesterol, stimulate hair growth, aid in weight loss, relieve gout and arthritis pain, control blood pressure, aid digestion, and helps to cure diabetes.

Department of Agriculture Agribusiness & Marketing Assistance Service

Preferred Location Project Cost Product Market

: Northern Luzon, Mimaropa, Central Luzon, Cagayan Valley : Mature garlic bulbs : Wet markets, Local processors, Pharmaceuticals : PhP 138,359

One Hectare Garlic Production


Ilocos White

Cost and Return Cost of Production : PhP 138,359 Gross Income : PhP 192,000 Net Income : PhP 53,642 Farmgate Price/ kg. : PhP 60.00 75.00 Return on Investment (ROI) : 39% Gestation Period : 120 days ____________________________________________ Uses
Source of data: Ilocos Norte LGU 4th Qtr, 2011

Nueva Ecija pink

AFMIS on-line service/market linkage, improved breed/varieties, seminar/training on value-adding (BPI, DOST), clustering/consolidation (DA, LGUs extension service), LGU incentives (seedling subsidy, tax holidays, business licenses, permits, etc.), and credit (Rural banks and development banks). Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership Cooperative Plantation Joint Ventures

Government Support

Spice, flavour, staple in many cuisines Mosquito repellent Protection for pets Garden pesticide Cosmetics Fish bait Medicine (high blood pressure, antibiotic, tooth-ache reliever, treatment for acne, cough syrup, aphrodisiac, etc.)

Philippines Agribusiness Investment Opportunities

Preferred Location : Throughout the country Initial Project Cost : PhP 88,369 Product Market : Hot pepper : : : :

One Hectare Hot Pepper Production

Cost and Return Cost of Production Gross Income Net Income Farmgate Price / kg. Return on Investment (ROI) Gestation Period Uses

: Wet markets, Local processors, Supermarkets PhP 88,369 PhP 320,000 PhP 234,243 PhP 40.00

Source of data: Agricultural Training Institute, 2012

: 262 % : 60-75 days

Peppers are used fresh and dried. The dried hot peppers are often ground into powders. It contains high amount of vitamin C and carotene, a good source of vitamin B-6. Likewise, it is very high in potassium, magnesium, and iron. Moreover, it contains chemical compound capsaicin used in the preparation of ointments, rubs and tinctures for their astringent. It has anti-bacterial, anti-carcinogenic, analgesic and anti-diabetic properties and reduces LDL cholesterol levels in obese persons.

_____

Government Support

Training, market linkage, local government incentives (seedling/seeds subsidy), provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Cooperative Plantation Joint Ventures

10

Department of Agriculture Agribusiness & Marketing Assistance Service

One Hectare Jackfruit Production


Preferred Location : Mindanao Regions, Eastern Visayas, Bicol Region, Southern Tagalog, Nothern Luzon Project Cost Product Market : Wet markets and local processors, Medicine manufacturer : : : : : PhP 40,993 PhP 57,330 PhP 16,337 PhP 15.00 40% : Mature ripe/immature as vegetable : PhP 40,993

Costs and Return Production Cost Gross Income (Yr.3) Net Income Farmgate Price / kg. Return on Investment

Uses

NOTE: Productive lifespan is 19-20 years. However, after the 20th year, the yield starts to decline and it is time to replant but not on the same spot to avoid nutrient-depleted soil.

Source of data: DA-RFU VIII, updated, 2012

__________________________________________

Immature Mature Trunk Latex Seeds Roots Leaves

Plant parts Fruits

Vegetables, feeds

Home/Industrial uses

As dessert, processed into beverages and Sold as whole fruit or sliced, for sweets beverage and candy making Lumber for house and building materials Making of guitar, firewood Medicine, fodder, compost materials Paste, glue Food, feeds, planting materials Handle for farm implements Pharmaceuticals Making candies, planting materials

Sold as whole fruit or as cook vegetables

Market

AFMIS on-line service/market linkage, improved breed/varieties, seminar/training on value-adding (BPI, DOST), clustering/consolidation (DA, LGUs extension service), LGU incentives (seedling subsidy, tax holidays, business licenses, permits, etc.), credit (rural banks and development banks. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership Cooperative Plantation Joint Ventures

Government Support

Philippines Agribusiness Investment Opportunities

11

Preferred Location : CAR, CALABARZON, Bukidnon Initial Project Cost : PhP 77,556 Product Market : Fresh/raw lettuce

One (1) Hectare Lettuce Production

Uses

Cost and Return Cost of Production : PhP 77, 556 Gross Income : PhP 240,000 Net Income : PhP 162,444 Farmgate Price / kg. : PhP 20.00 Return on Investment (%) : 209% Gestation Period : 45-60 days from transplanting _____________________________
Source of Data: PCCARD, 2012

: Wet markets, Supermarkets

Government Support

Training, market linkage, local government incentives (seedlings/seed subsidy), provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licenses and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Joint Ventures

Food ingredient on fresh garden salad which is in demand as people nowadays become health conscious as they learned that eating raw vegetables is more healthy. Commonly used as garnish in many food preparations. Lettuce is high in fiber making it an ideal vegetable for those who watch their diet.

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Department of Agriculture Agribusiness & Marketing Assistance Service

One Hectare Mungbean Production


Preferred Location Project Cost Product Market : Ilocos, Cagayan Valley and Central Luzon

: Dried mungbeans and Mungbean sprouts

: PhP 21,766

Cost and Return Cost of Production : (PhP) 21,766 Estimated Yield of Production : 800 kilos Average Farm gate price/ kg. : PhP 50.00 Gross Income : PhP 40,000 Net Income : PhP 22,212 Return on Investment : 125 % Gestation period : 120 days _________________________________________________________________________ Uses
Source of data: LGU of the Municipality of San Mateo, Isabela, updated, 2012

: Wet markets and Local processors, Vermicelli Manufacturers, Hopia bakeries

AFMIS on-line service/market linkage, improved breed/varieties, seminar/training on value-adding (BPI, DOST), clustering/consolidation (DA, LGUs extension service), LGU incentives (seedling subsidy, tax holidays, business licenses, permits, etc.), credit (rural banks and development banks. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership Cooperative Plantation Joint Ventures

Government Support

It is a raw material in the major processes namely: mungbean sprout production, sotanghon manufacturing; hopia processing; dishes like soups, porridge, snacks, bread, noodles and ice cream; Mungbean starch is extensively used for starch noodles; Mungbean protein is used to fortify cereal flour Crop residues are used for fodder, hay, green manure or cover crop

Philippines Agribusiness Investment Opportunities

13

Preferred Location Project Cost Product

: PhP 126,675.40 (excluding land cost) : Fresh fruit bunch (FFB) from which crude palm oil (CPO) is extracted from its mesocarp and palm kernel oil (PKO) from the kernel : Oil palm mills, Processors

: Mindanao Regions, Palawan

One Hectare Oil Palm Production

Market

Source of data: National Economic Research & Business Center, SOCCSKSARGEN, Region 12, 2010

Uses

Cost and Return Cost of Production : PhP 126,675.40 Gross Income (Yr 4-5): PhP 273,439 Net Income : PhP 146,764 Return on Investment (ROI) : 63% Payback Period : 2 yrs., 4 months & 8 days Economic Life : 25 years ______________________________________________________________________________________________ Ice cream Margarine/Cooking oil Chocolate and confectionery products Coffee whitener filled milk Soap and detergent

AFMIS on-line service/market linkage, improved breed/varieties, seminar/training on value-adding (BPI, DOST), clustering/consolidation (DA, LGUs extension service), LGU incentives (seedling subsidy, tax holidays, business licenses, permits, etc.), and credit (Rural banks and development banks). Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership Cooperative Plantation Joint Ventures

Government Support

14

Department of Agriculture Agribusiness & Marketing Assistance Service

Cost and Return of OneOne Hectare Okra Production Hecrtare Production of Okra Preferred Location : All over the country Tarlac (export) Project Cost Product Market : PhP 100,671 : Fresh Okra

Cost and Return Cost of Production : PhP 100,671 Gross Income : PhP 180,000 Net Income : PhP 79,329 Farm Price/kg. : PhP 12.00 Return on Investment (%) : 79% Gestation Period : 40 to 60 days _________________________________________________ Uses

: Wet market, Export market

Source of data: PCARRD internet publication, 2009

Training, market linkage, technical assistance Government Support

Okra (Hibiscus esculentus L.) is a total growing, warm season and annual vegetable crop. It is rich in Vitamin A, protein, calcium, fats, potassium, phosphorus, iron and carbohydrates. It is a popular vegetable in the country and generally planted for home consumption and now exported to Japan. The young and tender fruits can be prepared as salad, boiled, broiled or fried and can be mixed in any meat and fish dishes. Important vegetable mix of the famous Ilocano dish, pinakbet. As traditional medicine, okra is used for the treatment of stomach ulcer, inflammation of the lungs, colitis and sore throat. The fruit contains soluble (in the form of gums and pectins) and insolube fiber. Soluble fiber helps lower serum cholesterol, reducing the risk of heart disease Insoluble fiber keeps the intestinal tract healthy decreasing the risk of some forms of cancer, especially colorectal cancer. Joint Ventures Partnership and / or Contract Growing Sole Proprietorship

Proposed Investment Arrangements / Modalities

Philippines Agribusiness Investment Opportunities

15

Preferred Location : Central Luzon, Mimaropa Cagayan Valley, Northern Luzon Project Cost Product Market : PhP 124,220 : Onion bulbs : Wet markets, Food-chain institutions, Processors

One Hectare Onion Production

Uses

Cost and Return Cost of Production : PhP 124,220 Gross Income : PhP 200,000 Net Income : PhP 74,780 Farmgate Price / kg. : PhP 10.00 Return on Investment (%) : 76% Break-even yield : 13,000 kgs. Gestation Period : 120 days ______________________________________________________________
Source of data: RFU-4B (MIMAROPA), 2009 updated, 2012

Bulb onion (allium cepa L.), locally known as sibuyas, is probably the most indispensable culinary ingredient in the world. It is a favorite seasoning, and its pungent aroma and sharp taste makes it ideal for spicing up meat, salads and vegetable dishes. It is also used to cure a wide array of physiological disorders such as cough, obesity, insomnia, hemorrhoid and constipation

AFMIS on-line service/market linkage, improved breed/varieties, seminar/training on value-adding (BPI, DOST), clustering/consolidation (DA, LGUs extension service), LGU incentives (seedling subsidy, tax holidays, business licenses, permits, etc.), credit (rural banks and development banks. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership Cooperative Plantation Joint Ventures

Government Support

16

Department of Agriculture Agribusiness & Marketing Assistance Service

Preferred Location : Southern Tagalog, Bicol, Ilocos, Western Visayas, Western Mindanao, So. Mindanao Project Cost Product Market : PhP 92,360 : Fresh papaya

One Hectare Papaya Production

Cost and Return Total Cost : PhP 92,360 Gross Income : PhP 139,013 Farmgate Price/kg. : PhP 7.00 Net Income : Php 46,653 Return on Investment (ROI) : 50% Payback Period : 2 yrs. Economic Life : 3-4 yrs. ___________________________________
Source of data: PCARRD-DOST, 2012

: Wet markets and Local processors, Food/medicine manufacturers

Uses

Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership Cooperative Plantation Joint Ventures

AFMIS on-line service/market linkage, improved breed/varieties, seminar/training on value-adding (BPI, DOST), clustering/consolidation (DA, LGUs extension service), LGU incentives (seedling subsidy, tax holidays, business licenses, permits, etc.), credit (rural banks and development banks.

Government Support

Papaya is considered one of the most economically important and nutritious fruits, being a rich source of antioxidants and nutrients such as vitamins, minerals and fiber. Papaya is also the of the digestive enzyme papain which is an industrial ingredient used in brewing, meat tenderizing, pharmaceuticals, beauty products and cosmetics.

Philippines Agribusiness Investment Opportunities

17

Preferred Location Project Cost Product Market

: Northern Luzon, Central Luzon, Mimaropa, Bicol : Shelled/unshelled dry peanuts : PhP 39,689

One Hectare Peanut Production

Cost and Return Cost of Production : PhP 39,689 Unit Cost per kilo : PhP 30.00 Production Yield/hectare : 3,000 kgs Gross Income/hectare : PhP 90,000 Net Income : PhP 50,311 Return on Investment (ROI) : 127% Break-even price/kilo : PhP 14.00 Gestation Period : 120 days ________________________________________________________________________________________________ Uses
Source of data: Institute of Economics & Management, Pampanga Agricultural College, 2012

: Wet markets and Local/foreign processor

Popular confections include: peanut butter ( sandwiches, candy bar and bakery products) peanut brittle and shelled nuts (plain/roasted Unshelled boiled peanuts (popular snack) Peanut oil, peanut floor and peanut milk Use in cosmetics, nitroglycerin, plastics, dyes and paints Oilcake meal for feeds and fertilizer Peanut shells in the use for plastics, wallboards, abrasives, cellulose and fuel AFMIS on-line service/market linkage, improved breed/varieties, seminar/training on value-adding (BPI, DOST), clustering/consolidation (DA, LGUs extension service) LGU incentives (seedling subsidy, tax holidays, business licenses, permits, etc.) Credit (rural banks and development banks. Sole Proprietorship Partnership Cooperative Plantation Joint Ventures Government Support

Proposed Investment Arrangements / Modalities

18

Department of Agriculture Agribusiness & Marketing Assistance Service

One-Hectare Pili Nut Production


Preferred Location Project Cost Product Market : PhP 41,976 : Bicol Region, Eastern Visayas

Source of data: Technoguide for Pili, DA-RFU V, 2010

Cost and Return Total Cost ( Yr. 1-Yr.7 ) Gross Income (Yr. 3-Yr.7) Net Income (Yr. 6-7) Farmgate Price/kg. Payback period Returns on Investment (Yr. 6-7) Economic Life

: Wet markets and Local processors, Industrial manufacturers : : : : : : : PhP 55,478 PhP 164,225 PhP 108,747 PhP 30.00 7 yrs. 17% up to 400 yrs.

: Pili nuts with hull, Shell, Unshelled nuts, Resin

Uses

AFMIS on-line service/market linkage, improved breed/varieties, seminar/training on value-adding (BPI, DOST), clustering/consolidation (DA, LGUs extension service), LGU incentives (seedling subsidy, tax holidays, business licenses, permits, etc.), credit (rural banks and development banks. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership Cooperative Plantation Joint Ventures

Government Support

KERNEL - Eaten raw or roasted, used in chocolate, ice or baked goods PULP - As vegetable pickle, sweetened pulp spread, pulp powder, flour, puree, sauce, lighting/cooking oil, cattle/swine feed SHELL - fuel, growing medium for orchids/anthuriums and craft products such as household decors, items, fashion accessories and souvenirs LEAVES - as salads, relishes TRUNK - as furniture, wood panels, TREE - as windbreak, avenue tree, shade, pest repellant for other crops (abaca, coffee, cacao), reforestation. TESTA - as dyes, compost materials RESIN - as pharmaceuticals, lacquer, varnish, adhesives and Manila elemi or pili nut tree essential oil which is used as fixative and fragrance component.

Philippines Agribusiness Investment Opportunities

19

Preferred Location : Project Cost Product Market

One Hectare Pineapple Production

South Cotabato, Bukidnon, Cavite & Camarines Norte PhP 212,587.50 Pineapple Fruit Wet markets and Local processors

Cost and Return Cost of Production : PhP 212,587.50 Gross Income : PhP 310,500 Net Income : PhP 97,912.50 Average Farm Price per Kilo : PhP 7.00 Return on Investment (ROI) : 46 % Gestation Period : 16-18 months ________________________________________________________________________ Uses
Source of Data: The Philippines Recommends for Pineapple, PCARRD-DOST, (2010) Invest and Make Progress in Pineapple Production, DA-HVCCP DA-AFIS, 2010

foodfruit.blogspot.com

Government Support

Training, market linkage, local government incentives (seedling/seeds subsidy), provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Consumed as fresh fruit and served sliced, chunked or as juice. Processed into marmalades, jam, jellies or candies. The crown of the plant can also be use as raw material for wall paper and furnishings and also as fiber. The waste from canning can be processed into animal feed. Nutritional Value: The fruit contains water, carbohydrates, substantial amount of Vitamin C and potassium and other nutrients.

20

Department of Agriculture Agribusiness & Marketing Assistance Service

Initial Project Cost : PhP 256,920 Product Market

Preferred Location : North Cotabato, Palawan Zamboanga Peninsula : Local processors and exporters : Rubber cup lump

One Hectare Rubber Plantation

Uses

Cost and Return (10th 20th year) Cost of Production : PhP 120,486.89 Gross Income : PhP 1,370,760.98 Net Income : PhP 768,359.59 Farmgate Price / kg. : PhP 100.00 (dry rubber) Return on Investment (%) : 127 % Gestation Period : 7 years Economic Life : 30 years _________________________________________
Source of Data: Dr. Rolando Dy, UA&P, 2012

Government Support

Training, market linkage, local government incentives (seedling/seeds subsidy), provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Cooperative Plantation Joint Ventures

Seventy percent (70%) is used by the Tire Industry Other uses: contraceptives, surgical dipped goods and rubber threads, tank liners medical sundries, foot wear, cements and adhesives Wood can be used for furniture Helps in Carbon dioxide sequestration

Philippines Agribusiness Investment Opportunities

21

Preferred Location : Nueva Vizcaya, Nueva Ecija, Quezon & Albay Project Cost Product Market Cost and Return Cost of Production Gross Income Net Income Farm Price / kg. Return on Investment (ROI) Gestation Period Uses : PhP 67,173 : Squash Fruit

One Hectare Squash Production

: Wet markets and Local processors : : : : PhP 67,173.24 PhP 100,000 PhP 32,826.76 PhP 10.00

______________________________________________________________________________ Source of Data: Squash Production Guide, ATI 2008; updated, 2012

: 49 % : 90-110 days

Government Support

Training, market linkage, local government incentives (seedling/seeds subsidy), provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship

Squash fruits, young shoots and flowers are used as vegetables. Seeds are roasted as snack food. Squash fruit can also be made into noodles, catsup, pastillas, hopia, leche flan, flour for bread, chips and curls. Nutritional Value: Squash is an excellent source of vitamins (A, C, B1, B6 & B3) and minerals. Beta carotene contained in squash is a powerful antioxidant and anti-inflammatory. It also prevents the oxidation of cholesterol in the body. Potassium is also present in squash. It reduces urinary calcium excretion.

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Department of Agriculture Agribusiness & Marketing Assistance Service

One Hectare Stringbean Production Preferred Location Project Cost Product Market : All over the country : PhP 63,140 : Wet markets

: Stringbean Production

Source of Data: ATI RFU 2 Publication, Sitao Production Guide, 2008

Uses

Cost and Return Cost of Production : PhP 63,140 Gross Income : PhP 150,000 Net Income : PhP 87,241 Farm Price/kg. : PhP 15.00 Return on Investment (%) : 139% Gestation Period : 45 to 65 days __________________________________________________________________

Government Support

Training, market linkage, technical assistance

String beans (Vigna sativa) are non-seasonal crop and can be grown throughout the year. It is a leguminous vegetable that can be used as substitutes of animal protein. It is rich source of folic acid, contain iron and calcium. Rich source of Vitamin K, which promotes bone growth. It enhances the absorption of calcium and Vitamin C in the body. String beans contain antioxidant properties. The dried seeds of string beans can serve as raw materials for the preparation of animal feeds. It improves soil condition through nitrogen fixation.

Proposed Investment Arrangements / Modalities Partnership and / or Contract Growing Sole Proprietorship

Philippines Agribusiness Investment Opportunities

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One Hectare Sweet Potato Production


Preferred Location Initial Project Cost Product Market : PhP 55,404 : Throughout the country

: Fresh sweet potato tubers, Leaves, Dried potato chips,

Cost and Return Cost of Production : PhP 55,404 Gross Income : PhP 120,000 Net Income : PhP 64,596 Farmgate Price / kg. : PhP 8.00 Return on Investment(ROI) : 117% Gestation Period : 110-120 days after planting ______________________________________________________ Source of data: Bureau of Plant and Industry, 2012 Uses

: Wet markets, Local processors and Feed millers

Sweet potato (Ipomea batatas, Linn.) locally known as camote is an important root crop in the Philippines. In some rural areas, it is a substitute for rice as staple food. Sweet potato vines is animal feed as it contains high starch content. Hence it has become an important source of raw material for starch and starchderived industrial products. On farmers level, processing to products such as flour, dried chips, juice, bread, noodles, candy, and pectin. New products include liquors and the use of the anthocyanin pigments in the purple varieties for food coloring and in cosmetics industry.

The sweet potato is an excellent source of flavonoid phenolic compounds such as beta-carotene and vitamin A, pantothenic acid (vitamin B-5), pyridoxine (vitamin B-6), and thiamin (vitamin B-1), niacin, and riboflavin. Diabetic person can eat sweet potatoes without worry as these tubers have a low glycemic index. Further, it has anti-inflammatory properties. The beta-carotene and vitamin C in camote tubers work together to rid the body of cancer-friendly free radicals.

Government Support

Training, market linkage, local government incentives (seedling/seeds subsidy), provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Cooperative Plantation

Joint Ventures

24

Department of Agriculture Agribusiness & Marketing Assistance Service

Initial Project Cost : PhP 6,408,515 Product Market : Milk and beef

Preferred Location : Central Luzon, Visayas Regions, Soccksargen

125 Head Dairy Cow Farm

Cost and Return on the 1ST year alone: Cost of Production : PhP 6,408,515 Gross Income : PhP 12,571,083 From sale of milk : PhP 12,176,239 From sale of animal : PhP 394,844 Net Income : PhP 6,162,568 Price : PhP 300/liter of milk and P7,050.00/animal Return of Investment (ROI) : 39% Payback Period : 4 years and 7 months _________________________________________________
Source of Data: Happy Cow Tropical Dairy Farm

: Local market, Processors

Uses

Beef is an important source of protein. It is also good for bones and teeth. It enhances immunity against infections of ear etc., and prevents blood vessel walls from damaging. Moderate consumption of lean beef is also good for cardiovascular health and to prevent cancer risks.

Training, market linkage, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licenses and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Joint Ventures

Government Support

Milk is the main source of our calcium requirement. Aside from the usual fresh pasteurized milk it is being processed into other dairy products (cheese, ice cream , butter, yogurt, etc.) It is also a main ingredient in baking. Its non food use include: for cosmetic products (lotion, soaps, shampoo etc.)

Philippines Agribusiness Investment Opportunities

25

Preferred Location : Throughout the country Initial Project Cost : PhP 226,460 Product Market : Goat meat

Goat Production 25 Doe Operation (48 Months)

Cost and Return Operating Expenses : PhP 240,000 Gross Income And Inventory : PhP 458,000 Gross Profit : PhP 218,400 Price per kilo : Php 220.00 Return of Investment (ROI) : 135 % Gestation Period : 13 months ________________________________ Uses
Source of Data: Ben Rara, FGASPAPI

: Wet markets, Processors, Supermarkets

The demand for goat meat and milk are increasing in the local markets and halal meat markets abroad. Goats are very popular among Filipino raisers because they require low initial capital investment, fit the small hold farm conditions and require low maintenance because they eat tree leaves, grasses, weeds, and agricultural by-products. Culturally, goats are integral to every special occasion such as birthdays, baptisms, weddings, and fiestas. Hence, they command a higher price compared with other meats in the market. Goat meat it is low in saturated fat, the type that increases the LDL cholesterol, and higher in unsaturated fats, the type that helps increase your HDL or good cholesterol.

Training, market linkage, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Government Support Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Joint Ventures

26

Department of Agriculture Agribusiness & Marketing Assistance Service

Initial Project Cost : PhP 50,000 Product Market Cost and Return Cost of Production Gross Income Net Income Price / kg.
Source: WESVARRDEC

50-Hen Darag Native Chicken Production (24 Months Operation)

Preferred Location : Throughout the country : Chicken meat, eggs

Return on Investment (ROI) : 1.41 % Gestation Period : 3-4 months ______________________ Uses

: : : :

: Supermarket, Wet markets, Restaurants PhP 94,429 Php 164,735 Php 70,306 Php 200 (culled breeders) Php 40 per chick

Darag native chicken has unique taste and texture that is preferred by Filipino consumers. It is a major source of eggs ad meat in rural communities in Western Visayas and source of additional farm income. They are raised raised free ranged in the backyard and received minimal care in terms of health, nutrition, and housing. Government Support Training, market linkage, local government incentives, provision of credit (Rural Banks, Development Banks) technical information, site identification, facilitation of business licenses and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Chicken recipes have been evolving to satisfy Filipino taste buds for savory foods. Filipinos have the notion that native chicken than commercial breeds. Well liked for distinct taste and flavor. Native chickens are considered healthy food since they are believed to be chemical-free.

Philippines Agribusiness Investment Opportunities

27

Preferred Location : Pangasinan, Pampanga, Bulacan, Iloilo, Laguna, Zamboanga Norte, Batangas, Davao Product Market Initial Project Cost : PhP 2,825,900 : Fresh Bangus

Bangus Grow-Out in Cages (7-units)

Uses

Cost and Return Cost of Production : PhP 8,477,700 Gross Income : PhP 12,600,000 Net Income : PhP 4,122,300 Price per kilo : PhP 80.00 Return on Investment (ROI) : 48 % Payback Period : 2.05 years Gestation Period : 90-120 days ___________________________
Source of Data: DA-BFAR, 2012

: Wet Markets, Institutional Buyers, Processors Export Markets

Government Support

Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Training, market linkage, local government incentives provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters.

Smoked Milkfish Boneless Bangus Rellenong Bangus

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Department of Agriculture Agribusiness & Marketing Assistance Service

Preferred Location : Laguna, Batangas, Quezon, Pampanga, Iloilo, Zamboanga, Initial Project Cost : PhP 168,738 Product Market : Fresh Bangus : Wet Markets, Institutional Buyers, Processors Export Markets

Bangus Grow-Out in Ponds (1-hectare)

Use

Cost and Return Cost of Production : PhP 337,476 Gross Income : PhP 403,200 Net Income : PhP 65,724 Price per kilo : PhP 80.00 Return on Investment (ROI) : 38 % Payback Period : 2.57 years Gestation Period : 4-month ___________________________
Source of Data: DA-BFAR, 2012

Food

Government Support

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Philippines Agribusiness Investment Opportunities

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Preferred Location : Throughout the Country Project Cost Product Market : PhP 69,670 : Bangus Fry : Bangus Nursery Operators

Small Scale Bangus Hatchery

Use

Cost and Return Cost of Production : PhP 696,700 Gross Income : PhP 1,920,000 Net Income : PhP 1,223,300 Price per kilo : PhP 0.80/fry Return on Investment (ROI) : 123% Payback Period : 0.97 year (less than a year) Gestation Period : 35.6 days ______________________________
Source of Data: DA-BFAR, 2012

Government Support

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Bangus Breeder

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Department of Agriculture Agribusiness & Marketing Assistance Service

Bangus Nursery: Fingerling Production Preferred Location : Pangasinan, Pampanga, Bulacan, Iloilo, Laguna, Zamboanga Norte , Batangas, Davao Initial Project Cost : PhP 388,210 Product Market Cost and Return : Bangus Fingerlings : Bangus Grow-out Pond Operators

Cost of Production : PhP 1,164,630 Gross Income : PhP 2,160,000 Net Income : PhP 995,370 Price per kilo : PhP 6.00/fingerling Return on Investment (ROI) : 59 % Payback Period : 1.67 years Gestation Period : 2.5 months ___________________________
Source of Data: DA-BFAR, 2012

Use

Government Support

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Food

Philippines Agribusiness Investment Opportunities

31

Preferred Location : Throughout the Country Initial Project Cost : PhP 461,950 Product Market : Bangus and Siganid

Bangus-Siganid Polyculture in Cage

Cost and Return Cost of Production Gross Income Net Income Price per kilo Bangus Siganid Return on Investment (ROI) Payback Period

: Wet Markets, Institutional Buyers, Processors Export Markets : PhP 1,385,850 : PhP 1,877,310 : PhP 491,460 : PhP 80.00 : PhP 110.00 : 35 % : 3.35 years

Use

Source of Data: DA-BFAR, 2012

Economic Life : 90-120 days ___________________________ Food

Government Support

Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters.

32

Department of Agriculture Agribusiness & Marketing Assistance Service

Preferred Location : In Region with Mariculture Park Initial Project Cost Ten Cages (10) : PhP 1,921,610 80-Cages : PhP 15,372,880 Product Market

Cage Fabrication

: Mariculture Cages : Mariculture Park

Use

Cost and Return Cost of (80 Cages) : PhP 16,073,130 Gross Income : PhP 25,600,000 Net Income : PhP 9,526,870 Price per cage : PhP 320,000 Return on Investment (ROI) : 42% Payback Period : 2.5 years Life Span : 5-year ____________________________
Source of Data : DA-BFAR. 2012

Government Support

Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters.

Cage for Mariculture Farm

Philippines Agribusiness Investment Opportunities

33

Preferred Location : Along the Bays nationwide Initial Project Cost : PhP 402,279 Product Market : Fresh Mussel : Wet markets and Institutional Markets

Green Bay Mussel Culture (1-hectare)

Cost and Return Cost of Production : PhP 386,316 Gross Income : PhP 600,000 Net Income : PhP 213,684 Price per kilo : PhP 280.00 Return on Investment (ROI) : 39% Payback Period : 2.5 years Gestation Period : 4-8 months ___________________________ Use
Source of Data: DA-BFAR, 2012

Government Support

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Food

34

Department of Agriculture Agribusiness & Marketing Assistance Service

Preferred Location : In Regions with Mariculture Park Initial Project Cost : PhP 1,076,500 Product Market : Fresh Grouper

Grouper Cage Culture

Use

Cost and Return Cost of Production : PhP 840,000 Gross Income : PhP 1,334,000 Net Income : PhP 504,000 Price per kilo : PhP 280.00 Return on Investment (ROI) : 60% Payback Period : 2.1 years Gestation Period : 150-180 days ___________________________
Source of Data: DA-BFAR, 2012

: Wet markets and Export markets

Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters.

Government Support

Food

Philippines Agribusiness Investment Opportunities

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Preferred Location : Pangasinan, Iloilo, Zamboanga, Quezon, Camarines Sur, Zamboanga Norte, Surigao Norte and Sur, Cotabato City, Batangas, Davao Norte Initial Project Cost : PhP 5,941,675 Product Market

Fish Processing Plant

Use

Cost and Return Cost of Production : PhP 5,575,275 Gross Income : PhP 8,454,110 Net Income : PhP 2,878,835 Price per kilo Fillet : PhP 170.00 Bagoong : PhP 70.00 Return on Investment (ROI) : 52 % Payback Period : 2.09 years Economic Life : 20 years ___________________________
Source of Data: DA-BFAR, 2012

: Wet Markets, Institutional Buyers, Processors, Export Markets

: Fish Fillet, Fish Bagoong

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities
36

Government Support

Food

Sole Proprietorship Partnership and/or Contract Growing Joint Ventures

Department of Agriculture Agribusiness & Marketing Assistance Service

Preferred Location : In Regions with Fish Ports Product Market Initial Project Cost : PhP 4,601,664 : Blocked-Ice

Ice Plant and Cold Storage (5-Ton Capacity)

Cost and Return Cost of Production : PhP 988,806 Gross Income : PhP 3,282,840 Net Income : PhP 2,293,434 Price per kilo : PhP 280.00 Return on Investment (ROI) : 160% Payback Period : 2.9 years Production Rate : 1,052 blocks/month ______________________________ Use
Source of Data: DA-BFAR, 2012

: Wet markets and Fish Dealers

Government Support

Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership Cooperative

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters.

Frozen Fish

Philippines Agribusiness Investment Opportunities

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Preferred Location : Bulacan, Davao Norte, ARMM, Zamboanga Peninzula Bicol Region, Samar, Leyte Initial Project Cost : PhP 14,244 Product Market : Mudcrab : Wet markets and Export markets

Mudcrab Fattening

Use

Cost and Return Cost of Production : PhP 135,216 Gross Income : PhP 234,900 Net Income : PhP 99,684 Price per kilo : PhP 250.00 Return on Investment (ROI) : 52% Payback Period : 1.94 years Gestation Period : 15 days ______________________________
Source of Data : DA-BFAR, 2012

Government Support

Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters.

Food

38

Department of Agriculture Agribusiness & Marketing Assistance Service

Preferred Location : Bulacan, Davao Norte, ARMM, Zamboanga Peninzula Bicol Region, Samar, Leyte Initial Project Cost : PhP 3,687,523 Product Market : Mudcrab Breeders

Mudcrab Hatchery

Use

Cost and Return Cost of Production : PhP 1,644,570 Gross Income : PhP 2,304,000 Net Income : PhP 659,430 Price per kilo : PhP 2.00/piece Return on Investment (ROI) : 28% Payback Period : 3.5 years Number of Run : 6-run/year ___________________________
Source of Data: DA-BFAR, 2012

: Mudcrab Nursery

Government Support

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Food

Philippines Agribusiness Investment Opportunities

39

Preferred Location : Bicol Region, MIMAROPA, ARMM, Zamboanga Peninzula, Western Visayas, Eastern Visayas, Central Visayas Initial Project Cost : PhP 497,609 Product Market : Wet markets and Export markets

Saline Tilapia Culture in Pens One Hectare

: Fresh Saline Tilapia

Use

Cost and Return Cost of Production : PhP 1,437,159 Gross Income : PhP 2,231,250 Net Income : PhP 794,091 Price per kilo : PhP 70.00 Return on Investment (ROI) : 39% Payback Period : 2.67 years Gestation Period : 120 days ______________________________
Source of Data: DA-BFAR, 2012

Government Support

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing

Food

40

Department of Agriculture Agribusiness & Marketing Assistance Service

Preferred Location : Mimaropa Region, Eastern Visayas, Zamboanga Peninsula, CARAGA Region Initial Project Cost : Php 47,205
(1st cropping)

Hectare Seaweed Farm

Product Market

: Fresh seaweeds

Uses

Cost and Return (5 cropping period) Cost of Production : PhP 155,610.20 Gross Income : PhP 265,200 Net Income : PhP 109,589.80 Price per kilo : PhP 60.00 Return on Investment (ROI) : 70 % Gestation Period : 2-3 months __________________________
Source of Data: BFAR, 2011

: Wet markets Local Processors/exporters

Government Support

Training, market linkage, local government incentives (seedlings subsidy), provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Joint Ventures

Huge demand in the global market due to diversified uses of carrageenan (by-product of seaweeds) which is used as stabilizer, gelling agent, thickener, binder and additive for various dairy products, water and air freshener gels, toothpaste, pharmaceuticals, cosmetics, pet food, meat processing and beer bottling industries.

Philippines Agribusiness Investment Opportunities

41

Preferred Location : Mimaropa Region, Eastern Visayas, Zamboanga Peninsula, CARAGA Region, Batangas, Bicol Region Initial Project Cost : PhP 156,921 Product Market

Seaweed(Kappaphycus sp.) Farming One Hectare

: Fresh Seaweeds, Dry Seaweeds

Uses

Cost and Return Cost of Production : PhP 304,605 Gross Income : PhP 910,000 Net Income : PhP 605,395 Price per kilo : PhP 35.00 Return on Investment (ROI) : 139 % Payback Period : 0.41 year (half-year) Economic Life : 45-60 days ____________________________
Source of Data : DA-BFAR , 2012

: Wet Markets, Institutional Buyers, Processors, Export Markets

Training, market linkage, local government incentives, provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters. Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Cooperative Seaweeds Farm

Government Support

Huge demand in the local market due to huge demand of carrageenan(byproduct of seaweeds) which is used as stabilizer, gelling agent, thickener, binder and additive for various dairy products, water and air freshener gels, toothpaste, pharmaceuticals, cosmetics, pet food, meat processing and beer bottling industries.

42

Department of Agriculture Agribusiness & Marketing Assistance Service

Preferred Location : Mimaropa Region, Eastern Visayas, Zamboanga, Batangas Peninsula, CARAGA Region, Bicol Region Initial Project Cost : PhP 177,687 Product Market : Seaweeds Planting Materials : Seaweed-Growers

Seaweed Nursery (1-hectare)

Use

Cost and Return Cost of Production : PhP 476,900 Gross Income : PhP 2,175,000 Net Income : PhP 1,748,130 Price per kilo : PhP 15.00 Return on Investment (ROI) : 256% Payback Period : 0.39 year (half-year) Economic Life : 30 days ___________________________
Source of Data: DA-BFAR, 2012

Government Support

Proposed Investment Arrangements / Modalities Sole Proprietorship Partnership and/or Contract Growing Cooperative Seaweeds Farm

Training, market linkage, local government incentives , provision of credit (Rural Banks and Development Banks), technical information, site identification, facilitation of business licences and other related matters.

Seedlings

Philippines Agribusiness Investment Opportunities

43

AMAS serves as central body that coordinates and facilitates the efforts on marketing, investment and entrepreneurial development of all the DA units, bureaus and attached agencies and establish networking with other entities (i.e NGO, business sectors, LGUs, SCUs, government agencies, and financial institutions, among others).

THE AGRIBUSINESS AND MARKETING ASSISTANCE Assistance Service SERVICE (AMAS), DEPARTMENT OF AGRICULTURE (DA)

Agribusiness & Marketing

It takes the lead in the promotion of agriculture and fisheries products and in the promotion of agribusiness investment potentials in the local and international arena. There are numbers of regular agribusiness and investment fairs being organized and participated by AMAS in collaboration with local and foreign partners.

For effective market assistance/linkage and useful information systems, the DA AMAS devotes resources on market intelligence work to assess evolving market trends and scan emerging demand for agricultural products in both the domestic and export markets. Likewise, to ensure sustainable and effective information systems, the AMAS and the Information Technology Center for Agriculture and Fisheries (ITCAF) work together and formed the Agriculture and Fisheries Market Information System (AFMIS) at the national and local levels. The countrys agribusiness investment promotion and enterprise development assistance focuses on high-value value commodities with comparative advantage. The livelihood entrepreneurial activities include assistance and support for agribusiness entrepreneurs in Micro-SMEs. In strengthening the small farmers/ fisher folk groups and for easy market access and support services the trading centers and food terminal systems are being established in strategic areas in partnership with private sector and local government units. AMAS has fivefold programs: 1) market access and development; 2) industry support and development; 3) investment assistance and promotion; 4) enterprise development assistance; and, 5) market research and information.
Agribusiness and Marketing Assistance Service (AMAS) Department of Agriculture Building, Elliptical Road, Diliman, Quezon City 1100 Direct Line: (632) 920-4073 / (632) 920-2216 DA Trunkline: (632) 928-8741 local 2146 Fax: (632) 926-6434 Email: aiedd_amas@yahoo.com.ph

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Department of Agriculture Agribusiness & Marketing Assistance Service

DEPA RT

T EN

OF AGR IC

RE TU UL

Philippines Agribusiness Investment Opportunities

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