Commodity System Analysis of Rice Production in Baao, Camarines Sur

Andrea edit B. Bibares Click to Jane Master subtitle style ABM 203 - EC

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Technical Description

Rice (Oryza sativa L.) is one of the staple foods of the Philippines. Cultivated rice or palay is an annual grass with round, pointed culms, flat leaves and terminal panicles. The grain is ripened ovary. When it matures, 90-100% of the filled spikelets turns yellow.
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Economic Importance of the Commodity

Rice

is one of the staple foods in the country. It is also called a political crop since it can trigger significant effects in the politics and economy especially in developing countries.

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Economic Importance of the Commodity

It

can topple government leaders, spark mass protests, trigger food riots, and generate mass hoarding of stocks, and it often serves as the sustaining staple of Third World countries. (Benett, 2008)

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Input Subsystem
Major

Inputs Used

Fertilizers and insecticides

Synthetic fertilizers Organic fertilizers

Seeds
Certified seeds Hybrid seeds

Labor
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Input Subsystem
Volume

Utilization and Prices of

Inputs Utilization of inputs in the town varies depending on the practice of the farmer. Some farmers use pure synthetic fertilizers. Some would use synthetic and organic and others use pure organic inputs.
Major

Fertilizer inputs:
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Urea P1090/sack (

Input Subsystem
Sources

of inputs:

Fertilizers
Synthetic fertilizers and pest control chemicals
Agri-vet stores mostly retailers

Organic inputs
Independent producers Farmers produce their own inputs

Seeds
Government DA-LGU Seed breeders
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Input Subsystem
Problems

of the Sector

Rising prices of synthetic inputs. Shifting of some farmers to organic farming

for suppliers of synthetic fertilizers.

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Production Subsystem
Production

Concentration

Most of the rice farms are located at the low

areas of the town.

Total land area of Baao: 14,305 hectares

23.1% are rice fields Irrigated farms - 3,233.47 hectares Rain-fed farms - 53.85 hectares Upland farms - 17 hectares
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Production Subsystem
Technological

Developments

Most of the rice farms in the town are still labor-intensive from land preparation to harvesting. Organic Farming.
Was introduced to some farmer groups in

2009

The project was initiated by a certain NGO 8/1/12

Production Subsystem

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Production Subsystem
Production

Issues

Rising prices of inputs. Low value of produce. Calamities Information gap technical/scientific way

of rice farming

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Processing Subsystem
Postharvest

Process
Dried Mechanical Dryer/Solar

Palay

Threshed

Milled

Edible Rice

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Processing Subsystem
Volume

and Value of Products

At every stage in the postharvest system, the value of the produce increases but the volume (per sack) of the product decreases due to the decrease in removal of water and rice bran from the paddies.
About

88% is used as food, 4% for processing, 2% for seeds and 6% 8/1/12 goes to feeds and waste.

Processing Subsystem
Processing

Opportunities

Maintaining the Quality of Rice

Most farmers practice solar drying of palay which was said to decrease the quality of rice.

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Marketing Subsytem

Source: Department of Agriculture, AFMIS

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Marketing Subsytem
Rice

considered as undifferentiated commodity. taker

Producers: Look for buyers with the highest

Price

or fairest price.
Buyers: Set the best price for them to get

the largest volume

Distribution:
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Marketing Subsytem
Prevailing

Prices as of the current

harvest:
Wet/Fresh harvest P13/kilo Dried P15-16/kilo NFA P17/kilo Milled P28 40/kilo (depending on the

variety)

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Marketing Subsytem
Marketing

Opportunities and

Problems
Lack of market for organic produce in the

town.
For family consumption Sell the produce at a lower price Farmers tend to go back to synthetic farming less labor-intensive, less costly

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Support Subsystem
Institutions

Supporting the Commodity System

Department of Agriculture municipal

office.
Philippine Rural Reconstruction

Movement (PRRM). - non-government organization

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Support Subsystem
Development

Programs and Projects

Government
Seeds subsidies. The government buys seeds to breeders at P1,200 and sells them to farmers at P600 for certified seeds and P700 for hybrid seeds. Palay Check. A cropping season-long seminar and consultation offered to farmers to solve farming issues and problems encountered of rice farmers in the town. Crop Insurance.
P800 per hectare P13, 000 per8/1/12 hectare (covers

Support Subsystem
Development

Programs and Projects

PRRM.
Organic farming.
Project started in 2009 Conducted trainings and seminars to farmers interested Monitoring of the farms and additional consultation to farmers

Soil testing and matching of crops viable to soil classification within the town. 8/1/12

Integrated Analysis
Critical

Problems

Information Gap Support from the Government Control over the prices

Prospects/Outlook

Unless the government could give sufficient

support to farmers in the town.

Connect the information gap

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