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Marketing Costs Structure Study Marketing Costs Structure Study Marketing Costs Structure Study Marketing Costs Structure Study Series 6 Series 6 Series 6 Series 6 MARKETING COSTS STRUCTURE MARKETING COSTS STRUCTURE MARKETING COSTS STRUCTURE MARKETING COSTS STRUCTURE FOR CALAMANSI FOR CALAMANSI FOR CALAMANSI FOR CALAMANSI Marketing Studies and Development Section Marketing Studies and Development Section Marketing Studies and Development Section Marketing Studies and Development Section Agricultural Marketing Statistics Division Agricultural Marketing Statistics Division Agricultural Marketing Statistics Division Agricultural Marketing Statistics Division BUREAU OF AGRICULTURAL STATISTICS BUREAU OF AGRICULTURAL STATISTICS BUREAU OF AGRICULTURAL STATISTICS BUREAU OF AGRICULTURAL STATISTICS DEPARTMENT OF AGRICULTURE DEPARTMENT OF AGRICULTURE DEPARTMENT OF AGRICULTURE DEPARTMENT OF AGRICULTURE June 2003 June 2003 June 2003 June 2003

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Page 1: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Marketing Costs Structure StudyMarketing Costs Structure StudyMarketing Costs Structure StudyMarketing Costs Structure StudySeries 6Series 6Series 6Series 6

MARKETING COSTS STRUCTURE MARKETING COSTS STRUCTURE MARKETING COSTS STRUCTURE MARKETING COSTS STRUCTURE FOR CALAMANSIFOR CALAMANSIFOR CALAMANSIFOR CALAMANSI

Marketing Studies and Development SectionMarketing Studies and Development SectionMarketing Studies and Development SectionMarketing Studies and Development Section

Agricultural Marketing Statistics DivisionAgricultural Marketing Statistics DivisionAgricultural Marketing Statistics DivisionAgricultural Marketing Statistics Division

BUREAU OF AGRICULTURAL STATISTICSBUREAU OF AGRICULTURAL STATISTICSBUREAU OF AGRICULTURAL STATISTICSBUREAU OF AGRICULTURAL STATISTICSDEPARTMENT OF AGRICULTUREDEPARTMENT OF AGRICULTUREDEPARTMENT OF AGRICULTUREDEPARTMENT OF AGRICULTURE

June 2003June 2003June 2003June 2003

Page 2: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

MARKETING COSTS MARKETING COSTS MARKETING COSTS MARKETING COSTS STRUCTURE FOR CALAMANSISTRUCTURE FOR CALAMANSISTRUCTURE FOR CALAMANSISTRUCTURE FOR CALAMANSI

Page 3: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

FOREWORD

This is the sixth of a series of research results on Marketing

Costs Structure Studies for Selected High Value Commercial Crops. The research was conducted in the second semester of 2001. This report describes the marketing costs of calamansi in the three producing provinces of Quezon, Mindoro Oriental and Guimaras. It includes the marketing costs incurred by traders in the demand areas.

It is hoped that the information in this report would serve as

inputs in policy formulation and as guide for various participants in the marketing chain for calamansi in their production and marketing decisions.

ROMEO S. RECIDE Director

Marketing Cost Structure for Calamansi i

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Table of Contents

Foreword ......................................................................................... i Table of Contents ........................................................................... ii Statistical Table .............................................................................. vii List of Figures ................................................................................. vii

I. Introduction Objectives Scope and Limitation ....................................................... 1

II. Research Methodology ................................................................... 2

III. Discussion of Results

A. Distribution and Profile of Respondents Types of Marketing Participants ................................ 2 - 4 Profile of Respondents ............................................... 4 - 9 Marketing Practices and Functions ............................. 9 Procurement ............................................................... 9 Distribution .................................................................. 10 Geographic Flow ......................................................... 10 - 14 Marketing Channels .................................................... 14 - 18 Marketing Costs Labor ................................................ 18 Transportation Material Inputs Miscellaneous and Other Operating Costs Depreciation ......................... 19 - 20 Total Marketing Costs ................................................. 21 Marketing Costs by Point of Destination ..................... 21 - 25 Marketing Margins ...................................................... 26 - 31

IV. Problems/Constraints

Encountered ..................................................................... 32 Statistical Tables ................................................................ 33

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1 CALAMANSI : Distribution of respondents, by type, by province/municipality, 2001

2 CALAMANSI : Distribution of respondents, by type of marketing participants, by province, 2001

3 CALAMANSI : Number and percentage distribution of farmer-respondents, by size of farm, by province, 2001

4 CALAMANSI : Number and percentage distribution of farmer-respondents, by tenurial status, by province, 2001

5 CALAMANSI : Distribution of trader-respondents by type of business, by province, 2001

5a CALAMANSI : Distribution of trader-respondents, by type of marketing participants, by type of business, by province, 2001

6 CALAMANSI : Distribution of trader-respondents, by nature of capitalization, by province, 2001

6a CALAMANSI : Distribution of trader-respondents, by type of marketing participants, by nature of capitalization, by province, 2001

7 CALAMANSI : Distribution of trader-respondents, by length of experience, by province, 2001

8 CALAMANSI : Major sources and destinations, by location, by province, 2001

9 CALAMANSI : Cropping Pattern, by activity in selected provinces, 2001

10 CALAMANSI : Distribution of respondent by manner of procurement, by province, 2001

STATISTICAL TABLES

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10a CALAMANSI : Distribution of respondents, by type of marketing participants, by manner of procurement, by province, 2001

11 CALAMANSI : Distribution of respondents, by mode of payment in procurement, by province, 2001

11a CALAMANSI : Distribution of trader-respondents, by marketing participants, by mode of payment in buying stocks, by province, 2001

12 CALAMANSI : Distribution of respondents, by manner of distribution, by province, 2001

12a CALAMANSI : Manner of distribution, by type of marketing participants, by province, 2001

13 CALAMANSI : Distribution of respondents, by mode of payment in distribution, by province, 2001

13a CALAMANSI : Distribution of respondents, by type of marketing participants, by mode of payment for distribution, by province, 2001

14 CALAMANSI : Labor costs incurred by activity/practice, by province, 2001

14a CALAMANSI : Labor costs incurred by marketing participants, by activity/practice, Metro Manila, 2001

14b CALAMANSI : Labor costs incurred by marketing participants, by activity/practice, Mindoro Oriental, 2001

14c CALAMANSI : Labor costs incurred by marketing participants, by activity/practice, Batangas, 2001

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14d CALAMANSI : Labor costs incurred by marketing participants, by activity/practice, Quezon, 2001

14e CALAMANSI : Labor costs incurred by marketing participants, by activity/practice, Iloilo, 2001

14f CALAMANSI : Labor costs incurred by marketing participants, by activity/practice, Guimaras, 2001

15 CALAMANSI : Transportation costs incurred by activity/practice, by province, 2001

15a CALAMANSI : Transportation costs incurred by marketing participants, by activity/practice, Metro Manila, 2001

15b CALAMANSI : Transportation costs incurred by marketing participants, by activity/practice, Mindoro Oriental, 2001

15c CALAMANSI : Transportation costs incurred by marketing participants, by activity/practice, Quezon, 2001

15d CALAMANSI : Transportation costs incurred by marketing participants, by activity/practice, Iloilo, 2001

15e CALAMANSI : Transportation costs incurred by marketing participants, by activity/practice, Guimaras, 2001

16 CALAMANSI : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, by province, 2001

16a CALAMANSI : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Metro Manila, 2001

16b CALAMANSI : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Mindoro Oriental, 2001

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16c CALAMANSI : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Batangas, 2001

16d CALAMANSI : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Quezon, 2001

16e CALAMANSI : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Iloilo, 2001

16f CALAMANSI : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Guimaras, 2001

17 CALAMANSI : Other operating costs by cost item, by province, 2001

17a CALAMANSI : Other operating costs incurred by marketing participants, by cost item, Metro Manila, 2001

17b CALAMANSI : Other operating costs incurred by marketing participants, by cost item, Mindoro Oriental, 2001

17c CALAMANSI : Other operating costs incurred by marketing participants, by cost item, Batangas, 2001

17d CALAMANSI : Other operating costs incurred by marketing participants, by cost item, Quezon, 2001

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17e CALAMANSI : Other operating costs incurred by marketing participants, by cost item, Iloilo, 2001

17f CALAMANSI : Other operating costs incurred by marketing participants, by cost item, Guimaras, 2001

18 CALAMANSI : Imputed cost of depreciation by facilities/equipment used, by province, 2001

18a CALAMANSI : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Metro Manila, 2001

18b CALAMANSI : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Mindoro Oriental, 2001

18c CALAMANSI : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Batangas, 2001

18d CALAMANSI : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Quezon, 2001

18e CALAMANSI : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Iloilo, 2001

18f CALAMANSI : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Guimaras, 2001

19 CALAMANSI : Total Marketing Costs, Cash & Non-cash), by cost item, by province, 2001

20 CALAMANSI : Total Marketing Costs (Cash & Non-cash), by Major Item, by province, 2001

21 CALAMANSI : Distribution of respondents, by problems encountered, by province, 2001

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1 CALAMANSI: Cropping Pattern, by activity in Mindoro Oriental, 2001…………………

2 CALAMANSI: Cropping Pattern, by activity in Quezon, 2001……………………………..

3 CALAMANSI: Cropping Pattern, by activity in Guimaras, 2001…………………………..

4 Geographic Flow of Calamansi in Mindoro Oriental, 2001……………………………………

5 Geographic Flow of Calamansi in Quezon, 2001…………………………………………………

6 Geographic Flow of Calamansi in Guimaras, 2001…………………………………………………

7 Marketing Channels for Calamansi in Mindoro Oriental, 2001………………………………

10 Marketing Channels for Calamansi in Quezon, 2001……………………………………………

11 Marketing Channels for Calamansi in Guimaras, 2001…………………………………………

13 Total Marketing Costs for Calamansi, by Point of Destination, Mindoro Oriental, 2001

14 Total Marketing Costs for Calamansi, by Point of Destination, Quezon, 2001 …………….

15 Total Marketing Costs for Calamansi, by Point of Destination, Guimaras, 2001 ……….

17 Marketing Cost for Calamansi, by level of Marketing Participants, Mindoro Oriental, 2001

18 Marketing Cost for Calamansi, by level of Marketing Participants, Quezon, 2001………….

19 Marketing Cost for Calamansi, by level of Marketing Participants, Guimaras, 2001………..

LIST OF FIGURES

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MARKETING COSTS STRUCTURE FOR CALAMANSI I. Introduction

Calamansi or calamondin (Citrofortunella microcarpa) is a fruit tree belonging to the citrus family. It is a good source of Vitamin C. Its juice is used as an ingredient or additive in various food preparations. It also possesses medicinal values. Objective

This study aims to determine the marketing flow and the corresponding expenses incurred by marketing participants in distributing calamansi from the producers to the consumers. Scope and Limitations

The study covered key supply and demand areas for calamansi in the provinces of Quezon, Mindoro Oriental and Guimaras, representing Luzon and Visayas.

The demand areas for calamansi in Mindoro Oriental include several

municipalities within the province and the adjacent province of Batangas. Calamansi from Quezon reaches Rizal and Camarines Norte provinces, while calamansi from Guimaras is consumed mostly in the provinces of Regions 6 and 7. Metro Manila serves as a major demand area.

The study traced the flow and the marketing costs of calamansi from the

production to the demand areas. At the demand areas, the study concentrated on the costs incurred in marketing calamansi coming from a supply province but not on calamansi produced in the demand province itself. For instance, in Batangas, the costs borne by traders of calamansi from Mindoro Oriental were covered but not the costs of moving calamansi produced in the municipalities within Batangas province.

Marketing Cost Structure for Calamansi 1

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II. Research Methodology

For each of the key supply province, the top 5 producing barangays were chosen from the results of the household listing under the High Value Commercial Crops (HVCC) project. From these top producing barangays, 40 calamansi farmers were selected purposively. Farmers who were engaged in producing/trading calamansi from July 2000 to June 2001 were selected and interviewed.

From the farm level, the team traced the traders identified by the farmer-

respondents as buyers of their produce. Most of them were located in the trading centers. From the traders, the team then moved to the next point of sale consisting of retail markets within the province and/or trading centers in the partner provinces.

III. Discussion of Results

The first part of the report describes the distribution, profile and the marketing functions and practices of the respondents. Part 2 presents the marketing costs and the problems encountered by the respondents. A. Distribution and Profile of Respondents

Types of marketing participants. Of the total of 191 respondents, 120 were farmers and 71 were traders (Table 1).

In this study, four types of traders were identified: assemblers,

distributors, assembler-distributors and retailers. The first three types of traders can be classified further according to the geographic coverage and volume of transactions. Table 2 shows the type of marketing participants covered in the study.

1. Assembler - procures calamansi from farmers and/or traders in the

supply areas; usually has agents or relatives responsible for procurement and assembly. In this study assemblers are classified according to geographic area of procurement. These are:

Marketing Cost Structure for Calamansi 2

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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.

2. Distributor - sells calamansi 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. They can be classified according to the relative volume of commodities and to the geographic sphere of his selling operations (location of buyers). The following are the classification of distributors:

a) Small Distributor (SD) - handles only small volume of goods;

sells to retailers within the same market and to small eateries (carinderia) within the area.

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 sells to several institutional buyers.

3. Assembler – Distributor - uses 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 was identified in the study as shown below:

a) Barangay Assembler- Small Distributor (BA-SD) b) Barangay Assembler- Medium Distributor (BA-MD) c) Municipal Assembler – Small Distributor (MA-SD) d) Municipal Assembler – Medium Distributor (MA-MD) e) Municipal Assembler – Large Distributor (MA-LD) f) Provincial Assembler – Small Distributor (PA-SD) g) Provincial Assembler – Medium Distributor (PA-MD) h) Provincial Assembler – Large Distributor (PA-LD) i) Regional Assembler – Large Distributor (RA-LD)

Marketing Cost Structure for Calamansi 3

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NOTE: An assembler remains only an assembler and not an assembler-distributor if the trader sells exclusively to one trader. Example of traders who are purely assemblers are inter-regional, regional, provincial and municipal assemblers who sell to only one processor/exporter with whom they have contract quotas to fulfill.

4. Retailer - sources his/her stocks either directly from the farmers or traders and directly sell the goods to the consumers.

! Twenty-seven (27) of the trader-respondents were large distributors; 6

were medium and 6 were small distributors; and 32 were retailers.

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.

Sample Farmers

Size of Farm. The size of farm of farmer respondents ranged from less than 1.0 to more than 5.0 hectares (Table 3).

! Calamansi is produced in relatively smaller areas. Sixty-four percent

(64%) of the respondents reported farm areas of less than one hectare.

! Twenty-two or about 18% of the respondents had farm sizes of less

than 2.0 hectares. ! Each of 21 farmers cultivated areas of more than two hectares.

Land Ownership. Most of the farmer-respondents owned the farmland

they cultivate. Twenty-eight of them were tenants, 4 were lessees and 5 used rent-free and public lands.

! In Mindoro Oriental, out of 40 respondents, 32 were owner operators; 2 were holders of certificate of land transfer; 5 were tenants and one used public land.

Marketing Cost Structure for Calamansi 4

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! Farmer-respondents in Quezon comprised 35 landowners, one was a CLT awardee and 4 were tenants.

! Thirty-nine (39) of the farmer-respondents in Guimaras were owners

and only one was tenant. Cropping Pattern. Calamansi bear fruits after a year of planting. Its

trees have an average life span of five years. Figures 1-3 and Table 9 illustrate the cropping pattern for calamansi based on the responses of the farmer-respondents.

! Out of the 40 farmer-respondents, 14 farmers from Mindoro Oriental

planted calamansi trees during the period. All of them had standing bearing trees from which they harvested and marketed the fruits whole year round.

! In Quezon, nobody among the respondents planted calamansi from

June 2000 to July 2001 but they also have standing bearing trees. ! Likewise, the sources of calamansi fruits of farmer-respondents in

Guimaras were standing bearing trees. Sample Traders

Business Ownership. Majority or 93 percent of the trader-respondents in most of the study areas operated under single proprietorship.

! Trader-respondents from Metro Manila, Batangas, Quezon and Iloilo

were all single proprietors. ! Four among the respondents have business partners: 3 from Mindoro

Oriental and 1 from Guimaras.

! One large-distributor from Mindoro Oriental ran his business as a corporation.

Nature of Capitalization ! Ninety-two percent of the trader-respondents financed their own

businesses. In Metro Manila, Batangas and Iloilo, all sample traders used their own capital.

! One respondent from Mindoro Oriental, one from Quezon and two

from Guimaras operated their businesses under financing.

Marketing Cost Structure for Calamansi 5

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Figure 1. CALAMANSI: Cropping Pattern, by activity in Mindoro Oriental, 2001

0

10

20

30

Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec.

Planting Harvesting Trading

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Figure 2. CALAMANSI: Cropping Pattern, by activity in Quezon, 2001

0

5

10

15

20

25

30

Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec.

Planting Harvesting Trading

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Figure 3. CALAMANSI: Cropping Pattern, by activity in Guimaras, 2001

0

10

20

30

40

50

Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec.

Planting Harvesting Trading

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! Two trader-respondents from Mindoro Oriental and Guimaras had contract agreements with their buyers.

Length of Experience

! Thirteen traders representing 18% of sample traders were trading calamansi for less than 5 years.

! Twenty-four traders or 34% were in the business for 5 to 10 years

already.

! Other trader-respondents have more than ten years experience in calamansi trading: 13 traders with 11-10 years; 7 with 16-20 years and 14 with more than 20 years in this enterprise.

Marketing Practices and Functions

Farmers and traders perform several marketing practices in moving the products from one point to another. The major practices and functions which include the manner of procurement and distribution, mode of payment, geographic flow and marketing channels and the corresponding costs are described in the succeeding sections.

Procurement

In the supply province, traders procured calamansi from the production

area within the province. However, Iloilo traders bought their commodity in province of Guimaras and Aklan in addition to the supply of calamansi in the province.

Manner of Procurement ! Of the 71 trader-respondents, thirty two or 45 % picked up calamansi

from the sources. ! Procurement by 54% was done through deliveries by their suppliers.

! There was one trader from Iloilo who procured calamansi fruits using

both pick-up and delivery. Mode of Payment. Payments of procurement were either cash on

delivery, consignment or delayed payment.

Marketing Cost Structure for Calamansi 9

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! Majority of the trader-respondents (42 out of 71) paid their suppliers in cash upon delivery.

! Twenty-seven traders practiced consignment and two traders delayed

their payments to the suppliers.

Distribution

The following describes the mode of delivery and the terms of payment made by the respondents.

Mode of Delivery. The mode of delivery of calamansi depended on the

type of buyer and the location. ! Thirty three (33) of the sample farmers and 3 traders from Mindoro

Oriental delivered calamansi to their buyers. On the other hand, 7 farmers and 6 traders let their buyers picked up the fruits from them.

! In contrast, 33 farmers from Quezon and 35 from Guimaras have their

buyers picked up the fruits from their farm while 7 and 5 farmers, respectively delivered calamansi to their buyers.

! In Metro Manila, one retailer delivered calamansi to his buyers.

Calamansi sold by 7 large distributors and 12 retailers were picked up from their stalls by their buyers

Mode of Payment. Terms of payment in selling calamansi were either

cash on delivery or consignment. ! Twenty eight farmers in Mindoro Oriental, 21 in Quezon and another

21 in Guimaras were paid on consignment basis. The remaining 50 farmer-respondents were paid in cash.

! Twenty assembler-distributors received payment in cash. Nineteen

(19) of them were paid in consignment. The retailer-respondents (32) from all the covered areas received payment in cash.

Geographic Flow

Table 8 presents the sources and destination point of calamansi in the areas of the study. Figures 4 – 6 illustrate the flow of calamansi by location and by province.

Marketing Cost Structure for Calamansi 10

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Mindoro Oriental Trading Centers:-Naujan-Pola-Guitad-Calapan-Victoria-Bago-Bagong Silang-Lumang Bayan

DEMAND AREAS

TRADING CENTERS

SUPPLY AREAS

Figure 4. GEOGRAPHIC FLOW OF CALAMANSI IN MINDORO ORIENTAL, 2001

Mindoro Oriental:-Naujan-Pola-Guitad-Calapan-Victoria-Bago-Bagong Silang-Lumang Bayan

ManilaBatangas

Mindoro Oriental-Calapan-Bilboa-Puerto Galera-Victoria

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Quezon Trading Centers:-Lopez-Gumaca-Alabat-Atimonan-Tagcauayan

DEMAND AREAS

TRADING CENTERS

SUPPLY AREAS

Figure 5. GEOGRAPHIC FLOW OF CALAMANSI IN QUEZON, 2001

Quezon:-Lopez-Gumaca-Alabat-Atimonan-Caglate-Tagcauayan-Caridad-Magsino

Camarines NorteRizal

Quezon:-Lopez-Gumaca-Lucena City-Atimonan-Calauag-Catanauan

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San LorenzoGaban

Buena VistaJordan

DEMAND AREAS

TRADING CENTERS

SUPPLY AREAS

Figure 6. GEOGRAPHIC FLOW OF CALAMANSI IN GUIMARAS, 2001

Buena VistaSibunag

San LorenzoGabonJordan

Negros OrientalNegros Occidental

CebuIloilo

AntiqueCapiz

Guimaras:- Buenavista- Jordan

PalawanMetro Manila

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! Mindoro Oriental

# Calamansi traded in Mindoro Oriental came from the following municipalities within the province: Naujan, Pola, Guitad, Calapan, Victoria, Bago, Bagong Silang and Lumang Bayan.

# Calamansi fruits were brought to the markets within the supply

municipalities. # From the trading centers, calamansi were distributed serving the

needs of areas within and outside the province. Demand areas outside Mindoro Oriental were Batangas and Manila.

! Quezon

# Calamansi in Quezon were sourced from Lopez, Gumaca, Alabat,

Atimonan, Caglate, Tagcauayan, Caridad and Magsino. # From the farm, the fruits were distributed to the markets of Lopez,

Gumaca, Alabat, Atimonan and Tagcauayan (all within Quezon) and to the provinces of Camarines Norte, Rizal and Metro Manila.

! Guimaras

# The supply of calamansi in Guimaras came primarily from the

municipalities of Buena Vista, Sibunag, San Lorenzo, Gaban, Camansi and Jordan. No supplies came from outside Guimaras.

# Calamansi were traded in the markets of San Lorenzo, Gaban,

Buena Vista, Jordan and Camansi.

# From there, calamansi was distributed to Western and Central Visayas provinces, Palawan and Metro Manila.

Marketing Channels

Figures 7 - 9 illustrate the distribution channels of calamansi from the farmers to the final consumers.

! Mindoro Oriental

# Farmers sold calamansi to assembler-distributors, buyers outside the province (BOP), processors and retailers. The assembler-distributors brought their procured calamansi to a “bodega”/buying

Marketing Cost Structure for Calamansi 14

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FARMER

Figure 7. MARKETING CHANNELS FOR CALAMANSI IN MINDORO ORIENTAL, 2001

PA-LD BA-SD

MA-MD

BODEGA

BOP

RETAILERPROCESSOR

CONSUMER

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CONSUMER

RETAILER

FARMER

Figure 8. MARKETING CHANNELS FOR CALAMANSI IN QUEZON, 2001

BUYERS OUTSIDE

PROVINCE

PA-LDBA-SD

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CONSUMER

RETAILER

FARMER

Figure 9. MARKETING CHANNELS FOR CALAMANSI IN GUIMARAS, 2001

INSTITUTIONAL BUYERS

PA-LDMA-LD

BA-SD

TRADER FROM AKLAN

RETAILER FROM OTHER MARKETS

BUYERS OUTSIDE THE PROVINCE

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station for distribution to the buyers coming outside the province. They also sold calamansi to retailers and processors.

! Quezon

# Assembler-distributors and retailers bought calamansi from the farmers. The outlets of the assembler-distributors were retailers and buyers outside Quezon. Retailers, on the other hand, sold calamansi directly to consumers.

! Guimaras

# Calamansi farmers in Guimaras sold their produce to assembler-distributors and buyers outside the province. There were 5 farmers who directly sold calamansi to retailers. Traders sold their procurement to other traders and retailers within the trading center. Provincial assembler-large distributors supplied calamansi to a trader from Aklan and to retailers from other markets.

Marketing Costs

Marketing of calamansi from the farm up to retail level entails several costs which include labor, transportation, material inputs, other operating expenses and depreciation. The succeeding topics describe the costs borne by the marketing participants in transferring calamansi from the farmer to the retailer.

Labor

The activities in procuring calamansi from the farm included hauling, handling (loading and unloading from the farm to the truck/vehicle) and sorting. Shipping costs included fees for handling, arrastre and stevedoring. On the other hand, hauling, handling, sorting, selling, packing, weighing and cleaning comprised labor costs in the distribution of calamansi.

! Quezon incurred the highest labor cost with an average of P1.32 per

kilogram of calamansi which include labor in shipping, (P0.01) and distribution cost, (P1.31).

! Cost of trading in Mindoro Oriental averaged P1.28 per kilogram from

procurement to selling; the large portion was payment for sorting. ! In Guimaras, relatively lower cost for labor was estimated at P0.66 per

kilogram of calamansi.

Marketing Cost Structure for Calamansi 18

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! Among the demand areas, traders from Manila incurred the highest labor cost at P1.30; followed by Iloilo, P0.94 per kilogram of calamansi and Batangas, P0.19 per kilogram.

Transportation

Transportation cost depends on the distance and destination of the commodity.

! The cost of transporting calamansi from the farm to market was

highest in Mindoro Oriental. Farmers spent an average of P0.49 per kilogram for hauling and P0.56 for shipping, while traders spent P0.35 for procurement and P0.66 per kilogram for distribution.

! Iloilo farmers and traders incurred a total transportation cost of

P1.30 per kilogram of calamansi, on average.

! A relatively lower transport cost was spent in calamansi trading in Metro Manila, P0.69, Quezon, P0.42, and Guimaras, P0.45.

Material Inputs

Costs of materials include those for containers (like “kaing”, sacks, plastic bags, “bilao”, basket or wooden box), twine, old newspapers, etc. Aside from those materials, banana leaves, needle, tie wire, different types of bags and sacks were used in selling calamansi (Table 16).

! Cost of material inputs ranged from P0.08 to P0.82 per kilogram of

calamansi. ! In Metro Manila, trading cost amounted to P0.57 per kilogram, on

average. ! From farm to market, the cost of material inputs was P0.39 per kilogram

in Mindoro Oriental. ! Traders in Batangas incurred an average of P0.27 for material costs per

kilogram of calamansi. ! Material cost for marketing was highest in Quezon at P0.82 per kilogram

of calamansi.

Marketing Cost Structure for Calamansi 19

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! Traders in Iloilo used only sacks, kaing and plastic bags costing an average of P0.08 per kilogram of calamansi.

! In Guimaras, marketing costs per kilogram of calamansi included

procurement cost of P0.33, and P0.30 for distribution. Miscellaneous and Other Operating Costs

Miscellaneous and other operating expenses include business permit/license, market fee, electricity, telephone, water, gas and oil, cell cards, etc. These also cover expenses for meals and beverages while transporting the commodity (Table 17).

! Cost of other operating expenses ranged from P0.23 in Guimaras to

P0.91 per kilogram in Mindoro Oriental. ! Respondents from Mindoro Oriental reported the highest

shrinkage/wastage costs averaged at P0.35 per kilogram; followed by Iloilo (P0.122) and Metro Manila (P0.11).

! Toll gate fee paid by the sample respondents amounted to P0.19 in

Mindoro Oriental, P0.14 in Metro Manila and P0.13 in Iloilo. Depreciation

The study computed depreciation costs of materials, facilities and transportation items used in calamansi marketing (Table 18).

! Depreciation costs ranged from P0.07 to 34 centavos per kilogram of

calamansi. ! Depreciation cost incurred by traders in Metro Manila was the lowest at

P0.07 per kilogram of calamansi. ! Depreciation costs of traders from Mindoro Oriental, Batangas and Quezon

were estimated at P0.09, P0.34 and P0.22 per kilogram of calamansi, respectively.

! In Iloilo and Guimaras, depreciation costs were P0.10 and P0.14 per

kilogram of calamansi, respectively.

Marketing Cost Structure for Calamansi 2 0

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Total Marketing Costs

The total marketing cost items includes the costs incurred by the sample respondents on labor, transportation, material inputs, other operating expenses and imputed costs on labor and depreciation of materials, equipment and facilities. These items were aggregated according to cash outlay which include cash, non cash and imputed costs.

! Total cash cost was highest in Mindoro Oriental at P4.64, followed by

Metro Manila, P3.14; the lowest was in Batangas, P0.74. ! In contrast, non-cash cost including the depreciation cost was highest

in Batangas, P0.34; and lowest in Metro Manila, P0.07.

! The total costs borne by marketing participants ranged from P1.08 (Batangas) to P4.72 per kilogram (Mindoro Oriental).

! Transportation cost accounted for the highest, at an average of P2.06

per kilogram of calamansi. Labor costs and other operating expenses have significant shares to total marketing costs in Mindoro Oriental.

! In Metro Manila, labor cost accounted for the biggest share at P1.30

which included salaries and wages; transportation costs, P0.69; other operating expenses, P0.58; material inputs, P.57, and imputed costs, P0.07.

! Marketing costs computed in Quezon included labor cost of P1.32;

transportation expenses of P0.42; materials, P0.82; other operating expenses, P0.55 and imputed costs, P0.22 per kilogram of calamansi.

Marketing Costs by Point of Destination Figures 10 to 12 illustrate the estimated costs of transferring calamansi from the supply barangay to the different trading/demand areas.

! Quezon

In moving calamansi from the supply area to Rizal province, sample respondents spent an average cost of P1.13 per kilogram. However, respondents who sold in the different markets within the province incurred P1.23 per kilogram.

Marketing Cost Structure for Calamansi 2 1

Page 32: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Mindoro Oriental- supply area to markets within the province 2.36- supply area to Batangas 1.91- supply area to Metro Manila 1.62

Quezon- supply area to markets within the province 1.23- supply area to Rizal 1.13

Guimaras- supply area to markets within the province 0.66- supply area to Negros Occidental 0.80- supply area to Metro Manila 0.89

MATRIX OF MARKETING COSTS FOR CALAMANSIBY POINT OF DESTINATION, 2001

Marketing Costs (peso per kilogram)

Supply Area/ Destination

Marketing Cost Structure for Calamansi 2 2

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Figure 10. Total marketing costs for Calamansi, by point of destination, Mindoro Oriental, 2001

Mindoro Oriental

Batangas

Metro Manila

Mindoro Oriental to Batangas = P1.91

Mindoro Oriental to Manila = P1.62

Within Mindoro Oriental = P2.36

Page 34: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Figure 11. Total marketing costs for Calamansi, by point of destination, Quezon, 2001

Quezon

Within Quezon = P1.23

Quezon to Rizal = P1.13

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Figure 12. Total marketing costs for Calamansi, by point of destination, Guimaras, 2001

Negros Occidental

Guimaras/Iloilo

Metro Manila

Guimaras to Metro Manila = P0.89

Guimaras to Negros Occidental = P0.80

Within Guimaras = P0.66

Page 36: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

! Mindoro Oriental

From the supply barangays to the market, the average expense was P2.36 per kilogram of calamansi.

In trading calamansi to Manila, the average cost kilogram of

calamansi was P1.32 for transportation; P0.19 for labor; P0.03 for materials; P0.02 for depreciation; and P0.06 for other expenses.

Traders in Batangas incurred an average cost of P1.91 per

kilogram of calamansi.

! Guimaras

Calamansi traders spent an average of P0.66 when the fruit is sold within the province, and P0.80 per kilogram when shipped to Negros Occidental.

Respondents who delivered calamansi to Metro Manila incurred

an average cost of P0.89 per kilogram. The transportation cost of P0.32 per kilogram from Iloilo to Manila included the transport costs from the supply barangays to the pier or “pantalan” (P0.12) and freight (P0.20). Transportation costs from the piers in Manila to their next point of destination were borne by the buyers of the fruits.

Marketing Margins 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.

Marketing Cost Structure for Calamansi 2 6

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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)] The estimated marketing margins for calamansi at each level of marketing participants and the estimated selling price for each supply province were illustrated from Figures 13 to 15. ! Mindoro Oriental

Traders incurred a total cost of P4.72 per kilogram of calamansi from procurement to distribution. The ex-wholesaler price, buying price plus total cost, was P15.30. At retail price of P14.65 per kilogram, the farmers’ share to consumers’ peso was 72% and the traders had 28%.

! Quezon

At buying price of P12.73 and total marketing cost of P3.34, the estimated selling price was P16.07 per kilogram. At the retail price of P41.53 per kilogram, the trader’s share was P19.97.

Marketing Cost Structure for Calamansi 2 7

Page 38: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Per

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Page 39: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Am

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Page 40: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Am

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Page 41: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

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Page 42: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

! Guimaras

Traders bought calamansi at P7.98 and spent about P2.11 per kilogram during procurement and distribution. At an average retail price of P17.08, the traders net margin was P6.99 per kilogram.

IV. Problems/Constraints Encountered

Table 22 presents the problems encountered by the farmers and trader-respondents in relation to calamansi marketing. Some of these problems were:

! Abundant supply and low quality of calamansi being produced by the farmers

resulted to lower price. One farmer stated that he lack information and knowledge on the proper production and post harvest technology.

! Ten respondents from different province reported that their creditors did not

pay their loan or sometimes the payment for the commodities were delayed. ! A large percentage of wastage in bringing calamansi from the farm to the

demand areas because of the poor condition of the farm to market roads. ! Two traders lack capital to finance the buying and selling of calamansi. ! Other problems include the frequent price fluctuation, absence of permanent

stalls, the availability of shipping lines, too many competitors, the presence of imported lemon in the market and the “tong” given to different authority.

Marketing Cost Structure for Calamansi 3 2

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Statistical Statistical Statistical Statistical TablesTablesTablesTables

Page 44: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Province/Municipality Farmer Trader Total

Metro Manila 20 20Pasay City 3 3Quezon City 6 6Manila 8 8Mandaluyong 2 2Caloocan City 1 1

Batangas 11 11Tanauan City 5 5Batangas City 6 6

Quezon 40 12 52Alabat 16 4 20Caridad 8 3 11Magsino 8 8Tagcauayan 8 8Lopez 1 1Gumaca 3 3Atimonan 1 1

Mindoro Oriental 40 9 49Pola 8 8Baco 8 8Naujan 10 10Victory 14 2 17Calapan 7 7

Guimaras 40 8 48Buenavista 32 4 36Jordan 2 2San Lorenzo 8 2 10

Iloilo 11 11Guimbal 1 1La Paz 1 1Iloilo City 9 9

TOTAL 120 71 191

Table 1. CALAMANSI: Distribution of respondents, by type,by province/municipality, 2001

Page 45: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

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Page 46: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

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Page 47: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Ten

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Page 48: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Type

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Pro

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ropr

ieto

rshi

p7

1320

Min

doro

Orie

ntal

Sing

le P

ropr

ieto

rshi

p2

35

Cor

pora

tion

11

Partn

ersh

ip3

3

Bat

anga

sSi

ngle

Pro

prie

tors

hip

74

11

Que

zon

Sing

le P

ropr

ieto

rshi

p5

34

12

Gui

mar

asSi

ngle

Pro

prie

tors

hip

31

37

Partn

ersh

ip1

1

Iloilo

City

Sing

le P

ropr

ieto

rshi

p3

12

511

TO

TA

L27

66

3271

Tab

le 5

a. C

AL

AM

AN

SI:

Dis

trib

utio

n of

tra

der

resp

onde

nts,

by

type

of

mar

keti

ng p

arti

cipa

nts,

by t

ype

of b

usin

ess,

by

prov

ince

, 200

1

Page 50: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Nat

ure

of C

apit

aliz

atio

nM

etro

M

anila

Min

doro

O

rien

tal

Bat

anga

sQ

uezo

nG

uim

aras

Iloi

loT

otal

Per

cent

Self-

finan

ced

207

1111

511

6591

Und

er fi

nanc

ing

11

24

6

Und

er c

ontra

ct a

gree

men

t1

12

3

TO

TA

L20

911

128

1171

100

Tab

le 6

. CA

LA

MA

NSI

: D

istr

ibut

ion

of t

rade

r re

spon

dent

s,by

nat

ure

of c

apit

aliz

atio

n, b

y pr

ovin

ce, 2

001

Page 51: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Pro

vinc

eP

A-L

D/M

A-L

D/

RA

-LD

PA

-MD

/MA

-M

D/B

A-M

DP

A-S

D/M

A-

SD/B

A-S

DR

etai

ler

Tot

al

Met

ro M

anila

Self-

finan

ced

713

20

Min

doro

Orie

ntal

Self-

finan

ced

52

7U

nder

fina

ncin

g1

1U

nder

con

tract

agr

eem

ent

11

Bat

anga

sSe

lf-fin

ance

d7

411

Que

zon

Self-

finan

ced

53

311

Und

er fi

nanc

ing

11

Gui

mar

asSe

lf-fin

ance

d3

25

Und

er fi

nanc

ing

11

2U

nder

con

tract

agr

eem

ent

11

Iloilo Se

lf-fin

ance

d3

12

511

TO

TA

L27

66

3271

Tab

le 6

a. C

AL

AM

AN

SI:

Dis

trib

utio

n of

tra

der

resp

onde

nts,

by

natu

re o

f ca

pita

lizat

ion,

by

prov

ince

, 200

1

Page 52: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Yea

rs in

bu

sin

ess

Met

ro

Man

ilaM

indo

ro

Ori

enta

lB

atan

gas

Qu

ezon

Gu

imar

asIl

oilo

Tota

lP

erce

nt

less

tha

n 5

41

32

12

1318

5 -

10

46

23

45

2434

11

- 1

56

12

31

1318

16

- 2

01

33

710

mor

e th

an 2

05

11

13

314

20

TOTA

L2

09

11

12

81

17

11

00

Tabl

e 7

. C

ALA

MA

NSI

: D

istr

ibu

tion

of

trad

er r

espo

nde

nts

, by

len

gth

of

expe

rien

ce,

by p

rovi

nce

, 20

01

Page 53: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Within the province Outside the province Within the province Outside the province

Metro Manila Pasay City Mindoro Oriental Pasay City CaviteManila Cabanatuan City of Manila BulacanQuezon City Davao City Quezon City Rizal

Baguio City Pasig City LagunaNueva EcijaZamboanga City

Mindoro Oriental Naujan Calapan Metro ManilaPola Bilboa BatangasGutad Puerto GaleraCalapan VictoriaVictoriaBacoBagong SilangLumang Bayan

Batangas Tanauan City Mindoro Oriental Nasugbu ManilaPola Roxas Balayan PangasinanCalapan Batangas City Laguna

CaviteQuezon Lopez Atimonan Daet

Gumaca Lucena RizalAlabat Gumaca Metro ManilaAtimonan LopezCaglate CalauagTagcauayan CatanauanCaridadMagsino

Guimaras Buenavista Buenavista Negros OrientalSibunag Jordan PalawanSan Lorenzo BacolodJordan IloiloGaban CebuCamansi Metro Manila

Iloilo Guimbal Guimaras Guimbal AntiqueLa Paz Aklan La Paz CapizIloilo City Jaro Roxas

MiagaoLangkas Mandaue Negros OccidentalTabon Masbate

Metro Manila

Source Destination

Table 8. CALAMANSI: Major sources and destinations, by location,by province, 2001

Province/City/Area

Page 54: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Pro

vin

ceJa

nFe

bM

arA

prM

ayJu

nJu

lA

ugSe

ptO

ctN

ovD

ec.

Min

doro

Ori

enta

lPl

antin

g1

11

11

33

31

Har

vest

ing

2220

2827

2418

2628

2622

1721

Trad

ing

2321

3029

2418

2631

2925

1721

Qu

ezon

Har

vest

ing

1817

2424

2623

2427

2725

2017

Trad

ing

1612

1621

2219

2023

1716

1214

Gu

imar

asH

arve

stin

g35

3538

3940

3233

3640

3433

39Tr

adin

g35

3538

3940

3233

3640

3433

39

Tabl

e 9

. C

ALA

MA

NSI

: C

ropp

ing

Pat

tern

, by

acti

vity

in s

elec

ted

prov

ince

s, 2

00

1

Page 55: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Mod

e of

Del

iver

yM

etro

M

anila

Min

doro

O

rien

tal

Bat

anga

sQ

uez

onG

uim

aras

Iloi

loTo

tal

Per

cen

t

Pick

ed u

p12

34

310

3245

Del

iver

ed8

98

85

3854

Both

11

1

TOTA

L2

09

11

12

81

17

11

00

Tabl

e 1

0.

CA

LAM

AN

SI:

Dis

trib

uti

on o

f re

spon

den

ts, b

y m

ann

er o

f pr

ocu

rem

ent,

by p

rovi

nce

, 20

01

Page 56: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Mod

e of

Del

iver

yP

A-L

D/M

A-L

D/

RA

-LD

PA

-MD

/P M

A-

MD

/ B

A-M

DM

A-S

D/B

A-

SD/P

A-S

DR

etai

ler

TOTA

L

MET

RO

MA

NIL

APi

cked

-up

210

12D

eliv

ered

53

8

MIN

DO

RO

OR

IEN

TAL

Del

iver

ed6

39

BA

TAN

GA

SPi

cked

-up

33

Del

iver

ed7

18

QU

EZO

NPi

cked

-up

31

4D

eliv

ered

22

48

GU

IMA

RA

SPi

cked

-up

33

Del

iver

ed1

13

5

ILO

ILO

Pick

ed-u

p2

12

510

Del

iver

ed1

1

Tabl

e 10

a. C

ALA

MA

NSI

: D

istr

ibu

tion

of

resp

onde

nts

, by

type

of

mar

keti

ng

part

icip

ants

,by

man

ner

of

proc

ure

men

t, b

y pr

ovin

ce, 2

001

32

71

TOTA

L2

76

6

Page 57: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Mod

e of

Pay

men

tM

etro

M

anila

Min

doro

O

rien

tal

Bat

anga

sQ

uez

onG

uim

aras

Iloi

loTo

tal

Per

cen

t

Cash

175

54

56

4259

Con

sign

men

t3

46

82

427

38

Del

ayed

Pay

men

t1

12

3

TOTA

L2

09

11

12

81

17

11

00

Tabl

e 1

1.

CA

LAM

AN

SI:

Dis

trib

uti

on o

f re

spon

den

ts, b

y m

ode

of p

aym

ent

in p

rocu

rem

ent,

by p

rovi

nce

, 20

01

Page 58: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Mod

e of

Pay

men

t P

A-L

D/M

A-L

D/

RA

-LD

PA

-MD

/ M

A-

MD

/ B

A-M

DM

A-S

D/

BA

-SD

/ P

A-S

DR

etai

ler

TOTA

L

MET

RO

MA

NIL

ACas

h4

1317

Cons

ignm

ent

33

MIN

DO

RO

OR

IEN

TAL

Cas

h2

35

Cons

ignm

ent

44

BA

TAN

GA

SCas

h2

35

Cons

ignm

ent

51

6

QU

EZO

NCas

h1

21

4Co

nsig

nmen

t4

13

8

GU

IMA

RA

SCas

h2

12

5Co

nsig

nmen

t1

12

Del

ayed

Pay

men

t1

1

ILO

ILO

Cas

h3

21

6Co

nsig

nmen

t4

4D

elay

ed P

aym

ent

11

Tabl

e 1

1a.

CA

LAM

AN

SI:

Dis

trib

uti

on o

f tr

ader

res

pon

den

ts, b

y ty

pe o

f m

arke

tin

g pa

rtic

ipan

ts,

by m

ode

of p

aym

ent

in b

uyi

ng

stoc

ks, b

y pr

ovin

ce, 2

00

1

32

71

TOTA

L2

76

6

Page 59: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Mod

e of

Del

iver

yM

etro

M

anila

Min

doro

O

rien

tal

Bat

anga

sQ

uez

onG

uim

aras

Iloi

loTo

tal

Per

cen

t

Pick

ed u

p19

1310

3737

1012

666

Del

iver

ed1

3615

111

6434

Both

11

a/

TOTA

L2

04

91

15

24

81

11

91

10

0

a/ le

ss t

han

1 pe

rcen

t

Tabl

e 1

2.

CA

LAM

AN

SI:

Dis

trib

uti

on o

f re

spon

den

ts, b

y m

ann

er o

f di

stri

buti

on,

by p

rovi

nce

, 20

01

Page 60: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Mod

e of

Del

iver

yFa

rmer

s P

A-L

D/M

A-L

D/

RA

-LD

PA

-MD

// M

A-

MD

// B

A-M

DM

A-S

D/

BA

-SD

/PA

-SD

Ret

aile

rTO

TAL

MET

RO

MA

NIL

APi

cked

- up

712

19D

eliv

ered

11

MIN

DO

RO

OR

IEN

TAL

Pick

ed-

up7

33

13D

eliv

ered

333

36

BA

TAN

GA

SPi

cked

- up

73

10Bo

th1

1

QU

EZO

NPi

cked

- up

332

237

Del

iver

ed7

33

215

GU

IMA

RA

SPi

cked

- up

352

37D

eliv

ered

54

11

11

ILO

ILO

Pick

ed-

up3

11

510

Del

iver

ed1

1

Tabl

e 12

a. C

ALA

MA

NSI

: M

ann

er o

f di

stri

buti

on, b

y ty

pe o

f

m

arke

tin

g pa

rtic

ipan

ts, b

y pr

ovin

ce, 2

000

3219

1TO

TAL

120

276

6

Page 61: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Mod

e of

Pay

men

tM

etro

M

anila

Min

doro

O

rien

tal

Bat

anga

sQ

uez

onG

uim

aras

Iloi

loTo

tal

Per

cen

t

Cash

1716

528

2710

103

54

Con

sign

men

t3

336

2421

188

46

TOTA

L2

04

91

15

24

81

11

91

10

0

Tabl

e 1

3.

CA

LAM

AN

SI:

Dis

trib

uti

on o

f re

spon

den

ts, b

y m

ann

er o

f m

ode

of p

aym

ent

in d

istr

ibu

tion

,by

pro

vin

ce, 2

00

1

Page 62: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Mod

e of

Pay

men

tFA

RM

ERS

PA

-LD

/MA

-LD

/ R

A-L

DP

A-M

D/

MA

-M

D/

BA

-MD

MA

-SD

/ B

A-

SD/P

A-S

DR

ETA

ILER

TOTA

L

MET

RO

MA

NIL

ACa

sh4

1317

Con

sign

men

t3

3

MIN

DO

RO

OR

IEN

TAL

Cash

121

316

Con

sign

men

t28

533

BA

TAN

GA

SCa

sh1

45

Con

sign

men

t6

6

QU

EZO

NCa

sh19

41

428

Con

sign

men

t21

12

24

GU

IMA

RA

SCa

sh19

41

327

Con

sign

men

t21

21

ILO

ILO

Cash

31

15

10Con

sign

men

t1

1

Tabl

e 1

3a.

CA

LAM

AN

SI:

Dis

trib

uti

on o

f re

spon

den

ts, b

y ty

pe o

f m

arke

tin

g pa

rtic

ipan

ts,

by m

ode

of p

aym

ent

for

dist

ribu

tion

, by

prov

ince

, 20

01

32

19

1TO

TAL

12

02

76

6

Page 63: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Pro

cure

men

t0.

230.

960.

100.

54H

aulin

g0.

960.

100.

16H

andl

ing

0.03

0.13

Load

ing

0.10

Unl

oadi

ng0.

10So

rtin

g0.

03

Ship

pin

g0.

060.

11H

andl

ing

fee

0.06

0.11

Arra

stre

Dis

trib

uti

on0.

851.

110.

061.

310.

53H

aulin

g0.

35H

andl

ing

0.34

Load

ing

0.10

0.05

0.03

0.09

Unl

oadi

ng0.

100.

050.

030.

09So

rtin

g0.

500.

450.

310.

08Se

lling

0.15

0.15

Pack

ing

a/

0.19

0.09

0.10

Wei

ghin

g0.

170.

140.

08Cle

anin

g0.

050.

080.

09

Sala

ries

an

d w

ages

0.23

0.07

0.13

0.25

0.20

a/ in

clud

es w

eigh

ing

and

re-p

acki

ng in

pla

stic

sac

ks, ba

gs, et

c.

Bat

anga

s

0.19

0.74

peso

per

kilo

gram

Qu

ezon

Iloi

lo

1.31

0.88

Tota

l1.

312.

14

Tabl

e 1

4.

CA

LAM

AN

SI:

Labo

r co

sts

by m

arke

tin

g ac

tivi

ty/p

ract

ice,

by p

rovi

nce

s, 2

001

Gu

imar

asM

arke

tin

g A

ctiv

ity/

Pra

ctic

eM

etro

M

anila

Min

doro

O

rien

tal

Page 64: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Procurement 0.08 0.05 0.20Handling a/ 0.08 0.05

Loading 0.10Unloading 0.10

Distribution 0.70 0.44 Handling Loading 0.10 0.15 Unloading 0.10 0.15 Sorting 0.50 Selling 0.14

Salaries and Wages 0.20 0.20 0.61

Table 14a. CALAMANSI: Labor costs incurred by marketing participants, by activity/practice, Metro Manila, 2001

peso per kilogram

TOTAL 0.98 0.25

Marketing Activity/Practice

RA/LD MA/LD Retailer

1.25

Page 65: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Procurement 0.14 0.05

Hauling 0.14 0.05

Distribution 1.12 0.31 0.29 0.87

Handling

Loading 0.02 0.001 0.07 0.03

Unloading 0.02 0.001 0.07 0.03

Sorting 0.61 0.05 0.27

Packing 0.42 0.16 0.05 0.27

Weighing 0.05 0.27

Cleaning 0.05

Selling 0.15

Salaries and Wages 0.07

MA-LD RETAILER

0.87

peso per kilogram

TOTAL 1.33 0.31 0.34

Table 14b. CALAMANSI: Labor costs incurred by marketing participants,by activity/practice, Mindoro Oriental, 2001

Marketing Activity/Practice

FARMER PA-LD

Page 66: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Distribution 0.04 0.05 0.09Handling

Loading 0.04 0.02 0.05 Unloading 0.03 0.04

Salaries and Wages 0.13

DistributionHauling 0.51 0.22 0.33Handling 0.48 0.33Sorting 0.64 0.56 0.16Packing a/ 0.08 0.16 0.12Cleaning 0.08Weighing 0.08 0.16 0.12

a/ includes weighing and re-packing in plastic sacks, bags, etc.

Marketing Activity/Practice

PA-LD PA-MD RETAILER

Table 14c. CALAMANSI: Labor costs incurred by marketing

TOTAL 0.04 0.18

participants, by activity/practice, Batangas, 2001

peso per kilogram

0.09

0.9

Marketing Activity/Practice

FARMER IRA-PA PA-LD PA-MD RETAILER

peso per kilogram

Table 14d. CALAMANSI: Labor costs incurred by marketingparticipants, by activity/practice, Quezon, 2001

TOTAL 1.15 0.80 0.48 0.70

Page 67: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Procurement 0.12 0.10 0.01 0.20Hauling 0.12 0.10 0.01 0.20

Shipping 0.10 0.04Handling fee 0.10 0.04

Distribution 0.47 0.35 0.84 0.08Handling

Loading 0.06 0.04 0.28 0.02Unloading 0.06 0.04 0.28 0.02

Cleaning 0.12 0.07Sorting 0.12 0.09 0.07 0.02Packing 0.11 0.09 0.07Weighing 0.12 0.09 0.07 0.02

Salaries and Wages 0.25

PA-SD RETAILER

0.53

peso per kilogram

Table 14e. CALAMANSI: Labor costs incurred by marketing participants,by activity/practices, Iloilo, 2001

TOTAL 0.69 0.45 0.95

Marketing Activity/Practice

RA-LD RA-MD

Page 68: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Pro

cure

men

t0.

100.

300.

210.

201.

48H

aulin

g0.

100.

150.

100.

76H

andl

ing

0.15

0.10

0.72

Sorti

ng0.

010.

20

Ship

ping

0.14

Han

dlin

g0.

11A

rras

tre0.

03

Sala

ries

and

Wag

es0.

140.

93

PA

-LD

RE

TA

ILE

R

2.41

MA

-LD

MA

-SD

0.21

0.20

Tab

le 1

4f.

CA

LA

MA

NSI

: L

abor

cos

ts in

curr

ed b

y m

arke

ting

par

tici

pant

s,by

act

ivit

y/pr

acti

ce, G

uim

aras

, 200

1

TO

TA

L0.

100.

140.

44

peso

per

kilo

gram

Mar

keti

ng

Act

ivit

y/P

ract

ice

FA

RM

ER

SIR

A-L

D

Page 69: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Pra

ctic

e/ac

tivi

tyM

ETR

O

MA

NIL

AM

IND

OR

O

OR

IEN

TAL

QU

EZO

NIL

OIL

OG

UIM

AR

AS

Pre-

mar

ketin

g 0.

49

Proc

urem

ent

0.30

0.35

0.36

0.14

Proc

urem

ent

0.35

Ship

ping

0.56

0.14

Dis

trib

utio

n0.

390.

660.

260.

800.

31

Ta

ble

15

. C

ALA

MA

NSI

: Tr

ansp

orta

tion

cos

ts b

y m

arke

tin

g ac

tivi

ty/p

ract

ice,

by p

rovi

nce

, 20

01

TOTA

L0

.45

1.3

00

.69

2.4

10

.26

peso

per

kilo

gram

Page 70: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Marketing Activity/Practices RA/LD Retailer

Procurement 0.12 0.52

Distribution 0.39

Marketing Activity/Practice FARMER MA-LD

Procurement 0.35

Shipping 0.56

Distribution 1.190 0.38

peso per kilogram

0.12 0.91

peso per kilogram

Table 15a. CALAMANSI: Transportation costs incurred by marketing participants, by activity/practice,

Metro Manila, 2001

Table 15b. CALAMANSI: Transportation costs incurred by marketing participants, by activity/practice,

Mindoro Oriental, 2001

TOTAL 1.75 0.73

TOTAL

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Dis

tribu

tion

0.31

0.33

0.16

0.21

0.16

0.52

0.16

Tot

al0.

310.

330.

16

PA

-MD

Mar

keti

ng A

ctiv

ity/

Pra

ctic

eF

AR

ME

RIR

A-L

DP

A-L

D

Tab

le 1

5c:

CA

LA

MA

NSI

: T

rans

port

atio

n co

sts

incu

rred

by

mar

keti

ng

part

icip

ants

, by

acti

vity

/pra

ctic

e, Q

uezo

n, 2

001

RE

TA

ILE

R

0.21

0.16

0.52

0.16

BA

-SD

MA

-MD

Page 72: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Marketing Activity/Practice

RA-LD RA-MD PA-SD

Procurement 0.56 0.34 0.25

Shipping (freight) 0.14

Distribution 0.80

Marketing Activity/Practice

IRA-LD PA-LD MA-LD MA-SD

Procurement 0.03 0.16 0.12 0.09PUJ 0.03 0.16 0.12Tricycle 0.09

Distribution 0.202 0.26 0.20Pumpboat 0.2 0.14 0.20MotorcycleFXTricycle 0.002PUJ 0.12Jeep

0.09

peso per kilogram

0.56 0.34 1.19

Total 0.232 0.42 0.32

Table 15d. CALAMANSI: Transportation costs incurred by marketingparticipants, by activity/practice, Iloilo, 2001

Table 15e. CALAMANSI: Transportation costs incurred by marketingparticipants, by activity/practice, Guimaras, 2001

TOTAL

peso per kilogram

Page 73: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Marketing Activity/ Cost Item

Metro Manila

Mindoro Oriental

Batangas Quezon Iloilo Guimaras

Procurement 0.023 0.053 0.100 0.698 0.001 0.339"Kaing" 0.020 0.030 0.130 0.030Cover 0.003Twine 0.002 0.010 0.008 0.002Newspaper a/ 0.002"Bilao" 0.001Sacks b/ 0.020 0.040 0.110 0.001 0.070Staple wire a/Net sack 0.450Red sack 0.080Plastic sack cover 0.005Plastic bag 0.050 0.130Ball pen 0.010Chair 0.010

Distribution 0.551 0.340 0.170 0.126 0.080 0.295Sacks 0.250 0.100 0.020 0.040Plastic bag 0.280 0.230 0.030 0.010 0.040Plastic sack 0.020Old newspaper 0.001 a/Banana leaves 0.040Twine 0.010 0.010 0.004"Kaing" 0.010 0.020Plastic bag 0.240Plastic box 0.002Red bag 0.030Sando bag 0.140Basket 0.004Wodden box 0.002Tie wire 0.006"Bilao" 0.010 0.010Needle 0.003

TOTAL 0.574 0.393 0.270 0.824 0.081 0.634

a/ less than 0.001

b/ includes old sacks and plastic sacks

peso per kilogram

Table 16. CALAMANSI: Cost of material inputs by marketing activity/practice/cost item, by province, 2001

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Marketing Activity/ Cost Item

RA/LD MA/LD Retailer

Procurement 0.023 "Kaing" 0.020 Cover 0.003

Distribution 0.180 0.271 0.420 Sacks 0.120 0.270 Plastic bag 0.050 0.410 Old newspaper 0.001 "Kaing" 0.010

"Bilao" 0.010

TOTAL 0.180 0.294 0.420

peso per kilogram

Table 16a. CALAMANSI: Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Metro Manila, 2001

Page 75: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Marketing Activity/ Cost Item

FARMER PA-LD MA-LD RETAILER

Procurement 0.003 0.022 0.001"Kaing" 0.003 0.210Twine 0.002Newspaper a/"Bilao" 0.001Sacks 0.020Staple wire a/

Distribution 0.120 0.031 0.296Banana leaves 0.040Twine 0.060 0.001 0.060Newpaper a/Plastic bag 0.230Plastic sack 0.020Red bag 0.030"Bilao" 0.006

a/ less than 0.001

peso per kilogram

Table 16b. CALAMANSI: Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Mindoro Oriental, 2001

0.290TOTAL 0.120 0.030 0.230

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Marketing Activity/ Cost Item

RA-LD RA-MD PA-SD Retailer

Procurement 0.010 0.001 0.010 Sacks 0.010 0.001 0.010

Distribution 0.040 0.120 0.050 0.040 Sack 0.020 Plastic bag 0.020 0.120 0.050 0.040 "Kaing" 0.020

Table 16e. CALAMANSI: Cost of material inputs incurred by marketingparticipants, by activity/practice/cost item, Iloilo, 2001

TOTAL 0.050 0.121 0.060 0.040

peso per kilogram

Page 77: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Mar

keti

ng

Act

ivit

y/

Cos

t It

emFA

RM

ERIR

A-L

DP

A-L

DM

A-L

DR

ETA

ILER

Pro

cure

men

t0.

100

0.16

90.

244

0.03

00.

130

Old

new

spap

er0.

002

0.01

0Tw

ine

0.00

2Pl

astic

bag

0.13

0Red

sac

k0.

070

0.08

0"K

aing

"0.

030

0.04

00.

030

Sack

(or

dina

ry)

0.10

00.

060

0.10

0Pl

astic

sac

k co

ver

0.00

50.

004

Ball

pen

0.01

0Cha

ir

Dis

trib

uti

on0.

006

0.24

2Sa

ckBa

nana

leav

eTw

ine

Tie

wire

Nee

dle

0.00

3Pa

rtia

l pen

Ink

0.00

3Pa

dN

oteb

ook

Plas

tic b

ag0.

240

Plas

tic b

ox0.

002

Tota

l0.

100

0.16

90.

250

0.03

00.

372

peso

per

kilo

gram

part

icip

ants

by

acti

vity

/pra

ctic

e/co

st it

em, G

uim

aras

, 2

00

1Ta

ble

16

f. C

ALA

MA

NSI

: C

ost

of m

ater

ial i

npu

ts in

curr

ed b

y m

arke

tin

g

Page 78: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Cost Item Metro Manila

Mindoro Oriental

Batangas Quezon Iloilo Guimaras

Business Permit/license b/ 0.010 0.020 0.005 0.030 0.010 0.070Market fee c/ 0.090 0.030 0.010 0.040 0.010Market fee 0.270Electricity/Light 0.020 0.004 0.010 0.020 0.002Telephone 0.020 0.020 0.020 0.050 0.020Water 0.010Shrinkage/wastage 0.110 0.350 0.120Gas and Oil 0.020 0.001 0.030Weighing scale calibration a/ 0.004 0.010 0.002Repair and maintenance 0.010 0.130Sanitary permit 0.020Toll fee 0.140 0.190 0.130Interest on loan 0.080 0.010Other market fees d/ 0.010 0.030Rental fee 0.070Market fee 0.160Registration fee a/Tiangge fee 0.140Transport permit 0.060Contract 0.006Permit clearance fee 0.010Stevedoring 0.010Freight 0.160Cell card 0.010Meals & beverages 0.120 0.050 0.010 0.100 0.210 0.010

TOTAL 0.580 0.905 0.279 0.720 0.600 0.230a/ less than 0.001b/ includes mayor's permit and barangay permitc/ includes stall fee and ticketd/ Includes stall fee and ticket

peso per kilogram

Table 17. CALAMANSI: Other operating costs by cost item,by province, 2001

Page 79: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Cost Item RA/LD MA/LD Retailer

Business permit/license b/ 0.020 0.001 0.110

Market fee c/ 0.070 0.090 0.130

Electricity/light 0.010 0.210

Telephone 0.010 0.250

Water 0.010

Shrinkage/wastage 0.480 0.080 0.030

Gas & oil 0.080 0.880

Weighing scale calibration a/ 0.001

Repair and maintenance 0.010 0.090

Sanitary permit 0.080 0.040

Toll fee 0.140

Other market fees d/ 0.010

Meals & bevarages 0.020 0.130 0.200

TOTAL 0.670 0.421 2.091a/ less than 0.001

b/ includes mayor's permit and barangay permit

c/ includes stall fee and ticket

d/ includes "tong"

peso per kilogram

Table 17a. CALAMANSI: Other operating costs incurred by marketingparticipants, by cost item, Metro Manila, 2001

Page 80: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Cost Item FARMER PA-LD MA-LD RETAILER

Business permit/license a/ 0.006 0.050

Market fee b/ 0.030 0.020 0.002 0.470

Electricity/light 0.004 0.004

Telephone 0.010 0.020

Shrinkage/wastage 0.330 0.350 0.520

Gas & oil 0.001

Repair and maintenance 0.130

Interest on loan 0.180 0.070 0.070

Meals & beverages 0.060 0.040 0.410

Toll fee 0.190

Other market fee c/ 0.030

a/ includes mayor's permit and barangay permit

b/ includes stall fee and ticket

c/ includes "tong"

Total 0.670 0.300 0.450

peso per kilogram

Table 17b. CALAMANSI: Other operating costs incurred by marketing participants, by cost item, Mindoro Oriental, 2001

1.550

Page 81: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Cost Item IRA-LD PA-LD PA-MD RETAILER

Municipal permit 0.001 0.003 0.010 0.030Telephone 0.010 0.060 0.010 0.080Electricity 0.007 0.010 0.020Rental fee 0.020 0.008 0.200 0.160Market fee 0.710 0.090 0.330Registration a/ a/Calibration of weighing scale 0.004Meal & beverages 0.010 0.010

a/ Less than 0.001

Table 17c. CALAMANSI: Other operating costs incurred by marketingparticipants by cost item, Batangas, 2001

peso per kilogram

Total 0.038 0.801 0.340 0.604

Page 82: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Cos

t It

emFA

RM

ERP

A-L

DP

A-M

DM

A-M

DB

A-M

DB

A-S

DR

ETA

ILER

Busi

ness

per

mit

0.03

00.

020

0.06

00.

004

0.07

0Ti

anng

e fe

e0.

140

Mar

ket

fee

0.25

00.

160

0.06

00.

060

0.01

00.

480

Mea

ls a

nd b

ever

ages

0.10

0

Tabl

e 1

7d.

CA

LAM

AN

SI:

Oth

er o

pera

tin

g co

sts

incu

rred

by

mar

keti

ng

part

icip

ants

, by

cost

item

, Qu

ezon

, 20

01

0.2

80

0.1

80

0.0

14

peso

per

kilo

gram

Tota

l0

.10

00

.12

00

.06

00

.69

0

Page 83: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Cost Item RA-LD RA-MD PA-SD RETAILER

Business permit b/ 0.010Market fee c/ 0.020 0.070 0.080Electricity 0.004 0.030 0.040Telephone 0.050Wastage 0.070 0.180 0.250Weighing scale calibration a/ 0.001 0.040Toll fee 0.130Interest on loan 0.003 0.010Meals & beverages d/ 0.180 0.020 0.500 0.300

a/ Less than 0.001

b/ includes mayor's permit and barangay's permit

c/ includes stall fee and ticket

d/ inclides cigarettes and drinks

0.910

peso per kilogram

Table 17e. CALAMANSI: Other operating costs incurred by marketing participants, by cost item, Iloilo, 2001

TOTAL 0.277 0.120 0.681

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Cos

t It

emIR

A-L

DP

A-L

DM

A-L

DM

A-S

DR

ETA

ILER

Mun

icip

al p

erm

it0.

003

0.19

0

Bara

ngay

per

mit

0.01

0

Tran

spor

t pe

rmit

0.06

0

Tele

phon

e0.

020

Elec

tric

ity0.

001

0.00

70.

040

Wei

ghin

g sc

ale

calib

ratio

n0.

002

Cont

ract

0.00

6

Cel

l car

d0.

010

Gas

olin

e0.

003

0.20

0

Perm

it cl

eara

nce

fee

0.01

0

Mea

ls a

nd b

ever

ages

0.00

20.

150

0.00

30.

100

Tota

l0

.08

60

.34

2

peso

per

kilo

gram

Tabl

e 17

f. C

ALA

MA

NSI

: O

ther

ope

rati

ng

cost

s in

curr

ed b

y m

arke

tin

gpa

rtic

ipan

ts, b

y co

st it

em, G

uim

aras

, 20

01

0.1

70

0.2

10

0.0

09

Page 85: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Cost ItemMetro Manila

Mindoro Oriental

Batangas Quezon Iloilo Guimaras

Materials Used 0.015 0.023 0.153 0.050 0.079 0.056Chair b/ 0.002 a/ 0.001 0.002 0.004 0.010Tray 0.004 0.070Pail 0.004Tent/Umbrella 0.004 0.014 0.080 0.014Table c/ 0.001 0.009 0.002 0.001 0.046Sorting can a/"Bilao" 0.070 0.030 0.004Basin 0.004

Equipment 0.033 0.009 0.164 0.030 0.008 0.030Weighing scale 0.003 0.001 0.010 0.030 0.004 0.010Electric fan 0.010 a/ 0.080Calculator 0.020 0.004 0.004 0.010Radio a/Cellphone 0.004 0.070 0.004 0.010

Facilities 0.040 0.020 0.140 0.050Cart/Stall 0.020Storage d/ 0.020 0.020 0.140 0.050

Transportation 0.020 0.010PUJ 0.010Van 0.010Jeep 0.010

TOTAL 0.068 0.082 0.337 0.220 0.087 0.136a/ less than 0.001b/ includes plastic and wooden chair

c/ sorting table or "Pakihan"

d/ storage place or "kamalig"

peso per kilogram

Table 18. CALAMANSI: Imputed cost of depreciation by materials/ facilities/ equipment used, by province, 2001

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Item RA-LD MA-LD Retailer

Materials Used 0.007 0.002 0.062Pail 0.004Chairs 0.002 0.002 0.004Tent/umbrella 0.004 0.020Tray 0.004Table ("Pakihan) 0.001 0.030

Equipment 0.010 0.001 0.040Weighing scale 0.010 0.001 0.010Electric fan 0.010Calculator 0.020Radio a/

Transportation 0.020 0.040PUJ 0.010 0.040Van 0.010

Total 0.017 0.023 0.142a/ less than 0.001

peso per kilogram

Table 18a. CALAMANSI: Imputed costs of depreciation incurred by marketing participants, by materials/facilities/ equipment

used, Metro Manila, 2001

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Item FARMER PA-LD MA-LD RETAILER

Materials Used 0.019 a/ a/ 0.004Chairs a/ a/Table b/ 0.009 a/ a/Sorting can a/Tent/umbrella 0.010 0.004

Equipment 0.004 0.004 0.001 0.004Weighing scale 0.004 a/ 0.001 0.004Calculator a/ a/Electric fan a/Cellphone 0.004

Facilities 0.001 0.020 0.020Cart/Stall 0.02Storage 0.001 0.02

Transportation 0.010Jeep 0.010

Total 0.023 0.015 0.021 0.028

* less than 0.001

Table 18b. CALAMANSI: Imputed costs of depreciation incurred by marketing participants, by materials/facilities/equipment used,

Mindoro Oriental, 2001

peso per kilogram

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Facilities/Equipment IRA-LD PA-LD PA-MD RETAILER

Materials Used 0.001 0.052 0.004 0.150Umbrella 0.080Chairs 0.001 0.050 0.004Bilao 0.070Table 0.002

Equipment 0.010 0.089 0.140Weighing scale 0.010 0.015 0.050Cell phone 0.070Electric fan 0.080Calculator 0.004 0.010

Facilities 0.008 0.030Storage 0.008 0.030

Total 0.001 0.070 0.123 0.290

peso per kilogram

Table 18c. CALAMANSI: Imputed costs of depreciation incurred by marketing participants, by materials/facilities/equipment used, Batangas, 2001

Page 89: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Item FARMER IRA-PA PA-LD PA-MD MA-MD RETAILER

Materials usedChair 0.002Tent 0.014"Bilao" 0.030Basin 0.004

EquipmentWeighing scale 0.240 0.006 0.060 0.005 0.010

FacilitiesDrying place 0.140

Total 0.380 0.006 0.016 0.060 0.005 0.044

Table 18d. CALAMANSI: Imputed costs of depreciation incurred bymarketing participants, by facilities/equipment used, Quezon, 2001

peso per kilogram

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Item RA-LD RA-MD PA-SD RETAILER

Materials Used 0.004 0.014 0.087Tray 0.070Table 0.001Chair 0.003 0.004 0.004Wooden box 0.010"Bilao" 0.010 0.003

Equipment 0.005 0.004 0.002 0.020Weighing scale 0.001 0.004 0.002 0.020Cellphone 0.004

TOTAL 0.009 0.018 0.002 0.107

peso per kilogram

Table 18e. CALAMANSI: Imputed costs of depreciation incurred by marketingparticipants, by materials/facilities/equipment used, Iloilo, 2001

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Facilities/Equipment FARMER IRA-LD PA-LD RETAILER

Materials used 0.012 0.050Sorter/pakihan 0.006Chair 0.010Table 0.006 0.040

Equipment 0.010 0.050 0.070 0.020Weighing scale 0.010 0.050 0.010 0.010Calculator 0.010Cellphone 0.010Kamalig 0.050

Table 18f. CALAMANSI: Imputed costs of depreciation incurred by marketing participants, by materials/facilities/equipment used, Guimaras, 2001

peso per kilogram

Total 0.010 0.050 0.082 0.070

Page 92: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Item

Met

ro

Man

ilaM

indo

ro

Ori

enta

lB

atan

gas

Qu

ezon

Iloi

loG

uim

aras

Cas

hLa

bor

1.07

1.21

0.06

1.32

0.69

0.43

Hau

ling

0.10

0.35

0.10

0.16

Han

dlin

g0.

030.

340.

13Lo

adin

g0.

200.

050.

030.

09U

nloa

ding

0.20

0.05

0.03

0.09

Sort

ing

0.50

0.45

0.31

0.08

Selli

ng0.

140.

15Pa

ckin

g0.

190.

090.

10W

eigh

ing

0.17

0.14

0.08

Cle

anin

g0.

050.

080.

09H

andl

ing

fee

0.06

0.11

Arr

astr

eSt

eved

orin

g0.

010.

03

Sal

arie

s an

d W

ages

0.23

0.07

0.13

0.25

0.20

Tabl

e 1

9.

CA

LAM

AN

SI:

Tot

al M

arke

tin

g C

osts

(C

ash

& N

on-c

ash

), b

y co

st it

em,

by p

rovi

nce

, 20

01

Page 93: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Item

Met

ro

Man

ilaM

indo

ro

Ori

enta

lB

atan

gas

Qu

ezon

Iloi

loG

uim

aras

Tran

spor

tati

on

0.69

2.06

0.42

1.30

0.45

Pre-

mar

ketin

g0.

49Pr

ocur

emen

t0.

300.

350.

360.

14Sh

ippi

ng0.

560.

160.

14D

istr

ibut

ion

0.39

0.66

0.26

0.80

0.31

Mat

eria

l use

d0.

570.

390.

270.

820.

080.

64Ka

ing

0.03

0.03

0.01

0.02

0.03

Cov

er0.

003

Twin

e0.

010.

010.

020.

01O

ld n

ewsp

aper

0.00

1a/

0.00

2Bi

lao

0.01

0.01

Sack

s 0.

250.

020.

040.

210.

020.

11St

aple

wire

a/R

ed s

ack

0.08

Plas

tic s

ack

cove

r0.

01Pl

astic

bag

0.28

0.23

0.08

0.13

0.04

0.37

Ball

pen

0.01

Bask

et0.

004

Tabl

e 19

. (

cont

inue

d)

Page 94: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Item

Met

ro

Man

ilaM

indo

ro

Ori

enta

lB

atan

gas

Qu

ezon

Iloi

loG

uim

aras

Woo

den

box

0.00

2Pl

astic

sac

k0.

02Ba

nana

leav

es0.

04Pl

astic

box

0.00

2R

ed b

ag0.

03Sa

ndo

bag

0.14

Tie

wire

0.00

6N

eedl

e0.

003

Pent

el p

enN

oteb

ook

Ink

0.00

3N

et s

ack

0.45

Oth

er O

pera

tin

g C

osts

0.58

0.91

0.28

0.55

0.60

0.24

Busi

ness

Per

mit/

licen

se b

/0.

010.

020.

005

0.03

0.01

0.08

Mar

ket

fee

c/0.

090.

030.

230.

280.

040.

01El

ectr

icity

/Lig

ht0.

020.

004

0.01

0.02

0.00

2Te

leph

one

0.02

0.02

0.02

0.05

0.02

Wat

er0.

01Sh

rinka

ge/w

asta

ge0.

110.

350.

12G

as a

nd O

il0.

020.

000.

03W

eigh

ing

Scal

e ca

libra

tion

a/0.

004

0.01

0.00

2Rep

air

and

mai

nten

ance

0.01

0.13

Sani

tary

per

mit

0.02

Toll

fee

0.14

0.19

0.13

Inte

rest

on

loan

0.08

0.01

Tabl

e 19

. (

cont

inue

d)

Page 95: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Item

Met

ro

Man

ilaM

indo

ro

Ori

enta

lB

atan

gas

Qu

ezon

Iloi

loG

uim

aras

Oth

er m

arke

t fe

es d

/0.

010.

03Reg

istr

atio

na/

Tian

gge

fee

0.14

Tran

spor

t pe

rmit

0.06

Agen

t's C

omm

issi

on0.

006

Perm

it cl

eara

nce

fee

0.01

Cel

l car

d0.

01M

eals

& b

ever

ages

0.12

0.05

0.01

0.10

0.21

0.01

No

n-C

ash

0.07

0.09

0.34

0.22

0.10

0.14

Wei

ghin

g sc

ale

0.00

30.

001

0.01

0.03

0.00

40.

01Pl

astic

cha

ir0.

002

a/0.

001

0.00

10.

004

0.01

Woo

den

chai

r0.

001

Elec

tric

fan

0.01

a/0.

08Cal

cula

tor

0.02

a/0.

004

0.01

Tray

0.00

40.

07Pa

il0.

004

Tent

0.00

1U

mbr

ella

0.00

30.

004

0.08

"Pak

ihan

" b/

0.00

10.

009

0.00

6R

adio

a/Ta

ble

a/0.

002

0.00

10.

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rtin

g ca

na/

Told

a0.

010.

014

Stov

e0.

004

Cal

cula

tor

0.00

4

Tabl

e 19

. (

cont

inue

d)

Page 96: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Item

Met

ro

Man

ilaM

indo

ro

Ori

enta

lB

atan

gas

Qu

ezon

Iloi

loG

uim

aras

Car

t0.

02St

orag

e0.

020.

02Cel

l pho

ne0.

004

0.07

0.00

40.

01Bi

lao

0.07

0.03

0.00

4Ba

sin

0.00

4D

ryin

g pl

ace

0.14

Woo

den

box

0.01

Kam

alig

0.05

Tran

spor

tatio

n P

UJ

0.01

V

an0.

01 J

eep

0.01

a/ L

ess

than

0.0

01

b/ I

nclu

des

may

or's

per

mit

and

bara

ngay

per

mit

c/ I

nclu

des

"ton

g"

d/

Incl

udes

sta

ll fe

e an

d tic

ket

Tabl

e 19

. (

cont

inue

d)

3.02

2.09

1.08

Tota

l3.

214.

723.

33

Page 97: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Item

Met

ro

Man

ilaM

indo

ro

Ori

enta

lB

atan

gas

Qu

ezon

Iloi

loG

uim

aras

Cas

h3

.14

4.6

40

.74

3.1

12

.92

1.9

6

Labo

r1.

071.

210.

061.

320.

690.

43

Sala

ries

and

Wag

es0.

230.

070.

130.

250.

20

Tran

spor

tatio

n 0.

692.

060.

421.

300.

45

Mat

eria

l Inp

uts

0.57

0.39

0.27

0.82

0.08

0.64

Oth

er O

pera

ting

0.58

0.91

0.28

0.55

0.60

0.24

No

n-C

ash

0.0

70

.09

0.3

40

.22

0.1

00

.14

Impu

ted

Cos

ts0.

070.

090.

340.

220.

100.

14

Tabl

e 2

0.

CA

LAM

AN

SI:

Tot

al M

arke

tin

g C

osts

(C

ash

& N

on-c

ash

), b

y m

ajor

item

s,

Tota

l3

.21

4.7

33

.33

3.0

22

.10

1.0

8

by p

rovi

nce

, 20

01

Page 98: MARKETING COSTS STRUCTURE FOR CALAMANSI · PDF fileMarketing Costs Structure Study Series 6 MARKETING COSTS STRUCTURE FOR CALAMANSI Marketing Studies and Development Section Agricultural

Batangas Quezon Mindoro Oriental

Iloilo Guimaras

1. Low price due to low quality of produce and too much supply 5 6 34 2 18

2. Frequent price fluctuation 16

3. Delayed payment of goods/non payment of credit 5 3 2

4. Wastage 4

5. Inadequate farm to market road 3

6. Absence of permanent stall 3

7. Availability of shipping lines that would transport the goods. 3

8. Traders sets the price of the commodity 1

9. Lack of information of farm technology 1

10. Lack of capital to finance the buying and selling of the goods 1 1

11. Too many competitors and few buyers 3 1 4 11

12. Imported lemon 1

13. Tong 1

Problems

Table 21. CALAMANSI: Distribution of respondents, by problems encountered,by province, 2001