marketing costs structure for potato

Marketing Costs Structure StudyMarketing Costs Structure StudyMarketing Costs Structure StudyMarketing Costs Structure StudySeries 5Series 5Series 5Series 5

MARKETING COSTS STRUCTURE MARKETING COSTS STRUCTURE MARKETING COSTS STRUCTURE MARKETING COSTS STRUCTURE FOR POTATOFOR POTATOFOR POTATOFOR POTATO

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

Agricultural Marketing Statistics Analysis DivisionAgricultural Marketing Statistics Analysis DivisionAgricultural Marketing Statistics Analysis DivisionAgricultural Marketing Statistics Analysis 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

MARKETING COSTS MARKETING COSTS MARKETING COSTS MARKETING COSTS STRUCTURE FOR POTATOSTRUCTURE FOR POTATOSTRUCTURE FOR POTATOSTRUCTURE FOR POTATO

FOREWORD

This report on potato is the fifth of a series on Marketing Costs

Structure Studies for Selected High Value Commercial Crops. The study was conducted in the second semester of 2001 and was aimed to provide information on the charges borne by each participant in the commodity marketing channels in the provinces of Benguet, Bukidnon and Davao City.

The results of the series of marketing costs studies serve as

inputs in policy formulation and as guide to decision making of the various marketing participants.

ROMEO S. RECIDE Director

TABLE OF CONTENTS FOREWORD ………………………………………………………………… iii

I. Introduction II.

Research Sites Selection of Sample Respondents………….………………………………. 1 II. Scope and imitations……………………………………………………… 1 III. Discussion of Results Distribution of Respondents ………………………………………………… 2 Types of Marketing Participants …………………………………………… 3 - 4 Profile of Respondents………………………………….…………………… 5 - 9 Marketing Practices and Functions……………………….……………… 10 Procurement ………………………………………………………………… 10 Distribution …………………………………………………………………… 11 Geographic Flow………………………………………..…………………… 13 - 15 Marketing Channels…….………………………………..…………………… 16 – 20 Marketing Costs……..………………………………………………………… 20 Labor ………………………………………….……………………………….. 20 Transportation ...…………………………………………………………….… 21 Material Inputs ………………………………………………………………… 22 Miscellaneous and Other Operating Costs ………………………………… 22 Depreciation …………………………………………………………………… 23 Total Marketing Costs ………………………………..……………………….. 23 Marketing Costs by Point of Destination .…………………………………… 24 Marketing Margins .…………………………………………………………… 29 VI. Problems/Constraints Encountered…………………………………………………………………….. 34 Statistical Tables ………………………..……………………………………... 35

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

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

3 POTATO : Distribution of farmer respondents by size of farm, by province, 2001

4 POTATO : Distribution of farmer respondents, by tenurial status, by province, 2001

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

5a POTATO : Distribution of respondents, by type of marketing participants, by type of business, by province, 2001

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

6a POTATO : Distribution of respondents, by type of marketing participants, by nature of capitalization, by province, 2001

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

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

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

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

STATISTICAL TABLES

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

11 POTATO : Distribution of trader respondents, by mode of payment in buying stock, by province, 2001

11a POTATO : Mode of payment in buying stocks, by type of marketing participants, by province, 2001

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

12a POTATO : Distribution of respondents, by manner of distribution, by type of marketing participants, by province, 2001

13 POTATO : Distribution of trader respondents, by terms of payment for distribution, by province, 2001

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

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

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

14b POTATO : Labor costs incurred by marketing participants, by activity/practice, Benguet, 2001

14c POTATO : Labor costs incurred by marketing participants, by activity/practice, Pangasinan, 2001

14d POTATO : Labor costs incurred by marketing participants, by activity/practice, Nueva Ecija, 2001

14e POTATO : Labor costs incurred by marketing participants, by activity/practice, Cebu, 2001

14f POTATO : Labor costs incurred by marketing participants, by activity/practice, Iloilo, 2001

14g POTATO : Labor costs incurred by marketing participants, by activity/practice, Negros Occidental, 2001

14h POTATO : Labor costs incurred by marketing participants, by activity/practice, Bukidnon, 2001

14i POTATO : Labor costs incurred by marketing participants, by activity/practice, Misamis Oriental, 2001

14j POTATO : Labor costs incurred by marketing participants, by activity/practice, Davao City, 2001

14k POTATO : Labor costs incurred by marketing participants, by activity/practice, General Santos City, 2001

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

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

15b POTATO : Transportation costs incurred by marketing participants, by activity/practice, Benguet, 2001

15c POTATO : Transportation costs incurred by marketing participants, by activity/practice, Pangasinan, 2001

15d POTATO : Transportation costs incurred by marketing participants, by activity/practice, Nueva Ecija, 2001

15e POTATO : Transportation costs incurred by marketing participants, by activity/practice, Cebu, 2001

15f POTATO : Transportation costs incurred by marketing participants, by activity/practice, Iloilo, 2001

15g POTATO : Transportation costs incurred by marketing participants, by activity/practice, Bukidnon, 2001

15h POTATO : Transportation costs incurred by marketing participants, by activity/practice, Misamis Oriental, 2001

15i POTATO : Transportation costs incurred by marketing participants, by activity/practice, Davao City, 2001

15j POTATO : Transportation costs incurred by marketing participants, by activity/practice, General Santos City, 2001

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

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

16b POTATO : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Benguet, 2001

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

16d POTATO : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Nueva Ecija, 2001

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

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

16g POTATO : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Negros Occidental, 2001

16h POTATO : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Bukidnon, 2001

16i POTATO : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Misamis Oriental, 2001

16j POTATO : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Davao City, 2001

16k POTATO : Cost of material inputs incurred by marketing participants, by activity/practice/cost item, General Santos City, 2001

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

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

17b POTATO : Other operating costs incurred by marketing participants, by cost item, Benguet, 2001

17c POTATO : Other operating costs incurred by marketing participants, by cost item, Pangasinan, 2001

17d POTATO : Other operating costs incurred by marketing participants, by cost item, Nueva Ecija, 2001

17e POTATO : Other operating costs incurred by marketing participants, by cost item, Cebu, 2001

17f POTATO : Other operating costs incurred by marketing participants, by cost item, Iloilo, 2001

17g POTATO : Other operating costs incurred by marketing participants, by cost item, Negros Occidental, 2001

17h POTATO : Other operating costs incurred by marketing participants, by cost item, Bukidnon, 2001

17i POTATO : Other operating costs incurred by marketing participants, by cost item, Misamis Oriental, 2001

17j POTATO : Other operating costs incurred by marketing participants, by cost item, Davao City, 2001

17k POTATO : Other operating costs incurred by marketing participants, by cost item, General Santos City, 2001

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

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

18b POTATO : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Benguet, 2001

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

18d POTATO : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Nueva Ecija, 2001

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

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

18g POTATO : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Negros Occidental, 2001

18h POTATO : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Bukidnon, 2001

18i POTATO : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Misamis Oriental, 2001

18j POTATO : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, Davao City, 2001

18k POTATO : Imputed cost of depreciation incurred by marketing participants, by facilities/equipment used, General Santos City, 2001

19 POTATO : Total Marketing costs by item (cash costs and non-cash costs), by province, 2001

20 POTATO : Total Marketing Costs, by major components(Cash & Non-cash), by province, 2001

21 POTATO : Common problems and constraints of farmers and traders, by province, 2001

MARKETING COSTS STRUCTURE FOR POTATO

I. Introduction

Potato, scientifically known as “Solanum Tuberosum” thrives best in higher elevation with well-drained, loamy or sandy loam soil. It is rich in minerals, phosphorous, calcium, thiamine, Vitamin B1 and C. It is used as one of the ingredients to Filipino dishes, snacks and salads. Objective

This study aims to determine the flow of potato and the costs incurred by the marketing participants from the producer to the consumers. Scope and Limitations

The study covered three (3) supply areas, namely Benguet, Davao City and Bukidnon. The demand provinces/areas consisted of Pangasinan, Nueva Ecija, Iloilo, Cebu, Negros Occidental, Misamis Oriental, General Santos and Metro Manila.

The study traced the flow and the marketing costs of potato starting from

the production points to the demand areas. At the demand province/site, the study concentrated only on the costs incurred in marketing potato coming from the supply province, and none for those produced in the demand province. For instance, Cebu City was classified as demand center. The costs borne by Cebu participants in trading potato from Misamis Oriental were covered but not the costs of moving potato harvested and marketed in the producing municipalities of Cebu province.

Procurement and distribution costs by institutional buyers are not accounted for because these were included in the total operation of the establishment.

Marketing Cost Structure for Calamansi 1

II. Research Methodology For each of the key supply provinces, the fieldwork started at the farm

level. Top five (5) producing barangays in the province were selected using the BAS data as reference.

From the farm level, the research team traced the traders identified by

the farmer respondents as buyers of their produce. The team moved to the next point of sale consisting of the wholesale and retail markets within the province and/or trading centers in the partner provinces. Selection of Sample Respondents The results of the listing made under High Value Commercial Crops (HVCC) project served as reference in identifying the barangays and the names of the farmer-respondents. At the farm level, the barangay chairmen/other officers, members of farmers associations and cooperatives served as key informants primarily in identifying and locating farmer-respondents and secondly, in getting other information on potato marketing practices in the locality. The sample sizes of respondents in the supply province were 40 farmers and three (3) traders per type/classification. Farmers who were engaged in producing/trading potato from July 2000 to June 2001 were selected and interviewed.

III. Discussion of Results The study primarily dealt with the costs shouldered by marketing participants in moving the commodity from the supply level to the consumption level. Part I focuses on the profile of the respondents and their marketing functions and practices. Part II, on the other hand, stresses on the major costs components. Distribution of Respondents There are two groups of respondents for the study, farmers and traders. Of the total 254 respondents, 120 were farmers while the remaining 134 were traders who were classified into different types. Table 1 shows the details on the distribution of trader-respondents by study areas.


Types of marketing participants. The farmers and traders are the major types of marketing participants. Trader-respondents were further classified based on their sphere of influence in performing their procurement and distribution activities.

In this study, five types of traders were identified: assemblers, distributors, assembler-distributors, institutional buyers and retailers. The first three types of traders can be classified further according to the geographic coverage and volume of transactions.

1. Assembler - procures potato 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:

a) Barangay Assembler (BA) – procures from one barangay only. b) Municipal Assembler (MA) - procures from two or more

barangays within the municipality. c) Provincial Assembler (PA) - procures from two or more

municipalities within the province. d) Regional Assembler (RA) - procures from two or more

provinces within the region. e) Interregional Assembler (IRA) - procures from two or more

regions.

2. Distributor - sells potato 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- Medium Distributor (BA-MD) b) Municipal Assembler – Small Distributor (MA-SD) c) Municipal Assembler – Medium Distributor (MA-MD) d) Municipal Assembler – Large Distributor (MA-LD) e) Provincial Assembler – Small Distributor (PA-SD) f) Provincial Assembler – Medium Distributor (PA-MD) g) Provincial Assembler – Large Distributor (PA-LD) h) Regional Assembler – Large Distributor (RA-LD) i) Interregional Assembler – Large Distributor (IRA-LD)

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. Institutional Buyer - includes groceries, hotels, restaurants, hospitals, eateries, military camp, etc.

5. Retailer - sources his/her stocks either directly from the farmers or

traders and directly sell the goods to the consumers.

! The assembler-distributors were further grouped into the sphere of influence in distribution that they performed. The first group was composed of large distributors (LDs) with 51 respondents. The second was a combination of medium (MD) and small distributors (SD) with 21 respondents. The grouping was regardless on whether the respondent is an inter-regional (IRA), regional (RA), provincial (PA), municipal (MA) or barangay assembler (BA).

! Sixty-one (61) of the respondents were retailers; only one

institutional buyer from Davao City was interviewed.


Profile of Respondents This part describes the respondents with basic characteristics such as size of the farm, land ownership and the cropping pattern of potato in the supply areas. On the other hand, traders were grouped according to the type of ownership and length of experience.

Size of Farm. The land area of purposively drawn sample farmers

ranged from less than 1.00 hectare to more than 2.00 hectares. Table 3 shows the distribution of farmer respondents by size of farm.

! Majority (85%) of the potato farmer-respondents have relatively small farms of less than one hectare.

! About 13 percent of the farmer cultivated potato in farms

measuring 1 to 2 hectares; only 2% planted potato in more than 2 hectares.

Land Ownership. Majority of the farmer-respondents owned the land

they operate. About 15 percent of the sample respondents were tenants and 4 percent were lessees. The remaining 5 percent either borrowed or rented the land that they tilled.

! Majority or 32 farmer-respondents from Benguet owned the land

while 8 were tenants.

! Of the total respondents from Bukidnon 29 were landowners, 5 lessees, 2 tenants and 4 either borrowed or rented the land.

! Of the 40 sample farmers in Davao City, 30 were landowners, 8 were

tenants and 2 were classified under other type of tenure.

Cropping Pattern. Potato has a life span of 3 to 4 months. Farmer respondents are planting potato two to three times a year. Figures 1 – 3 and table 9 illustrate the cropping pattern for potato.

# Benguet

! Ten farmer-respondents planted potato in March while 14 samples planted in July. Peak harvesting and trading were reported in October and in June.


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# Bukidnon

! Seven of the respondents planted potato in August and September. Peak harvesting and trading were noted in December with 10 and 9 respondents reporting respectively.

# Davao City

! Farmer-respondents planted potato almost all year round. The peak planting months were February, August and September. Only one respondent planted in May.

! Majority of the respondents harvested and traded potato in the months of May, November and December.

Business Ownership ! Almost all the trader-respondents (98%) from the covered provinces

were single proprietors. The remaining 2 percent had business partners.

! One large distributor from Pangasinan, one medium distributor from

Bukidnon and one in Misamis Oriental operate their trading business with partners.

! The institutional buyer from Misamis Oriental is a single proprietor.

Nature of Capitalization ! Ninety eight percent of the total respondents owned the capital used

in their business.

! One respondent in Pangasinan was financed by the cooperative and one respondent in Misamis Oriental was under contract with a trader from Manila.

Length of Experience ! Out of 134 trader-respondents 42 were in the business for 5 to 10

years.

! Twenty seven were trading potato for less than 5 years and another 27 for more than 20 years.


! Twenty traders have been in the business for 11 to 15 years, while 18 traders were into trading for 16 to 20 years.

Marketing Practices and Functions Farmers and traders perform marketing practices and functions which entail certain amount of costs for moving the products from one point to another. The major practices and functions and the corresponding marketing costs are described in the following: Procurement Trader-respondents procured potato from the producing barangays/ municipalities within the province. There were also traders who bought potato in the nearby provinces within and/or outside the regions to meet their supply requirements. Manner of Procurement

! More than half of the respondent (57%) picked up their supply from the producing areas or from their permanent suppliers.

! About 39% of the traders wait for their suppliers to deliver potato

they ordered. Orders were placed either thru land line phone or cellphone. There were also farmers who personally sold their produce directly to the traders.

! Only 4 % of the trader-respondents practiced both pick-up and

delivery in procuring potato.

Mode of Payment. There were several modes of payment in procuring potato, namely: cash on delivery, consignment, delayed payment, every 15 th of the month, every 30 th of the month and bank to bank payment. The charges paid to the bank depend on the agreement between the buyers and the sellers. The variation in the payment arrangement depends on the degree of trading relationship between farmer and trader.

! Majority of the respondents (74%) paid their potato suppliers in cash

upon delivery. ! Nineteen traders paid their suppliers in consignment, while 9 paid

either in cash on delivery or consignment basis.


! Two sample-respondents each declared that they paid their supplier

every 15th of the month, delayed payment or through bank. Distribution Most of the time, traders sold potato outside the province. The mode of delivery and terms of payment were subject to the agreement between buyer and seller. Mode of Delivery. The mode of delivery for distribution of potato depended on the type of buyer and his location.

! Eighty one (81) of the farmers delivered their goods to their clients while 39 of them waited for traders/buyers to pick up the produce.

! Out of 134 trader respondents, 116 stated that their buyers picked

up the commodity. There were 15 traders who delivered their goods to their buyers. Three samples practiced both modes of delivery.

Mode of Payment ! Majority of the farmers and trader-respondents (193 out of 254)

received cash when selling potato. Others were paid either in consignment (29 samples), 15th of the month (2 samples), both in cash and credit (15 samples), credit (6 samples), every 30th of the month (1 sample), or transaction thru bank (8 samples).

! Seven farmers in Bukidnon received payment either cash or credit.

! Farmers and traders were charged a minimum of P50 for every

transaction of less than P100,000 when payment was made thru bank. However, charges for more than P100,000 were computed based on the bank rates.

Geographic Flow Listed in table 8 were the sources and destination points of potato in the areas of study. Figures 4 – 6 illustrate the flow of potato by location and by province.


! Benguet

# The top producing municipalities of potato were Buguias, Atok and Natubleng. Mt. Province also supplied potato to Benguet during lean periods.

# Farmers in Benguet sold their produce in La Trinidad Vegetable Trading

Post (LTVTP), Maryland Trading Post and Hangar market. Customers of these markets were from the provinces of Bulacan, Pangasinan, Nueva Ecija, Tarlac, Pampanga, Cavite, Bicol region and Metro Manila.

! Bukidnon

# Large volumes of potato were sourced from the municipalities of Impasug-ong, Dormitan, Dalwangan, Lantapan, Miraya and Basak.

# In time of harvest, traders from Cagayan de Oro City procured

potato either directly from the farmers in different barangays or in Valencia trading center. However, during lean months the traders in Bukidnon procured potato from Agora market in Cagayan de Oro City.

# Trading centers in Bukidnon were located in Malaybalay,

Valencia and Lantapan.

# Potato in Bukidnon were distributed to the traders in Cagayan de Oro City. Traders in Cagayan de Oro City supplied the provinces of Cebu, Iloilo, Negros Occidental, Agusan del Norte, Surigao del Norte and Surigao del Sur.

! Davao City

# The barangays of Marilog proper, Buda, Baganihan, Sitio Ladian, Datu Salumay and Tagumpay Salumay all in the district of Marilog were the sources of potato in the province. The provinces of Bukidnon and Davao del Sur were the two major suppliers of potato during lean months.


(VIA Metro Manila)

CebuIloilo

Negros OccidentalLeyte

Maryland Trading Post

La Trinidad Vegetable Trading

Post

DEMAND AREAS

TRADING CENTERS

SUPPLY AREAS

Figure 4. GEOGRAPHIC FLOW OF POTATO IN BENGUET, 2001

Hangar Market

Benguet-Atok-Buguias-Kibungan-Bakun

(VIA Metro Manila)

Davao CityCagayan de Oro

Zamboanga

CARRegion 1Region 2Region 3Region 4Region 5

Nueva VizcayaPangasinan

Mt. Province

Davao CitySurigao

Lanao NorteLanao Sur

CebuLeyteIloilo

Metro Manila

Malaybalay MarketCagayan de Oro

DEMAND AREAS

TRADING CENTERS

SUPPLY AREAS

Figure 5. GEOGRAPHIC FLOW OF POTATO IN BUKIDNON, 2001

Valencia Market

Bukidnon-Impasugong-Malaybalay-Lantapan

General Santos City

South CotabatoMetro Manila

Zamboanga CityIloiloCebu

Bangkerohan Market

CalinanTorilBuda

MintalMarahan

Davao City-Calinan-Marilog-Paquibato

BukidnonSouth Cotabato

Davao SurSarangani

Benguet (via Metro Manila)

DEMAND AREAS

TRADING CENTERS

SUPPLY AREAS

Figure 6. GEOGRAPHIC FLOW OF POTATO IN DAVAO CITY, 2001

# Majority of the big time traders and shippers were based in the Metro Circle which comprise the markets of Bangkerohan and Pag-asa. The Metro Cirle was the “Bagsakan area” in Davao City.

# From Bangkerohan market potatoes were distributed to the

demand areas in Metro Manila, General Santos City and Surigao. Retailers in Toril, Calinan, Buhangin, Agdao and Mintac were buying potato either in Bangkerohan or Pag-asa market.

Marketing Channels Figures 7-9 illustrate the flow of potato from the farmer up to the retailer in the provinces under study. ! Benguet

# Buyers of potato in the barangays composed of agents and large distributors (IRA-LD, RA-LD, PA-LD and MA-LD). There were instances when buyers from outside the province bought directly from the farmers. However, 38 interviewed farmers delivered their goods directly to the trading posts.

# During harvest season, transactions between the farmer and the

buyers were often done in the highways.

# IRA-LD sold potato either to RA-LD, PA-LD, MA-LD, retailers or to buyers outside the province.

! Bukidnon

# Potato farmers commonly sold their produce to the traders from Cagayan de Oro City, Provincial Assemblers – large/Medium distributors or to Municipal Assembler-Small Distributor (MA-SD).

# Retailers from Malaybalay and Valencia procured either from PA-

LD, PA-MD and MA-SD. ! Davao City

# Farmers in the barangays often sold their produce to the Provincial assembler – Medium Distributor (PA-MD), Regional Assembler – Large Distributor (RA-LD), Provincial Assembler –


Figure 7. MARKETING CHANNELS FOR POTATO IN BENGUET, 2001

CONSUMER

RETAILER

RA-LD

IRA-LD

FARMERSUPPLIERS OUTSIDE

PROVINCE

BUYERS OUTSIDE

PROVINCE

AGENT

PA-LD

MA-LD

Figure 8. MARKETING CHANNELS FOR POTATO IN BUKIDNON, 2001

CONSUMER

RETAILER

PA-MD MA-SDPA-LD

FARMER

CDO TRADER

20

Figure 9. MARKETING CHANNELS FOR POTATO IN DAVAO CITY, 2001

CONSUMER

RETAILER

PA-MD PA-SDRA-LD

FARMER

SUPPLIERS OUTSIDE

PROVINCE

BUYERS OUTSIDE

PROVINCEINSTITUTIONAL

BUYER

Small Distributor (PA-SD) and to buyers from outside the province.

# RA-LD provided financial assistance to the farmers from different

municipalities in the province or in the nearby provinces. In return, the farmers sold all their produce the financier.

# During lean period, RA-LD procured supply from traders in the

nearby provinces in addition to the supply of the farmers and traders within the province to meet the quantity required by his/her clients.

# PA-SD, PA-MD and RA-LD distributed their potatoes either to the

retailers or institutional buyers, i.e. Gaisano Mall and NICC supermarket. The Institutional buyers re-packed potato in a more presentable and properly labeled containers/plastic bags and sold directly to the consumers.

Marketing Costs Marketing costs of potato from the farm level down to the final consumers include labor, transportation, material inputs, other operating expenses and depreciation. Labor The activities performed in the process of procuring potato from the farm included hauling (loading from the farm to the truck/vehicle), sorting, cleaning/washing, packing, weighing and selling.

! The total cost of labor for 11 provinces covered by the study ranged from P0.13 (Negros Occidental) to P1.64 per kilogram (Metro Manila). It also included the costs for salaries and wages of permanent and contractual employees and labor cost paid in shipping the product.

! Costs in hauling potato from the farm to the first point of destination

amounted to P0.25, P0.28 and P0.11 per kilogram, respectively for Benguet, Bukidnon and Davao City.


! The highest labor expenses incurred in procuring the stocks was noted in Nueva Ecija at P0.35 per kilogram while the lowest was in Davao City, P0.04 per kilogram.

! Only sample traders in Nueva Ecija paid for washing and cleaning of

potatoes during procurement amounting to P0.25 per kilogram.

! Traders from Cebu incurred the highest distribution cost (P0.88/kg.), followed by Metro Manila (P0.82/kg.) and Pangasinan (P0.79/kg.).

! Traders hired either permanent or contractual employees to help

them in the different activities in trading. Payments were either on per day, week, 15th or 30th day of every month. The lowest salaries/wages prevailed in Misamis Oriental at P0.02 per kilogram while the highest rate was in Metro Manila at P0.61 per kilogram.

Transportation Transportation cost was the amount paid by the farmers and traders in transporting the goods to its destination. It pertains to the cost incurred when the transportation used were either hired/rented or public utility vehicles. Also included here was the freight charges for shipping vessels.

! Of the sample three producing areas, farmers/traders in Benguet incurred the highest transportation costs of P1.43 per kilogram for the delivery of potato from the farm to their buyers.

! Traders from Cebu spent an average of P1.83 per kilogram on

transportation when buying, shipping and selling potato.

! When procuring supply either from the producing areas or in trading centers, traders in Manila incurred the highest expenditure on transportation, P0.66 per kilogram; the lowest cost was observed in Misamis Oriental, P0.01 per kilogram of potato.

! Traders from General Santos City spent P1.44 per kilogram in

shipping potato including freight either from the source to the trading centers or to the buyers.

! Buyers of potato from Davao City to other provinces, particularly to

Manila, either picked up the commodity from their place or waited for the traders to deliver the goods in the port. In both cases, the buyers shouldered all the expenses in shipping.


Material Inputs The costs of marketing include the materials used by the farmers and the traders starting from the pre-marketing stage up to the disposition of potato at the retail market. The materials commonly used in procuring and distributing potato were sacks, kaing, twine, old newspaper, plastic bag, plastic crate, red bag, needle and wire. Table 16 shows the materials used and the corresponding costs.

! Traders in Davao City provided sacks and twine to the farmer/supplier but charged them P0.10 for every kilogram of potato.

! During procurement, farmers and traders in Benguet incurred the

highest cost of P0.46 per kilogram for material inputs while traders in General Santos City spent the lowest, P0.03 per kilogram of potato.

! Respondents from Benguet also incurred the highest distribution

expense amounting to P0.66 per kilogram. Materials used were kaing, sacks (includes old and plastic sacks), twine, plastic bag, basket, wire and office supplies.

! All the traders in the sample provinces commonly used plastic bags in

selling potato. Metro Manila traders spent the highest, P0.24 per kilogram of potato for plastic bags. Traders from Benguet and Iloilo both spent an average of P0.19 per kilogram of potato for plastic bag.

Miscellaneous and Other Operating Costs Miscellaneous expenses include business permit/licenses, market fee, electricity, telephone, water, gas and oil, rentals, expenses for meals and beverages, wastage/shrinkage while transporting the commodity. Other items with the corresponding amount of costs incurred are enumerated in Table 17.

! The total amount of the operating expenses ranged from P2.34 in Davao City to P0.25 per kilogram in Cebu.

! In Bukidnon, shrinkage/wastage contributed a significant amount to

total operating cost of P0.95 per kilogram due to the long distance between and the poor condition of the road from the production sites (barangays in Bukidnon) to the trading/demand area (Cagayan de Oro City).


! Iloilo also suffered losses due to wastage amounting to P0.76 per kilogram. Traders were buying their stocks either from Cebu, Davao City and Kanlaon, Negros Oriental.

! During the reference period, respondents in Davao City and Benguet

spent P0.85 and P0.64 per kilogram, respectively, for the repair and maintenance of truck/vehicle used in buying and selling of potato.

Depreciation The study imputed depreciation costs using the straight line method for materials, equipment, facilities and transportation items used in potato marketing.

! Depreciation costs were: P0.31 (Davao City), P0.13 (Bukidnon), P0.129 (Misamis Oriental), P0.128 (Nueva Ecija), P0.123 (Metro Manila), P0.049 (Pangasinan), P0.044 (Benguet), P0.028 (General Santos City), P0.023 (Negros Occidental), P0.013 (Cebu), and P0.002 (Iloilo).

! Weighing scale, calculator and electric fan were the most common

equipment used by retailers in their business operations.

! Imputed costs of depreciation for storage facilities in Benguet and Pangasinan amounted to P0.02 and P0.004 per kilogram, respectively. Traders in Misamis Oriental and Nueva Ecija built their own stall in the market. Depreciation cost was computed at P0.11 per kilogram and P0.05 per kilogram, respectively.

Total Marketing Costs The total marketing cost is the sum of the expenses incurred by the farmers and the traders which include the expenses on labor, salaries and wages of the employees, transportation, material inputs, other operating expenses and the imputed costs of depreciation. The cost items were aggregated according to cash outlay, which include cash, non-cash or imputed costs (Table 19, 20 and 21).

! Benguet traders spent the highest marketing cost of P5.77 per kilogram while Negros Occidental traders had the lowest expense of P1.18.


! Non-cash costs ranged from P0.002 in Iloilo to P0.31 in Davao City.

! In Metro Manila, the total cost was P3.77 per kilogram, a large portion was accounted for by labor (P1.64) and transportation expense (P1.12).

! Among the three supply areas, respondents from Davao City incurred

the biggest expenses of P2.34, followed by Bukidnon with P2.04 per kilogram.

Marketing Costs by Point of Destination Transfer of commodities from the producers to the next marketing participants until it reach the final consumers entails costs on transportation, materials, labor and other expenses. Figures 10 to 12 illustrate the estimated costs per kilogram of moving potato from the supply area to the demand area.

Benguet

# Benguet farmers and traders who moved potato from the supply barangays to the major markets spent P2.41 per kilogram.

# Traders with buyers in Cebu City had the highest expense at P6.56

per kilogram which includes shipping expenses from Benguet via Metro Manila to Cebu pier. Buyers from Cebu shouldered the expenses in moving the goods from the pier to their stall.

# Traders distributing the goods to Metro Manila incurred a total cost of

P6.22 per kilogram while traders selling to Pangasinan spent P5.70 per kilogram.

Bukidnon

# In Bukidnon, potato was sold mostly to the traders from Cagayan de Oro City and the total cost borne by the traders was P3.93 per kilogram.

# For traders who traded their goods within Bukidnon incurred total

costs amounted P1.47 per kilogram.

Marketing Cost Structure for Calamansi 24 Marketing Cost Structure for Calamansi 1

Su

pp

ly A

rea/

Des

tin

atio

nO

rigi

nN

ext p

oin

tF

inal

Des

tin

atio

nT

ota

l

Ben

gu

et-

bara

ngay

to m

arke

t2.

412.

41-

with

in th

e pr

ovic

e2.

411.

323.

73-P

anga

sina

n2.

411.

321.

975.

7- M

anila

2.41

1.32

2.49

6.22

- C

ebu

2.41

1.32

2.83

6.56

Bu

kid

no

n-

bara

ngay

to m

arke

t12

412

4-

with

in p

rovi

nce

124

1.22

125.

22-

Cag

ayan

de

Oro

124

1.22

1.47

126.

69

Dav

ao C

ity

- ba

rang

ay to

mar

ket

0.38

0.38

- w

ithin

the

prov

ice

0.38

1.44

1.82

- Man

ila0.

381.

442.

113.

93

Mar

keti

ng

Co

sts

(pes

o p

er k

ilog

ram

)

MA

TR

IX O

F M

AR

KE

TIN

G C

OS

TS

FO

R P

OT

AT

OB

Y P

OIN

T O

F D

ES

TIN

AT

ION

, 200

1

Benguet to Cebu = P6.56

Benguet to Pangasinan

= P5.70

Benguet to Metro Manila

= P6.22

Within Benguet =

P3.73

Barangay to Market =

P2.41

Figure 10. Total Marketing Costs for Potato, by point of destination, Benguet, 2001

Cebu

Benguet

Pangasinan

Metro Manila

Figure 11. Total Marketing Costs for Potato, by point of destination, Bukidnon, 2001

Bukidnon to Cagayan de Oro

= P3.93

Within Bukidnon =

P2.46Barangay to

Market = P1.24

CDO

Buki

dnon

Figure 12. Total Marketing Costs for Potato, by point of destination, Davao City, 2001

Davao City

Metro Manila

Davao City to Metro Manila = P3.93

Within Davao City = P1.82

Barangay to Market = P0.38

Davao City

# Distribution cost of potato from Davao City to Manila was P3.93 per kilogram, while traders distributing goods within the province spent P1.82.

Marketing Margins In measuring the marketing margins, the structure of the marketing channels from the farm through the various intermediaries until the final consumer, is hereby described. This is followed by the identification and listing of the various functions that are performed at each stage in the marketing process. Buying price is the initial investment of the traders. The gross margin, which includes the cost of trading and the risk/losses, is the difference between the retail price and the effective buying price at the farm level. The net margin, or the net return, was computed as the remainder when total marketing costs were subtracted from total gross margin. The concept of marketing margins is illustrated below. 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 succeeding table presents the estimated marketing margins for potato based on the average prices collected by the BAS in 2001 for the supply areas under study. Likewise, the costs of marketing potato at each level of marketing participants and the estimated selling price for each supply province are presented in Figures 13-15.


Per

cen

tP

eso

per

kg

.P

erce

nt

Pes

o p

er

kg.

Per

cen

tP

eso

per

kg

.

Far

m15

.44

14.1

421

.42

Who

lesa

le20

.65

-2

4.4

Ret

ail

32.6

52

4.4

35.6

6

Far

m2.

663.

9057

.95

5.95

18.4

02.

62W

hole

sale

51.7

18.

90-

-56

.60

8.06

Ret

ail

25.6

34.

4142

.05

4.31

25.0

03.

56

Tot

al10

017

.21

100

10.2

610

014

.24

Less

: T

otal

Cos

ts5.

774.

834.

49N

et M

argi

n/R

etur

n11

.44

5.43

9.75

BU

KU

DN

ON

DA

VA

O C

ITY

AV

ER

AG

E P

RIC

ES

AN

D M

AR

KE

TIN

G M

AR

GIN

S F

OR

PO

TA

TO

, 200

1

Pri

ces

Mar

gin

sP

rice

sM

arg

ins

ITE

MP

rice

sM

arg

ins

BE

NG

UE

T

Am

ount

(P/k

g)L

evel

Ave

.

Estim

ated

Sel

ling

Pric

e w

/o m

argi

nR

etai

l27

.55

-40

.44

32.3

9(b

uyin

g pr

ice

& to

tal c

osts

)21

.21

Tota

l Cos

ts5.

77

Mat

eria

ls0.

66La

bor

1.00

Tran

spor

ting

1.23

Who

lesa

le16

.08

-28

.71

20.6

5D

epre

ciat

ion

0.04

Oth

ers

1.70

Mat

eria

ls0.

46La

bor

0.23

Tran

spor

ting

0.20

Pre-

mar

ketin

gH

aulin

g0.

25

Buy

ing

Pric

e15

.44

Farm

14.0

0-

17.2

115

.44

* S

ourc

e: B

AS'

FPS

, Who

lesa

le &

Ret

ail P

rice

Mon

itorin

g

Pric

e R

ange

Prac

tice/

Act

ivity

/Cos

t Ite

mM

arke

t Pri

ce*

Figu

re 1

3. M

arke

ting

Cos

ts fo

r Po

tato

, by

leve

l of M

arke

ting

Part

icip

ants

, Ben

guet

, 200

1

CO

NSU

MER

RET

AIL

ER

RA-L

D

IRA

-LD

FAR

MER

SUPP

LIER

S O

UTS

IDE

PRO

VIN

CE

BU

YER

S O

UTS

IDE

PRO

VIN

CE

AG

ENT

PA-L

D

MA

-LD

Am

ount

(P/k

g)L

evel

Ave

.

Estim

ated

Sel

ling

Pric

e w

/o m

argi

nR

etai

l21

.61

-31

.06

24.4

0(b

uyin

g pr

ice

& to

tal c

osts

)19

.23

Tota

l Cos

ts4.

83

Mat

eria

ls0.

24La

bor

0.95

Tran

spor

ting

0.47

Dep

reci

atio

n0.

13O

ther

s2.

05

Mat

eria

ls0.

18La

bor

0.12

Tran

spor

ting

0.41

Pre-

mar

ketin

gH

aulin

g0.

28

Buy

ing

Pric

e14

.40

Farm

9.64

-26

.50

14.1

4

* S

ourc

e: B

AS'

FPS

, Who

lesa

le &

Ret

ail P

rice

Mon

itorin

g

Pric

e R

ange

Prac

tice/

Act

ivity

/Cos

ts It

emM

arke

t Pri

ce*

Figu

re 1

4. M

arke

ting

Cos

ts fo

r Po

tato

, by

leve

l of M

arke

ting

Part

icip

ants

, Buk

idno

n, 2

001

CO

NSU

MER

RET

AIL

ER

PA-M

DM

A-S

DPA

-LD

FAR

MER

CD

O

TRA

DER

Ave

rage

(P/k

g)L

evel

Ave

.

Estim

ated

Sel

ling

Pric

e w

/o m

argi

nR

etai

l31

.18

-44

.90

35.6

6(b

uyin

g pr

ice

& to

tal c

osts

)25

.91

Tota

l Cos

ts4.

49

Mat

eria

ls0.

50La

bor

0.72

Tran

spor

ting

0.19

Who

lesa

le21

.14

-27

.93

24.4

0D

epre

ciat

ion

0.31

Oth

ers

2.34

Mat

eria

ls0.

18La

bor

0.04

Tran

spor

ting

0.10

Pre-

mar

ketin

gH

aulin

g0.

11

Buy

ing

Pric

e21

.42

Farm

14.7

5-

27.3

621

.42

* S

ourc

e: B

AS'

FPS

, Who

lesa

le &

Ret

ail P

rice

Mon

itorin

g

Pric

e R

ange

Prac

tice/

Act

ivity

/Cos

t Ite

mM

arke

t Pri

ce*

Figu

re 1

5. M

arke

ting

Cos

ts fo

r Po

tato

, by

leve

l of M

arke

ting

Part

icip

ants

, Dav

ao C

ity, 2

001

CO

NSU

MER

RET

AIL

ER

PA-M

DPA

-SD

RA-L

D

FAR

MER

SUPP

LIER

S O

UTS

IDE

PRO

VIN

CE

BU

YER

S O

UTS

IDE

PRO

VIN

CE

INST

ITU

TIO

NA

L B

UY

ER

! Benguet

The estimated retail selling price from the farm to the retailer was P21.21, included was the buying price of P15.44 per kilogram and the total costs of P5.77. The net margin was P11.44.

! Bukidnon

Buying price of potato was P14.14 per kilogram. Traders spent P4.83 per kilogram, on average, in marketing potato. Farmers’ share was P5.95 while the traders was P4.31 per kilogram.

! Davao City

At an average farm price of P21.42, farmers received a gross margin of P2.62 per kilogram while traders who buy and sell potato get a net margin of P11.62 per kilogram. Net return amounted to P9.75 per kilogram after deducting total cost of P4.49.

IV. PROBLEMS/CONSTRAINTS ENCOUNTERED

Farmers and traders encountered different problems in buying and selling potato (Table 22).

# One of the common problems encountered by farmers and traders is low

price due to poor quality of the produce. # Too much competition among traders which resulted to the lack of buyers

in the area was another constraint. # A few cited high percentage of wastage especially in transporting the

goods from the farm to the market as their problem. Some of the traders complained that their suppliers insert rotten potato inside the sack.

# Other problems were non-payment of debt, lack of capital, high costs for

shipping commodities, poor farm to market road, lack of post harvest facilities, high interest rate on loan and thieves.


Statistical Statistical Statistical Statistical TablesTablesTablesTables

Farmer Trader

Metro Manila 24 24 Divisoria 4 4 Pasay 3 3 Galas 1 1 Quezon City 8 8 Manila 2 2 Mandaluyong 3 3 Sangandaan 3 3

Benguet 40 12 52 Buguias 24 24 Atok 8 8 Kibungan 8 8 Baguio 1 1 La Trinidad 7 7 Hangar 4 4

Pangasinan 9 9 Urdaneta 6 6 Dagupan 1 1 Alaminos 1 1 San Carlos 1 1

Nueva Ecija 14 14 Cabanatuan 4 4 Gapan 3 3 Sangitan 4 4 San Leonardo 2 2 Sta. Rosa 1 1

Iloilo 12 12 Iloilo City 9 9 Pototan 1 1 Passi 2 2

Table 1. POTATO: Distribution of respondents, by typeand by province, 2001

Province/Municipality TotalNumber of Respondent

Farmer Trader

Negros Occidental 10 10 Bacolod City 10 10

Cebu 9 9 Carbon 4 4 Mandaue 2 2 Tabunok 3 3

Bukidnon 40 12 52 Impasug-ong 16 4 20 Dalwangan 8 1 9 Lantapan 2 2 4 Talakag 14 14 Malaybalay 1 1 Valencia 4 4

Misamis Oriental (CDO) 14 14 Agora 12 12 Cogon 1 1 Carmen 1 1

Davao City 40 12 52 Marilog District 40 40 Calinan 5 5 Bangkerohan 3 3 Toril 2 2 Metro City Circle 1 1 NCC Supermarket 1 1

General Santos City 6 6

TOTAL 120 134 254

Province/Municipality Number of Respondent Total

Table 1. (continued)

Metro Manila 6 18 24 9

Benguet 40 10 2 52 20

Pangasinan 6 1 2 9 4

Nueva Ecija 5 3 6 14 6

Iloilo 3 3 6 12 5

Negros Occidental 2 4 4 10 4

Cebu 4 5 9 4

Bukidnon 40 1 6 5 52 20

Misamis Oriental 8 2 4 14 6

Davao City 40 3 8 1 52 20

General Santos City 3 2 1 6 2

TOTAL 120 51 21 61 1 254 100

Percent

Table 2. POTATO: Distribution of respondents, by type of marketing participants,by province, 2001

IRA-LD/RA-LD/ PA-LD/MA-

LD/ BA-LD

PA-MD/PA-SD/ MA-MD/MA-SD/

BA-MDRETAILER INSTITUTIONAL

BUYERProvince Farmer Total

Farm Size(in hectare)

less than 1.00 33 34 35 102 85

1.00 - 2.00 6 6 4 16 13

more than 2.00 1 1 2 2

TOTAL 40 40 40 120 100

TenurialStatus

Owner 32 29 30 91 76

Tenant 8 2 8 18 15

Lessee 5 5 4

Others* 4 2 6 5

TOTAL 40 40 40 120 100* Borrowed/Rented and Public land

Table 3. POTATO: Distribution of farmer respondents by size of farm, by province, 2001

PercentBukidnon Davao CityBenguet TOTAL

Table 4. POTATO: Distribution of farmer respondents by tenurial status, by province, 2001

Benguet Bukidnon Davao City TOTAL Percent

Sing

le P

ropr

ieto

rshi

p24

128

1412

109

1113

126

131

98

Par

tner

ship

11

13

2

TOTA

L2

41

29

14

12

10

91

21

41

26

13

41

00

Tota

lP

erce

nt

Ceb

uB

uki

dnon

Mis

amis

O

rien

tal

Dav

ao

Cit

y

Tabl

e 5.

PO

TATO

: D

istr

ibu

tion

of

trad

er r

espo

nde

nts

,by

typ

e of

bu

sin

ess,

by

prov

ince

, 200

1

Type

of

Bu

sin

ess

Met

ro

Man

ilaB

engu

etP

anga

sin

anN

uev

a Ec

ija

Iloi

loN

egro

s O

ccid

enta

l

Gen

eral

Sa

nto

s C

ity

Metro Manila

Single Proprietorship 6 18 24 18

Benguet


Pangasinan

Single Proprietorship 5 1 2 8 6

Partnership 1 1 1

Nueva Ecija


Iloilo


Negros Occidental


Cebu


Bukidnon


Partnership 1 1 1

Misamis Oriental


Partnership 1 1 1

Davao City


General Santos City


TOTAL 51 21 61 1 134 100

Table 5a. POTATO: Distribution of respondents, by type of marketing participants,by type of business, by province, 2001

IRA-LD/RA-LD/ PA-

LD/MA-LD/ BA-LD

PA-MD/PA-SD/ MA-

MD/MA-SD/ BA-MD

RETAILER INSTITUTIONAL BUYER

Province Total Percent

Sel

f fin

ance

d24

128

1412

109

1213

126

132

98

Coo

pera

tive

11

1

Und

er c

ontr

act

11

1

TOTA

L2

41

29

14

12

10

91

21

41

26

13

41

00

Per

cen

tM

isam

is

Ori

enta

lD

avao

C

ity

Gen

eral

Sa

nto

s C

ity

Tota

l

by n

atu

re o

f c

apit

aliz

atio

n, b

y pr

ovin

ce, 2

00

1

Type

of

Bu

sin

ess

Met

ro

Man

ilaB

engu

etP

anga

sin

anN

uev

a Ec

ija

Iloi

loN

egro

s O

ccid

enta

lC

ebu

Bu

kidn

on

Tabl

e 6.

PO

TATO

: D

istr

ibu

tion

of

trad

er r

espo

nde

nts

,

Metro Manila

Self financed 6 18 24 18

Benguet


Pangasinan


Cooperative 1 1 1

Nueva Ecija

Self financed 5 3 6 14 10

Iloilo


Negros Occidental


Cebu


Bukidnon


Misamis Oriental


Under contract agreement 1 1 1

Davao City


General Santos City


TOTAL 51 21 61 1 134 100

Table 6a. POTATO: Distribution of respondents by type of marketing participants,by nature of capitalization, by province, 2001

ProvinceIRA-LD/RA-

LD/ PA-LD/MA-LD/ BA-LD

PA-MD/PA-SD/ MA-MD/MA-SD/ BA-MD


Total Percent

less

tha

n 5

34

31

14

64

127

5 -

10

610

54

54

13

13

42

11 -

15

41

33

41

22

20

16 -

20

32

12

31

24

18

mor

e th

an 2

08

12

22

33

14

127

TOTA

L24

129

1412

109

1214

126

134

Tabl

e 7.

PO

TATO

: D

istr

ibu

tion

of

trad

er r

espo

nde

nts

, by

len

gth

of

expe

rien

ce,

by p

rovi

nce

, 200

1

Yea

rs in

B

usi

nes

sM

etro

M

anila

Ben

guet

Pan

gasi

nan

Nu

eva

Ecij

aIl

oilo

Dav

ao

Cit

y

Gen

eral

Sa

nto

s C

ity

Tota

lN

egro

s O

ccid

enta

lC

ebu

Bu

kidn

onM

isam

is

Ori

enta

l

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

Metro Manila Divisoria Baguio Pasay City, Quezon City, Bacolod Balintawak Nueva Vizcaya Marikina, Caloocan, Nepa Q-mart Metro Manila markets

Benguet Buguias Mt. Province Baguio City Divisoria, Bulacan, Atok Pangasinan, Cavite Natubleng Cebu, Nueva Ecija,

Bicol, Tarlac, Pampanga, Balintawak, Pasig

Pangasinan Urdaneta Baguio Alaminos, Bolinao, Bulacan, Pampanga, Dagupan La Trinidad Burgos, Sta. Cruz, Zambales, Tarlac,

Urdaneta, Tayug, Tuguegarao, Laguna, Lingayen, Dagupan, Batangas, Bataan, San Carlos City Isabela, Bicol,

Metro Manila (Divisoria, Balintawak)

Nueva Ecija Cabanatuan La Trinidad Cabanatuan, Sta. Rosa, Bulacan, Pampanga, Gapan Urdaneta San Leonardo, Aliaga, Quezon, Baler

Gapan, San Antonio, Jaen, Talavera

Iloilo Iloilo City Metro Manila, Passi, Iloilo City, Dumarao, Capiz, Aklan, Guimaras, Kanlaon, Divisoria, Lambinao Antique, Cagayan de Baguio, Cebu, Oro Cagayan de Oro

Negros Occidental Bacolod City Divisoria Bacolod City, Talisay, Cagayan de Oro Murcia Negros Oriental Baguio

Cebu Cebu City Baguio Tabunok, Carbon, Leyte, Southern Leyte, Dalaguete Cagayan de Oro Mandaue Samar, Bohol

Cagayan Manila Davao del Sur

Bukidnon Impasugong Agora (Cagayan de Malaybalay, Valencia, Agora (Cagayan de Dormitan Oro City) Lantapan Oro City) Dalwangan Lantapan Miraya Basak

Misamis Oriental Cagayan de Oro Bukidnon Cogon, Carmen (CDO) Surigao, Butuan, Iloilo, Ibaan Iligan, Cebu

Davao City Marilog District Davao del Sur Calinan, Toril, Buhangin, Metro Manila Calinan Bukidnon Agdao, Mintac, Metro Circle General Santos City Davao City Surigao

Metro Circle

General Santos City Tupi Digos (Davao Sur) Gen. Santos Iloilo, Zamboanga Kapatagan South Cotabato Manila, Cebu Alabin (Sarangani) Toril (Davao City)

Source Destination

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

Province/City/Area

Ben

guet

Pl

antin

g5

410

114

52

H

arve

stin

g3

21

62

123

113

Tr

adin

g3

21

71

113

11

13

Bu

kidn

on

Pl

antin

g4

56

23

47

73

5

Har

vest

ing

14

53

84

24

27

10

Trad

ing

12

43

23

15

14

9

Dav

ao C

ity

Pl

antin

g4

127

51

610

116

34

H

arve

stin

g5

45

511

75

214

11

Trad

ing

54

43

95

14

310

7

Tabl

e 9

. P

OTA

TO:

Cro

ppin

g P

atte

rn, b

y ac

tivi

ty in

sel

ecte

d pr

ovin

ces,

20

01

Act

ivit

yJa

nFe

bM

arA

pr

May

Jun

Jul

Dec

.A

ug

Sep

tO

ctN

ov

Pi

cked

up

156

513

66

54

75

577

57

D

eliv

ered

86

31

54

37

77

152

39

B

oth

11

11

15

4

TOTA

L2

41

29

14

12

10

91

21

41

26

13

41

00

Tab

le 1

0.

PO

TATO

: D

istr

ibu

tion

of

trad

er r

esp

ond

ents

, b

y m

ann

er o

f p

rocu

rem

ent,

by

pro

vin

ce,

20

01

Man

ner

of

Pro

cure

men

tM

etro

M

anila

Ben

gu

etP

anga

sina

nN

ueva

Ec

ijaIl

oilo

Neg

ros

Occ

iden

tal

Ceb

uTo

tal

Per

cent

Bu

kid

non

Mis

amis

O

rien

tal

Dav

ao

Cit

y

Gen

eral

S

anto

s C

ity

METRO MANILA Picked- up 3 12 15 Delivered 3 5 8 Both 1 1BENGUET Picked- up 5 1 6 Delivered 5 1 6PANGASINAN Picked- up 3 1 1 5 Delivered 2 1 3 Both 1 1NUEVA ECIJA Picked- up 4 3 6 13 Delivered 1 1ILOILO Picked- up 2 1 3 6 Delivered 1 2 2 5 Both 1 1NEGROS OCCIDENTAL Picked- up 2 2 2 6 Delivered 2 2 4CEBU Picked- up 1 4 5 Delivered 2 1 3 Both 1 1BUKIDNON Picked- up 1 1 2 4 Delivered 4 3 7 Both 1 1MISAMIS ORIENTAL Picked- up 4 1 2 7 Delivered 4 1 2 7DAVAO CITY Picked- up 2 2 1 5 Delivered 1 6 7GENERAL SANTOS CITY Delivered 2 2 1 5 Both 1 1

TOTAL 51 21 61 1 134


TOTAL

Table 10a. POTATO: Distribution of respondents by type of marketing participants, by manner of procurement, by province, 2001

Province/Mode of DeliveryIRA-LD/RA-LD/ PA-LD/MA-LD/

BA-LD


BA-MD

Cas

h24

37

127

84

710

116

9974

Con

sign

men

t7

23

34

1914

Bot

h2

22

21

97

Eve

ry 1

5th

of th

e m

onth

22

1

Eve

ry 3

0th

of th

e m

onth

11

a/

Ban

k to

Ban

k2

21

Del

ayed

Pay

men

t1

12

1

TOTA

L2

41

29

14

12

10

91

21

41

26

13

41

00

To

tal

Per

cen

tB

uki

dnon

Mis

amis

O

rien

tal

Dav

ao

Cit

y

Gen

eral

S

anto

s C

ity

Tab

le 1

1.

PO

TATO

: D

istr

ibu

tion

of

trad

er r

esp

ond

ents

, by

mod

e of

pay

men

t in

bu

yin

g s

tock

,b

y p

rovi

nce

, 20

01

Typ

e of

Bu

sin

ess

Met

ro

Man

ilaB

eng

uet

Pan

gas

inan

Nu

eva

Ecij

aIl

oilo

Neg

ros

Occ

iden

tal

Ceb

u

METRO MANILA Cash 6 18 24BENGUET Cash 3 3 Consignment 5 2 7 Both 2 2PANGASINAN Cash 4 1 2 7 Both 2 2NUEVA ECIJA Cash 3 3 6 12 Both 2 2ILOILO Cash 2 1 4 7 Consignment 2 2 Both 2 2 Every 30th of the month 1 1NEGROS OCCIDENTAL Cash 2 3 3 8 Every 15th 1 1 2CEBU Cash 4 4 Bank to Bank 2 2 Consignment 2 1 3BUKIDNON Cash 5 2 7 Consignment 1 2 3 Both 1 1 Delayed payment 1 1MISAMIS ORIENTAL Cash 4 2 4 10 Consignment 4 4DAVAO CITY Cash 3 7 1 11 Delayed payment 1 1GENERAL SANTOS CITY Cash 3 2 1 6

TOTAL 51 21 61 1 134

Table 11a. POTATO: Mode of payment in buying stocks, by type of marketing participants,by province, 2001

Mode of PaymentIRA-LD/RA-



BA-MDRETAILER INSTITUTIONAL

BUYERTOTAL

Pi

cked

- u

p23

149

1410

97

188

394

155

61

D

eliv

ered

382

11

344

132

9537

B

oth

11

24

2

TOTA

L2

45

29

14

12

10

95

21

45

26

25

41

00

Tab

le 1

2.

PO

TATO

: D

istr

ibu

tion

of

trad

er r

esp

ond

ents

, b

y m

ann

er o

f d

istr

ibu

tion

,b

y p

rovi

nce

, 2

00

1

Type

of

Bu

sin

ess

Met

ro

Man

ilaB

eng

uet

Pan

gasi

nan

Nue

va

Ecija

Iloi

loN

egro

s O

ccid

enta

lC

ebu

Tota

lP

erce

ntB

uki

dn

onM

isam

is

Ori

enta

lD

avao

C

ity

Gen

eral

S

anto

s C

ity

METRO MANILA Picked- up 6 17 23 Both 1 1

BENGUET Picked- up 2 10 2 14 Delivered 38 38

PANGASINAN Picked- up 6 1 2 9

NUEVA ECIJA Picked- up 5 3 6 14

ILOILO Picked- up 3 2 5 10 Delivered 1 1 2

NEGROS OCCIDENTAL Picked- up 2 3 4 9 Delivered 1 1

CEBU Picked- up 2 5 7 Delivered 1 1 Both 1 1

BUKIDNON Picked- up 10 1 3 4 18 Delivered 30 3 1 34

MISAMIS ORIENTAL Picked- up 3 1 4 8 Delivered 3 1 4 Both 2 2

DAVAO CITY Picked- up 27 3 8 1 39 Delivered 13 13

GENERAL SANTOS CITY Picked- up 2 1 1 4 Delivered 1 1 2

TOTAL 120 51 21 61 1 254

Table 12a. POTATO: Distribution of respondents by manner of distribution, by type of marketing participants, by province, 2001

Mode of Delivery FARMERS TOTALIRA-LD/RA-



BA-MDRETAILER

INSTITUTIONAL BUYER

Cas

h24

467

129

105

1910

465

193

76

Con

sign

men

t1

21

205

2912

Cre

dit

66

2

Bot

h (C

ash/

Cred

it)3

21

72

156

Eve

ry 1

5th

of th

e m

onth

11

21

Eve

ry 3

0th

of th

e m

onth

11

a/

Ban

k to

Ban

k1

32

11

83

TOTA

L2

45

29

14

12

10

95

21

45

26

25

41

00

a/ le

ss tha

n 1%

Tab

le1

3.

PO

TATO

: D

istr

ibu

tion

of

trad

er r

esp

ond

ents

, by

term

s of

pay

men

t fo

r d

istr

ibu

tion

,b

y p

rovi

nce

, 20

01

Typ

e of

Bu

sin

ess

Met

ro

Man

ilaB

eng

uet

Pan

gas

inan

Nu

eva

Ecij

aIl

oilo

Neg

ros

Occ

iden

tal

Ceb

uT

ota

lP

erce

nt

Bu

kidn

onM

isam

is

Ori

enta

lD

avao

C

ity

Gen

eral

S

anto

s C

ity

METRO MANILA Cash 6 18 24

BENGUET Cash 37 7 2 46 Consignment 1 1 Cash/Credit 1 2 3 Every 15th of the month 1 1 Bank to bank 1 1

PANGASINAN Cash 5 2 7 Both 1 1 2

NUEVA ECIJA Cash 4 3 5 12 Every 15th of the month 1 1 Cash/Credit 1 1

ILOILO Cash 1 2 6 9 Consignment 2 2 Every 30th of the month 1 1

NEGROS OCCIDENTAL Cash 2 4 4 10

CEBU Cash 5 5 Consignment 1 1 Bank to Bank 3 3

BUKIDNON Cash 8 1 5 5 19 Consignment 20 20 Cash/Credit 6 1 7 Credit 6 6

MISAMIS ORIENTAL Cash 4 2 4 10 Bank to bank 2 2 Cash/Credit 2 2

DAVAO CITY Cash 35 2 8 1 46 Consignment 5 5 Bank to bank 1 1

GENERAL SANTOS CITY Cash 2 2 1 5 Bank to bank 1 1

TOTAL 120 51 21 61 1 254

Table 13a. POTATO: Distribution of respondents by terms of payment for distribution, by type of marketing participants, by province, 2001

Mode of Payment TOTALINSTITUTIONAL BUYER

FARMERS

IRA-LD/RA-LD/ PA-

LD/MA-LD/ BA-LD

PA-MD/PA-SD/ MA-

MD/MA-SD/ BA-MD

RETAILER

Mar

keti

ng

Act

ivit

y/P

ract

ice

Met

ro

Man

ilaB

engu

etP

anga

sin

anN

uev

a Ec

ija

Ceb

uIl

oilo

Neg

ros

Occ

iden

tal

Bu

kidn

onM

isam

is

Ori

enta

lD

avao

C

ity

Gen

eral

S

anto

s C

ity

Pre

-mar

keti

ng

0.25

00.

280

0.11

00.

110

Hau

ling

0.25

00.

280

0.11

00.

110

Pro

cure

men

t0.

210

0.23

00.

060

0.35

00.

200

0.08

00.

120

0.08

00.

040

Hau

ling

a/0.

130

0.23

00.

040

Han

dlin

g b/

Load

ing

0.04

00.

030

0.05

00.

100

0.04

00.

060

0.04

0

Unl

oadi

ng

0.04

00.

030

0.05

00.

100

0.04

00.

060

0.04

0

Clea

ning

/Was

hing

0.25

0

Ship

pin

g0.

410

0.19

00.

020

Han

dlin

g b/

Load

ing

0.01

0U

nloa

ding

0.

010

Stev

edor

ing

0.12

0Ar

rast

re0.

410

0.07

0

Dis

trib

uti

on0.

820

0.41

00.

790

0.88

00.

660

0.59

00.

690

0.58

00.

660

Han

dlin

g

Load

ing

0.08

00.

060

0.09

00.

090

0.07

00.

040

0.06

00.

270

Unl

oadi

ng0.

080

0.06

00.

090

0.09

00.

070

0.04

00.

060

0.27

0

Sort

ing

0.33

00.

090

0.15

00.

180

0.32

00.

290

Clea

ning

/Was

hing

0.05

00.

160

0.18

00.

420

0.16

00.

120

Pack

ing

0.05

00.

150

0.30

00.

080

0.01

0

Wei

ghin

g 0.

050

0.15

0

Selli

ng0.

330

0.05

00.

700

0.05

00.

190

Sala

ries

an

d W

ages

0.61

00.

590

0.10

00.

040

0.10

00.

080

0.05

00.

360

0.02

00.

140

0.12

0

TOTA

L1.

640

1.48

00.

950

0.39

01.

390

1.13

00.

130

1.35

00.

790

0.87

00.

910

a/

Loa

ding

of ca

bbag

e fr

om t

he far

m t

o th

e tr

uck/

vehi

cle

used

b/

Loa

ding

and

unl

oadi

ng o

f co

mm

oditi

es fro

m t

he t

ruck

to

the

stal

l, bo

dega

, pi

er o

r pl

ace

of t

he b

uyer

Tabl

e 1

4.

PO

TATO

: La

bor

cost

s by

mar

keti

ng

acti

vity

/pra

ctic

e,by

pro

vin

ce, 2

001

peso

per

kilo

gram

Procurement 0.130 0.060 0.450 0.280 0.21 Hauling 0.130 0.250 0.13

Handling a/Loading 0.030 0.100 0.140 0.04Unloading 0.030 0.100 0.140 0.04

Distribution 0.140 0.060 0.420 1.880 0.82 Handling Loading 0.070 0.030 0.100 0.040 0.08 Unloading 0.070 0.030 0.100 0.040 0.08

Sorting 0.110 0.900 0.33Selling 0.110 0.900 0.33

Salaries and Wages 0.640 0.370 0.810 0.61

a/ Loading and unloading of commodities from the truck to the stall, bodega, pier

or place of the buyer

Pre-marketing 0.250 0.250Hauling 0.250 0.250

Procurement 0.100 0.240 0.040Hauling a/ 0.100 0.240 0.040

Distribution 0.120 0.500 0.210 0.670 0.240Handling b/

Loading 0.100 0.040 0.080 0.050Unloading 0.100 0.040 0.080 0.050

Sorting 0.090Cleaning/Washing 0.100 0.040 0.040Packing 0.100 0.040 0.050Weighing 0.100 0.040Selling 0.030 0.010 0.510 0.050


a/ Loading of cabbage from the farm to the truck/vehicle used

b/ Loading and unloading of commodities from the truck to the stall, bodega, pier


0.590

Table 14b. POTATO: Labor costs incurred by marketing participants,by activity/practice, Benguet, 2001

peso per kilogram

TOTAL 0.470 0.660 1.520 0.670

Marketing Activity/Practice

FARMERS IRA-LD PA-LD RETAILERAverage

Cost

MA-SD

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

TOTAL 0.910 0.490


RA-LD RA-MD

peso per kilogram

1.680 1.64

RETAILER

2.160

AVERAGE COST

Procurement 0.080 0.002Handling a/

Loading 0.040 0.001Unloading 0.040 0.001

Distribution 0.810 0.020Handling

Loading 0.100 0.010Unloading 0.100 0.010

Cleaning/Washing 0.160Sorting 0.150Weighing 0.150Packing 0.150

Salaries and Wages 0.090 0.120 0.360

a/ Loading and unloading of commodities from the truck to the stall, bodega, pier or place of the buyer

Procurement 0.100 0.160 0.800Handling a/

Loading 0.040 0.080 0.150Unloading 0.040 0.080 0.150

Cleaning/Washing 0.020 0.500


a/ Loading and unloading of commodities from the truck to the stall, bodega, pier


peso per kilogram

TOTAL 0.120 0.540 0.930

Table 14d. POTATO: Labor costs incurred by marketing participants,by activity/practice, Nueva Ecija, 2001

Marketing Activity/Practice IRA-LD MA-SD RETAILER

0.362

peso per kilogram

TOTAL 0.980 0.140

Table 14c. POTATO: Labor costs incurred by marketing participants,by activity/practice, Pangasinan, 2001

RETAILERMarketing Activity/Practice RA-LD PA-LD

Shipping 0.440 0.370 Arrastre 0.440 0.370

Distribution 0.180Handling

Loading 0.090Unloading 0.090

Selling

Salaries and Wages 0.030 0.260

Procurement 0.200 0.020 0.190Hauling a/ 0.090Handling b/


Shipping 0.200 0.070 Arrastre 0.070 0.070 Stevedoring 0.130

Distribution 0.360 0.040Packing 0.040Cleaning/Washing 0.180Sorting 0.180





RETAILER

0.900

0.1000.1000.700

0.900

BA-MD

TOTAL 0.270 0.580 0.5600.300

peso per kilogram


IRA-LD RA-MD RETAILER

Table 14f. POTATO: Labor costs incurred by marketing participants,by activity/practice, Iloilo, 2001

TOTAL 0.650 0.630

Table 14e. POTATO: Labor costs incurred by marketing participants,by activity/practice, Cebu, 2001

Marketing Activity/Practice IRA-LD PA-LD

peso per kilogram

Procurement 0.060 0.140 0.120Handling



Pre-marketingHauling a/

Procurement 0.090Handling b/


Selling 0.330Handling

LoadingUnloading

Sorting 0.250Packing/Weighing 0.080Selling

Salaries and Wages




TOTAL 0.420

0.2800.280

0.510

0.0700.370

0.050


BA-MDFARMERS

Table 14h. POTATO: Labor costs incurred by marketing participants,by activity/practice, Bukidnon, 2001

RETAILER

peso per kilogram

Table 14g. POTATO: Labor costs incurred by marketingparticipants, by activity/practice, Negros Occidental, 2001

RETAILERMarketing Activity/Practice

IRA-LD MA-MD MA-SD BA-SD

TOTAL 0.110 0.090 0.2800.120 0.140

peso per kilogram

0.130

0.920

0.160

0.0800.080

0.500

0.660

0.070

Procurement 0.080 0.080 0.220 0.100 0.140Handling

Loading 0.040 0.040 0.110 0.050 0.070Unloading 0.040 0.040 0.110 0.050 0.070

Distribution 0.080 0.100 0.220 0.610Handling


Cleaning /Washing 0.420Selling 0.190


Pre-marketing 0.110Hauling a/ 0.110

Procurement 0.040 0.110Hauling a/ 0.040 0.110

Distribution 0.340 0.280 0.000 0.000 0.140Handling


Packing 0.010Sorting 0.290Cleaning/Washing 0.160





MA-MD MA-SD

0.800 0.220

peso per kilogram

TOTAL 0.180 0.220 0.440

Table 14i. POTATO: Labor costs incurred by marketing participants,by activity/practice, Misamis Oriental, 2001

RETAILERMarketing

Activity/Practice IRA-LD RA-LD

Table 14j. POTATO: Labor costs incurred by marketing participants,by activity/practice, Davao City, 2001


FARMERS IRA-LD PA-LD MA-SD RETAILER

peso per kilogram

TOTAL 0.450 0.340 0.040 0.930 1.140

Procurement 0.070 0.090 0.120 0.110Hauling a/ 0.070 0.090 0.120 0.110

Shipping 0.020 Handling


Distribution 0.630 0.560 0.370Handling b/


Cleaning/Washing 0.130 0.090

Salaries and Wages 0.130 0.090




Table 14k. POTATO: Labor costs incurred by marketing participants,by activity/practice, General Santos City, 2001

0.570TOTAL 0.070 0.110 0.880

PA-LD

0.560

peso per kilogram

RA-LDMarketing

Activity/PracticeRETAILERMA-LD BA-LD

Practice/activityMetro Manila

Benguet PangasinanNueva Ecija

Cebu Iloilo BukidnonMisamis Oriental

Davao City

General Santos

City

Procurement 0.660 0.200 0.250 0.400 0.230 0.100 0.410 0.010 0.100 0.110

Shipping 0.900 0.310 0.010 1.440

Distribution 0.460 1.230 0.600 0.200 0.700 0.010 0.470 0.150 0.190

peso per kilogram

Table 15. POTATO: Transportation costs by marketing activity/practice,by province, 2001

TOTAL 0.290 1.5500.880 0.1701.830 0.4201.120 1.430 0.850 0.600


RA-LD RA-MD MA-SD Retailer

Procurement 0.890 0.540 0.670

Distribution 0.440 0.960 0.070 0.560


FARMER Retailer

Procurement 0.200

Distribution 1.010

0.300

1.400

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

1.230

peso per kilogram

TOTAL 0.440 1.850 0.610

TOTAL 1.010

Table 15b. POTATO: Transportation costs incurred by marketing participants, by activity/practice, Benguet, 2001

0.200

peso per kilogram

1.700

PA-LD


RA-LD RETAILER

Procurement 0.250 0.230

Distribution 0.600


IRA-LD RETAILER


Distribution 0.200

peso per kilogram

TOTAL 0.400 0.480

Table 15c. POTATO: Transportation costs incurredby marketing participants, by activity/practice,

Pangasinan, 2001

peso per kilogram

Table 15d. POTATO: Transportation costs incurred by marketing participants, by activity/practice,

Nueva Ecija, 2001

TOTAL 0.850 0.230


FARMER IRA-LD RETAILER

Procurement 0.240 0.100 0.120

Distribution 0.190

RA-LD BA-LD

Procurement 0.110

Shipping 0.550 1.710

TOTAL 0.550 1.710

peso per kilogram


Table 15j. POTATO: Transportation costs incurred by marketingparticipants, by activity/practice, General Santos City, 2001

Table 15i. POTATO: Transportation costs incurred by marketingparticipants, by activity/practice, Davao City, 2001

peso per kilogram

TOTAL 0.430 0.100 0.120

Mar

keti

ng

Act

ivit

y/C

ost

Item

Met

ro

Man

ilaB

engu

etP

anga

sin

anN

uev

a Ec

ija

Ceb

uIl

oilo

Neg

ros

Occ

iden

tal

Bu

kidn

on

Mis

amis

O

rien

tal

Dav

ao

Cit

yG

ener

al

San

tos

P

re-M

arke

tin

g0

.10

0 S

acks

b

/0.

090

T

win

e0.

010

Pro

cure

men

t0

.46

00

.22

00

.09

10

.18

00

.11

00

.08

00

.03

0 K

aing

S

acks

b

/0.

220

0.17

00.

090

0.04

00.

010

0.06

00.

020

T

win

e0.

010

0.01

00.

020

0.01

0 O

ld n

ewsp

aper

0.04

0 P

last

ic b

ag0.

120

0.05

00.

130

0.05

0 P

last

ic c

rate

0.00

1 R

ed b

ag0.

120

N

eedl

e W

irea/

peso

per

kilo

gram

Tabl

e 1

6.

PO

TATO

: C

ost

of m

ater

ial i

npu

ts b

y m

arke

tin

g ac

tivi

ty/p

ract

ice/

cost

item

,by

pro

vin

ce, 2

00

1

Mar

keti

ng

Act

ivit

y/C

ost

Item

Met

ro

Man

ilaB

engu

etP

anga

sin

anN

uev

a Ec

ija

Ceb

uIl

oilo

Neg

ros

Occ

iden

tal

Bu

kidn

on

Mis

amis

O

rien

tal

Dav

ao

Cit

yG

ener

al

San

tos

Dis

trib

uti

on0

.24

00

.65

90

.17

00

.18

00

.10

10

.20

00

.16

00

.24

40

.09

10

.50

00

.09

4 K

aing

0.15

00.

010

a/ R

ed b

ag0.

010

S

acks

b/

0.12

00.

100

0.01

00.

020

0.05

00.

070

0.02

00.

040

T

win

e0.

004

0.04

00.

010

a/0.

020

0.00

2 P

last

ic b

ag0.

240

0.19

00.

060

0.06

00.

080

0.19

00.

100

0.06

00.

060

0.07

00.

040

B

aske

t0.

190

a/ O

ld n

ewsp

aper

0.05

00.

010

C

arto

nsa/

0.02

0 "

Bila

o"a/

0.01

0a/

0.00

10.

001

0.03

00.

001

P

acki

ng t

ape

a/ W

ire0.

004

C

rate

0.32

0 B

asin

0.00

40.

001

K

eros

ene

can

a/ P

last

ic t

ray

0.00

40.

010

0.04

0 K

nife

0.01

0a/

O

ffic

e su

pplie

s0.

001

0.01

00.

010

B

ulb

a/ P

eele

r0.

090

a/a/

E

mer

genc

y lig

hta/

P

ail

a/

TOTA

L0

.24

01

.11

90

.39

00

.18

00

.10

10

.29

10

.16

00

.42

40

.20

10

.68

00

.12

4a/

less

tha

n 0.

001

b/ in

clud

es o

ld s

acks

and

pla

stic

sac

ks

peso

per

kilo

gram

Tabl

e 16

. (c

ontin

ued)

Marketing Activity/ Cost Item

RA-LD RA-MD MA-SD RETAILER

Distribution 0.220 0.381 0.430 0.334 Plastic bag 0.220 0.380 0.430 0.330 Plastic tray 0.004 Bilao a/ 0.001

TOTAL 0.220 0.381 0.430 0.334


FARMER IRA-LD PA-LD RETAILER

Procurement 0.460 Plastic sack 0.220 Plastic bag 0.120 Red bag 0.120 Wire a/ Distribution 0.458 0.121 0.230 Plastic bag 0.190 0.180 Sack b/ 0.110 0.120 Kaing 0.150 0.230 Wire 0.004 Twine 0.004 Basket 0.190 Office supplies 0.001

a/ less than 0.001

b/ includes new/used sacks and plastic sacks

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

peso per kilogram

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

peso per kilogram

TOTAL 0.458 0.460 0.121 0.230


RA-LD PA-LD RETAILER

Procurement 0.17 0.05 Sacks 0.17 Plastic bag 0.05

Distribution 0.06 0.12 0.21 Plastic bag 0.06 0.11 0.11 Sacks 0.10 Bilao 0.01

TOTAL 0.23 0.12 0.26


IRA-LD MA-SD RETAILER

Distribution 0.180 0.040 0.035 Plastic bag 0.070 0.030 0.030 Kaing 0.010 Sacks 0.010 Old newspaper 0.050 Twine 0.040 Bilao a/ 0.004 Office supplies 0.010 0.001

TOTAL 0.180 0.040 0.035

a/ less than 0.001

peso per kilogram

peso per kilogram

Table 16c. POTATO: Cost of material inputs incurred by marketingparticipants, by activity/practice/cost item, Pangasinan, 2001

Table 16d. POTATO: Cost of material inputs incurred by marketingparticipants, by activity/practice/cost item, Nueva Ecija, 2001

Marketing Activity/ Cost Item PA-LD RETAILER

Distribution 0.101 0.130 Plastic sacks 0.020 0.060 Plastic bags 0.080 0.070 Bilao 0.001 Basket a/

a/ less than 0.001

Table 16e. POTATO: Cost of material inputs incurred by marketing participants, by activity/practice/cost item, Cebu, 2001

peso per kilogram

TOTAL 0.101 0.130


IRA-LD RA-MD BA-LD RETAILER


Sack 0.090 0.050 Plastic crate 0.001

Distribution 0.201 0.140 0.020 0.100

Plastic bag 0.200 0.130 0.020 0.100 Red bag 0.010 Pail 0.001 a/ Emergency light a/


MA-MD MA-SD BA-SD RETAILER

Distribution 0.15 0.16 0.16 0.10 Plastic sacks 0.05

Plastic bag 0.10 0.16 0.16 0.09 Plastic tray 0.01

TOTAL 0.15 0.16 0.16 0.10

0.151

Table 16g. POTATO: Cost of material inputs incurred by marketing participants,by activity/practice/cost item, Negros Occidental, 2001

peso per kilogram

Table 16f. POTATO: Cost of material inputs incurred by marketing participants,by activity/practice/cost item, Iloilo, 2001

peso per kilogram

TOTAL 0.291 0.140 0.020


FARMER IRA-LD BA-MD BA-SD RETAILER

Procurement 0.180Sacks 0.040Twine 0.010Plastic bag 0.130

Distribution 0.090 0.040 0.122 0.050 0.194

Sacks 0.080 0.030 0.080 0.040Twine 0.010 0.010 0.002 0.010Plastic bag 0.040 0.090Basin 0.004Knife 0.010Peeler 0.090

a/ less than 0.001


IRA-LD PA-LD MA-MD MA-SD RETAILER

Procurement 0.000 0.060 0.010 0.030 0.120Sacks 0.010Plastic bag 0.010 0.030 0.120Twine 0.010Old newspaper 0.040

Distribution 0.020 0.033 a/ 0.062

Sacks 0.010 0.030Plastic bag 0.060Old newspaper 0.010Twine a/ 0.003Carton a/Bilao 0.001Bulb a/ 0.001Peeler a/

a/ less than 0.001

peso per kilogram

Table 16h. POTATO: Cost of material inputs incurred by marketing participants,by activity/practice/cost item, Bukidnon, 2001

TOTAL 0.090 0.040 0.122 0.230 0.194

Table 16i. POTATO: Cost of material inputs incurred by marketing participants,by activity/practice/cost item, Misamis Oriental, 2001

peso per kilogram

TOTAL 0.020 0.093 0.010 0.030 0.182

Marketing Activity/ Cost Item IRA-LD PA-LD MA-MD MA-SD Retailer

Procurement 0.060 0.010 0.030 0.120Sacks 0.010Plastic bag 0.010 0.030 0.120Twine 0.010Old newspaper 0.040

Distribution 0.020 0.033 0.062

Sacks 0.010 0.030Plastic bag 0.060Old newspaper 0.010Twine a/ 0.003Carton a/Bilao 0.001Bulb a/ 0.001Peeler a/

a/ less than 0.001

Table 16i. POTATO: Cost of material inputs incurred by marketing participants,by activity/practice/cost item, Misamis Oriental, 2001

peso per kilogram

0.030 0.182TOTAL 0.020 0.093 0.010


Farmer IRA-LD PA-LD MA-SD Retailer

Pre-Marketing 0.10Sacks 0.09Twine 0.01

Procurement 0.08 0.06Sacks 0.06 0.06Twine 0.02

Distribution 0.32 a/ 0.08 0.10 0.12

Plastic bag 0.06 0.03 0.10Twine 0.02Cartons 0.02Packing tape a/Plastic tray 0.04Kerosene can a/Crate 0.32Bilao 0.03

TOTAL 0.42 a/ 0.16 0.10 0.18

a/ less than 0.001


RA-LD PA-LD MA-LD BA-LD RETAILER

Procurement 0.03 Sacks 0.02 Twine 0.01 Distribution 0.073 0.11 0.02 0.04 0.13 Sacks 0.02 0.04 0.02 Plastic bag 0.05 0.11 0.02 0.09 Twine 0.001 0.01 Kaing a/ Office Supplies b/ 0.01 Basin 0.001 "Bilao" 0.001 Knife a/ Peeler 0.002 0.001 a/

TOTAL 0.146 0.224 0.040 0.080 0.322a/ less than 0.001

by activity/practice/cost item, General Santos City, 2001

peso per kilogram

Table 16j. POTATO: Cost of material inputs by marketingactivity/practice/cost item, Davao City, 2001

peso per kilogram

Table 16k. POTATO: Cost of material inputs incurred by marketing participants,

Marketing Activity/ Cost Item RA-LD PA-LD MA-LD BA-LD RETAILER

Procurement 0.03 Sacks 0.02 Twine 0.01 Distribution 0.073 0.11 0.02 0.04 0.13 Sacks 0.02 0.04 0.02 Plastic bag 0.05 0.11 0.02 0.09 Twine 0.001 0.01 Kaing a/ Office Supplies b/ 0.01 Basin 0.001 "Bilao" 0.001 Knife a/ Peeler 0.002 0.001 a/

TOTAL 0.146 0.224 0.040 0.080 0.322

a/ less than 0.001

b/ includes ballpen, paper, notebook, etc.

peso per kilogram

Table 16k. POTATO: Cost of material inputs incurred by marketing participants,by activity/practice/cost item, General Santos City, 2001

Cos

t It

emM

etro

M

anila

Ben

guet

Pan

gasi

nan

Nu

eva

Ecij

aC

ebu

Iloi

loN

egro

s O

ccid

enta

lB

uki

dnon

Mis

amis

O

rien

tal

Dav

ao

Cit

y

Gen

eral

Sa

nto

s C

ity

Busi

ness

Per

mit/

licen

se b

/0.

030.

010

0.00

20.

001

0.00

30.

010.

010.

030.

002

0.00

40.

02M

arke

t fe

e c/

0.02

0.01

00.

020.

020.

002

0.00

20.

010.

02a/

0.07

0.02

Bara

ngay

Per

mit

a/a/

0.01

Elec

tric

ity/L

ight

0.01

0.00

30.

002

0.01

0.01

0.01

0.00

30.

02a/

0.00

40.

01Te

leph

one

0.07

0.00

40.

010.

010.

140.

01a/

0.2

Wat

er0.

010.

002

0.01

0.08

0.00

30.

010

0.05

0.13

0.01

0.05

0.02

Shrin

kage

/was

tage

0.12

0.05

0.24

0.13

0.76

0.33

0.95

0.29

0.04

0.88

Gas

and

Oil

0.28

0.10

0.29

0.06

0.83

0.01

0.00

20.

92W

eigh

ing

scal

e ca

libra

tion

a/a/

a/a/

0.07

a/0.

010.

01a/

a/0.

001

Rep

air

and

mai

nten

ance

0.64

0.85

Don

atio

n d/

Inte

rest

on

loan

a/0.

020.

010.

050.

01M

eals

and

bev

erag

es e

/0.

070.

270.

080.

030.

020.

410.

030.

020.

060.

20O

ther

mar

ket

fees

f /

0.00

10.

001

0.09

a/0.

150.

01a/

0.06

0.03

Bode

ga/S

tora

ge f

ee0.

80a/

Adve

rtis

ing

Entr

ance

fee

0.05

0.07

Park

ing

fee

0.01

0.01

00.

010.

002

a/St

all R

enta

l0.

080.

010.

080.

002

0.01

0.01

0.04

0.01

Toll

gate

fee

0.02

0.00

20.

004

0.00

30.

004

0.01

0.04

Cell

card

0.01

0.00

10.

01a/

Bank

cha

rges

0.01

0.00

10.

001

a/D

eliv

ery

char

geAg

ent's

com

mis

sion

0.50

Clea

ranc

e fe

e0.

002

Res

iden

ce C

ertif

icat

e0.

01W

harf

age

0.00

2Ca

r w

ash

0.00

2

TOTA

L0

.65

1.7

04

0.7

30

.48

0.2

51

.93

0.8

72

.05

0.3

42

.34

1.1

9a/

Le

ss t

han

0.00

1b/

In

clud

es m

ayor

's p

erm

it an

d ba

rang

ay's

per

mit

c/ In

clud

es t

icke

t, s

tall

fee

d/ In

clud

es m

embe

rshi

p fe

es, an

nual

con

trib

utio

ns a

nd d

onat

ions

e/ In

clud

es c

igar

rete

s an

d dr

inks

f/ In

clud

es "

Tong

" an

d sa

nita

ry f

ee

peso

per

kilo

gram

Tabl

e 1

7.

PO

TATO

: O

ther

ope

rati

ng

cost

s by

cos

t it

em,

by p

rovi

nce

, 20

01

Item RA-LD RA-MD RA-SD Retailer

Business Permit/license b/ 0.002 0.03 0.13 0.02Barangay Permit a/Market fee c/ 0.02 0.02 0.02 0.15Stall Rental 0.04 0.69 0.36 0.75Electricity/Light 0.01 0.13 0.19 0.13Telephone 0.004 0.07 0.22Water 0.01 0.01Weighing scale calibration a/ a/ a/ a/Toll fee 0.02Gas and Oil 0.29 0.07Entrance fee 0.05 0.17Parking fee 0.01Meals and beverages d/ 0.05 0.37 0.14 0.69Other market fees e / a/ a/ 0.04 0.05

a/ less than 0.001

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

c/ Includes stall fee and ticket

d/ Inclides cigarretes and drinks

e/ Includes sanitary fee

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

peso per kilogram

1.96TOTAL 0.50 1.39 1.10

Item Farmer RA-LD PA-LD Retailer

Business Permit/license b/ 0.040 0.01 0.001Market fee c/ 0.010 0.03Electricity/Light 0.03 a/ 0.01 0.19Telephone 0.004Water 0.002 Stall rental 0.01 0.02Gas and Oil 0.12 0.09 0.11Weighing scale calibration a/ a/ a/Parking fee 0.01 0.01 0.002Interest on loan a/Meals and beverages d/ 0.27Tollgate fee 0.002 a/ 0.01 0.01Cell card 0.001 0.02Car wash 0.002Bank charges 0.01Agent's commission 0.50 0.50Wastage 0.14 0.01 0.27 0.53Repair and maintenance 0.64Other market fees e/ 0.02 0.001 0.01

a/ Less than 0.001

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

c/ includes stall fee and ticket

d/ inclides cigarretes and drinks

e/ includes "Tong", garbage/sanitary fee

Table 17b. POTATO: Other operating costs incurred by marketing participants,by cost item, Benguet, 2001

peso per kilogram

0.76TOTAL 1.23 0.68 0.97

Item RA-LD PA-LD Retailer

Business Permit/license b/ 0.003 0.01Market fee c/ 0.02 0.01 0.05Barangay Permit a/Electricity/Light 0.002 0.04Entrance fee (Quartaes) 0.07Water 0.01Shrinkage/wastage 0.03 0.98Gas and Oil 0.30 0.01 0.10Weighing scale calibration a/Parking fee 0.01Stall Rental 0.08 0.01Interest on loan 0.020 0.05Meals and beverages d/ 0.08Toll gate fee 0.004Other market fees e/ 0.09

a/ Less than 0.001




Table 17c. POTATO: Other operating costs incurred by marketing participants,by cost item, Pangasinan, 2001

peso per kilogram

1.19TOTAL 0.72 0.07

Item IRA-LD MA-SD Retailer

Business Permit/license b/ a/ 0.03Market fee c/ 0.01 0.02 0.04Barangay Permit 0.01Electricity/Light 0.01 0.01 0.09Telephone 0.01 0.01Water 0.08Shrinkage/wastage 0.27 0.13 0.46Stall Rental 0.002Weighing scale calibration a/ 0.002Gas/Oil 0.06 0.02 0.08Tollgate fee 0.002 0.05Parking fee 0.002Interest on loan 0.004 0.02Meals and beverages d/ 0.003 0.17Other market fee a/

a/ Less than 0.001



d/ Includes cigarretes and drinks

Table 17d. POTATO: Other operating costs incurred by marketing participants,by cost item, Nueva Ecija, 2001

peso per kilogram

1.03TOTAL 0.38 0.18

Item IRA-LD PA-LD Retailer

Business Permit/license b/ 0.001 0.09 0.04Market fee c/ 0.001 0.01 0.35Electricity/Light 0.001 0.06 0.12Telephone 0.002 0.05 0.30Water 0.003Shrinkage/wastage 0.06 0.56 1.54Weighing scale calibration 0.07Cellcard 0.001Bank charges 0.001Meals and beverages d/ 0.02 0.19 0.16

TOTAL 0.09 1.03 2.51

a/ less than 0.001




e/ includes "Tong" and tips

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

peso per kilogram

Item IRA-LD RA-MD BA-LD Retailer

Business Permit/license b/ 0.01 0.01 0.06Market fee c/ 0.001 0.01 0.01Electricity/Light 0.01 0.04 0.02 0.09Telephone 0.15 0.10 0.25Water 0.03 0.01Shrinkage/wastage 0.79 0.49 0.38 0.29Gas and Oil 0.83Weighing scale calibration a/ a/ a/Tollgate fee 0.004Stall rental 0.01 0.02 0.06Wharfage 0.002Others d/ 0.15

a/ Less than 0.001



d/ inclides "tong"

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

TOTAL 1.80 0.592 0.51 0.92

peso per kilogram

Item IRA-LD MA-MD MA-SD BA-SD Retailer

Business Permit/license a/ a/ 0.010 0.02

Market fee b/ 0.01

Electricity/Light 0.001 0.01 0.07 0.01 0.02

Telephone 0.01 0.02

Water 0.05 0.001 0.02

Shrinkage/wastage 0.34 0.25 0.29

Weighing scale calibration 0.01

Gas and Oil 0.01

Meals and beverages d/ 0.30 0.45

Cellcard 0.01

Stall rental 0.003 0.01 0.08

Bank charges 0.001 0.01

Others e/ 0.01

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

b/ includes stall fee and ticket

c/ includes membership fees, annual contributions and donations


e/ includes garbage fee

Table 17g. POTATO: Other operating costs incurred by marketing participants,by cost item, Negros Occidental, 2001

peso per kilogram

TOTAL 0.36 0.04 0.900.68 0.03

Cost Item Farmer IRA-LD BA-MD BA-SD Retailer

Business Permit/license b/ 0.04 0.03

Market fee c/ 0.01 0.01 0.08

Electricity/Light 0.01 0.030 0.004

Water 0.20 0.02

Shrinkage/wastage 0.95 1.41 0.28 0.74

Weighing scale calibration 0.01

Interest on loan 0.03 0.05

Meals and beverages d/ 0.01 0.06 0.08

Stall/Storage rentals 0.97 0.68 0.40 0.25 0.25

Residence Certificate 0.01

a/ Less than 0.001




Table 17h. POTATO: Other operating costs incurred by marketing participants,by cost item, Bukidnon, 2001

peso per kilogram

0.37 1.23TOTAL 1.95 2.13 0.93

Cost Item IRA-LD RA-LD MA-MD MA-SD Retailer

Business Permit/license b/ 0.001 0.01

Market fee c/ a/ 0.02 0.01 0.04 0.01

Electricity/Light a/ 0.004 0.01 0.09 0.09

Telephone a/ 0.01

Water 0.01 0.01

Shrinkage/wastage 0.29 0.49 0.28 0.67

Gas and Oil 0.001 0.09

Weighing scale calibration 0.002 a/ a/ a/

Tollgate fee a/ 0.01 0.01

Parking fee a/

Interest on loan 0.01 0.002 0.04 0.08

Meals and beverages d/ 0.02 0.15 0.02 0.02

Rental on storage a/ 0.25

Cell card a/ 0.01

a/ Less than 0.001




Table 17i. POTATO: Other operating costs incurred by marketing participants,by cost item, Misamis Oriental, 2001

peso per kilogram

0.17 1.16TOTAL 0.31 0.80 0.32

Cost Item Farmer IRA-LD PA-LD MA-SD Retailer

Business Permit/license b/ 0.004 0.001 0.001 0.03

Market fee c/ 0.27 0.001 0.01 0.01

Electricity/Light 0.003 0.001 0.01 0.04

Telephone 0.20

Water 0.05

Shrinkage/wastage d/ 0.02 0.47

Gas and Oil 0.92

Weighing scale calibration a/ a/ 0.01 0.001

Repair and maintenance 0.85

Clearance fee 0.002

Stall rentals 0.02 0.050 0.05 0.03

Meals and beverages f/ 0.06

Tollgate fee 0.04

Other market fees g/ 0.06

a/ Less than 0.001



d/ Traders remove the spoiled portion of the cabbage and then cut them into pieces and place

them inside the plastic together with other vegetables e.g. as ingredients for chopsuey.

e/ includes membership fees, annual contributions and donations

f / inclides cigarretes and drinks

g/ includes "Tong"

Table 17j. POTATO: Other operating costs incurred by marketing participants,by cost item, Davao City, 2001

peso per kilogram

TOTAL 0.43 0.05 0.05 1.85 0.83

Cost Item RA-LD PA-LD MA-LD Retailer

Business Permit/license b/ 0.02 0.02 0.03

Market fee c/ 0.01 0.07 0.01

Electricity/Light 0.01 0.03 0.01

Water 0.004 0.04 0.02 0.11

Shrinkage/wastage 0.39 1.20

Weighing scale calibration 0.004 a/ 0.004

Meals and beverages e/ 0.19 0.27 0.21

Stall rental 0.002 0.06

Sanitary and Garbage fee 0.03

Bank charges a/

a/ Less than 0.001



d/ includes membership fees, annual contributions, cooperative fee and donations

e/ inclides cigarretes and drinks

Table 17k. POTATO: Other operating costs incurred by marketing participants,by cost item, General Santos City, 2001

TOTAL 0.24 0.82 1.66

peso per kilogram

0.02

Cos

t It

emM

etro

M

anila

Ben

gu

etP

anga

sin

anN

uev

a Ec

ija

Ceb

uIl

oilo

Neg

ros

Occ

iden

tal

Bu

kid

non

Mis

amis

O

rien

tal

Dav

ao

Cit

y

Gen

eral

S

anto

s C

ity

Mat

eria

ls U

sed

0.10

00.

001

0.00

10.

006

0.00

1a/

0.02

00.

010

0.01

3a/

0.02

4Pa

il0.

01a/

a/Ta

ble

0.03

a/0.

004

a/0.

01a/

a/0.

01Kn

ife0.

001

0.01

Tent

0.03

0.00

1Ch

air

a/0.

001

a/0.

001

0.01

0.01

0.00

30.

002

Chop

ping

boa

rd0.

002

Tent

use

d in

tru

cka/

Um

brel

la0.

030.

001

0.01

Equ

ipm

ent

0.01

30.

013

0.00

40.

002

0.00

20.

002

0.00

30.

120

0.00

60.

002

0.00

4Ce

llpho

ne0.

001

0.00

20.

040.

002

Wei

ghin

g Sc

ale

0.00

20.

010

0.00

10.

001

0.00

1a/

0.00

30.

04a/

0.00

2Ca

lcul

ator

a/0.

002

a/a/

0.00

10.

040.

001

0.00

4Em

erge

ncy

light

0.00

1a/

Elec

tric

fan

0.00

10.

001

0.00

20.

003

Rad

io0.

010

Faci

litie

s0.

020

0.00

40.

050

0.11

0St

orag

e0.

020.

004

Stal

l0.

050.

11

Tran

spor

tati

on0.

010

0.01

00.

040

0.07

00.

010

a/0.

310

TOTA

L0.

123

0.04

40.

049

0.12

80.

013

0.00

20.

023

0.13

00.

129

0.31

20.

028

a/

less

tha

n 0.

001

peso

per

kilo

gram

Tabl

e 1

8.

PO

TATO

: I

mpu

ted

cost

of

depr

ecia

tion

by

mat

eria

ls f

acili

ties

/equ

ipm

ent

use

d,by

pro

vin

ce, 2

00

1

Item RA-LD RA-MD MA-SD Retailer

Materials Used a/ 0.002 0.002 0.105Table 0.03Umbrella 0.03Pail 0.01Tent 0.03Chair a/ 0.002 0.002 0.005

Equipment a/ 0.03 0.05 0.02Weighing Scale a/ 0.01 0.03 0.01Radio 0.010 0.001Calculator a/ 0.001 0.01Electric fan a/ 0.01 0.010 0.01

Transportation 0.01 0.05

TOTAL 0.01 0.08 0.05 0.13a/ less than 0.001

Item FARMER IRA-LD PA-LD Retailer

Materials Used a/ 0.001 0.020Chair 0.001 0.02

Tent used in trucks a/

Equipment 0.022 0.011 0.012 0.010Weighing Scale 0.02 0.01 0.01 0.01Calculator 0.002 0.002Cellphone 0.001

Facilities 0.02 Storage 0.02

Transportation 0.01

TOTAL 0.042 0.021 0.013 0.030a/ less than 0.001

participants, by material/facilities/equipment used, Benguet, 2001

peso per kilogram

participants, by material/facilities/equipment used, Metro Manila, 2001Table 18a. POTATO: Imputed costs of depreciation incurred by marketing

peso per kilogram

Table 18b. POTATO: Imputed costs of depreciation incurred by marketing


Materials Used a/ a/ 0.001Table a/Knife 0.001Chair a/ a/

Equipment 0.002 0.005Calculator a/Cellphone 0.002Electric fan 0.001Weighing Scale a/ a/ 0.004

Facilities 0.004Storage 0.004

Transportation 0.04 0.01

TOTAL 0.05 0.01 0.01a/ less than 0.001

Item IRA-LD MA-SD Retailer

Materials Used 0.005 0.021Umbrella 0.001 0.001Tent a/ 0.020Pail a/Table 0.004

Equipment 0.002 0.002 0.001Weighing Scale 0.001 0.002 0.001Emergency light 0.001Calculator a/

Facilities 0.050Stall 0.050

Transportation 0.060 0.130 0.150

TOTAL 0.067 0.132 0.251a/ less than 0.001

participants, by material/facilities/equipment used, Nueva Ecija, 2001

peso per kilogram

Table 18c. POTATO: Imputed costs of depreciation incurred by marketing participants, by material/facilities/equipment used, Pangasinan, 2001

peso per kilogram

Table 18d. POTATO: Imputed costs of depreciation incurred by marketing

Item IRA-LD Retailer

Materials Used 0.030

Chair 0.030

Materials Used 0.001 0.007

Weighing Scale a/ 0.007

Calculator 0.001

Transportation 0.01

TOTAL 0.011 0.037

a/ less than 0.001

Item IRA-LD RA-MD BA-LD Retailer

Materials Used a/

Table a/

Pail a/

Equipment 0.002 0.001 a/ 0.004

Weighing Scale a/ 0.001 a/ 0.004

Electric fan 0.002

Emergency light a/

TOTAL 0.002 0.001 a/ 0.004a/ less than 0.001

peso per kilogram

PA-LD

0.010

a/

0.001

0.011

Table 18f. POTATO: Imputed costs of depreciation incurred by marketingparticipants, by material/facilities/equipment used, Iloilo, 2001

a/

0.011

Table 18e. POTATO: Imputed costs of depreciation incurred by marketing participants, by material/facilities/equipment used, Cebu, 2001

peso per kilogram

Facilities/Equipment IRA-LD RA-MD BA-LD Retailer

Materials UsedWeighing Scale a/ 0.001 a/ 0.004Table a/Electric fan 0.002Emergency light a/Pail a/

TOTAL 0.002 0.001 a/ 0.004

a/ less than 0.001

peso per kilogram

Table 18f. POTATO: Imputed costs of depreciation incurred by marketing participants,by facilities/equipment used, Iloilo, 2001

Item MA-MD MA-SD BA-SD Retailer

Materials Used 0.020Chair 0.010Table 0.010

Equipment 0.002 0.001 a/ 0.004Weighing Scale 0.002 0.001 a/ 0.004

TOTAL 0.002 0.001 a/ 0.024

Item Farmer BA-MD BA-SD Retailer

Materials Used 0.010Chair 0.010

Equipment 0.050 0.070 0.060 0.120Weighing Scale 0.050 0.030 0.060 0.080Cellphone 0.040Calculator 0.040

TOTAL 0.050 0.070 0.060 0.130

a/ less than 0.001

Table 18g. POTATO: Imputed costs of depreciation incurred by marketing participants,by material/facilities/equipment used, Negros Occidental, 2001

peso per kilogram

peso per kilogram

Table 18h. POTATO: Imputed costs of depreciation incurred by marketingparticipants, by material/facilities/equipment used, Bukidnon, 2001

Item IRA-LD RA-LD MA-MD MA-SD Retailer

Materials Used a/ 0.012 0.010 0.010Table a/ a/Umbrella 0.010 0.010Chair 0.002 0.010

Equipment 0.003 0.004 0.002 a/ 0.012Weighing Scale a/ 0.001 0.002 a/ 0.01Calculator 0.001 a/ 0.002Electric fan 0.003Cellphone 0.002

Facilities 0.110Stall 0.110

Transportation a/ 0.010

TOTAL 0.006 0.018 0.028 0.020 0.264a/ less than 0.001

Item IRA-LD PA-LD Retailer

Materials Used a/Table a/

Materials Used a/ a/ 0.03Weighing Scale a/ a/ 0.03

Transportation 0.31

TOTAL a/ a/ 0.34a/ less than 0.001

by material/facilities/equipment used, Misamis Oriental, 2001

peso per kilogram

Table 18i. POTATO: Imputed costs of depreciation incurred by marketing participants,

0.10

0.02

0.12

Table 18j. POTATO: Imputed costs of depreciation incurred by marketing participants,by material/facilities/equipment used, Davao City, 2001

peso per kilogram

MA-SD

0.02

0.10


Materials UsedChopping board 0.002Knife 0.01Chair 0.002Table 0.01 0.01

EquipmentCalculator 0.004

TOTAL 0.002 0.01 0.03

by marketing pariticipants, by material/facilities/equipment used, General Santos City, 2001

Table 18k. POTATO: Imputed costs of depreciation incurred

peso per kilogram

Cas

h C

ost

3.65

55.

733

2.91

91.

648

3.57

13.

770

1.16

34.

698

1.50

04.

180

3.77

3

Lab

or

1.03

00.

890

0.85

00.

350

1.29

01.

050

0.08

00.

990

0.77

00.

730

0.79

0H

aulin

g0.

130

0.48

00.

280

0.15

00.

110

Han

dlin

g

Lo

adin

g0.

120

0.06

00.

120

0.05

00.

090

0.10

00.

040

0.13

00.

080

0.06

00.

270

Unl

oadi

ng0.

120

0.06

00.

120

0.05

00.

090

0.10

00.

040

0.13

00.

080

0.06

00.

270

Ship

ping

0.41

00.

190

0.02

0So

rtin

g0.

330

0.09

00.

150

0.18

00.

320

0.29

0Cl

eani

ng/W

ashi

ng0.

050

0.16

00.

250

0.18

00.

420

0.16

00.

120

Pack

ing

0.05

00.

150

0.30

00.

080

0.01

0W

eigh

ing

0.05

00.

150

Selli

ng0.

330

0.05

00.

700

0.05

00.

190

Sal

arie

s an

d W

ages

0.61

00.

590

0.10

00.

040

0.10

00.

080

0.05

00.

360

0.02

00.

140

0.12

0

Tra

nsp

ort

atio

n E

xpen

ses

1.12

01.

430

0.85

00.

600

1.83

00.

420

0.88

00.

170

0.29

01.

550

Tran

spor

ting

1.12

01.

430

0.85

00.

600

0.93

00.

110

0.88

00.

160

0.29

00.

110

Ship

ping

0.90

00.

310

0.01

01.

440

Tabl

e 19

. P

OTA

TO:

Tot

al M

arke

ting

cos

ts b

y it

em (

cash

cos

ts a

nd n

on-c

ash

cost

s), b

y pr

ovin

ce, 2

001

Mis

amis

O

rien

tal

Dav

ao

Cit

y

Gen

eral

S

anto

s C

ity

Cos

t It

emC

ebu

Iloi

loN

egro

s O

ccid

enta

lB

ukid

non

Met

ro

Man

ilaB

engu

etP

anga

sina

nN

ueva

Ec

ija

peso

per

kilo

gram

Mat

eria

l In

pu

ts0.

244

1.11

90.

391

0.18

00.

101

0.29

10.

160

0.42

40.

200

0.68

00.

122

Sack

s0.

340

0.27

00.

010

0.02

00.

090

0.05

00.

110

0.03

00.

150

0.06

0Tw

ine

0.00

40.

040

0.02

00.

010

0.05

00.

010

Kain

g0.

150

0.01

0a/

Old

new

spap

er0.

050

0.05

0Pl

astic

bag

0.24

00.

310

0.11

00.

060

0.08

00.

190

0.10

00.

190

0.11

00.

070

0.04

0Pl

astic

cra

te0.

001

0.32

0Re

d ba

g0.

120

0.01

0N

eedl

eW

ire0.

004

Bask

et0.

190

a/Ca

rton

sa/

0.02

0"B

ilao"

a/0.

010

a/0.

001

0.00

10.

030

0.00

1Pa

ckin

g ta

pea/

Basi

n0.

004

0.00

1Ke

rose

ne c

ana/

Plas

tic t

ray

0.00

40.

010

0.04

0Kn

ife0.

001

0.01

0a/

Off

ice

supp

lies

0.00

10.

010

0.01

0Bu

lba/

Peel

er0.

090

a/a/

Cos

t It

emM

etro

M

anila

Ben

guet

Pan

gasi

nan

Nue

va

Ecija

Ceb

uIl

oilo

Neg

ros

Occ

iden

tal

Buk

idno

nM

isam

is

Ori

enta

lD

avao

C

ity

Gen

eral

S

anto

s C

ity

peso

per

kilo

gram

Tabl

e 19

. (co

ntin

ued)

Oth

er O

per

atin

g E

xpen

ses

0.65

11.

704

0.72

80.

478

0.25

01.

929

0.87

32.

044

0.34

02.

340

1.19

1Bu

sine

ss P

erm

it/lic

ense

0.03

00.

010

0.00

20.

001

0.00

30.

010

0.01

00.

030

0.00

20.

004

0.02

0M

arke

t fe

e0.

020

0.01

00.

020

0.02

00.

002

0.00

20.

010

0.02

0a/

0.07

00.

020

Bara

ngay

per

mit

a/a/

0.01

0El

ectr

icity

/ligh

t0.

010

0.00

30.

002

0.01

00.

010

0.01

00.

003

0.02

0a/

0.00

40.

010

Tele

phon

e0.

070

0.00

40.

010

0.01

00.

140

0.01

0a/

0.20

0W

ater

0.01

00.

002

0.01

00.

080

0.00

30.

010

0.05

00.

130

0.01

00.

050

0.02

0Sh

rinka

ge/w

asta

ge0.

120

0.05

00.

240

0.13

00.

760

0.33

00.

950

0.29

00.

040

0.88

0G

as a

nd O

il0.

280

0.10

00.

290

0.06

00.

830

0.01

00.

002

0.92

0W

eigh

ing

scal

e ca

libra

tion

a/a/

a/a/

0.07

0a/

0.01

00.

004

a/a/

0.00

1Re

pair

and

mai

nten

ance

0.64

00.

850

Don

atio

nIn

tere

st o

n lo

ana/

0.02

00.

010

0.05

00.

010

Mea

ls a

nd B

ever

ages

0.07

00.

270

0.08

00.

030

0.02

00.

410

0.03

00.

020

0.06

00.

200

Bode

ga/S

tora

ge f

ee0.

800

a/Ad

vert

isin

gEn

tran

ce fee

0.05

00.

070

Park

ing

fee

0.01

00.

010

0.01

00.

002

a/St

all r

enta

l0.

080

0.01

00.

080

0.00

20.

010

0.01

00.

040

0.01

0To

llgat

e fe

e0.

020

0.00

20.

004

0.00

30.

004

0.01

00.

040

Cell

card

0.01

00.

010

a/Ba

nk c

harg

es0.

010

0.00

10.

001

a/D

eliv

ery

char

ge0.

001

Agen

t's c

omm

issi

on0.

500

Clea

ranc

e fe

e0.

002

Resi

denc

e ce

rtifi

cate

0.01

0W

harf

age

0.00

2Ca

r w

ash

c/0.

002

Oth

er m

arke

t fe

es0.

001

0.00

10.

090

a/0.

150

0.01

00.

060

0.03

0

Tabl

e 19

. (co

ntin

ued)

Cos

t It

emM

etro

M

anila

Ben

guet

Pan

gasi

nan

Nue

va

Ecija

Ceb

uIl

oilo

Neg

ros

Occ

iden

tal

Buk

idno

nM

isam

is

Ori

enta

lD

avao

C

ity

Gen

eral

S

anto

s C

ity

peso

per

kilo

gram

Non

-cas

h C

ost

0.12

30.

044

0.04

80.

128

0.01

30.

002

0.02

30.

130

0.12

90.

312

0.02

8

Dep

reci

atio

n0.

113

0.03

40.

008

0.05

80.

003

0.00

20.

023

0.13

00.

129

0.00

20.

028

Wei

ghin

g sc

ale

0.00

20.

010

0.00

10.

001

0.00

1a/

0.00

30.

040

a/0.

002

0.01

0Pa

il0.

010

a/a/

Tabl

e0.

030

a/0.

004

a/0.

010

a/a/

0.01

0Te

nt0.

030

0.00

1Ce

llpho

ne0.

001

0.00

20.

040

0.00

2Ch

air

a/0.

001

a/0.

001

0.01

00.

010

0.00

30.

002

Calc

ulat

ora/

0.00

2a/

a/0.

001

0.04

00.

001

0.00

4U

mbe

rella

0.03

00.

001

Emer

genc

y Li

ght

0.00

1a/

0.01

0El

ectr

ic fan

0.00

10.

001

0.00

20.

003

Chop

ping

boa

rd0.

002

Radi

o0.

010

Tent

use

d in

tru

cka/

Stor

age

0.02

00.

004

Stal

l0.

050

0.11

0

Tra

nsp

ort

atio

n0.

010

0.01

00.

040

0.07

00.

010

a/0.

310

a/ le

ss t

han

0.00

1

Tabl

e 19

. (co

ntin

ued)

Cos

t It

emM

etro

M

anila

Ben

guet

Pan

gasi

nan

Nue

va

Ecija

Ceb

uIl

oilo

Gen

eral

S

anto

s C

ity

peso

per

kilo

gramN

egro

s O

ccid

enta

lB

ukid

non

Mis

amis

O

rien

tal

Dav

ao

Cit

y

Item

Met

ro

Man

ilaB

engu

etP

anga

sin

anN

ueva

Ec

ija

Ceb

uIl

oilo

Neg

ros

Occ

iden

tal

Bu

kidn

onM

isam

is

Ori

enta

lD

avao

C

ity

Gen

eral

Sa

nto

s C

ity

Cas

h3

.65

5.7

32

.92

1.6

53

.57

3.7

71

.16

4.7

01

.50

4.1

83

.77

Labo

r1.

030.

890.

850.

351.

291.

050.

080.

990.

770.

730.

79

Sala

ries

and

Wag

es0.

610.

590.

100.

040.

100.

080.

050.

360.

020.

140.

12

Tran

spor

tatio

n Ex

pens

es1.

121.

430.

850.

601.

830.

420.

880.

170.

291.

55

Mat

eria

l Inp

uts

0.24

1.12

0.39

0.18

0.10

0.29

0.16

0.42

0.20

0.68

0.12

Oth

er O

pera

ting

Expe

nses

0.65

1.70

40.

730.

480.

251.

930.

872.

050.

342.

341.

19

No

n-c

ash

0.1

20

.04

0.0

50

.13

0.0

10

.00

20

.02

0.1

30

.13

0.3

10

.03

Impu

ted

Cost

0.12

0.04

0.05

0.13

0.01

0.00

20.

020.

130.

130.

310.

03

Tabl

e 20

. P

OTA

TO:

Tot

al m

arke

tin

g co

sts

by m

ajor

com

pon

ents

(C

ash

& N

on-c

ash

)

Tota

l3

.77

5.7

82

.97

1.7

83

.58

3.7

71

.18

4.8

3

by p

rovi

nce

, 200

1

1.6

34

.49

3.8

0

PRO

BLE

MS

MET

RO

M

AN

ILA

BEN

GU

ETP

AN

GA

SIN

AN

NU

EVA

EC

IJA

ILO

ILO

NEG

RO

S O

CC

IDEN

TAL

CEB

UBU

KID

NO

NM

ISA

MIS

O

RIE

NTA

LD

AV

AO

C

ITY

GEN

ERA

L SA

NTO

S C

ITY

1.

Low

pric

e du

e to

poo

r qu

ality

of p

rodu

ce.

121

43

44

6

2.

Non

pay

men

t of b

ad d

ebt

11

22

21

1

3.

Hig

h pe

rcen

tage

of w

asta

ge1

21

11

3

4.

Few

buy

ers

beca

use

of to

o m

any

com

petit

ors

51

42

21

13

2

5.

Pric

e flu

ctua

tion

11

11

6.

Lack

of c

apita

l2

41

14

7.

Hig

h co

sts

in s

hipp

ing

com

mod

ities

1

8.

Lack

of c

onta

iner

van

in th

e po

rt.

1

9.

Lack

of s

uppl

y es

peci

ally

dur

ing

lean

mon

ths.

12

10.

Rel

ocat

ion

of s

tall

1

11.

Sel

lers

inse

rt s

poile

d po

tato

in th

e sa

ck.

6

12.

Lac

k of

pos

t har

vest

faci

litie

s fo

r th

e cr

ops.

1

13.

Hig

h in

tere

st o

n lo

an1

14.

Hig

h co

sts

of la

bor.

15.

Thi

ef2

11

1

16.

Poo

r co

nditi

on o

f the

roa

d

17.

No

prob

lem

2432

12

11

142

5

Tab

le 2

1.

PO

TATO

: C

omm

on p

rob

lem

s an

d c

onst

rain

ts o

f fa

rmer

s an

d t

rad

ers,

by

pro

vin

ce, 2

00

1

marketing costs structure for potato

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