Lanao del Norte - PHP Version 5.6.21

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Lanao del Norte - PHP Version 5.6.21
Contents
Acronyms............................................................................................................................................................4
List of Tables .......................................................................................................................................................6
List of Figures......................................................................................................................................................6
Governor’s Message ...........................................................................................................................................7
Executive Summary ............................................................................................................................................8
I.
DEVELOPMENT BACKGROUND/CONTEXT ............................................................................................... 10
Area, Political Subdivision, Location................................................................................................................ 10
Land Area. ....................................................................................................................................................... 10
Physical Characteristics ................................................................................................................................... 10
Figure 1. Administrative Map of Lanao del Norte ............................................................................................ 10
Population and Settlements ............................................................................................................................ 11
Economy .......................................................................................................................................................... 12
II.
DEVELOPMENT VISION AND FRAMEWORK OF THE PROVINCE .............................................................. 13
Mission ............................................................................................................................................................ 13
Key Development Issues and Problems. ......................................................................................................... 13
Development Goals ......................................................................................................................................... 14
III.
THE PROVINCIAL FRAMEWORK ........................................................................................................... 14
Agriculture/Agri-Business Development Goals, Approaches/Strategies ......................................................... 15
Figure 2. Lanao del Norte's Framework .......................................................................................................... 14
IV.
Priority Commodity Chains Development ........................................................................................... 16
Commodity Value Chain 1: Cardava Banana ................................................................................................... 17
A.
Commodity Profile .................................................................................................................................... 18
Product Description .......................................................................................................................................... 18
Product Subsectors and By-products ................................................................................................................ 19
Table1. TOP FIVE PRODUCERS OF CARDAVA BANANA IN THE PHILIPPINES .................................................... 20
Table 2. PRODUCTION VOLUME OF CARDAVA BANANA IN NORTHERN MINDANAO – REGION X
PROVINCES, CYS 2009-2013 ............................................................................................................................. 21
Table 3. AREA PLANTED TO CARDAVA-REGION X PROVINCES, CYS 2009-2013 ............................................... 21
Table 4. BANANA PRODUCTION VS. AREA PLANTED IN LANAO DEL NORTE BY MUNICIPALITY ...................... 22
Table 5. BANANA SHIPMENTS FROM NORTHERN MINDANAO, 2009 .............................................................. 24
Figure 6. Value Chain Map .............................................................................................................................. 25
B.
Opportunities and Strategic Direction in the Cardava Banana Industry .................................................. 28
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Table 6. LOGFRAME: LANAO DEL NORTE CARDAVA BANANA INDUSTRY DEVELOPMENT .............................. 28
C.
Summary of Interventions ........................................................................................................................ 30
D.
Investment Plan ........................................................................................................................................ 30
Table 7. EXPANDED VULNERABILITY AND SUITABILITY ASSESSMENT OF CARDAVA BANANA IN LANAO
DEL NORTE ........................................................................................................................................................ 31
Figure 9. Cardava Banana Percent Distribution of Investments into Different Segments ............................... 31
Table 8.PCIP MATRIX OF CARDAVA BANANA ................................................................................................... 33
Commodity Value Chain 2: Seaweeds ............................................................................................................. 42
A.
Commodity Profile .................................................................................................................................... 43
Product Description .......................................................................................................................................... 43
Local Production vis-à-vis Regional, National and Global Market Trends........................................................ 44
Table 10.FRESH SEAWEEDS PRODUCTION VOLUME: 2009 – 2013 .................................................................. 44
Table 11. SEAWEEDS PRODUCTION: MINDANAO VIS-À-VIS OTHER SEAWEEDS PRODUCING REGIONS
CY 2013 ............................................................................................................................................................. 45
B.
Strategic Direction in the Seaweeds Industry .......................................................................................... 45
Table 12. Expanded and Vulnerability and Suitability Assessment of Seaweeds in the Province of
Lanao del Norte ................................................................................................................................................ 46
Figure 10. Top Carrageenan Seaweed Producing Countries ............................................................................ 46
C.
Investment Plan ........................................................................................................................................ 47
Figure 11. Seaweeds Farming Percent Share Distribution of Investment ........................................................ 48
Table 13.PCIP MATRIX OF SEAWEEDS INDUSTRY ............................................................................................. 49
V.
INSTITUTIONAL ARRANGEMENT ............................................................................................................. 53
Implementation Supervision ............................................................................................................................. 53
Organization and Development........................................................................................................................ 53
Monitoring and Evaluation ............................................................................................................................... 55
Social and Environmental Safeguards .............................................................................................................. 55
VI.
PDC AND/OR SP RESOLUTION ............................................................................................................. 57
3 |PCIP 2014-2016
Acronyms
AAGR
Annual Average Growth Rate
AEWs
Agriculture Extension Workers
ATC
Alkalai Treated Chips
BAFC
Barangay Agriculture and Fishery Council
BFAR
Bureau of Fisheries and Aquatic Resources
DA
Department of Agriculture
DRR-CCA
Disaster Risk Reduction- Climate Change Adaptation
ENRO
Environment and Natural Resources Office
FMR
Farm to Market Road
I-BUILD
Intensified Building up of Infrastructure and Logistics for
Development
I-PLAN
Investments in AFMP Planning at the Local and National Levels
I-REAP
Investment in Rural Enterprises and Agriculture and Fisheries
Productivity
I-SUPPORT
Implementation Support to PRDP
IEC
Information Education Campaign
LGU
Local Government Unit
MAO
Municipal Agriculture Office
M&E
Monitoring and Evaluation
NCPO
National Program Coordination Office
NGO
Non-Government Organization
PAO
Provincial Agriculturist’s Office
PCIP
Provincial Commodity Investment Plan
PLGU
Provincial Local Government Unit
PPMIU
Provincial Project Management and Implementing Unit (PPMIU)
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PRDP
Philippine Rural Development Project
PSO
Project Support Office
PDPFP
Provincial Development and Physical Framework Plan
PDC
Provincial Development Council
PPDO
Provincial Planning and Development Office
PEO
Provincial Engineer’s Office
PPMC
Provincial Project Monitoring Committee
PPA
Programs/Projects/Activities
PSWDO
Provincial Social Welfare and Development Office
PG
Proponent Group
PGLDN
Provincial Government of Lanao del Norte
PO
People’s Organization
RC
Refined Carrageenan
RDS
Raw Dried Seaweeds
RFU
Regional Field Unit
RPCO
Regional Program Coordination Office
SRC
Semi-Refined Carrageenan
SES
Social and Environmental Safeguards
SP
Sangguniang Panlalawigan
5 |PCIP 2014-2016
List of Tables
Table1. TOP FIVE PRODUCERS OF CARDAVA BANANA IN THE PHILIPPINES ........................................................... 20
Table 2. PRODUCTION VOLUME OF CARDAVA BANANA IN NORTHERN MINDANAO – REGION X PROVINCES,
CYS 2009-2013 ......................................................................................................................................................... 21
Table 3. AREA PLANTED TO CARDAVA-REGION X PROVINCES, CYS 2009-2013 ...................................................... 21
Table 4. BANANA PRODUCTION VS. AREA PLANTED IN LANAO DEL NORTE BY MUNICIPALITY ............................. 22
Table 5. BANANA SHIPMENTS FROM NORTHERN MINDANAO, 2009..................................................................... 24
Table 6. LOGFRAME: LANAO DEL NORTE CARDAVA BANANA INDUSTRY DEVELOPMENT ..................................... 28
Table 7. EXPANDED VULNERABILITY AND SUITABILITY ASSESSMENT OF CARDAVA BANANA IN LANAO DEL
NORTE ...................................................................................................................................................................... 31
Table 8.PCIP MATRIX OF CARDAVA BANANA .......................................................................................................... 33
Table 9. SEAWEEDS PRODUCTION IN LANAO DEL NORTE BY MUNICIPALITY, 2013 ............................................... 44
Table 10.FRESH SEAWEEDS PRODUCTION VOLUME: 2009 – 2013 ......................................................................... 44
Table 11. SEAWEEDS PRODUCTION: MINDANAO VIS-À-VIS OTHER SEAWEEDS PRODUCING REGIONS CY 2013 .. 45
Table 12. Expanded and Vulnerability and Suitability Assessment of Seaweeds in the Province of Lanao del
Norte........................................................................................................................................................................ 46
Table 13.PCIP MATRIX OF SEAWEEDS INDUSTRY .................................................................................................... 49
List of Figures
Figure 1. Administrative Map of Lanao del Norte ................................................................................................... 10
Figure 2. Lanao del Norte's Framework................................................................................................................... 14
Figure 3. Graphical Illustration of Cardava Banana Production in the Philippines ................................................. 20
Figure 4. Production Map of Lanao del Norte ......................................................................................................... 23
Figure 5. Commodity and Geographical Marketing Flow of Cardava Banana in Lanao del Norte ......................... 24
Figure 6. Value Chain Map ...................................................................................................................................... 25
Figure 7. Commodity Flow Map of Fresh Banana ................................................................................................... 26
Figure 8. Flow of Transactions ................................................................................................................................. 27
Figure 9. Cardava Banana Percent Distribution of Investments into Different Segments ...................................... 31
Figure 10. Top Carrageenan Seaweed Producing Countries ................................................................................... 46
Figure 11. Seaweeds Farming Percent Share Distribution of Investment ............................................................... 48
6 |PCIP 2014-2016
Governor’s Message
The formulation of the Provincial Commodity
Investment Plan (PCIP) initiated under the Philippine Rural
Development Program is a welcome development in our
province. It serves as tool for consolidating agricultural
interventions at various levels of governance, specifically in
the development of our priority commodities. For this
particular version of the PCIP, the focus commodities are
cardava banana, seaweeds and coconut by products. The
programs were identified through consultations with
industry players and other key stakeholders initiated by
the Provincial Planning Core Team.
The PCIP is basically the identified priority
interventions to address industry constraints indentified in the Value Chain Analysis (VCA). Lanao
del Norte’s PCIP is intended to be a dynamic document. While initially it covers a 3-year planning
horizon, it shall be periodically updated to accommodate other priority commodities, as well as,
emerging commodities like cacao, cassava, rubber, abaca and coconut.
I am proactively supporting the efforts of PRDP as the objectives coincide with our desire to
address bottlenecks of our agricultural sector, the lifeblood of our economy.
It is my fervent hope that the proposed interventions in the Plan will play a pivotal role in
the realization of the province’s development thrusts on poverty reduction, increasing service
access and improving community resilience.
MOHAMAD KHALID Q. DIMAPORO
Provincial Governor
7 |PCIP 2014-2016
Executive Summary
T
he PRDP is a six-year program (2014-2019) is under the Department of Agriculture
that is designed to establish an inclusive and market-oriented agri-fishery sector
through strategic investments in priority commodity value chains. The project’s
scheme of implementation which is to partner with LGUs and the private sector in providing key
infrastructure, facilities, technology, and information will help increase incomes, productivity, and
the competitiveness in the countryside.
The PRDP is a joint program of the DA, local government units (LGUs), beneficiaries and the
international Bank for Reconstruction and Development (IBRD). The financing mix of related
interventions is foreseen to substantially augment the LGUs’ in delivering the necessary
infrastructure and enterprise facilities and information to all beneficiaries.
The DA has applied for the PRDP as one of the platform for achieving the Philippine Government’s
Millennium Development Goal for sustainable development covering 81 provinces of the
Philippines where the Local Government Code of 1991 devolves the DA function - the provision
of agricultural support services, agricultural extension and on-site research services and facilities to the LGUs.
The objectives of this program are to wit as follows:
1. To establish a modern, value chain oriented and climate resilient
agriculture and fisheries sector;
2. Strengthen good governance, transparency and accountability mechanism
at all stages of project cycle;
3. To operationalize a local level convergence platform among relevant
national line agencies and other stakeholders to synergize projects and
programs that benefit the greater segment of the farmers and fishers
attaining inclusive growth.
The four major components of PRDP are: 1) I-Plan or Investments in AFMP Planning at the Local and
National Levels, 2) I-BUILD or Intensified Building Up of Infrastructure and Logistics for
Development, 3) I-REAP or Investments in Rural Enterprises and Agriculture and Fisheries
Productivity, and 4) I-SUPPORT or Implementation Support to PRDP. As participating LGU of this
program, the PGLDN composed/established the Provincial Management and Implementing Unit
(PPMIU) through Executive Order No. 11, s. 2013, guided by the terms and reference provided in
the Project Operations Manual to be responsible for supporting project
implementation
activities, preparing annual work plans and budgets, undertaking monitoring and evaluation and overall
accounting and financial management.
The Provincial Commodity Investment Plan (PCIP) under the I-PLAN is a strategic plan that
rationalizes the interventions within the various segments of the value chain of commodities that
are of significance to the province and that will contribute to the national goals of the agri- fishery
sector. It is a 3-year rolling consensus plan between the DA and PLGU based on the value chain
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analyses of the commodities conducted with participation of the various stakeholders like national
line agencies, agricultural and fishery farmers, people’s organization, among others. The PCIP shall
be the basis for PRDP’s Intensified Building-Up of Infrastructure and Logistics for Development (IBUILD) & Investment in Rural Enterprises and Agriculture and Fisheries Productivity (I-REAP) in
selecting eligible interventions / sub-projects for funding with adequate counterpart from the
PLGU.
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I. DEVELOPMENT BACKGROUND/CONTEXT
Area, Political Subdivision, Location
Location. The Province of Lanao
Figure 1. Administrative Map of Lanao del Norte
del Norte is situated in
Northern Mindanao. It is
bounded on the north by
Iligan
Bay,
on
the
northeastern side by the
Province
of
Misamis
Oriental where the CagayanIligan Corridor is generally
situated, on the southeast
by Lanao del Sur, on the
west by the Provinces of
Misamis Occidental and
Zamboanga del Sur which
are also accessible by water
and land transportation
systems, and on the south
by Illana Bay.
Land Area. The province is composed of 22 municipalities and 462 barangays and 2 districts. It has a
total land area of 309,666 hectares, representing almost 19 percent of Region X’s total land area.
The province has a diverse ecosystem with 40% of the land falls in agriculture with different agrifisheries products from different municipalities. Sixty percent of employments are in agriculture
while the remaining forty percent are belong to other sectors, to include: industry, business, private
and government institutions, and among others.
Physical Characteristics
Slope Classification. A greater portion of the province’s total land area is within the 18-30% slope
category (24%) which covers 92,331.06 hectares. These areas are categorized as moderately sloping
to rolling and are considered suitable to agro-forest activities. The 8%-18% slope category covers
the next largest area with 84,344.61 hectares representing 22% of the province’s total. The gently
sloping to undulating areas (3-8%) have the smallest share which covers 38,748.93 hectares or 10%
of the provincial area. Considering the topographic landscape of Lanao del Norte, the Mines and
Geosciences Bureau (MGB) identified the province to have a high probability of occurrence of raininduced landslide.
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Elevation. As compared to other provinces, Lanao del Norte has the largest area with elevation
below 100 meters above sea level. This encompasses 94,812 hectares which constitutes about 40
percent of the region’s total area. The province’s lowest share is in areas with elevation greater
than 1,000 meters above sea level where Bukidnon get the biggest share being generally a highland
area.
Natural Hazards. Between 1999 and 2011, Lanao del Norte experienced a total of 13 natural
disasters of varied natures: flood, flashflood, rain-induced mudslide, rain-induced landslide, storm
surge and tornado. Of the natural recorded disasters, the most frequent are flashflood and flooding
incidents, which in certain cases are accompanied by rain-induced landslide (RIL) or rain-induced
mudslide (RIM). Storm surge and tornado also affects the coastal towns of the province. These
resulted to various degrees of damages to people, infrastructure facilities, houses, and properties.
Soil Type. The major soil type in the province is that of fine loamy to clayey type (163,387.74
hectares) and fine loamy type (152,614.71 hectares). Areas with largely clayey type of soil include
the municipalities of SND, Kapatagan, Lala, Baroy, Tubod, Kolambugan and Maigo. These
municipalities are situated along the coast.
Population and Settlements
Population. As of 2010 Census, Lanao del Norte has a total population of 607,917 and has a
population density of 253 persons/square kilometers in 2010 which is higher than the regional
average. The annual population growth rate (APGR) is 2.54%, thus the current population will
double in 28 years.
Employment and Unemployment Rate. Lanao del Norte has a total working age population of
531,000 with 74.20 percent or 394,000 are in the labor force. Among the five provinces in the
region, Lanao del Norte has the lowest labor force participation rate which is lower than that of the
region by 3.7 percentage points. Out of the province’s total labor force of 394,000, 88 percent are
employed. The remaining 12 percent or 47,280 individuals are unemployed. Of the 346,720
employed persons, 35.2 percent of them are underemployed. This is typical of an agricultural
economy where employment is seasonal in nature.
Lanao del Norte’s economic strength is in agriculture/fishery/forestry having the highest number of
employed (59.59%).Those employed in the services sector constitute 34.75 percent while only 5.67
percent are employed in the industry sector. Employment rate of Lanao del Norte (88%) is lower
than the region (90.20%) but higher than the national level (87.8%). Persons dependent on
agriculture can be vulnerable to displacement as sector is vulnerable to various hazards and climate
change impacts.
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Poverty Situation
Poverty Incidence. Among the provinces in Region X, Lanao del Norte posted the highest increase in
magnitude of poor families (4.7%) or an account of 12,808 in terms of number between the period
2006 and 2009. Based on the result of the 2009 Community-Based Monitoring System (CBMS)
survey, a total of 83,513 households or 73 percent of the total 114,270 households in Lanao del
Norte have income below poverty threshold. This means that 73 percent of the families in the
province may be classified as poor and are living below the poverty line.
Economy
Agricultural Development. The strategic agriculture development zones in Lanao del Norte
encompasses coastal and interior municipalities with high potential agricultural production.
Agriculture zone has a total of 151,092.68 hectares including those found in the Kapatagan Valley,
the Baloi Plains and the Kalibao Valley of Sultan Naga Dimaporo. Smaller plains such as that of
Kolambugan and Maigo are also considered agriculture zones. Other development zones
demarcated as agriculture are those planted with coconut, banana and other fruit-bearing trees as
well as high-value crops and vegetables. In terms of production volume and its relative importance
to the province’s economy, palay, corn, coconut and banana are considered the main crops.
Agricultural Productivity. Agriculture is the centerpiece of achieving results on rural livelihood being
the province’s engine of growth. Thus, several programs and projects were implemented to support
production with focus on prime commodities for achieving to food security and local economic
growth. Several local groups of producers have been assisted by the province’s rural livelihood
program.
Along with commodity based programs to promote livelihood are support sectors which are
strengthening of rural based organizations and tourism promotion. Interventions to improve
productivity were focused on key commodities: coconut, rice, banana, livestock, fish, and
seaweeds. The emerging crops are the following: rubber, cacao, cassava and coffee.
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II.
DEVELOPMENT VISION AND FRAMEWORK OF THE PROVINCE
Vision
The long-term vision of the province of Lanao del Norte is dubbed as Vision 2020. Year 2020 is the
indicative time frame for the realization of the vision. It states that Lanao del Norte is envisioned to
become . . . .“a globally competitive agri-industrial community of God loving, ecology conscious,
culturally diverse people working together in peace and harmony to achieve equity and
prosperity”.
Mission
“Our mission is to build a just, humane and prosperous community of self reliant and empowered
people. To achieve this state of well being for the province, we will ensure that the people are
given equitable access to resources, basic social services and economic opportunities”.
“We will advocate ecological consciousness among our people, aware that we can achieve longterm prosperity only under a framework of sustainable development”.
“We will pursue agri-based industrialization and stimulate investments that utilize local resources,
believing that such development thrust shall generate gainful employment for our people. We will
develop the skills of our people through continuous training and relevant education to prepare
them for global competition”.
“We recognize our new role as providers of services and as a resource center for local government
units at the municipal and barangay levels. This new role mandates us to build the capabilities of
the LGUs and people’s organizations who will be our active partners in development. This
partnership will allow us to develop a dynamic system of self governance and entrepreneurship at
the grassroots level, aware that this way of life creates and sustains genuine political and economic
freedom.”
“We will promote close cooperation among national line agencies, local government units, and
non-governmental organizations in the design and implementation of development programs,
recognizing that collaboration and teamwork yield far greater benefits at much lesser cost.”
“Finally, our aim is to render selfless public service in an improved system of local governance that
would lead towards attainment of a better quality of life for all.”
Key Development Issues and Problems. With the wide array of issues and problems identified from
a comprehensive analysis of the planning environment there is a need to identify overarching
development concerns which should be at the core of development interventions. The following
are the province’s key issues and problems that is cull-out from the Provincial Development and
Physical Framework Plan, 2013-2018:
 High poverty incidence and low income
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 High unemployment and underemployment
 Generally low service access and wide socio economic divide between coastal and
interior areas
 Degraded ecosystems: uplands, prime agricultural lands, watershed, coastal
resources
 High vulnerability of people to displacements and socio-economic activities to
disruption due to natural and man-made disasters
Development Goals
In the next five years, the province shall pursue five-pronged goals:
1.
2.
3.
4.
5.
III.
Reduced poverty incidence
Increased service access
Improve state of ecosystem
Increased community resilience
Effective governance
THE PROVINCIAL FRAMEWORK
The Provincial Government of Lanao del Norte’s framework or development goals is
describe into five parts and summarized as the figure below, viz:
Figure 2. Lanao del Norte's Framework
Reduced Poverty
Increased
service
access
Increased
Community
Resilience
Improved
state of
ecosystems
Effective Governance
14 |PCIP 2014-2016
Agriculture/Agri-Business Development Goals, Approaches/Strategies
Improvement in agricultural efficiency, profitability and climate change resiliency;
Focused development in identified priority areas/commodities with high potential
for contributing to local economic growth;
Development of competencies of work force;
Strengthening of enabling environment for business incubation, SME development
and private sector participation;
Development of investment and tourism thematic products; and
Strengthening role of technical and agricultural schools in local economic
development
15 |PCIP 2014-2016
IV.
Priority Commodity Chains Development
3.1 Banana- Fresh Cardava
3.2 Seaweeeds
16 |PCIP 2014-2016
Commodity Value Chain 1: Cardava Banana
Barangay, Poblacion, Tubod Public Market
Brgy. Pedulonan, Lala, LDN
Brgy. Tiacongan, Kapatagan, LDN
Barangay, Poblacion, Tubod Public Market
17 |PCIP 2014-2016
A. Commodity Profile
Product Description
The cardava banana industry is a key sector in the country’s entire banana industry. It is one of
the numerous cultivars under the cooking bananas category. The other broad categories are
dessert bananas. Cardava, also called saba, has the largest and tallest stem among the cultivars
attaining a height of four meters. The bunches are big with 8 to 16 hands of 12 to 20 fingers per
hand. The fruits are short and stubby and highly angular. The skin is thick and yellow when ripe.
The flesh is white, starchy, and fine textured, making it ideal for cooking and processing.
Cardava banana is grown in backyards of rural households and in small farms, unlike the
cavendish which is cultivated primarily by large plantations. It can be grown in nearly all kinds of
soil but deep and friable loam soil with good drainage and aeration offers higher production
and better fruit quality. Areas with uniform warm and humid conditions with a minimum rainfall
of 60 inches annually, whether through heavy and evenly spaced rainfall, and a temperature
between 27 and 30 degrees centigrade offers the most favorable condition for growing cardava
banana.
Pictures taken at Pendulonan, Lala, Lanao del Norte showing farmers harvesting fresh cardava banana suspected with “ bunsalo”,
the main constraint in cardava banana industry. The right most picture shows from left to right Saldy Parojinog, Donna B.F.
Aguilar(PPDO Staff), Wilfred Parojinog (Farmer), and Mr. Crispiniano O. Canopin, MAO Staff of Lala, Lanao del Norte.
18 |PCIP 2014-2016
Product Subsectors and By-products
The fruit is banana’s main economic product. Cardava banana can be eaten fresh, processed or
cooked. There are three key product subsectors in the cardava banana sector: (1) banana chips, (2)
cardava banana snack food (banana-cue, maruya, turon, grilled-banana, etc.) and (3) fresh cardava
banana for home consumption.
Banana chips products may be sweetened, honey-dipped, unsweetened, cinnamon- or chocolateflavored and salted. Chips are available in various cuts such as whole, halves, quarters, diagonals,
diced and broken cuts. Products are mainly geared for the export market.
Cardava banana snack food come in many forms. The most popular snacks are “banana cue” whole fried bananas dipped in brown sugar and sold in bamboo skewers; and “turon” -fried banana
spring rolls. Another popular cardava-based snacks is the “maruya” or banana fritters. The snack
foods are sold via street vendors, school canteens, and restaurants. During the recent years, a
Davao-based manufacturer with subcontractors based in Bukidnon has started exporting frozen
turon to countries with significant Filipino and Asian population.
Fresh cardava banana for home consumption which are made into various traditional Filipino
desserts and dishes such as the “pochero”.
The banana chips subsector requires the processed grade cardava while the fresh market deals with
medium to jumbo sizes. Small ripe bananas go to the snack food market. In a way, the varying
requirements of these three product subsectors provide markets for different qualities and sizes of
banana. A greater percentage of the region’s banana goes to the snack food and fresh markets.
Other cardava by-products also developed such as catsup, vinegar and flour. One agrarian reform
cooperative in Lanao del Norte is engaged in the manufacture of catsup. Production, though is still
low and market is currently limited within the locality and neighboring provinces (via trade fairs).
The “puso” or the dark red inflorescence of the banana is also edible. Aside from cooking the
“puso” into the traditional “ginataan” or “kilawin”, it can also be made into vegetarian patties.
Banana peels are traditionally used as feeds or converted into organic fertilizer. Another
alternative use of banana peels is as meat substitute and extenders. It can also be utilized as a
material for making paper and paper boards. The leaves are used as packing materials in markets
and traditional wrappings of native dishes.
Local production vis-à-vis regional, national and global market opportunities
Lanao del Norte is the third top producing province of cardava banana contributing 6% of the entire
country’s production volume. The top two producing provinces are Davao del Sur and North
Cotabato (Table 1. Top Five Producers of Cardava Banana in the Philippines). At the regional level,
Lanao del Norte accounts for almost 52% of total regional output in 2013 and about 30% of total
area planted for the same year. While its share to regional production is significant, it exhibited a
slow or almost negligible growth rate from 2009 to 2013, both in terms of production and area
19 |PCIP 2014-2016
planted (Tables 2. Production Volume Of Cardava Banana In Northern Mindanao and Table 3. Area
Planted To Cardava-Region X Provinces).
Table1. TOP FIVE PRODUCERS OF CARDAVA BANANA IN THE PHILIPPINES
Province
Volume (MT)
% to RP
Davao del Sur
270,946.19
10%
North Cotabato
265,981.80
10%
Lanao del Norte
154,569.27
6%
Compostela Valley
152,903.96
6%
Isabela
151,087.26
6%
Source: BAS
Figure 3. Graphical Illustration of Cardava Banana Production in the Philippines
Volume (MT)
270,946.19
300,000.00
250,000.00
200,000.00
265,981.80
154,569.27
152,903.96
151,087.26
150,000.00
100,000.00
50,000.00
Volume (MT)
0.00
20 |PCIP 2014-2016
Table 2. PRODUCTION VOLUME OF CARDAVA BANANA IN NORTHERN MINDANAO – REGION X
PROVINCES, CYS 2009-2013
Production Volume (in MT)
Province
2009
2010
2011
2012
2013
Percent Change
NORTHERN
MINDANAO
259,750.36
269,395.26
291,200.03
294,605.18
295,655.65
14%
Bukidnon
21,000.00
20,970.00
20,915.00
20,875.00
20,770.00
-1%
Camiguin
4,847.73
4,778.98
4,850.09
4,576.63
4,252.54
-12%
Lanao del Norte
153,251.00
156,938.09
160,903.34
154,569.27
153,414.20
0%
Misamis Occidental
30,306.00
35,864.75
41,115.80
43,160.28
46,727.91
54%
Misamis Oriental
50,345.63
50,843.44
63,415.80
71,424.00
70,491.00
40%
Source: BAS
Table 3. AREA PLANTED TO CARDAVA-REGION X PROVINCES, CYS 2009-2013
Area Planted (in Hectares)
Province
2009
2010
2011
2012
2013
Percent Change
NORTHERN MINDANAO
12,831.00
12,972.00
13,084.00
13,080.00
13,076.00
2%
Bukidnon
1,630.00
1,630.00
1,630.00
1,629.00
1,630.00
0%
Camiguin
960.00
960.00
960.00
957.00
952.00
-1%
Lanao del Norte
3,803.00
3,803.00
3,860.00
3,860.00
3,860.00
1%
Misamis Occidental
2,149.00
2,190.00
2,245.00
2,245.00
2,245.00
4%
Misamis Oriental
4,289.00
4,389.00
4,389.00
4,389.00
4,389.00
2%
Source: BAS
Among the 22 municipalities of Lanao del Norte, Tubod accounts for a major share in cardava
banana production with a share of 58.46% to total production. Other major banana producing
municipalities are Kapatagan at 8.75% and SND at 4.63% share.
21 |PCIP 2014-2016
Table 4. BANANA PRODUCTION VS. AREA PLANTED IN LANAO DEL NORTE BY MUNICIPALITY
2013
Municipality
Physical Area
(has.)
No. of
Farmers
Area
Harvested
(has.)
Production Percent Share
(MT)
(Production)
Average
Yield/has.
(MT)
310
150
310
6,200
4.52
20
*Bacolod
73
73
73
1,460
1.07
20
Baloi
205
460
200
4,490
3.28
22
Baroy
600
2,621
600
12,000
8.75
20
Kapatagan
16
100
16
2,760
2.01
173
*Kauswagan
59
350
43
129
0.09
3
Kolambugan
364
657
364
1,466
1.07
4
Lala
105
525
105
2,100
1.53
20
Linamon
469
332
469
4,221
3.08
9
Magsaysay
205
368
205
165
0.12
1
Maigo
94
94
1,880
1.37
20
*Matungao
50
50
1,000
0.73
20
*Munai
208
208
4,160
3.03
20
*Nunungan
222
580
230
1,231
0.9
5
Pantao Ragat
5
5
100
0.07
20
*Pantar
40
390
182
275
0.2
2
*Poona-Piagapo
727
424
366
1,097
0.8
3
Salvador
205
66
205
5,490
4.01
27
Sapad
200
800
200
6,350
4.63
32
SND
69
69
100
0.07
1
*Tagoloan
29
50
28
259
0.19
9
Tangcal
1,500
1,875
80,136
58.46
43
Tubod
1875
Lanao del Norte
6130
9,446
5,897
137,069
100
Source: PAO; Note: Municipalities with (*) are based on old or the latest available data from PAO Office
which are gathered from respective MAOs
22 |PCIP 2014-2016
Figure 4. Production Map of Lanao del Norte
The marketing channel of fresh cardava banana is typical of the regional marketing flow. From
farmers, supply pass through local agents and assemblers/shoppers before reaching the end of the
chain, the consignees in Cebu or Manila. About 50% to 55% of total production is sold in the fresh
market within the Philippines. Northern Mindanao cardava production for the domestic market goes
primarily to Cebu and Metro-Manila largely through ports in Cagayan de Oro, Ozamis, and Iligan.
Based on 2009 statistics, about 75.52% of the nationwide domestic shipment of banana (all types)
originated from Northern Mindanao with Cagayan de Oro port accounting for 73.04%. One of the
advantages of Northern Mindanao aside from quality is that it takes only 30 hours for shipment to
reach Manila from Cagayan de Oro. It takes 56 hours to reach Manila from General Santos and 48
hours from Davao. (See diagram below). The complete value chain map and flow of transactions is
illustrated in Figures 5 and 6.
Table 5. BANANA SHIPMENTS FROM NORTHERN MINDANAO, 2009
% Share to National
Port of Origin
Quantity (in MT)
Destinations
Banana Shipment
Iligan City
1,233.05
0.49
Cebu City & Siquijor
Ozamis City
4,959.32
1.99
Cebu City & Manila
Cagayan de Oro City
182,381.23
73.04
Cebu,
Manila,
Iloilo,
Tagbilaran, Bacolod and
Butuan
Source: National Statistics Office, Commodity Flow Table, 2009
Traders and farmers interviewed indicated that export of banana to other regions outside of Northern
Mindanao is on an increasing trend but price competitiveness and freshness are important criteria. For
Northern Mindanao to remain competitive vis-à-vis other cardava producing areas in Luzon,
consolidators opt to lower their profit margin and aim for high volume sales. Banana trading suffered a
decline in the previous years due to supply constraints brought about by the destruction of many farms
caused by Typhoon Sendong on 2012, followed by Typhoon Yolanda on the following year.
Figure 5. Commodity and Geographical Marketing Flow of Cardava Banana in Lanao del Norte
FARMERS
TUBOD
KAPATAGAN
KOLAMBUGAN
LALA
SND
SALVADOR
LOCAL
MARKET
AGENTS/
TRADERS
Lala Farmers
Association
Private
Individuals from
municipalities of
Tubod,
Salvador, Lala,
SND &
Kapatagan
ASSEMBLERS/
SHIPPER
Cagayan de
Oro
Iligan City
Ozamis City
Tubod
CONSIGNEES/
WHOLESALERS
Manila/Luzon
Cebu
Siquijor
Iloilo
Tagbilaran
Bacolod
Butuan
Retailers
Processors/
Exporters
Local
Consumers
Local/Foreign
Consumers
Figure 6. Value Chain Map
Source: DA Region X
25 |PCIP 2014-2016
Figure 7. Commodity Flow Map of Fresh Banana
Figure 8. Flow of Transactions
Relative Financial Position of VC Players: 1 kilo of fresh banana
Assumptions:
Farm gate price of PhP 4/kilo. Harvesting and transportation costs shouldered by trader
Bill of Lading/Freight and cost of ice; PhP 5/kilo
Player
Product
Profit
Costs
Margins
Total
Unit
Cost
Added
Unit
Cost
% Added
Unit Cost
Unit
Price
Unit
Profit
% Profit
Unit
Margin
% to
Price
Farmer
Fresh
0.88
0.88
11%
4.00
3.12
45%
4.00
27%
Trader
Fresh
5.25
1.25
15%
6.50
1.25
18%
2.50
17%
Consolidator
Fresh
12.50
6.00
74%
15.00
2.50
36%
8.50
57%
Total
Source: KII
8.13
6.87
15.00
Shipment of fresh cardava to Manila entails a cost of about PhP 8.13/kilo. The consolidator incurs the
highest percentage of added cost which comprised mainly of transportation, ice, and labor costs. To
improve their profitability, consolidators aim for high volume and send a mix of lakatan, latundan, and
cardava per shipment (at the minimum 20 footer container). Given the perishability of cardava,
consolidators face the highest risk. Main concern of consolidators is to be able to move the products
as fast as possible from the farm to the consignee in Manila.
B. Opportunities and Strategic Direction in the Cardava Banana Industry
Based on the findings of the value chain study commissioned by PRDP for cardava banana industry, the
Philippines is the third largest banana producer in the world in 2012, after India and China. Further,
the Philippines is the only producer of cardava banana since other countries such as Thailand,
Indonesia, Ecuador, and African nations have their own local cooking banana varieties. This presents a
good opportunity for Lanao del Norte to focus on the fresh cardava banana as target product niche for
the next three years. Targeting of market share is hinged on the following market opportunities and
industry directions:
a) Banana chips market shares 45% of total cardava production;
b) Banana chips processing companies generally cater to the export market coupled
preference of banana chips exporters for native variety rather than giant cardava;
c) Exporters’ growing preference for organically grown bananas to keep pace with increasing
demand for healthy food products;
d) Development and introduction of new cardava based products such and banana chip
variants (e.g., all natural banana chips);
e) Prospect of developing Filipino fries as export market niche
To take advantage of these opportunities, the province shall save the industry from stagnation and
endeavor to retain its position as the top banana producing province in the region and the entire
country as well. Its industry development direction is summarized by the industry logical
framework below:
Table 6. LOGFRAME: LANAO DEL NORTE CARDAVA BANANA INDUSTRY DEVELOPMENT
OBJECTIVELY VERIFIABLE INDICATOR
OBJECTIVES
Indicator
Baseline
Target
ASSUMPTIONS
MEANS OF
VERIFICATION
(Risks and Risk
Management)
Impact/Goal:
Increase net income of
Net income
Evaluation result
Strong and dynamic
28 |PCIP 2014-2016
OBJECTIVELY VERIFIABLE INDICATOR
OBJECTIVES
Indicator
targeted cardava
banana farmers’ groups
per hectare
Baseline
Target
PhP 30,950
10% increase
ASSUMPTIONS
MEANS OF
VERIFICATION
vs. baseline
survey result
(Risks and Risk
Management)
banana grower’s
associations via
exposures and
entrepreneurship
development
Outcome/Purpose of
Commodity
Interventions:
1.
Increased area
planted, production
and average yield
per hectare of
superior/good
quality fresh
cardava banana
10% increase
Hectares
Metric tons
3.
Reduced cost of
production, higher
farm gate prices
and increased profit
margin
Reduced prevalence
of wilt and bunchy
top diseases
Favorable weather
condition
Local trading
standards
Appropriate and
timely delivery of
outputs
10% increase
153,400 (2013)
Metric
tons/ha
1% increase
40 (2012)
“all-in “ quality
but met
minimum quality
PNS standards
2.
BAS Statistics
3,860 (2013)
Production
cost per
kilogram
PhP0.91(low
input-low yield
farm)
Price per kilo
PhP4.00
Profit margin
77%-78%
Percentage of
banana areas
(farmers)
affected
Estimated at
1,839.60
hectares
affected or 30%
of the total
banana area
At least 80%
of production
are of
superior
(extra class)
good (Class I)
quality
Production cost
and price
monitoring
Competitive price
and cost structure
via market
intelligence
activities
85%
50% reduction
Monitoring and
surveillance
reports
Upgrade/adopt
new and natural
technology or
remedies
29 |PCIP 2014-2016
C. Summary of Interventions
The outputs or the basic interventions are indicated in the PCIP matrix, as follows:
1.1 Quality planting materials provided at reasonable prices
1.2 Organic fertilizer provided at subsidized prices
1.3 Good agricultural practices adopted by banana farmers On field/Action research and development
2.1 Production programming
2.2 Post production handling practices and quality control
2.3 Improved road network
1.4 Market development
To ensure success of project intervention, the capacity and motivation of users or target project
beneficiaries need to be addressed. The interventions should result into:
a.
b.
c.
d.
Enhanced entrepreneurial skills
Reduced risk aversion
Reduced complacency and indifference to innovations
Reduced individualism and increased cooperative spirit through organizational
development Increased financial literacy.
D. Investment Plan
The province’s investment direction for the development of its cardava banana as an industry basically
addresses two main objectives: (a) increased volume of production of fresh cardava to retain its
traditional share of the domestic market, and (b) increased profit margin of farmers. An intervention
encompasses the needs of all levels of the value chain. The total investment requirement for 3 years is
PhP 1,349,803,736.90 this was breakdown into the different segments. It has four segments identified
to wit, 1) Enabling environment will get the biggest share at 89.88% of the investment or amounting to
Php1,213,153,736.90; 2) Inputs Provision shares at 8.19% or Php110,600,000.00; and 3) Marketing at
1.30% or Php17,600,000.00 and 4) Farming at 1% which amounting to Php8,450,000.00. The details of
the investment plan are shown in Table 9. The PCIP Matrix. The percentage is illustrated below, please
see Figure 9.
30 |PCIP 2014-2016
Figure 9. Cardava Banana Percent Distribution of Investments into
Different Segments
1.00%
8.19%
1.30%
Inputs Provision
Farming
Marketing
89.88%
Enabling Environment
Table 7. EXPANDED VULNERABILITY AND SUITABILITY ASSESSMENT OF CARDAVA BANANA IN LANAO DEL
NORTE
MUNICIPALITY
Weight
TUBOD
KAPATAGAN
KOLAMBUGAN
LALA
SND
SALVADOR
BAROY
SAPAD
BACOLOD
MAGSAYSAY
BALOI
NUMBER
OLD
NEW
AREA IN
NEW
OF
PRODUCTION COMPOSITE OLD RANK COMPOSITE
POPULATION POVERTY
HECTARES
RANK
FARMERS
IN MT
INDEX
INDEX
0.10
46,332
53,916
26,445
65,355
52,430
27,348
20,948
19,479
21,818
16,442
50,387
0.05
48
48
42
37
60
56
47
62
40
59
48
0.10
1,500
2,621
1,671
657
800
424
460
66
150
332
73
0.15
1,875
600
278
364
200
366
200
205
310
469
73
0.10
80,136
12,000
66,366
1,466
6,350
1,097
4,460
5,490
6,200
4,221
1,460
0.6088
0.5905
0.5627
0.6649
0.5778
0.6525
0.6323
0.5977
0.5703
0.4955
0.4878
4
6
9
1
7
2
3
5
8
13
14
0.7173
0.57551
0.52106
0.51528
0.46704
0.45551
0.42138
0.39936
0.38578
0.37112
0.36623
1
2
3
4
5
6
7
8
9
10
11
31 |PCIP 2014-2016
MUNICIPALITY
MAIGO
KAUSWAGAN
NUNUNGAN
POONA PIAGAPO
PANTAO RAGAT
LINAMON
MUNAI
TAGOLOAN
TANGCAL
MATUNGAO
PANTAR
Total
NUMBER
OLD
NEW
AREA IN
NEW
OF
PRODUCTION COMPOSITE OLD RANK COMPOSITE
POPULATION POVERTY
HECTARES
RANK
FARMERS
IN MT
INDEX
INDEX
20,131
24,006
16,304
23,451
23,122
17,484
27,600
11,674
12,588
12,217
18,440
607,917
44
50
68
67
60
31
68
69
67
59
58
1,188
368
100
390
580
525
50
10,767
205
16
208
182
230
105
50
69
28
94
5
6,132
165
2,760
4,160
275
1,231
2,100
1,000
100
259
1,880
100
203,276
0.5303
0.5426
0.5005
0.4454
0.407
0.4838
0.4457
0.4746
0.4665
0.452
0.4053
11
10
12
21
22
15
20
17
18
19
16
0.35848
0.3528
0.34631
0.33691
0.32443
0.32216
0.31961
0.31081
0.30553
0.29731
0.27343
12
13
14
15
16
17
18
19
20
21
22
Source: Data gathered from municipalities and EVSA by PPDO
32 |PCIP 2014-2016
Table 8.PCIP MATRIX OF CARDAVA BANANA
Key Gap/ Constraint in VC
Development in the
Province (from the
national & regional VCA
results)
INPUT PROVISION
Brief Description of Potential
Intervention (subprojects: enterprise
or infrastructure, business enabling
program, etc.)
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead &
Other Players for
subproject
Implementation
Estimated
Project Cost
Risk & Risk
Management
Constraints:
Good quality, disease free
planting materials are
sourced out from other
regions entailing higher
cost of production
Provision of disease free/subsidized
quality planting materials (QPM)
Establishment of Tissue culture
laboratory
Establishment of Community-Based
Nurseries
 50% of banana areas
provided with QPM
Tubod, Salvador,
Lala, SND &
Kapatagan Tubod
Bacolod, Salvador,
Lala, Kapatagan &
Tubod
PRDP/DA/MAO/MPDC
s/PGLDN/Banana
Farmers provincewide, BASAA, MARC,
BAFC, MLGU, BLGU
&PG
Linamon,
Kauswagan,
Bacolod, Tubod,
Salvador, Lala, SND
& Kapatagan
PRDP/DA/PLGU/MLG
U/PG/AEWS
Tubod, Salvador,
Lala, SND &
Kapatagan
PRDP/DA/MAO/MPDC
s/PGLDN/MLGU
1,500,000
2 units at a half has. of Vermi
Production area established
Tubod & Salvador
PRDP/DA/MAO/MLGU
600,000
 3 demo farms established and
functional (1/4 has.)
Tubod, Salvador &
PRDP/DA/MAO/MPDC
/PGLDN/MLGU
5,000,000
 1 unit 300 sq.m. tissue
culture
laboratories
established
4 community-based nurseries
established (2 per district)
 50 lead farmers trained on
maintenance and operation
of nurseries
Very few farmers apply
fertilizer due to high cost
and coupled with low
purchasing power
resulting to low yields
Establishment of community-based
 3 Community-Based Organic
organic fertilizer production facilities
Fertilizer Production facility
and/or upgrading and scaling up of
established/up-scaled with 8,
existing fertilizer enterprises including 090 farmers served; Series of
assistance to get the necessary
trainings conducted to
certification/accreditation
banana farmers;
PRDP/DA/PLGU/MLG
U/PG/AEWS
1,000,000
8,000,000
90,000,000
500,000
 Sustainability
of operation:
close
monitoring
supervision
by
MLGU/PLGU
 Capability of
PG to
manage
production
facilities:
continuing
capacity
building
Remarks
Rank
Kapatagan
Set-up of demo farms to showcase
benefits and venue for learning
 4 demo farms established
Kapatagan, LDN. &
other banana
municipal
PRDP/DA/MAO/MPDC
/PGLDN/MLGU
Sub-total on Inputs Provision
4,000,000
110,600,000
FARMING
Occurrence of banana
fusarium wilt diseases
Capacitate banana farmers thru
training & establishment of Techno
Demo on GAP banana
Very few farmer adopt
GAP in cardava due to
inadequate financial
capital for fertilizer and
hygienic farm practices
Interest among
cooperatives and traders
to increase volume/ yields
to get premium prices
(traders pay higher prices
if farmers/groups deliver
significant volume)
 Formation of farmer training groups
or learning clusters organized around
consolidators; (2) Participatory
development (with farmers,
multinational/ agents, traders) of
modules on sustainable cardava
banana farming practices
5 farmers trainings with 30
participants per training
conducted on banana
agricultural practices and 1
techno demo established in
Kapatagan
5 clustered
barangays in
Kapatagan, LDN.
PRDP/PGLDN/MLGU/
PCA/COCO FARMERS
500,000
1) Developed pool of trainers
both AEWs & farmer leaders;
Salvador, Lala,
Kapatagan & Tubod
PRDP/DA/PLGU/MLG
U/PG/AEWS
500,000
2) 80% of banana growers
trained on sustainable
banana farming practices
Salvador, Lala,
Kapatagan & Tubod
PRDP/DA/PLGU/MLG
U/PG/AEWS
Salvador, Lala,
Kapatagan & Tubod
PRDP/DA/PLGU/MLG
U/PG/AEWS
3) Trainings & seminars
conducted, re: a) New
cultural mgt. technology; b)
Pests & Diseases control &
mgt. Training; c) Study tour
on identified successful
banana plantation
500,000
500,000
34 |PCIP 2014-2016
Traditional farming system
(Lack of motivation to
upgrade
technology,
narrow perspective of
supply chain, mistrust of
other players, low level of
exposure to new practices,
risk-averse)
1)Provision of efficient/effective
extension services to farmers thru
Farmers Field School (FFS);
2)Establishment of learning sites in
participating municipalities
3 FFS and techno demo farm
(Season Long)
4 learning sites established
and functional
Bacolod, Salvador,
Lala, Kapatagan &
Tubod
Salvador,
Kapatagan, Tubod,
Maigo, Kauswagan
PRDP/DA/PLGU/MLG
U/PG/AEWS
450,000
4,000,000
PRDP/DA/PLGU/MLG
U/PG/AEWS
Establishment of strict
hygiene/sanitation quality control
laboratory
1 Quality Control
Room/Laboratory
constructed at 20x15 sqm
floor area
To be established at
Poblacion, Salvador,
LDN.
PRDP/DA/PLGU/
MLGU
1,000,000
Coco-Banana Intercropping Project
encouraged/implemented
IEC to all banana
municipalities/dissemination
of free planting materials
Kapatagan, LDN. &
other municipalities
province-wide
PRDP/DA/PLGU/
MLGU
1,000,000
Sub-Total on Farming
8,450,000
MARKETING
Market Linkages
Well established
manufacturing/processing
of Banana complex, strict
compliance in quality
control, sustainable output
in production in terms of
volume and capital
Provide marketing linkages to farmer
groups: linkaging with to bulk,
institutional buyers, market matching,
exposure trips, fairs, etc.
Assisted at least 150 farmers
or 1 cooperative/PG in a year
Province-wide
banana areas
PRDP/DA/PLGU/MLG
U/DTI/Ketchup
manufacturer/Any
possible market
Establishment of Linamon Trading
Center (Proposed area: MIRAIC Site)
1 trading center established
to Linamon as center of the
1st district municipalities
Linamon and other
municipalities from
1st district
PRDP/DA/PLGU/
MLGU
Establishment of
manufacturing/processing complex
with complete facilities and amenities
(food courts, banks, plaza)
1 manufacturing/processing
banana complex established
Brgy. Poblacion,
Salvador
PRDP/DA/MAO/MPDC
/PGLDN/Salvador
Federation of Farmers
Association
500,0000
350,000
1,500,000
Risks:
Sustainability
in project
operation
Financial
capability
Manpower:
35 |PCIP 2014-2016
Establishment of Training/Information
Pool
2 Municipal Information and
Training Pool Office
constructed
Pob. Salvador, Pob.
Kapatagan, Lanao
del Norte
PRDP/DA/MAO/MPDC
/PGLDN/Salvador
Federation of Farmers
Association
2,700,000
experts
technical
personnel
Trained
technical
personnel
from the
barangay/mu
nicipality
Buying stations are
practically operated by
private traders thus
influencing the price
structure of fresh banana
resulting to lower
profitability of farmers
Community-based/Household-based
Banana Chippers
Trainings on banana chipping
conducted to the prospect
chippers; chippers purchased
and turned-over to trained
chippers; Technical assistance
on Banana Chips Packaging
and Labeling
provided/extended to POs
Kapatagan & other
municipalities
province-wide
PRDP/DA/MAO/MPDC
/PGLDN/Womens
Organization
5,000,000
Establishment of Banana Trading and
Processing Plant with production
support
3 trading and processing
plant established with
complete facilities (chipper,
shredder & Etc.)
SND, Baroy, Lala,
LDN.
PRDP/DA/PLGU/MLG
U/PG/AEWS
5,000,000
Establishment of post harvest and
trading facility
2 Post harvest facilities
established in Tubod&
Salvador LDN. (1 per district)
Province-wide
PRDP/DA/PLGU/MLG
U/PG/AEWS
2,000,000
36 |PCIP 2014-2016
Largely small holder
operation resulting to low
economies of scale
Strengthening existing farmers group
Organization of banana growers
association into a provincial
federation
6 municipal banana growers
association/cooperatives and
1 provincial federated
banana growers
association/cooperative
assessed/organized and
provided appropriate
capacity dev’t. interventions
Province-wide
MLGU/MAO/Banana
Growers
1 farmers cooperative in
organized
Capability building re good
postharvest practices
Set-up of pool of mentors to provide
training on good postharvest practices
and to foster an entrepreneurial mind
set
50 lead farmers training on
good postharvest practices
PRDP/DA/PLGU/MLG
U/PG/AEWS
Province-wide
PRDP/DA/PLGU/MLG
U/PG/AEWS
Sub-total on Marketing
150,000
250,000
150,000
17,600,000.00
ENABLING ENVIRONMENT
Poor farm to market roads
Improvement, rehabilitation and
upgrading of strategic farm to market
roads
 13.88 km MahayahayBuenavista-Tiacongan –
Bagong Silang FMR of
Kapatagan
constructed/rehabilitated
Kapatagan, LDN.
PRDP/DA/PLGU/
MLGU
128,631,627
 7.62 kms. Lapinig-DuranoKahayagan FMR
constructed/upgraded
Kapatagan, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
 4.8 kms. Poblacion-CurvadaSan Vicente FMR
constructed/concreted
Kapatagan, LDN.
PRDP/DA/PLGU/
MLGU
17,428,072.9
 12 kms. Donggoan-Bagong
Badian-Kahayagan-San
Isidro FMR
rehabilitated/concreted
Kapatagan, LDN.
PRDP/DA/PLGU/
MLGU
50,000,000
 4.300 kms. MalingaoLicapao-Dalama FMR
Tubod, LDN.
PRDP/DA/PLGU/
30,000,000
37 |PCIP 2014-2016
Rehabilitated/concreted

MLGU
 9.4170 km. TaguranaoPalao-Dalama FMR
concreted
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
67,000,000
 5 kms. Camp-5 -Kalilangan
FMR rehabilitated
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
9,944,037
 6 kms. of Sto. NiñoMaliwanag-Manan-ao
Road
rehabilitated/concreted
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
 6 kms. of provincial FMR
Bulod-Kakai RenaborTorong-torong FMR
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
600,000
 Concreting of 5 kms. Purok
3 Pigcarangan FMR
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
 7 kms. Taden, Tubod FMR
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
15,000,000
 5.7 kms Malingao-Bualan
Provincial Road FMR
Tubod, LDN.
PRDP/DA/PLGU
5,500,000
1.5 kms FMR Curvada-Camp
Allere
constructed/concreted
5 kms. Sudlon-Camp-3 FMR
rehabilitation/construction
Salvador, LDN.
PRDP/DA/PLGU/
MLGU
10,000,000
Salvador, LDN.
PRDP/DA/PLGU/
MLGU
300,000
8kms FMR Inasagan-Sitio
Cadaatan to Camp 3-Mabato
upgraded/constructed/
Concreted
Salvador, LDN.
PRDP/DA/PLGU/
MLGU
80,000,000
300 meters FMR
upgraded/concreted of
Padian-Inasagan road of
Salvador, LDN.
PRDP/DA/PLGU/
MLGU
8,000,000
38 |PCIP 2014-2016
Salvador, LDN
6 kms Pagalongan-Tugaya to
Sitio Taducon-Baris FMR
constructed/upgraded
4.10 kms. Pinuyak-SimpakMaranding
constructed/upgraded
4 kms. Tenazas-Pendulonan
FMR
Salvador, LDN.
PRDP/DA/PLGU/
MLGU
60,000,000
Lala, LDN.
PRDP/DA/PLGU/
MLGU
9,750,000
Lala, LDN.
PRDP/DA/PLGU/
MLGU
9,500,000
5 kms. Inudaran 2 – Karkum
FMR constructed
Sapad, LDN.
PRDP/DA/PLGU/
MLGU
10,000,000
6 kms. Pili-Baning FMR
rehabilitated
Sapad, LDN.
PRDP/DA/PLGU/
MLGU
10,500,000
4 kms. PoblacionGumagamot FMR
constructed
5 kms. Pansor-Poblacion
Dimayon FMR constructed
Sapad, LDN.
PRDP/DA/PLGU/
MLGU
9,000,000
Pantao-Ragat
PRDP/DA/PLGU/
MLGU
10,000,000
 Balagatasa FMR
 Segapod FMR
 Kulasihan FMR
 Poblacion FMR
 Mentring FMR
 Maliwanag FMR
 Inoma FMR
 Campi FMR
 Mahayahay FMR
 Sta. Cruz FMR
 Liangan West FMR
 Claro M. Recto FMR
Rehabilitated/Constructed
Maigo, Lanao del
Norte
PRDP/DA/PLGU/
MLGU
80,000,000
39 |PCIP 2014-2016
 3 kms. Bosque-Samburon
FMR
 4 kms. Robocon FMR
 5 kms. Purakan FMR
concreted
Linamon, LDN.
 5 kms. Babalaya-Liangan
East FMR concreted
Bacolod, LDN.
PRDP/DA/PLGU/
MLGU
12,000,000
 5 kms. Puntaon-TamparanPanggao FMR concreted
Munai, LDN.
PRDP/DA/PLGU/
MLGU
35,000,000
 1 km. Andil-Tinubdan FMR
constructed
Andil, Baroy, LDN.
PRDP/DA/PLGU/
MLGU
23,000,000
 1.3 km. DalamaPendulonan FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
28,000,000
 1 km. Bato-Lindungan FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
23,000,000
 1.8 km. PendulonanCabasagan FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
 2.2 km. Pange-Princesa
FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
25,000,000
 1 km. Upper Sagadan FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
23,000,000
 1 km. Bagong Dawis FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
28,000,000
 1.3 km. Manan-ao
Riverside FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
28,000,000
 1 km. Maliwanag-Tinubdan
FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
23,000,000
PRDP/DA/PLGU/
MLGU
30,000,000
40,000,000
50,000,000
40 |PCIP 2014-2016
Farmers/traders
concentrate on the
marketing of raw banana
and hesitate to engage
cardava banana value
adding products
Capacity development to go into
banana processing and semiprocessing ventures
 1 km. Limwag FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
23,000,000
 11 kms.
concreting/rehabilitation of
Kawit-Paiton-InudaranDelabayan Road
Kauswagan, LDN.
PRDP/DA/PLGU/
MLGU
45,000,000
 6.700 kms.
concreting/rehabilitatio
n of RupaganPagayawan Road
Bacolod, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
 5 trainings per year
conducted to 8,019
farmers on banana by
products
 Training on Project
Management Program
Tubod, Salvador,
Lala, SND &
Kapatagan
PRDP/DA/PLGU/
MLGU
3,000,000
Proposed by
Linamon but
applied as provincewide program
PRDP/DA/PLGU/
MLGU
3,000,000
Total to Enabling Environment
GRAND TOTAL
1,213,153,736.90
1,349,803,736.90
41 |PCIP 2014-2016
Commodity Value Chain 2: Seaweeds
A. Commodity Profile
Product Description
Seaweeds or macroalgae are multicellular
eukaryotic algae. They are classified as algae
because these are plants in the sea that have
no true roots (rhizoids), stems and leaves.
They are classified into four main groups: the
red algae (Rhodophycae), brown algae
(Phaeophycae), green algae (Chlorophycae),
and the blue green algae (Cyanophycae).
Among these varieties, Eucheuma or red
seaweeds are the most economically
important variety in the Philippines
accounting for 98% of the total Philippine
production. Eucheuma is the source of
carrageenan, one of the world’s foremost food and industrial additive today.
Carrageenan is a hydrocolloid or a substance that yields a gel with water used as a
thickening, gelling, and stabilizing agent in a variety of industries but usually in food and
pharmaceutical products. The popularity of the Eucheuma has increased because of
declining amounts and quantities and increasing prices of other sources of carrageenan (e.g.
Chondrus, Gigartina etc.), which are mostly only available from wild crops.
Within the Philippine seaweed/carrageenan value chain, exporters produce and sell any or
all of the following products: (a) raw dried seaweeds, (b) alkali treated chips, (c) semirefined carrageenan, (d) semi-refined carrageenan, and (e) carageenan blended products.
Raw dried seaweeds are primarily used for the extraction of the carrageenan. About 21
companies in the Philippines which are engaged in the trading and/or exporting of RDS.
In Lanao del Norte carrageenan raw dried seaweeds is the most common species cultivated
by local fisherfolks along Kolambugan and Tubod coastal waters.
43 |PCIP 2014-2016
Local Production vis-à-vis Regional, National and Global Market Trends
Lanao del Norte is a major seaweed producer in the region. It has two seaweed producing
municipalities Kolambugan and Tubod with an aggregate production of 462,331.43 metric
tons which is more than the total production in Northern Mindanao data by the DA-region
x. The total production of Lanao del Norte in 2013 and the data of Northern Mindanao are
shown in tables 10 and 11, below:
Table 9. SEAWEEDS PRODUCTION IN LANAO DEL NORTE BY MUNICIPALITY, 2013
Physical Area
(Has.)
Municipality
Tubod
Kolambugan
Total
276
22,450
500.50
No. of
Seaweed
Growers
196
898
1,094
2013
Area
Harvested
(Has.)
140
224.50
364.50
Production
(MT)
Average
Yield/has. (MT)
13,331
449,000
462,331
95.22
2,000
Source:PAO/PG Seaweeds of Kolambugan
Table 10.FRESH SEAWEEDS PRODUCTION VOLUME: 2009 – 2013
Production Volume (In MT)
% Change
2013/09
Region/Province
2009
NORTHERN MINDANAO
Camiguin
Lanao del Norte
Misamis Occidental
Misamis Oriental
2010
2011
2012
2013
3,8879.91
44,279.1
42,618.67
42,053.33
42,261.32
8.70%
142.03
147.95
28,2.53
251.39
143.91
1.32%
31,190.87
36,338.40
33,897.13
33,298.69
33,331.43
6.86%
7,540.83
77,91.95
84,39.01
8,503.25
8,785.98
16.51%
6.19
0.8
0
0
0
-100.00%
Source: DA-Region X
Regional production however, is only 2.71 percent of Philippines production. In
2013, Philippine fresh seaweeds production was at 1,558,377.74 MT. The municipalities in
the Autonomous Region in Muslim Mindanao (ARMM) and the Zamboanga Peninsula are
the highest contributor to the Philippine production at 14.04% and 39.09%, respectively as
shown below in Table 11, Seeweeds Production.
44 |PCIP 2014-2016
Table 11. SEAWEEDS PRODUCTION: MINDANAO VIS-À-VIS OTHER SEAWEEDS PRODUCING
REGIONS CY 2013
Region
Production Volume (in MT)
% to RP Production
Zamboanga Peninsula
218,789.7
14.04%
Northern Mindanao
42,261.32
2.71%
Davao Region
3,686.46
0.24%
Soccksargen
20.58
0.00%
Caraga
19,876.72
1.28%
ARMM
609,164.54
39.09%
MINDANAO
893,799.32
57.35%
Source: BAS
B. Strategic Direction in the Seaweeds Industry
The strategic aquamarine development in Lanao del Norte encompasses in the two coastal
municipalities: Kolambugan and Tubod with high potential of aquaculture production. The
aquaculture zone, particularly seaweeds industry is now occupying about 500.50 hectares
of offshore area in the two mentioned municipalities. The strategic direction includes
increased income for seaweeds growers by 50%, increased market share for the growers
association by 50% and increases of good quality dried carageenan by 50%. This is
illustrated below, as follows:
Goal 1
Increased income of
seaweed growers
Goal 2
Increased market share
of growers' association
Outcome
Increases production of
good quality dried
carageenan
(semi-process)
45 |PCIP 2014-2016
Figure 10. Top Carrageenan Seaweed Producing Countries
Source: DA-Region X
Table 12. Expanded and Vulnerability and Suitability Assessment of Seaweeds in the Province of
Lanao del Norte
MUNICIPALITY
POPULATION
POVERTY
INCIDENCE
Weight
0.10
0.05
NUMBER
OLD
NEW
PRODUCTION
OLD
NEW
OF
PLANTED AREA
COMPOSITE
COMPOSITE
IN MT
RANK
RANK
FARMERS
INDEX
INDEX
0.10
0.15
0.10
KOLAMBUGAN
26,445
42
898
225
449,000
0.4901
10
0.66595
1
TUBOD
46,332
48
196
140
13,331
0.5398
4
0.4937
2
LALA
65,355
37
-
0
-
0.6334
1
0.44351
3
KAPATAGAN
53,916
48
-
0
-
0.5384
5
0.38648
4
SND
52,430
60
-
0
-
0.5179
7
0.38265
5
SALVADOR
27,348
56
-
0
-
0.5646
2
0.36473
6
BAROY
20,948
47
-
0
-
0.5608
3
0.34651
7
SAPAD
19,479
62
-
0
-
0.5207
6
0.33509
8
BALOI
50,387
48
-
0
-
0.4335
16
0.32863
9
KAUSWAGAN
24,006
50
-
0
-
0.4929
9
0.31941
10
BACOLOD
21,818
40
-
0
-
0.5033
8
0.31402
11
MUNAI
27,600
68
-
0
-
0.4425
15
0.31276
12
46 |PCIP 2014-2016
MUNICIPALITY
POPULATION
POVERTY
INCIDENCE
NUMBER
OLD
NEW
PRODUCTION
OLD
NEW
OF
PLANTED AREA
COMPOSITE
COMPOSITE
IN MT
RANK
RANK
FARMERS
INDEX
INDEX
NUNUNGAN
16,304
68
-
0
-
0.47
12
0.30923
13
MAIGO
20,131
44
-
0
-
0.4802
11
0.30278
14
POONA PIAGAPO
23,451
67
-
0
-
0.4284
19
0.29863
15
TANGCAL
12,588
67
-
0
-
0.4544
13
0.29501
16
MAGSAYSAY
16,442
59
-
0
-
0.4494
14
0.29261
17
PANTAO RAGAT
23,122
60
-
0
-
0.402
22
0.27986
18
TAGOLOAN
11,674
69
-
0
-
0.4228
20
0.27926
19
MATUNGAO
12,217
59
-
0
-
0.4178
21
0.27034
20
PANTAR
18,440
58
-
0
-
0.3879
17
0.2642
21
17,484
31
-
0.4296
18
0.26401
22
LINAMON
TOTAL
607,917
1,094
0
365
462,331
Source: Data gathered from municipalities and EVSA by PPDO
C. Investment Plan
The province’s investment direction for the development of seaweeds as an industry
basically addresses two main objectives: (a) increased volume of production, and (b)
increased profit margin of farmers. An intervention encompasses the needs of all levels of
the value chain and contributed by the seaweeds growers from Kolambugan and Tubod in
the province. The total investment requirement for 3 years is approximately
PhP18,700,000.00, this was breakdown into the different segments to wit, 1) Post harvest
operation will get the biggest share at 46% of the investment or amounting to
Php8,600,000.00; 2) Marketing shares at 17% or Php3,100,000.00; 3) are the two segments
both shares at 16.04% for the Input provision amounting to Php3M and Enabling
environment amounting to Php3.1M; and 4) Seaweed cultivation shares at 5.35% which
amounting to Php1,000,000.00. There is a need to implement of the interventions identified
as shown in table 13. PCIP matrix for seaweeds, in order to meet the objectives stated
above.
Currently, there is a gap which hinders the seaweeds growers to produce volume of
seaweeds in order to meet the volume required by the merchants which result to lower
price and this was identified as growers’ major constraints.
47 |PCIP 2014-2016
Figure 11. Seaweeds Farming Percent Share Distribution of Investment
16.04%
16.04%
5.35%
Input Provision
17%
Seaweed Cultivation
PostHarvest Operation
46%
Marketing
Enabling Environment
48 |PCIP 2014-2016
Table 13.PCIP MATRIX OF SEAWEEDS INDUSTRY
Key Gap/ Constraint in VC
Development in the
Province (from the national
& regional VCA results)
Brief Description of
Potential
Intervention
(subprojects:
enterprise or
infrastructure,
business enabling
program, etc.)
Target Result/
Outcome, including
# of farmers/
fisherfolk reached,
if applicable
Target
Areas to be
covered
(Mun.
&Brgys.
Establishment of 2
Seaweeds Nurseries
2 nurseries
established at
Kolambugan and
Tubod for the 878
seaweed growers
Tubod &
Kolambugan
PRDP, DA, BFAR, LGU
2,000,000`
Provision of good
planting materials
Good planting
materials provided
to seaweed growers
Tubod,
Kolambugan
& SND
PRDP, DA, BFAR, LGU
1,000,000
Proposed Lead & Other
Players for subproject
Implementation
Estimated
Project Cost
Risk & Risk
Management
INPUT PROVISION
Constraints:
Good quality (disease
resistant/high yield)seedlings
are not readily available
Sub-total on Inputs Provision
3,000,000
SEAWEED CULTIVATION
Unpredictable sea water
condition of the bay
Research/study on
effect of sea water
condition on growth
of seaweed seedlings
2 research/study
conducted by PAO
in coordination with
the seaweed
growers from
Kolambugan, Tubod
and SND
Sub-total on Seaweed Cultivation
Tubod,
Kolambugan
& SND
PRDP, DA, BFAR, LGU
1,000,000
1,000,000
R:
Sustainability
of the
operation
RM: Close
monitoring
Remarks
Rank
Key Gap/ Constraint in VC
Development in the
Province (from the national
& regional VCA results)
Brief Description of
Potential
Intervention
(subprojects:
enterprise or
infrastructure,
business enabling
program, etc.)
Target Result/
Outcome, including
# of farmers/
fisherfolk reached,
if applicable
Target
Areas to be
covered
(Mun.
&Brgys.
Purchase of Banca
6 motorized and
non-motorized
banca purchased
and utilized for
consolidation of
produce from small
growers
Tubod,
Kolambugan
& SND
PRDP, DA,BFAR, LGU
Expansion of Storage
building warehouse
Storage Building
warehouse
expanded
Kolambugan
PRDP, DA, BFAR, LGU, PG
Construction of Solar
Dryer
Solar dryer
constructed
Tubod,
Kolambugan
& SND
PRDP, DA, BFAR, LGU
***to be indentified
since it must be far
from the seaweed
farm
Tubod,
Kolambugan
& SND
PRDP, DA, BFAR, LGU, PG
Proposed Lead & Other
Players for subproject
Implementation
Estimated
Project Cost
Risk & Risk
Management
Remarks
Rank
POSTHARVEST OPERATION
Lack of postharvest facilities
and logistics
Limited technical know-how
on the whole range of
seaweed venture
(cultivation, post-harvest ,
marketing
 Establishment of
Seaweeds
Processing and
Trading Center
with production
support (drying
and baling
equipment)
Sub-total on Post Harvest Operation
600,000
1,000,000
2,000,000
5,000,000
8,600,000
50 |PCIP 2014-2016
Key Gap/ Constraint in VC
Development in the
Province (from the national
& regional VCA results)
Brief Description of
Potential
Intervention
(subprojects:
enterprise or
infrastructure,
business enabling
program, etc.)
Target Result/
Outcome, including
# of farmers/
fisherfolk reached,
if applicable
Target
Areas to be
covered
(Mun.
&Brgys.
Establishment of
market outlet
Marketing
agreement assisted
by P/MLGU
SND, Tubod
&
Kolambugan
DA/MLGU/PG
Establishment of
Semi-Processing
Facility
3 semi-processing
facility established
SND, Tubod
&
Kolambugan
PRDP/DA/PLGU/MLGU/PG
Proposed Lead & Other
Players for subproject
Implementation
Estimated
Project Cost
Risk & Risk
Management
Remarks
Rank
MARKETING
Dominance of spot
transactions
100,000
3,000,000
R:
Sustainability
RM:
Continuous
capability
building on
project
management
and
upgrading on
technical
inputs
Total on Marketing
3,100,000
ENABLING ENVIRONMENT
Financial constraints limit the
seaweed growers to expand
production and upgrade
technology.
Plant Now Pay Later
Program
Program
implemented to 878
farmers
Tubod &
Kolambugan
PRDP/DA/PLGU/MLGU/PG
3,000,000
51 |PCIP 2014-2016
Key Gap/ Constraint in VC
Development in the
Province (from the national
& regional VCA results)
Brief Description of
Potential
Intervention
(subprojects:
enterprise or
infrastructure,
business enabling
program, etc.)
Target Result/
Outcome, including
# of farmers/
fisherfolk reached,
if applicable
Target
Areas to be
covered
(Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
Estimated
Project Cost
Risk & Risk
Management
Remarks
Rank
Interest among seaweeds
growers to have a maximum
production
Sub-total on Enabling Environment
3,000,000
Grand Total
18,700,000
52 |PCIP 2014-2016
V.
INSTITUTIONAL ARRANGEMENT
Implementation Supervision
Implementation supervision shall focus on implementation of the sub-projects and
interventions spelled out in the PCIP Matrix. The PRDP PCIP of the Provincial Government of
Lanao del Norte shall be implemented through the Office Provincial Agriculture for the two
sub-components, viz: (1) Rural Agri-fishery Enterprise and Productivity Enhancement and (2)
Technology and Information for Enterprise and Market Development under the I-REAP subprojects. Moreover, the Office of the Provincial Engineer shall also implement the
infrastructure development support/civil works under the I-BUILD sub-project. The two
offices shall take the lead role in the implementation of the approved commodities included
in the PCIP such as Cardava Banana, Seaweeds and Coconut/Coconut Coir (Geonet) shall be
included. However, during the 1stphase of implementation of the PRDP (3-year period), the
priority commodities went through the Value Chain Analyses studies/processes are those
mentioned above shall be implemented except coconut which will be implemented on the
succeeding phase or as long the value chain analysis study will be available for integration
in the PCIP.
In addition, the formulation of the PRDP PCIP facilitates knowledge-sharing and evidencebased dialogue to produce a conducive output for rural poverty reduction strategies at the
LGU level. This is also in-line with the Local Government Code of 1991 that is also stated in
the Memorandum of Agreement between the PRDP and PLGU that extends genuine and
meaningful local autonomy to the LGUs to enable them to attain their fullest development
as self-reliant communities and to make them more effective partners in the attainment of
national goals.
Organization and Development
The effective implementation of the PRDP Provincial Commodity Investment Plan (PCIP) of
the Province of Lanao del Norte entails the following stakeholders to undertake their
respective tasks:
1. National Program Coordination Office (NPCO), headed by the DA Undersecretary for
Operations, shall handle overall coordination and support, particularly in
information and external communications. It shall coordinate Program management
information and monitoring and evaluation and shall serve as the interim Program
Support Office (PSO).
2. Regional Program Advisory Board, headed by the DA 10 Regional Executive Director,
shall provide guidance to the Regional Program Coordination Office (RPCO) and
ensure that policy directions are carried out in project planning and implementation.
It shall review and approve for funding I-Build and I-Reap subprojects endorsed by
RPCO and shall review, approve and endorse PRDP annual regional work and
financial plan to the National Program Coordination Office.
3. Program Support Office (PSO) shall oversee the regional cluster operations and
support services, disburse funds and prepare reports related to fund management
and support the NPCO in ensuring achievement of Program milestones.
4. Regional Program Coordination Office (RPCO), established in DA 10 with guidance
and support from PSO and NPCO, is the key implementing unit of Philippine Rural
Development Program (PRDP) in SOCCSKSARGEN Region. It shall ensure full play of
RFU, including mobilization of DA-related agencies. It shall review, evaluate and
validate subproject proposals submitted by Local Government Units (LGUs) for
endorsement to RPAB. RPCO shall monitor the physical and financial progress of
PRDP components following reporting arrangements prescribed in the Program
Monitoring and Evaluation System.
5. The PRDP Provincial Project Management Unit (PPMIU) of the Province of Lanao del
Norte created through Provincial Executive Order No. 11 Series 2013 shall oversee
the implementation of the Program in the Province. It shall determine the necessary
interventions to ensure timely delivery of government commitments to the
Program. It shall coordinate program requirements with concerned national
government offices, LGUs and the private sector, if necessary PRDP-PPMIU shall
resolve issues and concerns relative to the implementation of the Program and shall
require regular submission to appropriate authorities of accomplishment reports by
the Program Action Teams.
There is also Action Teams organized that will spearhead in all activities of the Program
components, such as follows:
I-Plan Team shall lead the formulation of the Provincial Commodity Investment Plan and
prepare other related documents.
I-Build Team shall implement the PRDP infrastructure projects.
54 |PCIP 2014-2016
I-Reap Team shall carry out the investment plan in rural enterprises and agri- fisheries
productivity.
I-Support Team shall ascertain sufficient allocation, timely disbursement and proper
utilization of the local counterpart funds for the Program. It shall also ensure that the
Program components and objectives are implemented and achieved and DRR-CCA
dimensions are integrated in the PRDP plan of the Province.
Monitoring and Evaluation
PRDP M & E system shall provide emphasis on development impact based on the
assessment of progress against the agreed indicators drive-in in an effective monitoring and
evaluation (M&E) system, joint identification of constraints with recipients and
implementers and agreement on suitable interventions to achieve the project’s
development objectives of the PRDP, DA, PLGU and MLGUs.
The standard monitoring and evaluation system shall be utilized by the Provincial Project
Monitoring Committee (PPMC) which is tasked to provide updates in project
implementation based on each PPA’s stated in the PCIP Matrix. There will be a periodic
submission of web-based and geo-tagged monitoring reports uploaded to website for the
RCPO.
Currently, the PPMC is chaired by the Chairperson of the Sangguniang Panlalawigan
Committee on Public Works and Highways and composed of heads of the following
offices/entities: Department of Interior and Local Government (DILG), Provincial Engineer’s
Office (PEO), Provincial Planning and Development Office (PPDO), Provincial Budget Office
(PBO) and two NGOs –Serviamus, Inc. and PAILIG Foundation Inc. As stipulated in the
Executive Order, the PPMC is supported by a Technical Working Group composed of
technical representatives from member offices/entities. The TWG recommends the list of
projects to be monitored for PPMC approval, conducts field monitoring and initiates
conduct of problem solving sessions. The PPDO provides secretariat support to the PPMC.
The operation of the PPMC is supported by a budget lodged at the PPDO’s
maintenance and other operating expenditures. However, PPMC undertakings are confined
to monitoring of physical accomplishments of project.
Social and Environmental Safeguards
The social and environmental safeguards (SES) is one of the support activities that will be
undertaken to ensure that all subprojects to be implemented are not only technically,
55 |PCIP 2014-2016
economically and financially viable, but are also environmentally and socially sound and
sustainable. The Environmental and Natural Resources Office (ENRO) in the PGLDN shall
take charge of the aspect of the sound management of environmental activities, while, the
Provincial Social Welfare & Development Office (PSWDO) shall be tapped to assist in the
social preparation of the proponents thru its community development affairs section.
The SES will operate according to the provisions of the existing Philippine Government
policies, framework and guidelines (including local policies) as well as other donor
governing policies concerning the sub-project implementation. SES consideration will
ensure that the people and the environment will not be adversely affected by any subprojects implementation.
Thus, all PRDP sub-projects under the I-BUILD and I-REAP components shall undergo
environmental screening conforming to the environmental guidelines. Project
implementation will also determine if construction activities will cause to displace and
affect persons such as appropriate resettlement, compensation and rehabilitation plans in
accordance to land acquisition, resettlement and rehabilitation framework are to be
formulated for sub-project affected persons.
All necessary compliance concerning the social and environmental assessment will be
adopted and will be discussed in detail in the social and environmental section of each subproject Feasibility Study or Business Plan.
56 |PCIP 2014-2016
VI.
PDC AND/OR SP RESOLUTION
57 |PCIP 2014-2016
VII.
PDC RESOLUTION
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VIII.
COMMODITY PROFILE
Coconut
Coconut is a dominant sector in the country’s agriculture with 26% of the total agricultural
lands or about 3.55M hectares planted to coconuts in 68 out of 81 provinces in the country or
1,195 municipalities with a total of more than 338M bearing trees. Lanao del Norte is among
the 68 where copra production and community-based manufacturing virgin coconut oil and
vinegar as major activities. Other evolving by products are coco peat for organic fertilizer and
coco coir for ropes and geonets.
In 2013, the country produced 15,353,199.94 MT of coconut, of which is 59% was produced by
6 regions in Mindanao, or a total of 9,039,175.22 MT.
Figure 12. Philippine Coconut Production
Source: DA-Region X
Of the 15,353,199.92 metric ton of coconut produced in 2013, 59% came from Mindanao.
Between 2009 and 2013, coconut production in Mindanao decreased by 2.92% because of the
series of typhoon that hit Davao Region and CARAGA wherein 20% of the coconut farms in the
area were devastated.
In terms of production by provinces, Quezon Province topped the list with 1,190,719.40 MT
followed by Davao del Sur with 912,016.89 MT of coconut produced. 8 of 10 provinces who
topped the most produced coconut in 2013 came from Mindanao. These include Zamboanga
del Norte, Davao Oriental, Maguindanao, Lanao del Norte, Zamboanga del Sur, Misamis
Occidental, and Misamis Oriental.
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Table 14. Top 10 Provinces: Volume of Production, CY 2013
Top 10 Provinces: Production Volume (MT)
Volume
(in MT)
1,190,719.40
912,016.89
Area Planted
(ha)
328,025.00
97,007.00
Zamboanga del Norte
Davao Oriental
766,339.75
693,413.95
172,900.00
145,679.00
4.43
4.76
Maguindanao
590,191.35
104,526.10
5.65
Lanao del Norte
579,225.68
77,186.00
7.5
Zamboanga del Sur
562,416.82
127,277.00
4.42
Misamis Occidental
562,117.18
97,631.00
5.76
Leyte
Misamis Oriental
526,558.75
515,305.00
167,974.00
103,244.00
3.13
4.99
Province
Quezon
Davao del Sur
Ave Yield
(MT/ha)
3.63
9.4
Source: BAS
Three of the six regions in Mindanao specifically Davao Region, Northern Mindanao, and
Zamboanga Peninsula accounted for 64.5% of the Mindanao production and topped the
coconut production on the regional level.
Figure 13. Coconut Production by Region in Mindanao
Source: DA-Region X
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The province has a total land area of 309,204 hectares, 298,072 hectares of which or 96% of
agricultural land are planted to coconut trees. An estimated 32.96M or 94 percent of coconut
trees are bearing and six percent non bearing trees of nut production planted in 77,661.81
hectares in Lanao del Norte. The province has the highest nut production equivalent to 2.81
billion or 32.68 percent of the total nut production in the region for period 2007-2011.
However, its production grew by less than one percent throughout the five-year period.
“Laguna tall” is the dominant coconut variety grown in the province.
Table 15. NUT PRODUCTION (NUMBER) BY PROVINCE/REGION X, CY 2007-2011
Year
Province
Total
Production
%
Share
AAGR
2007
2008
2009
2010
2011
1,663,463,173
1,740,899,302
1,704,613,379
1,745,782,392
1,737,342,802
8,592,101,048
100.00
1.13
Bukidnon
44,417,089
46,551,468
44,329,331
48,681,220
44,096,778
228,075,886
2.65
0.11
Camiguin
91,518,866
106,462,855
100,465,151
100,511,144
102,997,800
501,955,816
5.84
3.30
Lanao del Norte
555,706,848
562,519,336
564,757,801
564,757,801
560,513,000
2,808,254,786
32.68
0.22
Misamis
Occidental
478,837,899
519,276,160
504,331,310
540,353,565
545,998,967
2,588,797,901
30.13
3.44
Misamis
Oriental
492,982,471
506,089,483
490,729,786
491,478,662
483,736,257
2,465,016,659
28.69
-0.45
REGION 10
Source: PCA
A full grown coconut fruit weighs an average of 1.2 kg., while its husks comprise up to 0.4 kg. of
total weight. Thirty percent of the husk is long fibers and 70% are fiber dusts or peats. The value
added products developed from the fiber and dusts (peat) had turned into a growing business
in other countries and other provinces in the Philippines including Lanao del Norte. In this
province, it has been used primarily for agricultural purposes as coco peats are used as organic
fertilizer while coco coir are used as ropes, geotextiles and erosion netting, binder-less
fiberboards, doormats, baskets, and other handicrafts. Some of the enterprises focus on coco
geonet production as value added products developed from the coco fiber had turned into a
growing business in the province.
The coconut fiber industry provides a source of livelihood to small farmers and laborers in
Mindanao. Farmers are the majority players in the coconut industry. In the previous years,
despite the increasing demand for coco coir products, production has been very low. This is
attributed mainly to relatively few twine makers: at any given time, there are only 20 to 40
twine makers in each decorticating plant producing a measly average of 120 hanks each twine
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maker per day using manual twining machines. Poor collection of raw materials (coconut husks)
in rural areas has been observed.
In 2013, the market for coco coir is becoming very attractive, with a local demand of about 2
million square meters for the whole Philippines (including that of the DPWH) of which 1 million
square meters comes from Davao Region (600,000) and SOCCSKSARGEN (400,000). With
relatively high buying price, this local market does not require a much higher quality of coco
coir products versus that of products for export required by buyers from China, Korea, EU, and
Taiwan. (PhilFIDA)
VALUE CHAIN MAP: COCO FIBER & COCO PEAT
Production
Processing
Research &
Development;
Decorticating or
defibering;
Twining and
Weaving
Husk Gathering;
Fiber grading;
FUNCTIONS
Input Provision
Trading/
Distribution
Final Sale
Transport;
Buying of Coco
Coir and Coco
Peat;
Distribution;
Deliveries to users
Source: DA-Region X
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Product Description
Coco Coir
Fibers and fiber dusts produced from coconut husks varies and classified according to its
qualities-strength, cleaning, and color. Those fibers with length of up to 5 inches with more
fibers, good to fair cleaning and light brown in color are most likely to be the highest grade of
all these fibers and should have no or less pulp content. Strands of fibers with at least 2.5
inches are largely used as pads and mattresses and other industrial uses like packing and
fiberboards. Those strands with less than 2.5 inches are considered fiber dusts and generally
used for agricultural applications. The white fiber extracted from young or immature coconuts
are used for ropes, handicrafts, and fish nets.
With the abundance of coconut husks resulting from copra production, Lanao del Norte farmers
would be able to harness the potential of husks as additional income source. With a
decorticating machine, coconut fiber and coconut dust or peat can be produced for agricultural,
agro-forestry and industrial uses. In order to maximize the utilization of coconut husks and byproducts and to generate employment, some cooperatives and private sector established a
geonets production such as coconets, coco twines and coco peat as bioengineering materials
for soil erosion control and slope stabilization.
The coconut coir sub-sector industry in the Philippines is still hoping that the House Bill No.
6667 otherwise known as “Philippine Coco Coir Industry Development Act of 2012” will enacted
into law the soonest time possible. Under this bill, the Philippine Coco Coir Industry
Development is made a priority program of the country. Salient feature of this bill include
implementation of Coco Coir Livelihood Programs, provision of funding requirements through
Philippine Coco Coir Development Fund and grating of numerous incentives and tax exemption.
The approval of this bill shall be served as the solution of the identified constraints by the
enterprises, people’s organization, among others, who are engaged in coconut fiber industry,
includes the farmers and other community engaged in coco fiber making in this province.
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The By-Products Profile
A. Coco Geonets Production
Geonet
Coco geonets are made from 100% biodegradable materials from coconut fiber extracted from
the fibrous outer cover of the fruit of the coconut palm, then twined and woven into high
strength geonets. It has high tensile strength, water absorbent and has high moisture retention
capacity.
Geonets are used for streams/riverbank and shoreline protection, slope stabilization to control
erosion, and mine site reclamation. The material can also be utilized to trap sediments, for the
protection of highway and rail embankment, in reservoirs, coastal erosion control, in high
altitude planting, landscaping, and all other bioengineering applications.
The increasing demand both local and international markets of geonets and coco peats
triggered the coco farmers to transform farm waste into products of economic value when
realized can contribute to providing livelihood opportunities to rural communities in the
province and the region as a whole.
The pick –up price of coco geonets in Lanao del Norte is P 1,800.00 per roll delivered to Davao
City, Cagayan de Oro city and Ozamis City. Some multi-purpose cooperatives have assured
market for geo nets, baled coco coir and coco peat with marketing contracts with institutional
buyers and processors. Marketing strategies include participation in trade fairs (local and
national levels) exhibits, distribute brochures & flyers and eventually establish mutually
beneficial marketing arrangement with buyers.
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B. Coco-Baled Fiber
Coco Baled
These coco-baled fibers are extracted from the outer cover of coconut plant. It is widely used in
making ropes and mats. Our fiber is highly resistant to salt water. The brown colored, fibers
these are baled using the low density baling press. Low density baling equipments like the BP4060 can press fiber bales of 35 to 40 kilos compacted and tied by plastic metal straps. The
bales are then weighed, marked and stacked in the storage area.
Weight
Packaging
Moisture
Impurity
Load Ability
Specification of Baled Fibre
40 kls. /baled
Baled by low density baling press
Upto 18%
Upto 2 to 3 % free from pitch, roots
40kls/baled/day
Coco baled fiber can be used for bio logs, fascines, hanks, stitched fibers, mattresses, bags,
packaging materials, tufted/doormats, wall carpets, rugs, plant hangers, potting media,
furnishing fabrics and insulation materials. As per interview conducted in the municipalities of
Magsaysay, Tubod and Kauswagan wherein coco baled fiber are available, the pick-up price is
Php440.00.
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C. Coco-peat/Organic fertilizer
Coco peats are produced out from coco
dust. It is sieved, washed and dried in
sunlight to lay off any sand mixed with it.
This product is widely used in planting
requirements like turf farming, vegetable
gardens, rose cultivations, propagating,
golf course green as base material or soil
and potting mixes.
The coco peat/organic fertilizer mainly
finds its usage in potting mixes, rose
cultivation and general garden uses,
bedding medium for earth worms, vegetable gardens, bonsai mixes, turf farming and
propagating. The pick-up price of organic fertilizer is Php 200 per sack. The coconut coir
industry in the country is growing fast which may influence gaining control over volume and
efficiency of coconut fiber production in the world. Its growth potential is high considering that
the global trends anchor on sustainable agriculture, organic and natural products, and climate
change mitigation wherein the products perfectly suit various requirements. The challenge is on
how to be competitive in terms of volume, quality, and pricing considering that Philippines is
competing against those countries that are about 50 years ahead in coir development and are
quite advance in both equipment and product development.
Lanao del Norte coir processors supply 579,225.68 MT or 32% of Northern Mindanao Area local
demand. This market is shared among Regwill Industries, DOLE Phils., among others.
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Table 16. Comparison of Volume of Production: 2009, 2013
Region/Province
NORTHERN MINDANAO
Bukidnon
Camiguin
Lanao del Norte
Misamis Occidental
Misamis Oriental
2009 Volume of
Production (MT)
1,743,337.77
46,369.22
109,718.99
570,076.67
509,893.20
507,279.68
2013 Volume of
Production (MT)
1,816,577.68
53,259.02
106,670.80
579,225.68
562,117.18
515,305.00
Annual Growth
Rate (5)
0.84%
2.97%
-0.56%
0.32%
2.05%
0.32%
2013 Estimated
Volume of Husks
(MT)
504,604.91
14,794.17
29,630.78
160,896.02
156,143.66
143,140.28
Source: VCA from DA
D. Copra Trading
Copra Production. Over five years, the regions’ AAGR on copra production slightly increased by
1.12 percent, as production of its top producing provinces such as Lanao del Norte, Misamis
Occidental and Misamis Oriental went up only by less than 3 percent. Lanao del Norte, which
shared 34 percent of the region’s copra production, remained on top among the provinces in
the region despite of its erratic of production trend.
Approximately 50,000 tons of dry copra ready to transport to Iligan City
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Table 17. COPRA PRODUCTION (IN METRIC TONS) BY PROVINCE, CY 2007-2011
Year (Annual)
Province
2007
2008
399,219
Bukidnon
Camiguin
Percent
Share
AAGR
2,070,858
100.00
1.12
2009
2010
409,708
421,519
423,205
417,207
9,395
9,199
10,399
9,997
8,777
47,767
2.31
-1.28
22,838
23,199
26,616
25,128
25,749
123,530
5.97
3.3
Lanao del Norte
137,893
140,128
139,669
140,222
139,085
696,997
33.66
0.22
Misamis
Occidental
124,627
126,560
134,907
142,212
138,545
666,851
32.20
2.75
Misamis Oriental
104,466
110,622
109,928
105,646
105,051
535,713
25.87
0.2
Region X
2011
Total
Production
Source: PCA
The average copra processing/trading price is Php 21.00 per kilo as surveyed in year 2014.
Mostly of the copra buyers are located in the municipality of Tubod. According to the PAO’s
interview to the 3 copra buyers, average delivery of 6-10 tons per week goes to the processing
plant or to the identified buyers in Iligan City and Ozamis City with the processing plant price of
Php 30 to 40 per kilo.
The value adding products of copra from Lanao del Norte are the following: cochin oil, RBO oil,
intermediate oleo, chemicals (fatty acids, fatty alcohol, glycerin, animal feeds and biodiesel).
Strategic Direction in the Coconut Production and its by Products
The strategic direction of the Lanao del Norte’s coconut industry encompasses all the
municipalities viz: 1) improvement in agricultural efficiency, profitability and climate change
resiliency of the coconut industry 2) focus development to the identified priority areas with
high potential for contributing to local economic growth; and 3) strengthening of enabling
environment for business incubation, SME development and private sector participation.
In the municipality of Tubod, many families are earning regular income because the coco coir
industry is emerging which initiated by one of the existing cooperatives namely Malingao
Community Services Multi-purpose Cooperative (MCOCO) whose products and services are
engaged in copra trading and coco fiber production and processing. The processing of coco
fiber into twine at 13 meters length per twine is done at the household level by families at
barangay Malingao. Weaving is done by interested members of the cooperative to produce
geonets at 1 meter width by 50 meters per roll. On marketing direction, the geonets, baled
fiber and organic fertilizer will be sold directly to the contact buyers to eliminate middlemen.
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This livelihood program is formerly assisted by the Department of Agriculture through the
Mindanao Rural Development Program - Community Fund for Agricultural Development
(MRDP-CFAD) and the Provincial Government of Lanao del Norte (PGLDN). The average
monthly output is 5,000 kilos per month of coco fiber out of the coconut husk bought by
MCOCO among its members who transform the raw material into various products like twine,
baled fiber and geonets.
The result of Expanded Vulnerability and Suitability Assessment (EVSA) shows that the
municipality of Tubod ranks 1st with the highest volume of production of 18,584 MT with an
area of 18,140 hectares followed by Lala, Kapatagan and SND in that order. The detail of the
result of the EVSA is shown in Table 5. Lanao del Norte Expanded Vulnerability and Suitability
Assessment of Coconut, CY 2013.
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Table 18. Lanao del Norte Expanded Vulnerability and Suitability Assessment of Coconut,
CY 2013
MUNICIPALITY
TUBOD
LALA
KAPATAGAN
SND
BALOI
BAROY
BACOLOD
KOLAMBUGAN
SALVADOR
MAGSAYSAY
MAIGO
KAUSWAGAN
SAPAD
POONA PIAGAPO
MUNAI
TANGCAL
MATUNGAO
TAGOLOAN
LINAMON
NUNUNGAN
PANTAO RAGAT
PANTAR
Total
POPULATION POVERTY
46332
65355
53916
52430
50387
20948
21818
26445
27348
16442
20131
24006
19479
23451
27600
12588
12217
11674
17484
16304
23122
18440
607,917
48
37
48
60
48
47
40
42
56
59
44
50
62
67
68
67
59
69
31
68
60
58
NUMBER OF
FARMERS
2,845
1,327
1,555
1,058
1,577
1,455
1,953
1,465
1,092
1,496
1,565
1,295
495
358
230
528
835
692
859
204
389
205
23,478
AREA
PLANTED
18,140.00
2,366.00
3,032.00
3,050.00
4,743.00
3,302.00
4,249.00
4,610.00
2,314.00
5,915.00
4,306.00
4,550.00
2,516.00
2,455.00
1,604.00
2,113.00
2,059.00
841.00
1,764.00
809.00
826.00
288.00
75,852.00
PRODUCTION
OLD
POINTS
EARNED
18,584.00
3,980.00
3,522.00
6,387.00
9,906.00
7,656.00
7,021.00
8,442.00
3,695.00
8,260.00
7,310.00
5,405.00
2,516.00
5,145.00
4,966.00
3,741.00
3,681.00
2,815.00
2,391.00
1,191.00
1,175.00
778.00
118,567.00
0.6088
0.6649
0.5905
0.5778
0.4878
0.6323
0.5703
0.5627
0.6525
0.4955
0.5303
0.5426
0.5977
0.4454
0.4457
0.4665
0.452
0.4746
0.4838
0.5005
0.407
0.4053
OLD
RANK
4
1
6
7
14
3
8
9
2
13
11
10
5
21
20
18
19
17
15
12
22
16
NEW
POINTS
EARNED
0.76007
0.54688
0.51121
0.50938
0.50373
0.50190
0.48908
0.48729
0.48607
0.46160
0.45779
0.45648
0.42534
0.36770
0.36242
0.35722
0.35363
0.35158
0.34876
0.34475
0.30918
0.28668
NEW
RANK
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
Source: Data submitted by MAO/PAO/MPDC; EVSA computed/performed by PPDO
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Figure 14. Suitability Map
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IX.
Summary of Constraints and Interventions
The summary of the constraints identified by the Lanao del Norte’s coconut fiber stakeholders
are the following:






Poor and inefficient system of husk collection
Awareness of income opportunities of coco coir
Sub-standard Technology
Quality of Products
Access to market is not yet establish
Poor road condition from farm to market
The intervention approach based on the above constraints identified is characterized by a
combination of the provision of technical assistance, capacity building support, counterpart
financing scheme and equipments and infrastructure support, viz:




Develop the capacity of providers to offer improved products, facilities and services to
the coconut industry in a sustainable manner
Promote awareness and uptake of these products, facilities and services among the
value chain players
Contribute an improved enabling environment
Improved competitiveness through the provision of high technology.
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X.
INVESTMENT PLAN
The summary of investment of coconut/coco fiber in Lanao del Norte has a total investment of
Php2,195,880,510 for the three-year period of investment. The biggest slice goes to the
enabling environment composed of the different road sections/junctions proposed by the
P/MLGUs amounting to Php2,089,822,110, followed by the production wherein the proposed
enterprise under the I-REAP sub-projects belong amounting to Php37,208,400, followed by the
processing amounting to Php29,500,000 and trading and distribution and final sale amounting
to Php23M and Php1.5M, respectively. The details of the investment are shown in Table 6. PCIP
Matrix of Coconut/Coco Coir Industry.
Figure 15. Summary of the Investment Plan of Coconut/Coco Fiber in Lanao del Norte,
2014-2016
29,500,000
37,208,400
23,850,000
14,000,000
1,500,000
Input Provinsion
Production
Processing
2,089,822,110
Trading/Distribution
Final Sale
Enabling Environment
Addendum PGLDN PCIP 2014-2016
74 | P a g e
Table 19. PCIP Matrix of Coconut/Coco Coir Industry
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Input Provision
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
Low yield due to various
diseases (cadangcadang/viroid disease
Provision of disease
free/subsidized quality
planting materials (QPM)
50% of coconut areas
provided with QPM
LGU,DTI,DA-PCA,PRDP,
MinDA
3,000,000
Establishment of
community-based organic
fertilizer production
facilities and/or upgrading
and scaling up of existing
fertilizer enterprises
including assistance to get
the necessary
certification/accreditation
3 Community-Based
Organic Fertilizer
Production facility;
Series of trainings
conducted to coconut
farmers;
PRDP/DA/LGU
3,000,000
Capacitate coco farmers
thru training &
establishment of Techno
Demo on GAP coconuts
5 farmers trainings with
30 participants per
training conducted on
banana agricultural
practices and 1 techno
demo established in
Kapatagan
3,000,000
Establishment of Coconut
Nursery
2 hybrid coconut nursery
established
3,000,000
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
Estimated
Project Cost
Risk & Risk
Management
Addendum PGLDN PCIP 2014-2016
Remarks
75 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Inefficient Coconut
Husk Collection
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
Coco-Banana
Intercropping Project
encouraged/implemented
Community-Based
Coconut Husks Collection
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
IEC to all coconut
municipalities/dissemina
tion of free planting
materials
Kapatagan, LDN. &
other
municipalities
province-wide
PRDP/DA/PLGU/
MLGU
1,000,000
Clustering approach
established through Liga
ng mga barangays in
respective municipalities
by integrating husk
collection to Solid Waste
Management Program
Province-wide
Coconut Industry
Stakeholders
1,000,000
Estimated
Project Cost
Risk & Risk
Management
Remarks
Risk:
Cooperation and
prioritization of
the BLCE
RM: A thorough
IEC to the LCE to
understand the
program and its
purpose
Sub-total of Input Provision
14,000,000
Production (Primary Processing)
Low Production of coco
peat and Inconsistent
quality of coco fiber due
to lack of/ or sub
standard decorticating
machines
Integrated Coconut-Based
Enterprise
Plant site developed; 167
meters road paved with
growted riprap;
machineries &
Equipment procured;
series of capability
buildings conducted to
coco farmers, fiber
twiners, rope weavers,
fiber dyers, fiber balers
& coco dehusker;
perimeter fence
Malingao, Tubod,
LDN.
DTI, DA-PCA,
LGUs/PG/Twinner’s/wea
vers/dryers/fiber
balers/dehusker
27,208,400
R: Financial
support or
counterpart
from the
government for
sustainable
livelihood for
community
RM: Close
monitoring by
the PPMT to
measure the
Addendum PGLDN PCIP 2014-2016
76 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
Estimated
Project Cost
constructed
Unmeet requirement
for financing scheme
High Production Cost
due to the frequent
usage of diesel-fired
generators to run 3
units of decorcating
machines (due to power
interruption); Outdated
Twining Machines
Special Window Mode
Loan Program
Upgrading of the Existing
Production Facilities
Insufficient Storage
Facilities
MOA formulated &
implemented between
the financing agency and
POs
Remarks
impact of its
interventions
Tubod, LDN.
PGLDN/MLGU/PG/
Coconut
farmers/twinners/weave
rs/dryers/fiber/balers/
dehusker
2 pass decorcating
machines provided and 1
high technology
generator set provided
(a low energy consuming
gen-set), installed and
functional
1 warehouse
provided/constructed
Risk & Risk
Management
2,000,000
3,000,000
Malingao, Tubod,
LDN.
DA/PGLDN/MLGU/PG
Sub-total of Production
5,000,000
37,408,400
Processing (Secondary Processing)
Inadequate expertise in
coconut food processing
products
Provision of technical
assistance to POs who are
engaged in Food processed
products
5 POs assisted thru series
of trainings, 3 processing
centers provided with
complete high technology Linamon, Bacolod,
Tubod
facilities
15,000,000
PRDP/DA/POs/PLGU/ML
GU
3 vehicles provided for
POs mobilization
Addendum PGLDN PCIP 2014-2016
77 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
CommunityBased/Household-based
Coconut Processed
Products (Buko Pie & Nata
de Coco)
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Target Areas to be
covered (Mun.
&Brgys.
Trainings on coco
Linamon & other
processed foods
municipalities
conducted to the prospect province-wide
POs; Technical assistance
on buko pie & nata de
coco Packaging and
Labeling
provided/extended to POs
50 coconut
farmers/twinners/weavers
22 municipalities
/dryers per session
trained
Access to best practices,
techno transfer and
skills training
Inadequate expertise in
geonets production
Capability Buildings re
techno-transfer and skills
training
2 benchmarking
conducted: 1
benchmarking
conducted to Davao City
at Rigwell Industries
participated by at least
20 pax from
PG/PGLDN/MLGU; 1
international
benchmarking
conducted to China at
Xulin Shen participated
by 15 pax from
PG/PGLDN/MLGU
Tubod, LDN
Proposed Lead & Other
Players for subproject
Implementation
Estimated
Project Cost
PRDP/DA/MAO/MPDC/P
GLDN/Womens
Organization
5,000,000
DA-PCA,
LGUs/PG/Twinner’s/
weavers/dryers/fiber
balers/dehusker/Coco
Farmers
1,500,000
PG/DA/PGLDN/MLGU
5,000,000
Risk & Risk
Management
Remarks
R: No clear
report
submitted or no
clear possible
learning applied
RM: PGLDN &
MLGU shall lead
the activity with
specific task in
formulating
reports with
recommendatio
n & close
monitoring re
implementation
of the
observation that
Addendum PGLDN PCIP 2014-2016
78 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
Estimated
Project Cost
Risk & Risk
Management
Remarks
is applicable in
LDN.
Low productivity due to
unattractive labor rates
Provide marketing linkages
to the proponent groups:
linkaging to bulk
institutionalize buyers
Technical Assistance
provided to PGs
All coconut
municipalities
DA/PCA/PGLDN/MLGU/
PGs
Sub-total of Processing
3,000,000
29,500,000
Trading/Distribution
High/Inefficient
Transportation Cost
Increase volume of
production
Increased volume by
50% from the current
volume of production
Tubod & other
potential
municipalities
PRDP/DA/PLGU/MLGU/
PG/AEWS/PGs/Coco
Fiber stakeholders
2,500,000
Market for coco peat
established
High value for short
fibers product developed
Trainings for twine
makers conducted to
become an efficient
twine makers
Copra trading centers
owned by private
sectors
Establishment of Copra
Trading Center with
production support
2 copra trading centers
established with
complete facilities; 2
hauling truck provided
Tubod & Salvador
PRDP/DA/PLGU/MLGU/
PG/AEWS
15,000,000
Shipment Facilities
Provision of
2 Hauling Trucks
provided to proponent
Tubod, LDN.
DA/PCA/PGLDN/MLGU/
3,000,000
Addendum PGLDN PCIP 2014-2016
79 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Difficulty in market
access
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
transportation
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Target Areas to be
covered (Mun.
&Brgys.
group for geonets
Proposed Lead & Other
Players for subproject
Implementation
Estimated
Project Cost
Risk & Risk
Management
Remarks
PG
Provide market matching,
exposure trips, fairs,
media, bidding to
government projects &
etc.
Technical Assistance
provided to PGs re
registration to PHIGEPS,
preparation of bidding
documents, advertising
to media, flyers and
other marketing
strategies introduced
and implemented
Tubod, LDN.
DA/PCA/PGLDN/MLGU/
PGs
3,000,000
Establishment of Linamon
Trading Center (Proposed
area: MIRAIC Site)
1 trading center
established to Linamon
as center of the 1st
district municipalities
Linamon and other
municipalities from
1st district
PRDP/DA/PLGU/
MLGU
350,000
Sub-Total of Trading/Distribution
23,850,000
Final Sale
Volume of requirement
by the buyer does’nt
meet due to sub
standard machines and
facilities
Provision of machineries
and facilities
Machineries and
facilities provided to the
qualified PGs, POs,
among others.
All 22
municipalities
PRDP/DA/PLGU/
MLGU/PGs/POs
1,500,000
Improvement,
rehabilitation and
upgrading of strategic farm
11 kms. NununganSapad Road (InayawanMasibay Section)
Nunungan & Sapad
PRDP, DA, PLGU,MLGU
198,000,000
Enabling Environment
Inaccessible farms/poor
road conditions leading
to high transportation
costs for collecting or
Addendum PGLDN PCIP 2014-2016
80 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
delivery of coconut
husks
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
to market roads
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Estimated
Project Cost
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
5 km. Bauyan-Mina FMR
concreted
Nunungan
PRDP, DA, PLGU,MLGU
50,000,000
3 km. Mina-Ditago FMR
concreted
Nunungan
PRDP, DA, PLGU,MLGU
30,000,000
5 km. Higway Junction
Banday-Ilian FMR
concreted
Nunungan
PRDP, DA, PLGU,MLGU
50,000,000
2.50 km. Higway
Junction Bauyan-Tantao
FMR concreted
Nunungan
PRDP, DA, PLGU,MLGU
25,000,000
2.50 km. Highway
Calibao-Colong2 FMR
concreted
Nunungan
PRDP, DA, PLGU,MLGU
25,000,000
5 km. MaguindanaoTopocon FMR Concreted
Nunungan
PRDP, DA, PLGU,MLGU
50,000,000
1.50 km. Highway
Junction-Sugod FMR
concreted
Nunungan
PRDP, DA, PLGU,MLGU
15,000,000
13 km. Ilian-Rbucon FMR
concreted
Nunungan
PRDP, DA, PLGU,MLGU
130,000,000
1.30 km. highway
junction-Sigayan FMR
Nunungan
PRDP, DA, PLGU,MLGU
10,300,000
Risk & Risk
Management
Remarks
concreted
Addendum PGLDN PCIP 2014-2016
81 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Estimated
Project Cost
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
2 km. RamainMaguinadanao FMR
concreted
Nunungan
PRDP, DA, PLGU,MLGU
20,000,0000
2.50 km. MamagumCabongbongan FMR
concreted
Nunungan
PRDP, DA, PLGU,MLGU
25,000,000
3 km. MamagumCabongbongan FMR
concreted
Nunungan
PRDP, DA, PLGU,MLGU
30,000,000
7 km. LantawanMabuhay FMR concreted
Nunungan
PRDP, DA, PLGU,MLGU
70,000,000
3 km. CalipapaMahayahay FMR
concreted
Nunungan
PRDP, DA, PLGU,MLGU
30,000,000
3 km. Highway JunctionTagulo FMR concreted
Nunungan
PRDP, DA, PLGU,MLGU
30,000,000
4 km. Calube-Lantawan
FMR concreted
Nunungan
PRDP, DA, PLGU,MLGU
40,000,000
Concreting of 5 kms.
Purok 3 Pigcarangan
FMR
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
3 kms. BosqueSamburon FMR
Linamon, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
Risk & Risk
Management
Remarks
concreted
Addendum PGLDN PCIP 2014-2016
82 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
4 kms. Robocon FMR
Linamon, LDN.
PRDP/DA/PLGU/
MLGU
40,000,000
5 kms. Purakan FMR
concreted
Linamon, LDN.
PRDP/DA/PLGU/
MLGU
50,000,000
7.62 kms. LapinigDurano-Kahayagan FMR
constructed/upgraded
Kapatagan, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
4.8 kms. PoblacionCurvada-San Vicente
FMR
constructed/concreted
Kapatagan, LDN.
PRDP/DA/PLGU/
MLGU
17,428,072.9
12 kms. DonggoanBagong BadianKahayagan-San Isidro
FMR
rehabilitated/concreted
Kapatagan, LDN.
PRDP/DA/PLGU/
MLGU
50,000,000
4.300 kms. MalingaoLicapao-Dalama FMR
Rehabilitated/concreted
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
5 kms. Camp-5 Kalilangan FMR
rehabilitated
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
9,944,037
Estimated
Project Cost
Risk & Risk
Management
Addendum PGLDN PCIP 2014-2016
Remarks
83 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Estimated
Project Cost
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
6 kms. of Sto. NiñoMaliwanag-Manan-ao
Road
rehabilitated/concreted
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
6 kms. of provincial FMR
Bulod-Kakai RenaborTorong-torong FMR
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
600,000
Concreting of 5 kms.
Purok 3 Pigcarangan
FMR
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
7 kms. Taden, Tubod
FMR
Tubod, LDN.
PRDP/DA/PLGU/
MLGU
15,000,000
5.7 kms Malingao-Bualan
Provincial Road FMR
Tubod, LDN.
1.5 kms FMR CurvadaCamp Allere
constructed/concreted
Salvador, LDN.
PRDP/DA/PLGU
PRDP/DA/PLGU/
10,000,000
5 kms. Sudlon-Camp-3
FMR
rehabilitation/constructi
on
Salvador, LDN.
MLGU
PRDP/DA/PLGU/
300,000
300 meters FMR
upgraded/concreted of
Padian-Inasagan road of
Salvador, LDN
Salvador, LDN.
Risk & Risk
Management
Remarks
5,500,000
MLGU
PRDP/DA/PLGU/
MLGU
8,000,000
Addendum PGLDN PCIP 2014-2016
84 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Estimated
Project Cost
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
6 kms PagalonganTugaya to Sitio TaduconBaris FMR
constructed/upgraded
Salvador, LDN.
PRDP/DA/PLGU/
MLGU
60,000,000
4.10 kms. PinuyakSimpak-Maranding
constructed/upgraded
Lala, LDN.
PRDP/DA/PLGU/
MLGU
9,750,000
4 kms. TenazasPendulonan FMR
Lala, LDN.
PRDP/DA/PLGU/
MLGU
9,500,000
5 kms. Inudaran 2 –
Karkum FMR constructed
Sapad, LDN.
PRDP/DA/PLGU/
MLGU
10,000,000
6 kms. Pili-Baning FMR
rehabilitated
Sapad, LDN.
PRDP/DA/PLGU/
MLGU
10,500,000
4 kms. PoblacionGumagamot FMR
constructed
Sapad, LDN.
PRDP/DA/PLGU/
9,000,000
5 kms. Pansor-Poblacion
Dimayon FMR
constructed
Pantao-Ragat
MLGU
PRDP/DA/PLGU/
10,000,000







Maigo, Lanao del
Norte
MLGU
PRDP/DA/PLGU/
80,000,000
Balagatasa FMR
Segapod FMR
Kulasihan FMR
Poblacion FMR
Mentring FMR
Maliwanag FMR
Inoma FMR
Risk & Risk
Management
Remarks
MLGU
Addendum PGLDN PCIP 2014-2016
85 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
 Campi FMR
 Mahayahay FMR
 Sta. Cruz FMR
 Liangan West FMR
 Claro M. Recto FMR
Rehabilitated/
Constructed
 3 kms. BosqueSamburon FMR
 4 kms. Robocon FMR
 5 kms. Purakan FMR
concreted
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
Linamon, LDN.
PRDP/DA/PLGU/
MLGU
Estimated
Project Cost
Risk & Risk
Management
Remarks
30,000,000
40,000,000
50,000,000
 5 kms. BabalayaLiangan East FMR
concreted
Bacolod, LDN.
PRDP/DA/PLGU/
MLGU
12,000,000
 5 kms. PuntaonTamparan-Panggao
FMR concreted
Munai, LDN.
PRDP/DA/PLGU/
MLGU
35,000,000
 1 km. Andil-Tinubdan
FMR constructed
Andil, Baroy, LDN.
PRDP/DA/PLGU/
MLGU
23,000,000
 1.3 km. DalamaPendulonan FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
28,000,000
Addendum PGLDN PCIP 2014-2016
86 | P a g e
Rank
Key Gap/ Constraint in
VC Development in the
Province (from the
national & regional VCA
results)
Brief Description of
Potential Intervention
(subprojects: enterprise or
infrastructure, business
enabling program, etc.)
Target Result/ Outcome,
including # of farmers/
fisherfolk reached, if
applicable
Estimated
Project Cost
Target Areas to be
covered (Mun.
&Brgys.
Proposed Lead & Other
Players for subproject
Implementation
 1 km. Bato-Lindungan
FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
23,000,000
 1.8 km. PendulonanCabasagan FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
 2.2 km. PangePrincesa FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
25,000,000
 1 km. Upper Sagadan
FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
23,000,000
 1 km. Bagong Dawis
FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
28,000,000
 1.3 km. Manan-ao
Riverside FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
28,000,000
 1 km. MaliwanagTinubdan FMR
Baroy, LDN.
PRDP/DA/PLGU/
MLGU
23,000,000
 1 km. Limwag FMR
Baroy, LDN.
23,000,000
 11 kms.
concreting/rehabilit
ation of KawitPaiton-InudaranDelabayan Road
Kauswagan, LDN.
PRDP/DA/PLGU/
MLGU
PRDP/DA/PLGU/
MLGU
 6.700 kms.
concreting/rehabilit
ation of RupaganPagayawan Road
Bacolod, LDN.
PRDP/DA/PLGU/
MLGU
30,000,000
Risk & Risk
Management
Remarks
45,000,000
Sub-total of Enabling Environment
2,089,822,110
GRAND TOTAL
2,195,880,510
Addendum PGLDN PCIP 2014-2016
87 | P a g e
Rank
Addendum PGLDN PCIP 2014-2016
88 | P a g e