PEDRO TERRY R. TUASON III

Agri/NRM Program Manager

CRS Philippines

Nov 22, 2012

Developing Next Generation Cocoa Farmers:

The Farmer Entrepreneurship Program Experiences

Kakao Konek Program

November 21-22, 2012

Apo View Hotel, Davao City

Farming profitably

Working with markets

Capturing more “value” for small

farmers from value chains

Farming + Business

Farmer Alliance for Resource Strengthening

and Marketing (FARM)

Launched in 2011 with funding from Food for Progress

Overall Goal - attain food security and sustained livelihoods for

32,000 targeted farming households

Areas of activity:

i) Increasing Agricultural Production;

ii) Increase Collective Marketing;

iii) Enhance Value Chains.

Funded by USDA FFPr 2009

FCC-492-2009/011-00

Farmer Entrepreneurship Program (FEP)

Launched in 2008 with funding from 3 organizations.

Goal: Improve food security and sustained livelihoods for

targeted farming households

Major Components:

1.) Agroenterprise Capacity Building (Training, Technical

Assistance and Learning Alliance)

2.) Partnership Management (sites, markets and donors)

3.) Information Management

4.) Advocacy and Promotions (knowledge management)

NATIONAL LIVELIHOOD

DEVELOPMENT CORPORATION

PROJECT AREAS / LOCATIONS

TARLAC Tarlac City Calamansi

NUEVA ECIJA San Jose Onion, Vegetables

BUKIDNON Impasugong Vegetables

ILOCOS SUR Sinait, Vigan, Caoyan (Garlic, Onion)

Farmer Entrepreneurship Program (FEP)

AGUSAN DEL SUR Santa Josefa Calamansi

QUEZON PROVINCE Alabat Island Calamansi, Kaong

PANGASINAN Alcala, Bani, Alaminos, Aguilar Vegetables

DAVAO ORIENTAL Mati

Cacao, Coffee

North Cotabato

Bukidnon

MINDANAO Sultan Kudarat

Cacao PROJECT AREAS / LOCATIONS

Site/Partner

No. of

Local

Technicians

No. of

Farmers

Total numbers of newly planted cacao

For Clonal

garden

Produced

locally Total

North Cotabato 8 753 2,000 404,720 406,720

Sultan Kudarat 11 923 2,000 242,600 244,600

Bukidnon 20 1,471 4,000 225,156 229,156

Total 39 3,147 8,000 941,476 949,476

Challenges

o Land tenure arrangement / agreements

o Sourcing quality planting materials

o Logistics: transportation of seedlings from

nurseries to farmers

o Financing production (farm inputs in order to

reach optimum yields)

o Post harvest facilities for quality beans

o Producer-Market relationships

Current Cacao Activities

Provision of technical training and

market exposure visits

Crop improvement activities

(starting with what farmers have)

Establishing community-based

cacao technicians

Improving access to quality

seedlings

Agroenterprise Clustering of cacao

farmers

Partnership with LGUs, and

processors

Advocacy and Promotions

Cacao Value Chain

Farmer

Barangay

Agent

Poblacion

Traders

Assembler/

Trader

Processors

Consolidators

Consumers

Agroenterprise Clustering: Participatory

process to prepare farmers for markets

Eight Steps 1. Partnership building and Site Working Group

formation,

2. Product supply assessment and selection

3. Market Chain Study

4. Cluster Formation

5. Business Planning and Mobilization

6. Production and/or Product Supply Organizing

7. Test Marketing

8. Scale up into regular, commercial product

marketers in the food supply chain

“A Farmers’ Journey”

The Clustering Approach

Highlight: The innovative method of organizing farmers into small groups called “clusters” where the enabling process for market preparedness & engagement takes place.

MARKETS

Cluster Leader

Cluster Leader

Cluster Leader

Cluster Leader

Cluster Leaders

SWG

LGU/MFI/NGO/ Academe

Linking Cacao Farmers in Mati to Corporate Markets Partner : Adjesum Foundation, Inc

Products: Wet Cacao Beans Dried, Fermented Cacao Beans Tablea

ADVOCY AND PROMOTIONS

Collective Marketing

# of

Farmers

Total

Volume

(kgs)

Gross

Income

Local

Gross

Income Inst

Market

Variance

Aug 17 17 392.5 P 7,850 P 11,775 P3,925.00

Sept 6 18 510 P 10,200 P 13,770 P3,570.00

Sept 26 25 724.5 P14,490 P 19,561 P5,071.00

Oct 17 25 835 P16,700 P 22,545 P14,246.00

2,462 P49,240.00 P 67,651.00 P26,812.00

Total of 45 individual farmers ranges from 4 kgs – 165 kgs / wet beans

Commitment

MARKETS PRODUCERS

Interdependence

Reliable

Market Reliable

Supply

Value Chain Cooperation

Contact us

Dennis Ryan Russell Head of Office - Davao

Catholic Relief Services -USCCB

4th floor PhilAm Life Bldg.,

J.P. Rizal St. 8000 Davao City

Pedro Terry R. Tuason III Sr. Program Manager

Catholic Relief Services -USCCB

Agriculture and Natural Resource Management Program

4th floor PhilAm Life Bldg.,

J.P. Rizal St. 8000 Davao City