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CASSAVA ENTERPRISE IN BUKIDNON. AADC MINDANAO.
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CASSAVA ENTERPRISE IN BUKIDNON Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City, Philippines
AADCMINDANAO Agri-Aqua Development Coalition (AADC) is a coalition of grassroots-based organizations pursuing a vision of creating sustainable rural communities. It has 13 local coalitions with current membership base of 164 primary POs and 4 Federations spread in six provinces of Mindanao. Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Rural Context:What’s Wrong in Agriculture? • Under-productivity • Average farm yields for major crops way below the Asian standards and average growth rate of agricultural gross value added (GVA) among the lowest in Asia, higher only than Bangladesh. • Agricultural producers are not motivated to produce more because they do not get their due share of the final value of their products. Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Rural Context:What’s Wrong in Agriculture? • Over-centralization of agricultural development planning • Only personnel are devolved but funds are still very much under the control of the central DA office • LGU’s and PO’s who know what the problems are not part of decision-making, lacking in funds to make investments in productivity-enhancing enterprises Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Rural Context:What’s Wrong in Agriculture? • Static method in peasant organizing • Traditional approach is issue-based and focused on livelihood projects. • The need at present: transform farmers and fishers from producers to entrepreneurs and re-orient cooperatives to take on a business mindset and create community-based enterprises Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
CORE PROGRAM CED Community Economic Development Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Community Economic Development • is the interplay of key stakeholders (government, private sector and civil society organizations) mobilized through effective and efficient use of resources (human, natural and financial) towards economic growth, with equity and food sufficiency including environmental protection Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Heart of CED is. . . ENTERPRISE DEVELOPMENT Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Roles of Stakeholders • Household members – production units • Lead cooperatives – consolidator and marketing • Local coalition – mobilize/orchestrate PO members for participation, advocacy and enterprise complementation • Government – extension services, policy and infrastructure support • Private Sector – market, technology and financing • AADC Secretariat – business development services through community enterprise organizing supported by CCODP, Geneva Global and other funding donors Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Cassava Chips and Granules Production and Marketing Enterprises PILOT COMMUNITY ENTERPRISE Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Cassava Chips and Granules Production and Marketing Enterprises Lead Organization Balugo Farmers Multi-Purpose Cooperative POs Involved Satellite Associations/Coperatives - 41 Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Production Area Coverage Current Production Area 1,400 – 1,700 hectares in16 municipalities and 2 cities of Bukidnon Involving 832 small farmers Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Market Demand and Profitability Market SAN MIGUEL CORPORATION Product Demand 500,000 hectares Current Target Supply 100,000 hectares Served Supply 31,000 hectares Average Income per Hectare P60,000-P140,000/hectare Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Technology and Labor • Application of environment friendly crop production technology • - - -Bio-Dynamics Farming Technology • Low-cost production inputs • Involving landless farmers as labor force in cassava chipping Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City
Competitive Edge • EFFICIENCY • QUALITY PRODUCT • VOLUME • LARGE AREA OF EXPANSION Linking Small Farmers to Market 3rd Regional Training Workshop June 30, 2009, Cagayan de Oro City