A Backgrounder on Puerto Princesa City, its SME/Microenterprises and Seaweeds Industry in Palawan

1. A Backgrounder on Puerto Princesa City, its SME/Microenterprises and Seaweeds Industry in Palawan Michael Pido, Eva Marie Ponce de Leon and Lizz Wandag Center for Strategic Policy and Governance Palawan State University, Puerto Princesa City, Palawan

2. Kayasan near PPSRNP

4. OUTLINE • Socio Demographic Profile of Puerto Princesa City • Fish Processing / SME / Microenterprises • Seaweeds Industry in Palawan

5. Fast Facts • Land Area: 253,982 ha • 66 Barangays • Population • 1995 129,577 • 2000 161,912 • 2004 246,111 (projected) • Population Density (2003) • 0.83 person/ha

6. Fast Facts • Employment (Palawan, 2000) • 80.43% • Poverty Incidence • 69.27% • Poverty Threshold (NEDA 2000, Region IV) • PhP 11,743.00 per capita/year • Life Expectancy • 66.4

7. Status of FISH PROCESSING, SMALL and MEDIUM Enterprises or MICROENTERPRISES in the City of Puerto Princesa

8. FISH PRODUCTION AND TRADING • Fish Production: 8.79 MT • Fish Trading and Traders • 1,265 city fishermen • 21 commercial fishing operators • 69 registered fishpond operators • 100 registered fish traders

9. Fish Processing • 63 fish and marine traders • 7 fish processing business establishments • processed fish products are sold locally or shipped to Metro Manila and Visayas • Problems encountered on generating financial resources and in marketing products

10. Support and Ancillary Services • 7 fish ports/ wharves • 6 ice plants and cold storage facilities • Banking and lending institutions • Communication facilities • Transportation, trucking and porterage • Fishing supply stores and fuel stations • Government technical/regulatory services

11. Status of SME and Microenterprises • No. of Business Establishments: 6,992 • Manufacturer 125 • Producer 1,187 • Services 1,540 • Trading 4,140 • Total Investments: P 5,839,780,582.76 • Manufacturer 541,281,538.75 • Producer 12,211,654.83 • Services 1,805,197,107.63 • Trading 3,841,090,281.76

12. Status of the Natural Resource Base in the City of Puerto Princesa (Opportunities and Threats)

13. Natural Resource Base • Municipal Waters: 327,586 ha • Forest Cover: 151,405 ha • Mangrove Areas: 1,344 ha • Communal Forests: 1,300 ha

14. Environment and Natural Resources Programs/Projects • Bantay Dagat Program • Bantay Gubat Program • Communal Forest, Protected Areas, and Mangrove Forests Enrichment Program • Community-based Environment and Natural Resources Protection and Monitoring Project • Fishing Reform Support Program

15. SME- LGU- Academe Linkages • SME Development Agenda • Facilitate marketing of goods • Provide trainings on entrepreneurship • Conduct free seminars on starting a business • Provide assistance in product development and technology intervention • Monitor establishments, agencies, or groups engaged in trade and industry • Technology and Livelihood Development Center (TLDC) and SMEs

16. Academe role in SMEs Projects • Conducts researches on needs assessment and socioeconomic profiles of LGUs • Undertakes extension programs and assistance to LGUs • Academe and LGUs conduct trainings to enhance skills and knowhow of microbusiness operators and entrepreneurs

17. Assistance from International Donor Agencies in the City • Asia Foundation • AusAID • Cordaid (Formerly Bilance) • Canada Fund • European Commission • Ford Foundation • Helvetas Philippines • PhilGerFund • UNDP • USAID • United States Peace Corps Programme • VSO

18. PALAWAN SEAWEED INDUSTRY Some Issues and Opportunities

19. BIOLOGY OF SEAWEED • Seaweed is a mass of marine algae • simple structured organisms with no true leaves, stems, roots and wood vessels • reproduces through spore production

20. PRODUCTION AREA • Palawan as main Philippine producer • 8,070 ha developed for production • 12,366 ha potential area • Production’s annual increase of 16%. grnweed.jpg / 216 x 254 pixels - 16.7kBcarrageenan.cebu.ph/seaweed.html

21. PRODUCTION • 1998 production • Province - 141,301 MT • Total Philippines - 643,043 MT • Major markets are Manila and Cebu

22. Annual production of dried seaweed in Palawan in Palawan by municipality

23. PALAWAN SEAWEED INDUSTRY • Two largest producing municipalities: • Agutaya share - 49.2% • Cagayancillo share -32.8%

24. PALAWAN SEAWEED INDUSTRY • Classification of municipalities based on number of months of production • Class A • Class B • Class C

25. PRODUCTION STATISTICS • developed area for production • 7,748 ha - Class A • 322 ha - Class B • total potential area • 9,333 ha - Class A • 1,883 ha - Class B • 1,150 ha - Class C

26. INVESTMENTS • Investment of PhP 10,400 is needed in establishing a seaweed farm • Major cost items: wooden banca, nylon line, drying flatform and bamboo • Majority of the farmers uses non-motorized banca for farming

27. Marketing of Seaweed • Several marketing channels from farmers to processors • Marketing channels depend on: (1) volume of harvests, (2) distance of farms from trading centers and (3) social structure of farming community • Market channels include farmers, barangay traders, small traders (viajeros), big traders (buying stations), export traders, and seaweed processors.

28. Distribution Channels of Seaweed Farmer Small Traders/ Viajeros Barangay Traders Big Traders/ Buying Stations Export Traders Processors

29. BUYING STATIONS • major buying stations situated at major trading centers • Puerto Princesa City a major buying station

31. PROBLEMS OF INDUSTRY • Production • Marketing • Finance • Other concerns