CRITERIA IN SELECTION OF

AGRIBUSINESS MODELS
(AAAD/ID MinSAAD Consultant Team)

Mindanao Sustainable Agrarian and Agriculture Development

 RATIONALE
Minutes of Discussion (MOD) for the JICA Loan
Agreement No. PH-P251 between the
Government of the Philippines (GOP) and
Government of Japan (GOJ) concretized
Mindanao Sustainable Agrarian and Agriculture
Development Project (MinSAAD)

TOR Task-Assist" is "To develop/establish/assist

RPMO/PPMO in the operationalization of the
three (3) Pilot AAA Development Subprojects
activities in three (3) regions for replication to
seventeen (17) agribusiness subprojects in
settlement areas".

Mindanao Sustainable Agrarian and Agriculture Development

 ISSUES AND CONCERNS
Crops are existing, expansion, emerging or new,
Crops/commodity may not a market driven/market-
in demand
Willingness of the farmer beneficiaries, Sincere
commitment is another,
Crops/commodity without or less value adding
Settlement areas without or less business
development providers
Lead ARBOs questionable readiness in agribusiness
operationalization on the following aspect; legal
personality, current engage in services, recipient
of programmes, and financial documents.
Mindanao Sustainable Agrarian and Agriculture Development
 OBJECTIVE
To determine the appropriate three (3)
Agribusiness Models for OPERATIONALIZATION.

To determine the appropriate seventeen (17)

Agribusiness Models for ESTABLISHMENTS

Mindanao Sustainable Agrarian and Agriculture Development

 APPROACH
To select models in soonest possible time by January
2016 from the SAC Approved 44 Subprojects
To consider 44 Subprojects mixed Agribusiness and
Agroforestry Subprojects,
To ascertain farmer beneficiaries committed to
production
To come up with list of crops/commodity with more
value adding
To find out availability of BDS
To confirm readiness of Lead ARBO in
operationalization
Mindanao Sustainable Agrarian and Agriculture Development
 SCOPE AND LIMITATIONS
Scope :Approved PIP LIST AAAD 105
subprojects.

Limitations : About Half are MSPAC

Approved AAAD SPs.

Mindanao Sustainable Agrarian and Agriculture Development

 MECHANICS
Parameters: Market, Production Area and Volume,
Value Adding, Service Providers, and Organizations
Participatory Approach: training/workshop on
regional basis involving the people closer to the ground
or implementors from MPMO/RPMO/PPMO/; such as the
CDWs, MAOs, AAAD Coordinators, ID Coordinators,
AAAD-MPMO
Data and Information Need: list of market drivers
(consolidators, buyers, wholesalers, processors within
the barangays/municipality/province), list farmers
names of production area, list of farmers currently
farming with existing crops, list of BDS, profiles of lead
ARBOs, ???
Mindanao Sustainable Agrarian and Agriculture Development
 THE TOOL
MARKET:
Market Driven Approach, drivers are the Assembler,
Wholesaler, Processor, Manufacturers, Millers. The
farmers shall produce what the Customers Desires.
The Market can absorb and can give better
competitive price beneficial to ARBO/Beneficiaries.

a) High Demand, 3;
b) Medium Demand, , 2 and <3,
c) Low Demand, 1 and <2.

Mindanao Sustainable Agrarian and Agriculture Development

 THE TOOL
PRODUCTION AREA:
Refers to existing production area as stated in the
proposal.
Then, this is compared to the actual area planted.
This do not included the expansion, emerging and
new crop.

High Production Area, 76%-100%

Medium Production Area, 51%-75%
Low Production Area, <50%

Mindanao Sustainable Agrarian and Agriculture Development

 THE TOOL
PRODUCTION VOLUME:
Average volume is based on the Average Provincial
Crop Yield per Hectare.
A field interview/survey on crop yield from at least
five (5) farmers
Calculate the average yield provided by farmers and
multiply to the actual production area.

High Production Volume, 76%-100%

Medium Production Volume, 51%-75%
Low Production Volume, <50%
Mindanao Sustainable Agrarian and Agriculture Development
 THE TOOL
VALUE ADDING:
Value Chain Approach and Collective Farming:
provide sequence value adding
Product transformation and/or potential
diversification offers series value adding in the
chain. Provide flexibility to withstand competition
or fluctuating market demand.

Three (3) or More Products

Two (2) Products
One (1) Product
Mindanao Sustainable Agrarian and Agriculture Development
 THE TOOL
SERVICE PROVIDERS:
Helps ARBOs:
a) Technical,
b) Financial,
c) Facilities/Equipment/Machineries Management

a) 3 Service Providers
b) 2 Service Providers
c) 1 Service Providers
d) None
Mindanao Sustainable Agrarian and Agriculture Development
 THE TOOL
ORGANIZATION:
Legal Personality
Current Service Engagement
Programmes Recipient
Financial Report

Mindanao Sustainable Agrarian and Agriculture Development

 SALAMAT

Mindanao Sustainable Agrarian and Agriculture Development