Coconut Intercropping Guide No. 7

Coconut-Beverage Crop (Cacao) Cropping Model 1

Department of Agriculture

PHILIPPINE COCONUT AUTHORITY Research & Development, and Extension Branch

Elliptical Rd., Diliman, Quezon City 1101 April 2007

C o c o n u t I n t e r c r o p p i n g G u i d e N o . 7

Severino S. Magat, PhDSeverino S. Magat, PhDSeverino S. Magat, PhDSeverino S. Magat, PhD1 1 1 1 andandandand MilMilMilMillicent I. Secretaria, MSclicent I. Secretaria, MSclicent I. Secretaria, MSclicent I. Secretaria, MSc2222

1Scientist IV, PCA-Agricultural Research Management Department, Diliman, QC 2Scientist I, PCA-Davao Research Center, Bago-Oshiro, Davao City

1.1.1.1. IIIIMPORTANCEMPORTANCEMPORTANCEMPORTANCE

Growing of intercrops in coconut lands produces more food and agricultural products, ensuring food security of the people in rural and urban areas. At the same time, the practice generates jobs and livelihood, enhancing farm incomes and the purchasing power of people, thus alleviating poverty in farming communities (Magat 2004). Moreover, successful farmers serve as inspiration and enterprise leaders in their communities, eventually treating coconut farming in an agribusiness way to create wealth and more capital resources.

Cacao (Theobroma cacao L.) is a tree crop that is highly suitable or compatible under different production systems (intercropping or multistory farming, agroforestry, etc). In cacao producing countries, it is grown mainly for its beans, processed into cacao powder, cake and cocoa butter. These products are largely used in the manufacture of chocolates, soaps, cosmetics, shampoo and other pharmaceutical products (PCARRD 2000).

Cacao is also a high value crop wherein the potential is not yet explored in our

country with an extensive area suitable for cacao growing as a monocrop or intercrop of coconut. In fact, over 1M ha highly suitable or wet zone of coconut areas (except in coastal areas excessively high in Na or saline soils) are suitable for coconut-cacao intercropping. Its cultivation could promote an agro-industrial development aimed: at value-adding export products, as well as reduction of importation of cacao beans rom countries like Indonesia, Papua New Guinea, and Malaysia (PCARRD 2000). PCARRD mentioned that to date, more than three-fourths of the cacao beans requirement of the country is imported from major producing countries.

Cacao, a popular, stable and marketable long-term beverage crop is widely planted under and between stands of coconut trees. To be a compatible and productive intercrop, cacao tree is best planted not closer than 2 meters from the base of coconut trees, at 3 m between hills and 3 m between rows. Furthermore, where there is limited land for cacao monocropping, the inter-spaces of coconut lands (with 8-15 meters of spacing of coconut palms) are amenable for several rows of cacao crop. Also important, the bio-physical environmental conditions, soil-wise, sunlight-wise and micro-climate


variation within the 70-80% space between coconut trees in a farm has been known to be highly suitable for a coconut-cacao ecosystem. These are shown in Figure 1 and 2.

Figure 1. A farm layout of a coconut-cacao cropping model under square

planting system of coconut 8-10 m)

Figure 2. A farm layout of a coconut-cacao cropping model under

triangular planting system of coconut 8-10 m.


2.2.2.2. AAAADVANTAGES AND DVANTAGES AND DVANTAGES AND DVANTAGES AND BBBBENEFITSENEFITSENEFITSENEFITS

Coconut trees - produces many basic food products and non-food raw materials for high value products. If there is regular or seasonal demand for tender 8-month old nuts (buko) for tender nut water (buko juice) and tender nut for pies and desserts, the farmers get higher net income compared to the 12-month old mature nuts as buko nuts are usually priced 3-4 times higher than mature nuts. From its inflorescence, coconut sap can be produced which in turn can be processed into high value food products, e.g. coconut sugar, honey, fresh drink and vinegar.

Cacao crop – dried fermented cacao beans (DFCB), the main product of this

crop, are first roasted, cracked and grinded to give a powdery mass from which fat is extracted and usually processed into cocoa products such cocoa butter, powder, paste/liquor and chocolate confectionaries (Magat, 2004). Basically, the chocolate beverage is prepared from cocoa derived from DFCB. The Philippines was the first in Asia to plant cacao and prepare chocolate drinks from cocoa (www.philonline.com.ph/-webdev/da-amas/cacao.html).

Cocoa butter is utilized in confectionaries and in the manufacture of tobacco,

soap and cosmetics; and largely considered the world’s most expensive fat and used widely in the emollient “bullets” for hemorrhoids (Duke, 1983 in Magat, 2004).

The three varieties of cacao are Forastero, Criollo and Trinitario (Magat,

2004). Criollo is superior in fruit possessing generally elongated and with distinctly ridged pods, but susceptible to many pests (PCARRD, 1989). Criollo variety has also pointed fruits and white cotyledons compared with the short, roundish almost smooth fruits and purplish cotyledons of Forastero (Duke 1983 in Magat, 2004). Forastero cacao is stronger, vigorous and more productive. While Trinitario, a hybrid cross of Criollo and Foratero varieties, strongly manifest the characteristics of a hybrid population and considered a rich genetic source for the varietal improvement of the crop (PCARRD, 1989).

Some of the key benefits of the coconut-cacao cropping/ecosystem are as follow: 1) Cacao can be intercropped in coconut palms when these palms reached 25 years

(and beyond). Generally, cacao and coconut do not compete for soil resources, except when grown in dry zones.

2) It is grown primarily for its beans, which are processed into cocoa powder, cake, and butter. These are used mainly in the manufacture of chocolates, soaps, cosmetics, shampoo, and other pharmaceutical products. Cacao beans produced by small-scale farmers and backyard growers are mostly processed naturally into ‘tablea’ (a popular native chocolate confection used in hot and strong chocolate drink).

3) Chocolate is considered high in phenylethylamine, likely serving as medication. Cocoa

also contains 300 volatile compounds and the most important flavor components are: aliphatic esters, polyphenols, unsaturated aromatic carbonyls, pyrazines and theobromine (Magat, 2004). Moreover, it contains proteins (18%); fats (cocoa butter); amines and alkaloids, including theobromine (0.5 -2.7%). The Forastero variety have less caffeine (0.1%) as compared to Criollo ariety (1.43 -1.70%) (Center for New Crops and Plant Products [CNCPP]- Purdue Universityn.d. in Magat, 2005.

4) As for folk medicine or remedy, cacao is considered antiseptic, diuretic and

parasiticide. Duke and Wain (1981) in Magat, 2005 cited its application to remedy alopecia, burns, cough, dry lips, eye sore, fever, malaria, nephrosis, parturition,


pregnancy, rheumatism, snakebite and wounds. Also,cocoa butter is applied onto wrinkles to minimize or remedy it ( Leung, 1980 in Magat, 2005).

5) From the coconut trees, obtained are many basic food products from nuts (like

kernel/meat, coconut milk, coconut oil, coconut water/juice) and coconut sap (fresh sap, vinegar, coconut nectar/honey and natural sap sugar); non-food raw materials for various high value products (husked- based, shell-based). Many more products are derived from other parts of the coconut trees.

3.3.3.3. MMMMARKET ARKET ARKET ARKET DDDDEMAND AND EMAND AND EMAND AND EMAND AND PPPPRACTICESRACTICESRACTICESRACTICES

In 1997, the national annual average yield of cacao beans was estimated at 0.52t/ha, where the yield of small farm ranged from 0.30t/ha to 0.40t/ha (PCARRD 2000). In the same year, the total production was only 7,844 t from 15,150 ha,72% of which was produced in Southern Mindanao. Compared to 1990 (9,413 t cacao beans from 17,801 ha) , a clear reduction in national production output was noted and is likely attributed to decrease in hectare and probably a lower productivity level. Moreover, a total of locally produced 7,000 t DFCB was supplied to the 13 local grinders requiring at least 30, 000 t DFCB. Unless production and productivity of the cacao crop increases within the next 5-10 years, local requirement for DFCB would be continually supplied through importation. Just like the most traded agricultural commodities, the domestic price of DFCB follows the global market. Locally, the average wholesale prices of DFCB increased from P28.50/kg in 1994 to P40/kg DFCB in 1996 (PCARRD 2000). In 1998, the Philippine exported cocoa butter (fat oil which accounted for 22.34% or 3.123 mt of export. Cocoa paste (wholly/partly defatted –cocoa cake), cocoa beans (whole/broken, raw roast) were likewise exported with 18.65% or 20 mt 18.48% or 1.407 mt, 17.49% or 1.363 mt, respectively (http://www.philponline.com.ph/-webdev/da-amas/cacao.html).

4.4.4.4. GGGGROROROROWING WING WING WING CCCCONDITIONS AND THE ONDITIONS AND THE ONDITIONS AND THE ONDITIONS AND THE TTTTECHNOLOGYECHNOLOGYECHNOLOGYECHNOLOGY 4.1 4.1 4.1 4.1 Environmental RequirementsEnvironmental RequirementsEnvironmental RequirementsEnvironmental Requirements

To optimize the achievable yield of cacao under the coconut-banana cropping system, it is essential to provide the suitable conditions (climate and soils) for the two crops. Moreover, the competition for light, soil and water resources usually results in marginal economic returns from one of the component crops or in both.

Climatic Needs:Climatic Needs:Climatic Needs:Climatic Needs:

FactorFactorFactorFactor CoconutCoconutCoconutCoconut CacaoCacaoCacaoCacao

Altitude (m above sea level) Less than 600 Less than 300

Temperature (oC) 24- 29 18-32

Light >2000 sunshine hours/year Shade-tolerant crop

Total annual rainfall (mm) 1500- 2500 (well distributed) 1,250-2,800(w/o any drought exceeding 3


months)

Typhoon frequency (%) < 20 < 20

SSSSoil Requirements:oil Requirements:oil Requirements:oil Requirements:

Soil ConditionSoil ConditionSoil ConditionSoil Condition CoconutCoconutCoconutCoconut CacaoCacaoCacaoCacao

Soil Depth (cm) >75 >1500

Drainage Moderate to well-drained Well-drained

Soil Acidity (pH) 5.5-7.5 4.5 - 7.0

Soil Texture Sandy, loamy, clayey (with good structure)

Loamy, clayey (with good structure)

Organic matter content Medium to High Medium to High

Major nutrients N, K, Cl, S, P, Ca, Mg, B N, P, K, Ca

4.24.24.24.2 TechnologyTechnologyTechnologyTechnology

It is very important to apply the best package of technologies (POT) or better still, the site-specific technologies to achieve the maximum economic yield (MEY), highly desirable to obtain the least production cost per unit product or per ha, and the maximum returns to investment under the coconut-cacao cropping production system.

As a detailed guide on the cultural practices of cacao, the Philippines Recommends for cacao (PCARRD 1989) is a popular reference-manual. For coconut, three booklets were produced by the PCA as quick references: 1) Production Management of Coconut (Magat 1999); 2) Coconut-based Farming Systems (CBFS), Technology Notes for Practicioners (Magat 1999) and 3) Good Agricultural Practices in Coconut Production (GAP-Coconut), PCA, Dept. of Agriculture.-Diliman, Quezon City Metro Manila, Philippines. 86 p.(Magat 2006)

Following are some salient recommended farming pointers or practices in a coconut-cacao cropping system:

CACAOCACAOCACAOCACAO

1. In a small farm or a plantation, at least five recommended clonal materials to be grown at the same period, since cacao trees are normally incompatible in terms of flowering and pollination;

2. Under monoculture, a 3 m x 3 m triangular spacing (1,241 plants/ha) is desirable to be grown when intercrop with coconuts (coconut-cacao long term cropping system);

3. Recommended hybrid varieties are Criollo, Trinitario and Forastero. Commonly propagated by seeds grown in the nursery with regular watering as practical; seedlings are ready for transplanting in 6-8 months with 4-6 pairs of green true leaves are present; the use of budded clonal seedlings offers a true-to-type seedlings which achieve earlier higher yields;

4. In the initial years of crop establishment, shade of other tree crops (“nurse crops”) like coconut, Gliricidia, Leucaeria or Erythrina and other comparative crops is desirable; under coconut cacao monocraopping system, shade trees are later pruned;

5. Proper and timely pruning is required: 1) to train, shape and achieve the economical tree height; 2)to have adequate air circulation and sunlight penetration within the


crop; 3) to minimize incidences of pest and diseases; and 4) to produce higher and quality yields;

6. Adequate fertilization is an important component of the integrated crop management of the cacao or cocoa tree crop.

7. The major insect pests of the crop are cacao pod borer (causes uneven ripening and unfilled beans), Helopetis (attcks immature pods) and Apogonia (leaf eaters) that are active at nighttime. While, the most important diseases are : black pod disease; red root disease (causing wilting and yellowing of leaves and eventual death of trees); white rot disease (causing wilting of leaves, leaving white mycelium and vascular streak disease (Oncosbasidium theobromae), characterize by brownish horizontal streak of infected twigs and causes the eventual death of shoots (Ministry of Agriculture of Malaysia).

8. Harvesting – is done when pods turns yellowish or reddish orange in color. Pick cacao fruits only when they are fully mature (147 days) Harvesting should be done regularly to avoid overripe pods in the trees. Usually, the cacao crop has peak-harvest and off-season periods. The peak-harvest period is the result of flowering during the rainy season. Selective harvesting is done by hand using knives or machetes. Puling the pods from the tree damages the flower cushions and destroys the bark.

9. The following are some of the very important considerations in the postharvest handling of cacao beans: 1) avoid injuring the beans during pod-splitting (pods cut open to extract the beans); 2) wet cocoa beans should undergo fermentation for 7 days in order to kill the seeds and enhance the chocolate flavor; 3) dry under the sun or by a mechanical dryer; 4) dried beans are kept in gunny sacks and stack on raised platforms. Avoid damp conditions to control fungus attack which lower the bean quality. Dried fermented cacao beans (DFCB) are best graded before marketing, following the acceptable or standard grading system in the country. The criteria for grading are the number of beans per 100 g, % fungus infection, % pest incidence and % slaty beans (“flat” beans).

COCONUTCOCONUTCOCONUTCOCONUT

With the coconut trees are already established and already at bearing stage, the

main farming practices are fertilization, underbrushing-weeding, mulching of the main rootzone of coconut (also considered the fertilizing zone at trunk base of trees), and harvesting. Post-harvest and primary processing practices (seasoning of partially immature nuts for 7–10 days, dehusking and copra processing) are common in small to medium scale farms. If sold to coconut desiccating plants, dehusked nuts are immediately marketed. Coconut husks await decortication/defibering, while coconut shells are converted to charcoal and sold to activated carbon processors.

A separate fertilization for the stands of coconut and the cacao crop is

recommended. There are two average inorganic/mineral fertilizer recommendations for coconut: 1) using the combination of single fertilizers (ammonium sulfate plus common salt (for potassium-rich soils) or potassium chloride (0-0-60) for soils deficient in K; and 2) using ready-to-apply multinutrient fertilizers as the 14-5-20-0.02 (B), now commercially available like COCOGROW (ATLAS Brand) in 25 kg. capacity bags.

These two fertilizer recommendations are compatible with the application of

appropriate organic fertilizers (compost, cocopeat, commercial organic fertilizers). If capital resources to purchase organic fertilizers is available, any of these organic fertilizers ( total N, P and K of at least 5%) may be applied together with the mineral fertilizers (options 1 and 2) indicated below at the rate of 3-4 times of the periodic rates indicated. Organic fertilizers should be applied about a month ahead of the


application of the inorganic/mineral fertilizers. Organic fertilizers serve best as soil conditioners and fertilizer supplements to the coconut-cacao cropping system.

For CoconutFor CoconutFor CoconutFor Coconut Option 1Option 1Option 1Option 1

Application of SiApplication of SiApplication of SiApplication of Singlenglenglengle----Fertilizers (per tree):Fertilizers (per tree):Fertilizers (per tree):Fertilizers (per tree):

6 months from FP 200 g AS + 200 g SC or 200 g KCl

1 year 500 g AS + 450 g SC or 600 g KCl

2 years 750 g AS + 750 g SC or 900 g KCl

3 years 1.0 kg AS + 1.25 kg SC or 1.5 kg KCl

4 years 1.25 kg AS + 1.35 kg SC or 1.70 kg KCl

5 years and onwards 1.50 kg AS + 1.70 kg SC or 2.00 kg KCl

a AS – Ammonium sulfate (21-0-0); SC – Sodium chloride (common salt);

KCl – Potassium chloride (0-0-60)

Option 2Option 2Option 2Option 2

Application of readyApplication of readyApplication of readyApplication of ready----totototo----apply multinutrient apply multinutrient apply multinutrient apply multinutrient fertilizer (per tree):fertilizer (per tree):fertilizer (per tree):fertilizer (per tree):

Age/StageAge/StageAge/StageAge/Stage Rate of 14Rate of 14Rate of 14Rate of 14----5555----20 20 20 20

multimultimultimulti----nutrient Fertilizer nutrient Fertilizer nutrient Fertilizer nutrient Fertilizer aaaa

Field-planting (FP) 400 g

6 months from FP 600 g

1 year 1.25 kg

2 years 1.50 kg

3 years 2.00 kg

4 years 2.50 kg

5 years and onwards 3.00 kg

aaaa contains 14% N, 5% P2O5, 20% K2O plus 15% Cl , 4.5%S, 0.02% Boron, Ca.

For Cacao A. Average nutrient needs and suggested fertilizer grade for immature cacao plants (g

per plant)a

After field planting (month)

Nutrient Rate N P2O5 K2O MgO

Fertilizer Grade 14-14-14b

1 4 8 12 18 24

6.4 6.4 6.4 - 8.5 8.5 8.5 - 8.5 8.5 8.5 - 12.8 12.8 12.8 - 17.0 17.0 17.0 - 27.3 27.3 27.3 4.5

45 60 60 92 121 192c

Total 80.5 80.5 91.7 4.5 570

a PCARRD 1989 b Estimated from PCARRD’s 1989 study


c Plus 19 g KCl (0-0-60 fertilizer) + 30 g dolomitic limestone (dolomite) B. Nutrient and fertilizer recommendation for mature cacao trees based on 1 t DFCB/ha

with 1,241 plants at 3 m x 3 m spacing

Nutrient Nutrient Removal from cropping (kg/t per year) Cacao beans Pod husks Total

Nutrient (kg/ha)

Fertilizer Grade Per ha (kg) per tree (g)

N P K Ca Mg

21.3 14.5 35.8 4.0 1.8 5.8 9.5 62.7 72.2 1.0 5.6 6.6 3.0 3.0 6.0

28.5 4.9 40.8 4.3 4.5

135b 108b 62c 49c

107d 86d 33c 26c 50f 40f

a Wood and lass 1985 b Ammonium sulfate (21-0-0) c Solophos (18% P2O5) d KCl (0-0-60) e CaCO3 (limestone) f Dolomite [CaMg(CO3)2, 12% MgO

5.5.5.5. IIIINVESTMENT NVESTMENT NVESTMENT NVESTMENT NNNNEEDSEEDSEEDSEEDS:::: CCCCOSTS AND OSTS AND OSTS AND OSTS AND RRRRETURNSETURNSETURNSETURNS (P(P(P(PRODUCTION RODUCTION RODUCTION RODUCTION EEEECONOMICSCONOMICSCONOMICSCONOMICS))))

As an intercrop of coconut production, cacao (cocoa) at 600 trees/ha, has its production cost (per year/ha) in a 5-year time scale (period cacao achieves full-bearing stage), follows: year 1 (field-planting), PhP30,476; year 2, @ 8,818; year 3, @ 26,700;year 4, @ 39,182; and year 5 and onwards, @41,481, while the projected annual net income/ha: year 1, PhP 30,476 (negative income); year 2, @15,182; year 3, @47,980; Year 4, @72,491, and year 5 and onwards, @ PhP 95,111. For the coconut crop (existing stand), the annual per ha average production cost (including fertilization) is PhP 8,950, Net income of PhP 21,050 (2,000 kg copra/ha, @ PhP15/kg copra). On the coconut-cacao cropping system, the projected total annual net income gained per ha in a 5-year time scale are the following: year 1, PhP9,426 (negative income); year 2, @ 36,232; YEAR 3, @ 69.030; YEAR 4, @ 93,541; and year 5 and onwards, @ PhP 116,161

The details of the simple costs and returns analysis (production economics) of

coconut- Cacao cropping, per ha basis are shown in the following tables ( referenced to production items/details on: (1) Phil. Recommends for Cacao, PCARRD 1979; (1) cocoa yield profiles, Richards 2007; (3) production costs based on 1997 prices by DA-SMIAR-RFU XI, Davao City ) Table 5.1 Simple costTable 5.1 Simple costTable 5.1 Simple costTable 5.1 Simple costssss and return and return and return and returnssss ((((prodprodprodproduction economicsuction economicsuction economicsuction economics)))) of cacao grown as of cacao grown as of cacao grown as of cacao grown as monocrop monocrop monocrop monocrop

and and and and intercrop of coconutintercrop of coconutintercrop of coconutintercrop of coconut (cacao monocrop: 1,000 cacao trees/ha; cacao as (cacao monocrop: 1,000 cacao trees/ha; cacao as (cacao monocrop: 1,000 cacao trees/ha; cacao as (cacao monocrop: 1,000 cacao trees/ha; cacao as intercrop of coconut: 600 trees/ha, Richards, 2007).intercrop of coconut: 600 trees/ha, Richards, 2007).intercrop of coconut: 600 trees/ha, Richards, 2007).intercrop of coconut: 600 trees/ha, Richards, 2007).

ItemItemItemItem Year 1Year 1Year 1Year 1 Year 2Year 2Year 2Year 2 Year 3Year 3Year 3Year 3 Year 4Year 4Year 4Year 4 Year 5Year 5Year 5Year 5

I. I. I. I. CACACACACACACACAOOOO::::

A. Fixed Cost 3,5003,5003,5003,500aaaa ---- 1 1 1 1,100,100,100,100bbbb 400 400 400 400cccc ----

B. Maint. & Operating Cost 1.Cacao seedlings,1,111 +10%,

27,775


P25/seedling (budded cacao) 2.Fertilizer (complete,14-14-

14) @ 960/bag 3. Pesticides 4. Sacks, P10 @ 5. Rattan baskets, P20@ SubSubSubSub----totatotatotatotallll

4,800 400

32,97532,97532,97532,975

10,560

500

11,06011,06011,06011,060

14,400

500 200 200

15,30015,30015,30015,300

21,120 600 600 300

22,62022,62022,62022,620

21,210 600 400 200

22,41022,41022,41022,410

C. Labor 1. Clearing, 20md x P100/md 2.Liming & staking 4 md 3. Digging of holes, 10 md 4.Planting, 40 md 5. Weeding & mulching 10md 6. Fertilizing, 4 md 7. Spraying pesticides. 9md 8. General weeding, 15 md 9. Pruning, 10 md 10. Harvesting, breaking of pods, fermenting, drying: 55, 83, 111 md for 3rd, 4t , 5th yr. SubSubSubSub----totaltotaltotaltotal

2,000 400

1000 4000 1000 400 900

9,7009,7009,7009,700

1000 400 900

2,3002,3002,3002,300

1000 400 900

1500 1000

5,500

10101010,300,300,300,300

500 400 900

1500 1000

8,300

12,60012,60012,60012,600

400 400 900

1500 1,000

11,100

15,30015,30015,30015,300

D. Contingency (10%tot. cost) 4,6184,6184,6184,618 1,3361,3361,3361,336 2,6702,6702,6702,670 3,5623,5623,5623,562 3,7713,7713,7713,771

E. Total Production cost/1000 cacao trees (as monocrop /ha)

50,79350,79350,79350,793 14,69614,69614,69614,696 26,70026,70026,70026,700 39,18239,18239,18239,182 41,48141,48141,48141,481

F. Production Cost/600 cacao trees (cacao as intercrop under coconut/ha)

30,47630,47630,47630,476 8,818 8,818 8,818 8,818 16,02016,02016,02016,020 23,509 23,509 23,509 23,509 24,889 24,889 24,889 24,889

F. Yield & Income from Cacao as

F.1 Monocrop

a) Pod/tree

b) Dried beans (kg/ha)

c) Gross Value (at P80/kg)

d) Net Income

F.2 As Intercrop

a) Pod/tree

b) Dried beans (kg.ha)

c) Gross Value (at P80/kg)

d) Net Income

0

0

0

(50,793)

0

0

0

(30,476)

7

300

24,000

9,304

12

300

24,000

15,182

25

1,000

80,000

53,300

33

800

64,000

47,980

38

1,500

120,000

80,818

50

1,200

96,000

72,491

45

1,800

144,000

102,519

60

1,500

120,000

95,111

a Sprayer, shovel, hoe,etc.

b Pruning shear, construction of 25 sq.m. solar drier at P40/sq.m c Construction of additional 10 sq.m. concrete soar drier at P40/sq.m.

Table 5.2. Simple costs and returns (production economics) of the coconut crop component and the total net income from coconut + cacao cropping system (per ha/year basis), 135 coconut trees and 600 cacao trees/ha).


COCONUT:COCONUT:COCONUT:COCONUT:

(Copra yield @ 2 t/ha, @P15/kg Nuts= 8,000/ha)

Cost of harvesting, piling, hauling, deshusking @ P0.35/nut

2,800 2,800 2,800 2,800 2,800

Copra making @P0.12/kg 960 960 960 960 960

Transport/ Handling, @ P0.20/kg copra

400 400 400 400 400

Fertilizer application 360 360 360 360 360

Circle weeding, 4.5 md, 6x/yr 2,430 2.430 2,430 2.430 2,430

Fertilizer cost b 2,000 2,000 2,000 2,000 2,000

Total Cost (P) 8,950 8,950 8,950 8,950 8,950

Yield (kg/ha) 2,000 2,000 2,000 2,000 2,000

Gross Income (P) 30,000 30,000 30,000 30,000 30,000

Net Income (P) 21,050 21,050 21,050 21,050 21, 050

Total Net income (PTotal Net income (PTotal Net income (PTotal Net income (Phphphphp) ) ) ) (coconut + (coconut + (coconut + (coconut + cacaocacaocacaocacao))))

(9,426)(9,426)(9,426)(9,426) 36,23236,23236,23236,232 69,03069,03069,03069,030 93,54193,54193,54193,541 116,161116,161116,161116,161

Benefit/cost ratioBenefit/cost ratioBenefit/cost ratioBenefit/cost ratio (0.24)(0.24)(0.24)(0.24) 2.042.042.042.04 2.762.762.762.76 2.882.882.882.88 3.433.433.433.43

b 1.5 kg AS + 1.7 kg NaCl @ P5/kg and P4/kg, respectively, 135 trees/ha

6.6.6.6. PPPPOTENTIAL OTENTIAL OTENTIAL OTENTIAL FFFFINANCING INANCING INANCING INANCING SSSSOURCESOURCESOURCESOURCES/C/C/C/CREDIT REDIT REDIT REDIT FFFFACILITIESACILITIESACILITIESACILITIES • Self or In-House Finance (Private) • Local Government Units (Municipal, Provincial, Congressional) • Government Banks & Lending Institutions • Private Banks and Lending Agencies • Cooperatives

• Foundations

RRRREFERENCESEFERENCESEFERENCESEFERENCES:::: Cabangbang, R. and E. A. Aguilar. 1991. Intercropping coconut with cacao. In :Book

Series No. 116/1991.Success stories of farmer-managed coconut-based farming systems, Volume II. Published by PCARRD-DOST and Rainfed Resources Development Proj.- Govt. of the Phil. and United States Agency for International Development (USAID).

Magat, S.S. 1999. Production management of coconut (Cocos nucifera L.) Published by PCA, Diliman, Quezon City. 67 p.

Magat, S.S. 2004. Growing of Intercrops in coconut lands to generate more food and agricultutral products, jobs and enhancing farm income. Coconut Intercropping Primer. Published by PCA-Diliman, Quezon City.Dec.2004. 7p.


Magat, S.S. 2005. Crop Nutrition and Fertilization Management of Selected Tropical Industrial Tree Crops. Los Baños, Laguna: PCARRD-DOST, 2005. 172 p.

Magat, S.S. 2006. Good Agricultural Practices in Coconut Production (GAP-Coconut),

PCA, Dept. of Agriculture.-Diliman, Quezon City Metro Manila, Philippines. 86 p.

PCARRD-DOST. 1979. The Philippine Recommends for Cacao. Los Baños, Laguna: PCARRD.

PCARRD-DOST. 2000. The Cacao Industry. Los Baños, Laguna: Philippine Council for Agriculture, Forestry and Natural Resources Research and Development (PCARRD). DOST, Los Banos, Laguna.

Richards, N. 2007. Cocoa and cocoa-based intercropping. Field Notes:Cebu City.ACDIVOCA Philippines 2 p.

Southern Mindanao Agricultural Research Center, Department of Agriculture Regional Field Unit XI,Bago Oshiro, Davao City. 1997 Price List of Agricultural Products.

The Coconut Committee (1992). The Philippine Recommends for Coconut. Los Baños,

Laguna: PCARRD, PARRFI and PCRDF. (Phil. Recommends Series, No.2-b, 1993. 234 p.).

From the internet:

DA-Agribusiness Marketing Assistance Service. Cacao Industry Situationer Report.http://www.philonline.com.ph/-webdev/da-amas/cacao.html

FFFFOR MORE INFORMATION AND ASSISTANCE, YOU MAY CONTACT THE FOLLOWING OR MORE INFORMATION AND ASSISTANCE, YOU MAY CONTACT THE FOLLOWING OR MORE INFORMATION AND ASSISTANCE, YOU MAY CONTACT THE FOLLOWING OR MORE INFORMATION AND ASSISTANCE, YOU MAY CONTACT THE FOLLOWING OFFICES SITUATED NEAR YOU:OFFICES SITUATED NEAR YOU:OFFICES SITUATED NEAR YOU:OFFICES SITUATED NEAR YOU:

� Research & Development, and Extension Branch, PCA, Diliman, Quezon City 1101 Tel: (632) 928-4501 to 10 (local: 501, 508)

Fax: (632) 926-7631

Email: [email protected] or [email protected]

� Field Services Branch, PCA, Diliman, Quezon City 1101

Tel: (632) 928-4501 to 10 (local: 504, 509)

� Albay Research Center (ARC), PCA, Banao, Guinobatan Albay

Tel: (052) 484-6686 or 484-6685

� Davao Research Center (DRC), PCA, Bago-Oshiro, Davao City, PO Box 80437

Tel: (082) 293-0113/0115/0161/0119 Fax No. (082) 293-0571 Email:

[email protected] or [email protected]

� Zamboanga Research Center (ZRC), PCA, San Ramon, Zamboanga City, PO Box 356

Tel: (0917) 710-1820 Email: [email protected]

� PCA Region IV-A (Southern Tagalog), Barrio Isabang, Lucena Ciity

Tel: (042) 712-159 Email :[email protected]


� PCA Region IV-B (MIMAROPA and rest of Luzon) Diliman, Quezon City

Telefax: 924-4761 Tel: 927-5227 Email: [email protected]

� PCA Region V (Bicol) , Sagpon, Legaspi City

Tel: (052) 245-5263 Fax: (052) 245-5263 Email : [email protected]

� PCA Region VI (Western Visayas), 12 Mabini St., Iloilo City

Tel: (033) 337-7514 Fax: (033) 335-0977 Email: [email protected]

� PCA Region VII (Central Visayas), DA7, Mandaue City (CEBU) Email: [email protected] t.el: (032) 345-0009 Fax: (032) 345-8435

� PCA Region VIII (Eastern Visayas), Gov’t Center, Candahug, Palo, Leyte Tel: (053) 323-2698 Fax: (053) 323-2995 Email: [email protected]

� PCA Region IX (Western Mindanao), J.P. Rizal St., Zamboanga City Tel: (062) 991-6369 Fax: (062) 992-1031 [email protected]

� PCA Region X (Northern Mindanao), #30 Daumar St., Cagayan De Oro City

Tel: (088) 857-3707 Fax: (088) 272-2814 Email: [email protected]

� PCA Region XI (Southern Mindanao), PCA Complex, Bago-Ohiro, Tugbok District, Davao City

Tel: (082) 293-0384 Telefax: (082) 293-0049 Email: [email protected]

� PCA Region XII (Central Mindanao), 2nd Flr, AS Bldg. , Cor. JP Laurel and CM Recto Sts,

Gen. Santos City

Tel: (083) 544-6263 Telefax: (083) 553-9424 Email: [email protected]

� PCA Region XIII (CARAGA), JC Aquino Ave., Pajera Subd., Butuan City

Tel: (085) 815-3232 Fax: (085) 226-4621 Email:[email protected]

� PCA-ARMM, Emilio Ong Bldg., Quezon Ave., Cotabato City

Telefax: (064) 421-2412. Email: [email protected]

Drafted by: SS Magat and MI Secretaria 25 April, 2007/ PCA-DRC, PCA-RDEB/ARMD

Documents

Coconut Intercropping Guide No. 7