Socio-Economic Upliftment of Selected Seaweed Farming Communities in

Puerto Princesa City, Palawan: Problems and Prospects

Michael D Pido

Ma. Celeste A Armedilla

Ferdinand A Pontillas

Eva Marie dC Ponce de Leon

Presentation Outline

I. Introduction

II. Socio-Economic Upliftment

a. Income

b. Employment

III. Problems

a. Farmers

b. Traders

IV. Prospects

V. Revenue of Seaweeds Farmers

Seaweeds families

• red algae (Rhodophyceae)

• brown algae (Phaeophyceae)

• green algae (Chlorophyceae)

Philippine Seaweed ProductionPhilippine Seaweed Production

-

200

400

600

800

1,000

1,200

1997 1998 1999 2000 2001 2002 2003

Year

Vo

lum

e ('0

00 M

T)

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

4,000,000

Val

ue (

PhP

'000

)

Volume Value

Source: BAS (2004)

Yearly Average Price Yearly Average Price of Seaweeds

0.00

5.00

10.00

15.00

20.00

25.00

30.00

35.00

40.00

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004

Year

Pri

ce p

er k

ilogr

am

Average

Source: Dublin (2005)

Monthly average price of dried seaweeds, 1995-2004

One Year Eucheuma Landed Warehouse Price Based on 1995 to 2004 Data

22.5

23

23.5

24

24.5

25

25.5

26

26.5

27

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Month

Pri

ce

Average

Source: as cited by Dublin (2005)

Map of Palawan and Honda Bay

Palawan Seaweed Production

-

50,000

100,000

150,000

200,000

250,000

300,000

350,000Vo

lum

e

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004

Year

Palawan Seaweed Production

Seaw eed Production (mt)

Source: BAS (2005)

Coron

Area for Seaweed Farming in Palawan

Palawan Seaweed Area(Total area = 9,602 ha)

Existing (ha)52%

Potential (ha)48%

Source: DTI (2004)

Area for seaweeds farming in Puerto Princesa City

Puerto Princesa City Seaweed Farming Area

Existing (ha)17%

Potential (ha)83%

Source: DTI (2004)

Area= 238 ha

Pandan Island, Honda Bay

Puerto Princesa City seaweeds production (dried)

Seaweeds Production (dried)

0.00

2,000.00

4,000.00

6,000.00

8,000.00

10,000.00

12,000.00

2003 2004 2005 (Jan-Aug)

Year

Vo

lum

e (

kg

)

Pandan MPC Bahile San Rafael Buenavista Luzviminda Concepcion

Source: OCA (2003-2005)

Employment

• Provided employment to at least 60 families– 24 families in PMC– 13 families in Buenavista– 19 families in San Rafael– Other barangays, still to be

identified

Problems encountered by seaweeds farmers

Major Problems

• Financing

• Low Production

• Lack of Post-harvest assistance

• Trade

Problems encountered by traders

• farmers are not properly drying their seaweed.

• Presence of ‘fly-by-night’ traders

• lack of credit financing to traders.

• some processors are not imposing fair and reasonable moisture deduction.

Prospects

• Production

• Microfinancing

• Infrastructure Facilities

• Training/Capacity Building

IncomeProduction 5,400 kg

Price PhP 37

Sales PhP 199,800

Less: Transportation expense (0.50 kg) 2,700

Income per cropping 197,100

x number of cropping per year 2

Income per year 394,200

Less:

Input cost 74,500

Maintenance cost 67,450

Depreciation cost 13,075

Net Income PhP 239,175

ROI for 1 ha farm

• ROI = 125%

Economic projection 2005Farm area Net income

Poverty threshold Surplus/deficit

0.25 40,987.50 79,583.70 (38,596.20)

0.30 56,600.00 79,583.70 (22,983.70)

0.35 54,212.50 79,583.70 (25,371.20)

0.40 69,825.00 79,583.70 (9,758.70)

0.45 85,437.50 79,583.70 5,853.80

0.50 101,050.00 79,583.70 21,466.30

0.55 116,662.50 79,583.70 37,078.80

0.60 132,275.00 79,583.70 52,691.30

0.65 147,887.50 79,583.70 68,303.80

0.70 145,500.00 79,583.70 65,916.30

0.75 161,112.50 79,583.70 81,528.80

0.80 176,725.00 79,583.70 97,141.30

0.85 192,337.50 79,583.70 112,753.80

0.90 207,950.00 79,583.70 128,366.30

0.95 223,562.50 79,583.70 143,978.80

1.00 239,175.00 79,583.70 159,591.30

Economic projection 2010Farm area Net income Poverty threshold Surplus/deficit

0.25 87,873.37 94,064.73 (6,191.35)

0.30 112,863.05 94,064.73 18,798.32

0.35 119,852.72 94,064.73 25,788.00

0.40 144,842.40 94,064.73 50,777.67

0.45 169,832.07 94,064.73 75,767.35

0.50 194,821.75 94,064.73 100,757.02

0.55 219,811.42 94,064.73 125,746.70

0.60 244,801.10 94,064.73 150,736.37

0.65 269,790.77 94,064.73 175,726.05

0.70 276,780.45 94,064.73 182,715.72

0.75 301,770.12 94,064.73 207,705.40

0.80 326,759.80 94,064.73 232,695.07

0.85 351,749.47 94,064.73 257,684.75

0.90 376,739.15 94,064.73 282,674.42

0.95 401,728.82 94,064.73 307,664.10

1.00 426,718.50 94,064.73 332,653.77

Economic projection 2010

Area (ha)Number of beneficiary

farmers/familiesPotential benefits

(PhP)

0.25 952 83,655,453

0.50 476 92,735,153

0.75 318 95,962,900

1.00 238 101,559,003

Parting words

• Many of the coastal residents of Puerto Princesa City either remain impoverished or live below the poverty line.

• Seaweeds farming is one of the promising livelihood options.

• Given the appropriate logistical and institutional support, seaweeds farming may become profitable enterprise in Puerto Princesa City.

THANK YOU