Introduction Adding Value to Fresh and Processed Produce through Product Certification: The Philippines

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4. Adding Value to Fresh and Processed Produce through Product Certification: The Philippines

Case Josefina M. Lantican ∗ , Rene Cris P. Rivera ∗∗ , Jude Ray P. Laguna ∗∗∗

4.1 Introduction

This study was undertaken in collaboration with the United Nations - Centre for Alleviation of Poverty through Secondary Crops Development in Asia and the Pacific CAPSA. Started in July 2008, the general objective of this study is to analyse and identify specific benefits derived from the rapid growth of the dynamic market, in particular from the product certification perspectives that can be tapped by secondary crops farmers, especially those living in medium altitude areas. The specific objectives are: 1. To identify and determine the linkages between the smallholder producers and specific market segments, local, urban markets, and cold store chains; 2. To determine the post-harvest practices of smallholder producers like cleaning, handling, and packing; 3. To determine the pricing, implicit and explicit quality requirementsindicators and current certification activities at all stages of the marketing channel; and 4. To provide basis for the preparation of training resourcesmaterials specifically designed for small farmers to enable them to be linked to the dynamic market. The project covers Benguet in the Cordillera Administrative Region CAR and Mindanao, specifically Cagayan de Oro City where vegetables grown in the plateaus of Bukidnon and Misamis Oriental are brought to the Agora market, the major vegetable trading post in the city. Primary data and pertinent information related to post harvest practices like cleaning, handling, and packing were collected from the producers, wholesalers, and retailers. Information on pricing, implicit and explicit quality requirementindicators and current certification activities at all stages of the marketing channels, were also elicited. Other information was also taken from relevant past studies. ∗ Technical Adviser, Department of Agriculture – Bureau of Agricultural Research, Diliman, Quezon City ∗∗ Technical Support Staff, Department of Agriculture – Bureau of Agricultural Research, Diliman, Quezon City ∗∗∗ Technical Support Staff, Department of Agriculture – Bureau of Agricultural Research, Diliman, Quezon City Chapter 4 32 The role of the local governments and policies were also studied and analysed. Results of the study will serve as inputs for the production of training materials for farmersfarmer associations. The study focused on temperate and semi-temperate vegetables grown in the highlands of the Philippines. Surveys were conducted by the project team in the major vegetable growing highlands of the country, the Cordillera Administrative Region CAR and Northern Mindanao. Primary and secondary data and information related to the marketing of highland vegetables in the respective areas were collected, in order to assess the marketing system adopted by the smallholder producers. Respondents were the highland farmers, farmer associationco-operative leaders, wholesalers, wholesaler-retailers, and retailers. A number of supermarkets in Metro Manila were included in the survey to determine their roles in the supply chain. Secondary data were collected from the Bureau of Agricultural Statistics BAS, the regional offices of the Agribusiness and Marketing Assistance Division AMAD of the Department of Agriculture DA, and from relevant literature. Data and information gathered were analysed to identify and determine the linkages between smallholder producers and specific market segments, local, urban markets, and cold store chains. The results of the study were presented in the regional and in-country seminarsworkshops, specifically in Bandung, Indonesia and Manila, Philippines. The workshops were attended by representatives of relevant agencies, highland farmers’ associationsco-operatives leaders, and other stakeholders. Training resourcesmaterials specifically designed for small farmers were prepared to enable them to link to the dynamic markets. The results of the study will also be posted on the Web for wider dissemination.

4.2 Background