2010年-世界发展银行全球_Philippines___Study_on_Agribusiness_Infrastructure_and_Logistics_for_Growth_in_Mindanao_16页_845kb

Summary of the Study on Agribusiness, Infrastructure, and Logistics for Growth in Mindanao

Core Content

This study, conducted by the World Bank and funded by the Australian Agency for International Development, examines the agribusiness value chains in Mindanao, particularly focusing on yellow corn and Cavendish bananas. It identifies the main constraints and opportunities for improving the competitiveness and sustainability of these sectors, with a view to promoting economic growth in the region.

Main Viewpoints

1. Agricultural Potential and Economic Importance

• Mindanao is a region with high agricultural potential and a strategic importance in the Philippine economy.
• Despite its potential, it lags behind other parts of the country in terms of per capita growth and poverty reduction.
• Agriculture is the backbone of the region's economy, with a strong agro-industrial base and export orientation.

2. Value Chains and Their Role in Growth

• The banana and corn value chains are identified as key contributors to Mindanao's future economic growth.
• Bananas are a competitive and growing export sector, while corn is more vulnerable due to low productivity and high costs.

3. Constraints to Value Chain Performance

• Common constraints include:
  • Poor infrastructure (roads, ports, power supply)
  • Inefficient logistics and weak trade facilitation
  • Land fragmentation and limited access to credit
  • Low farm productivity and lack of technical support
  • Unfavorable business environment and high corruption
• Sector-specific constraints:
  • For bananas, issues include price transparency, environmental sustainability, and organizational inefficiencies.
  • For corn, challenges include low yields, high transport costs, and poor post-harvest handling.

Key Information

4. Productivity and Quality Gaps

• Farm-level productivity in both crops is below regional and global standards.
• Yellow corn yields in the Philippines average around 2.6 tons per hectare, compared to 5 tons per hectare needed to compete with imports.
• Banana prices have not kept up with rising input costs, leading to lower net incomes for small farmers.

5. Infrastructure and Logistics

• Farm-to-market roads (FMRs) are critical for improving market access and reducing transport costs.
• Inter-island shipping is inefficient and costly, especially for small consignments of bagged corn.
• Port and shipping regulations are a major bottleneck in logistics efficiency.
• Post-harvest facilities (PHFs) are insufficient and need investment to improve quality and reduce losses.

6. Agrarian Reform and Land Use

• The Comprehensive Agrarian Reform Program (CARP) has had limited impact on poverty reduction.
• Land fragmentation and limited mechanization hinder productivity in both sectors.
• Cooperative arrangements for banana production are problematic, limiting economies of scale.

7. Policy Recommendations

• A comprehensive support program should be implemented, focusing on three priority areas:
  • Bridging the productivity and quality gap
  • Investing in infrastructure
  • Improving social and environmental sustainability
• Policy measures include:
  • Completing trade liberalization in the corn sector by reducing tariffs on non-ASEAN imports.
  • Improving knowledge on benchmarking production costs.
  • Redefining the role of NABCOR to promote private investment in PHFs.
  • Strengthening professional organizations for better governance and sustainability.
  • Establishing price information systems and improving access to credit and finance.

8. Cross-cutting Issues

• Improving the business environment is essential for attracting private investment and fostering agribusiness growth.
• Non-distortive macroeconomic policies are required to ensure that foreign exchange rates, inflation, and credit policies do not hinder value chain performance.

Conclusion

The yellow corn and Cavendish banana value chains in Mindanao offer significant potential for economic growth, but they face serious challenges that need to be addressed through targeted policies and investments. By improving productivity, infrastructure, and sustainability, these sectors can become more competitive and contribute more effectively to the region's and the country's economic development.

Annex: Summary of the Value Chain Analysis

Yellow Corn Value Chain

• Annual production in the Philippines: 3.7 million tons (2004–2008)
• Mindanao is a major producer of yellow corn, especially for animal feed.
• Yields in the Philippines are significantly lower than in Thailand, Indonesia, Vietnam, and China.
• Transportation costs are a major barrier to competitiveness.
• Post-harvest facilities are insufficient, leading to quality loss and price instability.
• Private investment is needed in PHFs to improve efficiency and reduce costs.

Export Banana Value Chain

• Total banana production in 2008: 8.7 million tons
• Exports: 2.5 million tons
• Cavendish bananas are the main export variety, with Region XI (Davao) being the leading producer.
• The Philippines is the second-largest exporter of Cavendish bananas globally.
• Domestic demand is growing faster than exports, indicating a shift in consumer preferences.
• Environmental sustainability and organizational inefficiencies are critical challenges for long-term viability.

Table: Average Corn Yields in Selected Asian Countries (2001–2007)

Source: FAO

Final Remarks

The study emphasizes the need for a holistic and integrated approach to support agribusiness value chains in Mindanao. By addressing the root causes of inefficiency and improving the enabling environment, the region can harness its agricultural potential and become a more competitive player in both domestic and international markets.