Poultry Layer Industry: Philippine

PHILIPPINE
POULTRY
LAYER
INDUSTRY
ROADMAP 2022-2040
PHILIPPINE
POULTRY
LAYER
INDUSTRY
ROADMAP 2022-2040
Department of Agriculture
BUREAU OF ANIMAL INDUSTRY
The Philippine Poultry Layer Industry Roadmap (2022-2040)
Copyright 2022. All rights reserved.
No part of this publication may be reproduced, distributed, or transmitted in any form

or by any means, including photocopying, recording, or other electronic or mechanical
methods, without the prior written permission of the Coordinating Office, except in the
case of brief quotations embodies in critical reviews and certain other noncommercial
uses permitted by copyright law. Editorial correspondence and requests to publish,
reproduce or translate this publication in part or in whole should be addressed to the
authors and the publisher.
Published by:
Department of Agriculture - Bureau of Agricultural Research

through the UPLB Foundation, Inc.
in collaboration with the Philippine Council for Agriculture and Fisheries
Coordinating Office:
Bureau of Animal Industry

Diliman, Quezon City, Philippines
Cover & Book Design:
Alphabet Communications Graphics & Print

Quezon City, Philippines
[email protected]
PHILIPPINE POULTRY
(LAYER) INDUSTRY ROADMAP
DEVELOPMENT TEAM
Team Leader
Ms. Cecille Aldueza-Virtucio, BEPCO
Co-Team Leaders
OIC Director Dr. Reildrin G. Morales, DA-BAI

Dr. Rene C. Santiago, DA-BAI
Dr. Jonathan Sabiniano, DA BAI
Technical Consultants
Asst. Prof. Bates Bathan, UPLB-CEM

Assoc. Prof. Veneranda Magpantay, UPLB -CAFS
Asst. Prof. Ricarda Villar, UPLB-CDC
Technical Writer
Caroline Ann Rodero, DA-BAI
Industry Experts
Atty. Irwin M. Ambal, PEA

Dr. Jo Vicente M. Mapa, PABLI/SHAMUS
Dr. Rowena M. Lucas, PABLI/Bounty
Dr. Hernan Cruz, Jr., PABLI/Heritage Veterinary Corporation
Contributors
Dr. Jonathan Sabiniano, DA BAI

Dr. Lina Policarpio, PCPP
Asst. Prof. Geny F. Lapiña, UPLB-CEM
Dr. Erwin Joseph Cruz, PCPP
Ms. Mildred Esquillo, Deltaman
Arch. Edwin Chen, PABLI Bounty
Dr. Dante Palabrica, PABLI URC
iii
iv
TABLE
OF CONTENTS
TABLE OF CONTENTS v
LIST OF TABLES vii
LIST OF FIGURES viii
MESSAGE ix
FOREWORD x
PREFACE xi
EXECUTIVE SUMMARY 1
INTRODUCTION 3
Rationale/Background 3
INDUSTRY SITUATION AND OUTLOOK 7
Industry Structure 7
Structure of the Chicken Industry (Egg and Meat) 7
Layer Farm Definition 9
Market & Channels 10
Product Forms 11
Performance and Outlook 12
Production 13
Inventory, Life Cycle Model and Spatial Distribution (AREA) 14
Regional Profile 15
Consumption per Capita 16
Prices, Supply and Demand 17
ANALYSIS OF THE PHILIPPINES CHICKEN EGG INDUSTRY 19
Context and Approach 19
Value Chain Map - Egg Industry 25
v
SWOT Analysis (per VC Segment) 27
Inputs Supplier 27
Distributors (Link of Farmers to Input Suppliers ) 33
Farmers 34
Cooperatives 35
Food Industry 37
Retail (Buying in Bulk from Farmers / Viajeros / Trader) 38
Food Service 40
Consumers 40
Associations 45
Income/Cost & Return Analysis 47
Income and Profit Analysis 47
Relative Financial Position of Players 52
Bench Mark Analysis 53
Technical Parameters for Layer Production 53
Financial Parameters for Layer Production 54
Competitive Analysis 55
MARKET TRENDS AND PROSPECTS 56
Macro Environment for Food, Agribusiness,
and Biofuel Chain (Global Scan) 56
Socio/Cultural Environment – Consumer Movements 56
Political/Legal (Regulatory) Environment 57
Economic and Natural Environments 58
Technology Environment 59
Market Trends and Prospects 61
A Prosperous Maritime Archipelago 61
Intervention 62
TARGET SETTINGS 63
RECOMMENDATIONS FOR POLICIES, STRATEGIES,
AND PROGRAMS 70
vi
LIST OF TABLES
Table 1. Roles/Functions, Characteristics, and Profiles
of the Participants of the Food Chain 24
Table 2. Swot Analysis of Philippine Feed Milling Industry 27
Table 3. Source and Characteristics of Feed Inputs 28
Table 4. Common Poultry Diseases, Occurrence and Control 30
Table 5. 20 Top Trends, Opportunities and Arguments

for Food Marketing 41
Table 6. Cost and Return Analysis

(70% Capital Payable for 6 Years at 8% Interest Rate) 48
Table 7. Cost and Return Analysis of Chicken Egg Trader, Calabarzon 49
Table 8. Cost and Return Analysis of Chicken Egg Retailer 50
Table 9. Cost and Return Analysis of Chicken Egg Processor

(8% Margin) 51
Table 10. Layer Technical Parameters, 2009 54
Table 11. Cross-Country Comparison of Layer Production

in Selected Asean Countries, 2009 55
vii
LIST OF FIGURES
Figure 1. Philippine Layer Industry Structure 8
Figure 2. Market & Channels 10
Figure 3. Egg Product Forms 11
Figure 4. Average Growth Rates of Value of Production

at Constant Prices From 2000 To 2019. 12
Figure 5. Industry Profile 13
Figure 6. Forecast Production Based on PS Numbers as of

December 31, 2021 Made by Bureau of Animal Industry (BAI) 14
Figure 7. Regional Egg Production Profile 15
Figure 8. Regional Population, Inventory and Consumption Profile 16
Figure 9. Farm Gate Egg Prices (In Months , Annual) 17
Figure 10. Agents Of Food , Agribusiness , and Biofuel Chain 20
Figure 11. Egg Value Chain 25
Figure 12. Four Clusters Found among Egg Eaters Based on Their
Considerations and Beliefs 44
Figure 13. Relative Financial Position of Players 52
Figure 14. Food System – Industries & Stakeholders 71
Figure 15. Food Hierarchy Value 72
viii
MESSAGE
My warmest greetings and congratulations to the working group of
Layer Industry Roadmap.
I applaud the whole team who worked so hard to develop our
Commodity Industry Roadmap on Layer. This is a good reminder
to reminisce the humble beginnings of the industry as well as the
impact that it has contributed to the lives of the Filipinos.
The chicken egg sector in the Philippines has been consistently
contributing positively to the economy. It is a relatively minor
industry compared to broiler chicken. Egg production in the
Philippines mainly serves the domestic market. Thus, no export of
eggs takes place. The country used to import eggs in shells until
the mid-1990s. Today, most of the imports are in processed form-
dried egg yolk and powdered eggs-which are preferred and used
by bakers, food manufacturers, and the food service industry.
Undernutrition is and has always been, a serious problem in the
Philippines. Nutritionally and economically, the egg has always
been unbeatable. Now is the perfect time to promote eggs as
an affordable, nutritious, and low impact food source. The Layer
Industry Roadmap aims to increase the national egg consumption
per capita: 150 by 2023; 200 by 2030 and 300 by 2040. It also
seeks the inclusion of eggs in the Zero Hunger and Poverty
Alleviation Program.
May this document serve the purpose of imparting knowledge
and more importantly promoting the ideas for continuing the
development of our egg industry. This Egg Roadmap will map
out the various aspects of the Eggcosystem to ensure that the
Philippine egg industry can and will continue to provide superior
value to the stakeholders, harness diverse set of capabilities and
innovation to the solution, and quick response to changes and
challenges during Covid 19 pandemic and beyond.
My congratulations again and thank you for sharing with us the
document that you have worked so hard in order for it to be
refined. Let us continue working together for the development of
the layer industry!
More Power, Mabuhay and May God Bless Us All!
WILLIAM D. DAR, Ph.D.

Secretary
ix ix
FOREWORD
Looking into the global and local scenarios, it is evident that the
poultry industry has been successful in obtaining and maintaining its
spot among the top contributors to positive economic development.
It comprises several thriving sectors, one of which is the chicken egg
sector.
Zooming into the Philippine context, the chicken egg sector has
been consistent in providing substantial contributions to the
country’s economy; albeit considered a relatively minor sector
compared to the chicken broiler sector. Nevertheless, it is worth
noting that the chicken egg can have a significant contribution to
efforts directed at poverty reduction and combating undernutrition,
a long withstanding problem that exists in the country. Chicken eggs
are affordable, possess high nutritional value, and are a good low
impact food source.
However, it was no walk in the park, the sector may be self sufficient
but it is not yet as indomitable as other more established industries.
The chicken egg sector faced various challenges like the Avian
influenza in 2017, compounded with rising input costs and long
periods of egg glut. Then again, hurdles are not meant to remain
hurdles, only surpassed.
Through conscious efforts for continued innovation, intensive

research and smart investments, and the continued synergy among
stakeholders, the chicken egg sector emerged and remained to be
among the top gainers in the past decade. These efforts allowed
the increase in the value of goods and drove the cost of local food
production and reaching key markets.
Now with the creation of the Layer Industry Roadmap, we look

forward to increasing the national egg consumption and having
eggs included and recognized as significant to the Zero Hunger and
Poverty Alleviation Program.
WILLIAM C. MEDRANO, Ph.D.

Undersecretary for Livestock
x x
PREFACE
The Philippines Egg Industry Plan 365 aims to make eggs part of the
daily life of the Filipinos.
It is a big goal that the roadmap proposes to boost the industry ,
convert challenges into opportunities , and welcome disruption.
We believe that Egg is a solution. Our vision : Eggs nourishing every
Filipino. Egg Industry leading to a healthier Philippines and better
food system will pave the way to achieve good nutrition, a foundation
for economic prosperity.
We formally declared and laid down our plan for the future, but we
have been taking deliberate actions to to make the egg industry
competitive. We launched the #LodiAngItlog Campaign, which aims
to strengthen the egg consumption throughout the nation to fight
Protein Malnutrition. We collaborate and work with the Inter-Agency
Task Force on Zero Hunger , various national and local government
units, associations, and organizations to achieve the goals and
objectives that we have detailed out in the 5 Roadmap Pillars.
We are optimistic that the industry and agriculture in general is already
on a journey of growth. However, optimism and bold ideas alone
won’t get us to achieve our 365 mission. The real fuel needed for this
journey is teamwork.
We’re calling on the Philippine Government to play a central role in
this Roadmap, by stepping up with a National Strategy for Agriculture
that commits respective agencies and local government units to a clear
growth agenda. It should allow the private sector to grow, community
to prosper , and provide a level playing field to protect capital and
mitigate the risks associated to agriculture in general.
We will continue to resource the research and advocacy needed to
move this agenda forward.
We recognize that the Roadmap will be a dynamic guide, able to re-
routed and revised as needed. It will also form the basis of periodic
review – holding us all to account for our progress.
BEPCO , PABLI , PCPP and partners have affixed their commitment.
We are all hopeful to get started.
We hope you’ll join us on the journey!
CECILE ALDUEZA VIRTUCIO, Pabli/BEPCO

Team Leader
Poultry Layer Industry Roadmap Development Team”
xi xi
EXECUTIVE SUMMARY
Egg Roadmap to a Healthier and Better Philippines by 2040
From the industry early beginnings in 1960s, its strengthening and development
in key production centers that serve the growing urban and peri-urban areas,
and its collaborative approach to keep up with times and overcome various
challenges, the Philippine chicken egg industry has grown. It has met the four
criteria under global food security index - i.e. available, affordable, safe and
resilient.
Growth is led by private sector and through the appropriate support of various
government agencies, it can achieve its aspiration of nourishing 110 million
Filipinos, fight Protein Malnutrition , and achieve its aspirations under the
5 Roadmap Pillars: 1.Customers and Industry Value 2.Growing Sustainably,
3.Unlocking Innovation, 4.Capable People and Vibrant Communities and 5.
Capital and Risk Management.
P H I L I P P I N E P O U LT R Y L AY E R I N D U S T R Y R O A D M A P 2 0 2 2 - 2 0 4 0 1
2 D E PA R T M E N T O F A G R I C U LT U R E B U R E A U O F A N I M A L I N D U S T R Y
INTRODUCTION
Rationale/Background
The Philippines is self sufficient on eggs but is vulnerable. This Roadmap aims to identify
feasible, scalable, and innovative solutions to accelerate the egg industry stakeholders’
actions under the 5 Pillars to meet its aspirations and objectives:
Pillar I: Customer and Industry Value
Egg is a solution to achieve Zero Hunger. Filipinos are the biggest gainers in a decade
of smart investment in the food system infrastructure, which has increased the value of
goods and driven down the cost of local food production and reaching key markets.
Filipinos eat eggs everyday. Egg Industry leads to a healthier Philippines and a better
food system.
Pillar II: Growing Sustainably
Small holder or Backyard operations are for self-consumption and for selling something
extra as a family income. Small and scavenging flocks controlled by cooperatives, villagers
and families are prevalent in rural areas, where they contribute to poverty alleviation and
food security.
Commercial Egg Farms are intended to feed millions of population in the urban , peri
urban and high demand areas. However, as larger production farms become more
common, siting issues regarding biosecurity will have an impact on small-scale village
and family flocks, possibly leading to conflict if proper management practices are not
exercised. The sustainability and potential expansion of any poultry production or
processing operation are affected by its location, especially in the long term. This is
particularly true of operations located near urban or peri-urban areas. These factors
demand careful planning of the location and siting of poultry production units. Failure to
take such planning considerations into account when constructing new and larger facilities
may result in costly changes or management expenditures in the future.
3
Enable a closed loop layer farming model and ensure the compatibility of practices in
the egg industry with environmental standards.
Pillar III: Unlocking Innovation.
The populations that will suffer the most from the increase in food prices are the poor
people across the world. Reasons for this are, among others, that “lower income
consumers spend a larger share of their income on food [and] bulk commodities account
for a larger share of food expenditure in low income families”. Egg is a solution. Let’s
start maximize the value of eggs by extracting its nutraceutical and functional elements,
extending its shelf life, and value addition of its by-products
Continuous learning to improve productivity and maximize shareholders’ benefits

through backward and horizontal integration to meet local and global competitiveness
Pillar IV: Capable People and Vibrant Communities
Working in Egg Industry may it be in primary (production ) secondary (manufacturing ) and

tertiary (services) is recognised as a rewarding and aspirational career choice for people
of all skill levels and backgrounds.We attract and develop people to match the needs
of our sector and we adapt to the shifting needs of the future. They are leaders, critical
thinkers, technical experts, those who work with their hands and more. Our reputation for
workplace excellence attracts phenomenal human talent from the Philippines and around
the globe.
Strengthen the economy by promoting enterprise development and by increasing

stakeholders’ income and community benefits
Pillar V: Capital & Risk Management
Egg enterprises have become increasingly sophisticated in their approach to governance,

risk management and planning for the future. Every farm has a clear strategy for
managing the inherent risks of farming, including an expanded role for insurance, and
business models which share production risks along the value chain. Commercial layer
enterprises are investment- ready.
Create a data driven enterprise model that will support chicken eggs to continuously
meet the 4 global food and nutrition security index i.e affordable, available, safe, and
resource resilient
Egg roadmap is a collaboration of ideas from the private and public sector including
those documented in the earlier papers collated by the Department of Agriculture. It
considered the current situation, trends and vulnerabilities as presented in the Foresight
Document of the Department of Science and Technology PAGTANAW 2050. It follows the
national development goals and aspiration in AMBISYON 2040 and its 2021 update. The
roadmap looked back on how the egg industry stakeholders leverage on the urbanization
and economic transformation, addressed the challenges and implement solutions and
how it can execute within the Department of Agriculture New Thinking Framework and
the United Nations Sustainable Development Goals to transform Philippines food system
in general and grow a vibrant and sustainable egg industry.
INDUSTRY SITUATION
AND OUTLOOK
Industry Structure
The poultry industries are a diverse mix of birds species farmed in countries throughout
the world. Primarily armed for meat or eggs, the domesticated species can include but are
not restricted to chickens , ducks, turkeys, geese, quail, and guinea fowl. The focus of this
roadmap is the commercial chicken layer industry.
Structure of the Chicken Industry (Egg and Meat)
The structure of the chicken meat and egg industries is very similar. Grandparent flocks
incorporate the latest genetic development/advances and produce parent birds. These
flocks are located on dedicated farms and are managed on an all in all out basis. The
breeder flocks are also run as all in all out farms again on separate dedicated farms. The
slaughter generation birds in the case of broilers or the replacement pullets are then
placed with contract growers or sold to commercial egg laying farms. Broiler farms are also
run on an all in all out basis whereas a majority of the commercial egg layers are multiage
production systems.
7
Figure 1. Philippine Layer Industry Structure
Genetic Pedigree
Thousands
Improvement Selection
Tens of thousands
GGP
Source:
Poultry Development GRANDPARENT STOCK 1 000 000
Review, FAO 2013
PARENT STOCK 50 000 000
COMMERCIAL LAYERS
5 400 000 000
PROCESSING / RETAILERS
1 000 000 000 000 Eggs
CONSUMERS
Source:
PABLI
Source:
Philippine
Statistics
Authority
Layer Farm Definition
The Philippine Statistics Authority defines the structure of the layer farms as backyard and
commercial farms.
Backyard farm refers to any poultry farm household, whether farming or non-farming,
tending at least one up to 250 birds. On the other hand, the definition of commercial
farm is divided into three sub-groups. These are: semi-commercial, independent and
integrator commercial farms.
Semi-commercial farms are those with less than 5,000 layers. These farms basically use
commercial feeds. Layer houses are open-sided and may likely be made from wood
and bamboo or cage type stand alone system. Generally, semi-commercial farms may
have business permits or barangay registration. It may not have complete farm records,
BAI registrations and Environmental Compliance Certificates (ECCs). There is minimal
monitoring on labor standards.
Independent commercial farms operate between 5,001 and above birds and use external
and internal feeds (own feed formulation). Layer houses are either conventional open-
sided like small-scale farms or semi- automated, that is made of steel, elevated and
open-sided. These farms have business permits and farm records. Some secure ECCs and
comply with labor standards.
Layer Integrator farms are normally managed by corporations and maintain more than
80,000 layer birds. These companies have their own feed mills and house layers in steel,
elevated and open sided houses with many large players in tunnel ventilated closed
houses. These farms are administered with farm records, business permits, and ECC and
comply with labor standards
Market & Channels
Figure 2. market & channels
Institutions Household
Food Processing Sector Retailers - Wet Market,
Supermarket and Sarisari
Food Service Sector store
Hotel Restaurant & Retail Food Sector
Wholesaler
Online or E-commerce
Small holder or EggBackyard operations are for self-consumption and for selling
something extra in the community as a family income.
Commercial farms table eggs are sold to community in wholesale and / or retail . Viajeros
or Department of Trade and Industry registered traders who have applied for transport
carrier license with the Department of Agriculture, These viajeros commonly distribute to
wet markets and egg users in the food processing , food service , hotels and restaurant
sectors. Big wholesale buyers are egg traders with large warehouses in key demand
centers and facilitate the distribution to institutional and retail segment.
Product Forms
Philippines is predominantly a white egg country. Brown eggs have been introduced in
the Philippine market around 2015 and is marketed as cage free, free range and organic.
Figure 3. egg product forms
Source: United Nations Economic Commission for Europe
Fresh Eggs are sold in trays of 30, 12’s , 10’s, 6’s , 4.s and per piece in the retail stores.
Branding and product differentiation are now common in supermarkets .
Egg products are generally sold to institutional and select retail outlet. These egg
products commonly undergoes pasteurization process for food safety.
Performance and Outlook
Poultry (meat and egg) is the most progressive animal enterprise in the Philippines today
with average growth rate of 3.5% at 2018 constant price. Chicken contributes 12.2%
and chicken eggs 3.3% of the country’s output (i.e. gross value added) as per Philippine
Statistics Authority [PSA], 2017. The growth has been carried out up to 2019 and for eggs
even up to 2022.
Relative to swine and broiler, egg industry is small with value of Php60.54Bio as of
December 2020. , the egg industry The global turmoil that has been brought up by
COVID19 pandemic.
Figure 4. Average Growth Rates of Value of Production at Constant Prices from 2000 to 2019.
3.5
2.02 .0
(in percent)
1.8
1.5
Agriculture Crops Livestock Poultry Fisheries
Production
The level of annual arrival of the Layer Breeder Parent Stock (PS) is the biggest
determinant of the commercial egg production and the layer population. With PS arrivals
breaching 400K levels starting 2016 and 500K in 2017 which was tapered by the Avian
Influenza (AI) incident, commercial eggs production has been growing and 765K Metric
tons, all time high level, achieved in 2021 with 10.8% average growth from 2018 to 2021.
Growth is further expected in 2022 with forecast arrival of breaching 700K as PS importers
grew to 24 players.
Figure 5. industry profile
Source PSA , PCPP, PABLI, Deltaman
Inventory, Life Cycle Model and Spatial Distribution (AREA)
Forecast Production is based on PS Numbers as of December 31, 2021 made by Bureau

of Animal Industry (BAI). As of December 2021, the preliminary estimated number of
commercial layers in 2022 is 56.97M birds while table eggs will balloon to 18.76 Bio
pieces. An expected increase of table eggs by 3.4B pieces is 22% Year on Year growth.
Luzon dominates supply with 80% of the commercial layers and table eggs. Mindanao
and Visayas with 15-19% an 3-8% respectively. Breeders are mostly located in North
Luzon but new PS importers with aggressive expansion in South Luzon, Mindanao and
Visayas resulted to growth. Also, shift from swine to layers in view of African Swine Fever
fueled growth in layer industry.
Figure 6. Forecast Production based on PS Numbers as of December 31, 2021

made by Bureau of Animal Industry (BAI).
Regional Profile
Commercial egg production is intended for feeding the growing population and is
commonly near the urban, peri-urban and high demand centers. The country’s key
production regions are Region 4A Calabarzon (35.7%) led by San Jose, Batangas and
Region 3 Central Luzon (20.2%) led by Pampanga. These two regions cater to its own
requirements, National Capital Region (NCR) and nearby key centers. Northern Mindanao
(9.3%), Central Visayas (7.7%) and Davao Region (4.9%) are growing to cater to the Metro
Cebu , CDO and Davao.
Apart from NCR, the following regions are net consumers of eggs: Cordillera
Administrative Region (CAR) , Region 1 - Ilocos, Region 2 - Cagayan, Region 5- Bicol,
Region 6 - Western Visayas, Region 8 - Eastern Visayas and Bangsamoro Adminitrative
Region (BARM). Movement via inter-island shipping from Luzon to VisMin and within
VisMin is common for eggs, chicks , ready to lays and related products.
Figure 7. regional egg production profile
Figure 8. egional Population, Inventory and Consumption Profile
Source PSA , PCPP, PABLI
Consumption per Capita
PSA February 2017 Consumption of Selected Agricultural Commodities Report, showed

annual consumption of chicken eggs per person averaged 84 pieces at the national level.
Across the reference months, the weekly consumption of chicken eggs remained at about
2 pieces per person. NCR has the highest with 123, Region 3 and 4A with 109 and 106 .
See Table in Regional Profile .
In the same report, it has stated that the average per capita consumption of pork, chicken
meat and eggs consistently increased with more working members of the households.
From 6.02 kilograms of pork in households with less than 20 percent working members, it
peaked at 16.72 kilograms among households with 80 to 100 percent working members.
Likewise, these households with the most working members ate the biggest quantity of
chicken meat at 13.93 kilograms per person and chicken eggs at about 119 pieces per
person.
For 2018 to 2021 Industry estimated growth on consumption per capita to about 150
eggs. In 2020 egg consumption in NCR was estimated to have reached 13.74 kilos or
229 pieces as eggs are the most affordable and available protein food that can be served
during lockdowns.
Prices, Supply and Demand
Historically, average Farm gate prices of egg hovered below P4.0 until 2013. Increase of
about 30 centavos for 2014 and 2016 or 8% in each 2 year could be attributed to growth
of economy in various sector led by services or Business Process Outsourcing (BPO)
translated to higher demand of eggs. Price has significant increased in this period as
production has also declined. PS level has slowed down due concerns on bird flu in the
country of source. Egg production in key areas of Luzon and Visayas were badly affected
by super strong typhoons Yolanda and Glenda in 2013 and 2014 causing significant
declined in over-all country production.
figure 9. Farm Gate Egg Prices (in months , annual )
In 2015 and 2016 supply and demand growth are aligned and thus price has stayed in
P4.5 to P4.6 per piece level (See Figure 5).
In terms of seasonality, price of eggs used to follow a pattern where it is at its lowest
during summer (March to May) due to slower demand in view of school break coupled
by higher production in farms due to more stable weather condition. With the
implementation of the new
school calendar that started in 2014 the pattern has moved by a month starting 2015.
Prices are also seen to pick up in Quarter 3 as this period is the most challenging in terms
of supply as the typhoons affects the production of eggs. It also has impact on regional
prices due to break in transport mobility from mainland Luzon to inter-island demand
centers. Demand in 3rd and 4th quarter are driven by household, food manufacturers and
food service.
In August 2017 the Philippines has reported its first Avian Influenza outbreak. In this
incident, public scare has dampened the demand for poultry driving down prices
significantly. It has also tested the system in terms of transport of poultry and poultry
products following inter province or regional borders. Around 4th Quarter of 2017 and
in 2018 price of eggs was heavily driven down to below production cost level especially
in Luzon. This over supply brought down the level of PS arrival in 2018. The impact of
the cut in the breeder was a temporary shortage scenario in 2019. The price of eggs had
picked up mid 2019 to its highest level in 2020. In this period, expansion is driven by
attractive prices and swine industry shifting to layers in view of African Swine Fever (ASF)
pandemic. The government has also implemented egg machine projects as an alternative
livelihood to ASF affected farmers. This plus private investment has driven growth in the
layer industry. 2nd Quarter of 2021 up to 2022, the accelerated production growth with
diminishing household demand and Hotel , Restaurant and Food service industry not
picking up resulted to excess supply scenario.
ANALYSIS OF
THE PHILIPPINES
CHICKEN EGG
INDUSTRY
Context and Approach

“Eggcosystem” Approach
The Egg Road Map considered the Agribusiness systems, chains, clusters, and networks
surrounding the Egg as a product. The analysis covers the entire value chain such as
inputs, production, processing, and market under a sustainability framework following
an ecosystem approach. As an industry, the ecosystem approach has been implemented
by the Batangas egg producers as a response to the challenges brought in by the 2017
Avian Influenza. To define the Egg Ecosystem (“Eggcosystem”), it is the network of
organizations – including suppliers, distributors, consumers, competitors, government
agencies and so on – involved in the delivery of “egg” as a product and a service through
both competition and cooperation. While each enterprise has maintained its independent
business model, collectively, the stakeholders worked together to ensure that the
common good for the industry like biosecurity protection, education, sustainability
solutions and similar needs are met. Each entity or agent recognizes the impact to
each other in the ecosystem. Thus, the Eggcosystem approach have reshaped the egg
industry.
19
Egg Roadmap will further leverage on the Eggcosystem approach to harmonize and
prepare the industry for continued growth. It will consider how the world is facing an
astonishing number of changes resulting from one of the worst pandemics ever. Food,
agribusiness, and biofuel chains will be working in a new macro environment are all
operating differently. The structural changes come on top of the need to increase food
production to feed 110 million Filipinos in 2050 and the urgency to increase renewable
sources of energy to promote sustainability, save resources and limit climate change.
As to the trends and perspective, PAGTANAW 2050 serve as base assumption from
Philippines point of view. For tools and global scanning Food and Agribusiness in 2030 : a
roadmap by Marcos Fava Neves. Neves’ ChainPlan method (Framework) is used to assist
the egg industry stakeholders for strategic planning of food chains in the new scenario,
to understand what will happen with chain participants, where markets will grow, how
consumers will behave, how sustainability will gain importance, and how cooperatives,
associations and other forms of collective actions will gather force to support inclusive
growth and meet the industry objectives under the 5 Roadmap Pillars.
Figure 10. Agents Of Food , Agribusiness , And Biofuel Chain
Source : Food and Agribusiness in 2030 : A Roadmap
Agro-industrial systems or chains reveal the flows of products, services, communications,
payments and information throughout the production or transformation process of
a certain agri-product (food, biofuel, fibre or other), starting with the supply of the
necessary inputs for its production until its distribution to the final consumer (Neves,
2014b). Thus, the chains of food, biofuels and other agri-products are formed by agents
that play specific roles, following a logical sequential order of activities and processes, in
order to guarantee the flow to the final link, the consumer.
The agents that compose an agri-food chain are described in Figure 10, so we can find
each one of them, their respective positions, as well as the flows that are performed by
each one of them. It is important to take into account that not all the chains will have all
of these agents in their configuration, because some intermediaries can be excluded. The
Value Chain Map will focus on the egg industry activities and agents. An Analysis of each
agent and comparative scan are also presented.
Meanwhile, all agents that make up the food, agribusiness and biofuels chains are
exposed to macro-environmental factors that can directly affect their businesses. These
factors are classified into four major categories: the political-legal environment, the
socio-cultural environment, the economic-natural environment and the technological
environment. The list and how it will impact the egg industry are elaborated in Market
Trends and Prospect section.
The Participants of the Food Chain
Customers - The consumer is the sovereign agent of the food, biofuel and other agri-
product chains, and is also the centre of convergence of the entire process. Efforts of
members of the chains will be in vain or wasted if the consumer does not see value in that
offer, and this can dismantle and disrupt the entire chain.
Retail - The retailer is the great connecting link between the food industries and the
final consumer, being responsible for making products available on their shelves so that
consumers can make decisions about which products they will take home.
Food Service - The food service sector covers the food market, with the preparation of
meals or snacks outside the home, including restaurants, cafeterias, bars, bakeries, food
machines and others that aim to bring convenience to buyers. The strategies for these
businesses to access final consumers involve both physical structures, such as physical
stores, drive-thru and take- home systems, and delivery structures, which have increased
their scope and representativeness in business with the advent of delivery apps
Food Industry - The food and beverage industries are responsible for processing the
raw material, converting it into the final product that will be distributed to consumers,
consisting of the link between farmers/trading companies/ cooperatives to the wholesale/
retail sector. These industries need to present a strong brand image to ensure their
competitiveness on retail shelves and in consumers’ memories.
Biofuel Industry - The biofuel industries are responsible for the production of fuels using
vegetable products and/or other fermentable biological waste. They have a fundamental
role to play in the decarbonisation of the global energy matrix, due to their potential to
replace fossil fuels. e main products of this segment are ethanol, which can be produced
from sugar cane, beets and starch grains; biodiesel produced from animal fat or plant oil
of species such as soybean, palm, sunflower, babassu and peanuts; and biomethane, a
gaseous product obtained through the processing of biogas, the latter being formed by
the anaerobic digestion of organic material (agricultural waste, animal manure, domestic
sewage and solid urban waste) (ANP, 2020).
Associations - Associations are the only agent that do not position themselves
sequentially in the food, agribusiness and biofuels chains, precisely because they can
participate in practically the entire process. They are non- profit organisations that
represent the collective interests of their members, usually farmers, ahead of other
agents in the value chain. Serves important economic function such as the provision of
collective goods, minimisation of transaction costs for members, changes in the structure
of institutions and development.
Input Suppliers - Input Suppliers are appointed as the first agents in the food,
agribusiness and biofuel chains The main function of these agents is to provide
technologies and inputs that enable and improve the production process along the chain,
with farmers and agricultural production as the main targets for their solutions. Most of
these organisations are positioned to supply products and technologies in the following
segments: crop protection (biological or chemical origin), fertilisers, seeds and seedlings,
agricultural machines and implements, among others.
Distributors (dealers) - Distributors or resellers represent the organisations involved in

the process of making productive inputs and services available (mainly agronomic and
nancial) to farmers (Coughlan et al., 2002). They represent the link between the suppliers
of inputs and the farmers, since the former do not have the physical and commercial
capacity to assist all sizes of farms in a speci c region. In this way, the role of distributors
comes into play, as by having local operations, they can make products and services
available, with huge importance in pulverised markets.
Farmers - Agricultural producers or workers. Agricultural production is a relatively

complex activity and requires knowledge of technical, market, environmental and human
resource factors (Zylbersztajn & Neves, 2000). Traditionally, farmers are supported
by different professionals and agents to meet their demands, but this has changed
constantly, especially with the arrival of new generations, more likely to adopt digital
technologies to monitor their business.
Trading Companies - Trading companies usually present a more complex business

model, covering different links in the agri-food chains, but with the core business oriented
for the origination and commercialisation of grains, either in the domestic market or for
exports and imports, often being the link between farmers and industries of food, biofuels
and other bio-products. The vast majority of them adopted verticalization strategies in
the agricultural chains, having businesses in the supply of inputs, distribution of inputs,
agricultural production, transportation, storage and processing of grains, food industry or
even consumer brands. It is also common for these companies to act as shareholders in
businesses related to the production of bioenergy and biofuels
Cooperatives - Agricultural cooperatives are organizations formed by farmers whose

main objective is to provide services and products that enable and support agricultural
production. Most of them are created by a group of farmers interested in stimulating
their crop production or agricultural activity, and tend to attract an unlimited number of
members interested in the benefits that it offers.
Source : Food and Agribusiness in 2030 : A Roadmap
table 1. roles/functions, characteristics, and profiles of the participants of the food chain
Agent Role / Function Global Characteristic Egg Industry Profile
Input Supplier - Provide technology and Concentration of Feeds - 350+ diverse

1st agent of food inputs that enable and technology and patents in and integrated , many
agribusiness , and improve production hands of few organizations, big players DOC & RTL
biofuel chain. process intensified with the - expanding new players
constant mergers and and new areas Biologics
acquisitions - global players and new
entrants
Distributors (dealers) Have local operations Diversified business to Large Farms or Groups
or resellers – link and can make products include solution package - direct contract with
between the and services available. offers, and exchange and Supplier. Many Local
suppliers of inputs financing mechanism. distributors and
and farmers. technicians / stores
Farmers – agriculture Active role in Wide spectrum , from Competitive Industry

producers production process, traditional farmers, with many medium to
constant adoption to agriculture companies of large commercial layers
technologies , with different sizes with diverse farms.
expected environment strategies
defender
Cooperative – Provide technologies, Many cooperatives have Egg Innovation Hub in
organizations formed capital, training, and verticalized their activities Batangas Cooperative.
by farmers other resources to and transformed into Marketing Coop
its members. Act as agro- industries. Such can inPampanga Egg
channel for outflow expand areas and portfolio Production farms owned
and consolidates the of products and services. by various cooperatives
smallholders to compete
with large players
Trading Companies Largely operate at Vast majority adopted Present in Feedmilling
– present in more global level and has a verticalization strategies supplier. Unlike in
complex business high brand presence . in the agricultural chains, broiler, no known egg
model with core Cargill , Bunge having businesses in all production project
business oriented for aspect of the value chain. lead by global trading
the origination and companies.
commercialization of
grains
Food industry - Responsible processing Most need to monitor and Integrated companies
food and beverage the raw material, pay attention to consumer like San Miguel,
company converting it into trends and behavior. Universal Robina Corp,
the final product for and recently Rebisco has
Pressured by distributors,
consumers. Need to own egg production,
whose negotiating power
present strong brand grains processing
has increased due to high
image degree of consolidation
and collective
procurement.
Biofuel Industry – Responsible for the May require specialized Low adoption at the
Ethanol, biodiesel, production of fuels using chain. moment. Waste is
biogas vegetable products and/ Mandate for
converted into organic
or other fermentable decarbonization but faces
soil ameliorant. Large
biological waste. challenge the argument
Farms have set up
biogas for own energy
that they can cause lack
of food supply in certain
regions.
Agent Role / Function Global Characteristic Egg Industry Profile
Retail Responsible for making Concentration of retail Growing Conveniences

products available to players in modern trade. Stores & Sarisari stores
final consumers. It may Consolidation and carrying eggs. Branded
be physical stores, drive integrating digital solutions Eggs and House brand
thru, delivery or pick up in more modern trade
service.
Food Service Businesses which Has incorporated Access Egg and egg
aims to access to final technology to improve products thru retail or
consumers. Includes the consumer experience. wholesaler. Niche or
physical stores, drive Trend : Influencer & gourmet egg users buy
thru, take home Gourmetisation directly from farmers
systems, and delivery
structure
Customers Center of convergence the main source of Potential to increasing
of the entire process information and focus on demand and expand
communication and consumption of eggs
beyond breakfast.
Value Chain Map - Egg Industry

Figure 11. egg value chain
With a vision of Eggs nourishing 110 million Filipinos everyday, the industry value chain
should put the consumers at the forefront. The industry should look on how it can make
eggs part of everyday life of the Filipinos. Figure 11 broadly shows the egg industry
activities and components or value chain. The Roadmap Pillar cover certain key activities
in the value chain or sets of additional activities to strengthen the value chain :
Roadmap Pillar 1 Roadmap Pillar 3

Customers & Industry Value Unlocking Innovation
• Consumers (Communication • Product Innovation, By Products and

covering nutrition and wellness , High Value Product Development
consumer rights and protection, food
safety standards, and fair pricing • Capacity Building, Human Network to
mechanism) promote new practices and appropriate
tools (backyard, small to medium
• Retailing (access, availability, retail commercial farms and agri- enterprise)
channels)
• Marketing , Wholesale and Roadmap Pillar 4

Distribution (market development, Capable People & Vibrant Communities
logistics, wholesale channel)
• Education and Job Upgrading
Roadmap Pillar 2 • Enterprise Development

Growing Sustainably
Roadmap Pillar 5
• Production & Feed Milling
Capital & Risk Management
• Value Added Processing
• Information and Data Management
• Waste Management & Circular
Economy • Corporate Governance and Leadership
• Master Planning • Investment Incentives and Protection
The next section is a summary of the current players, characteristics, facts and trends, of
the various Agents of the Philippine Chicken Egg Network or “Eggcosystem” with focus
on linkages of the egg industry to the various local agri-enterprise and commodities.
SWOT Analysis (per VC Segment)
Inputs Supplier
Feeds and Feedmills
Philippine feed milling, an intermediate operation supporting the livestock, poultry, and
aqua industries, produced a total volume of 18.98M metric tons, valued at 510B in 2019,
estimated animal feeds for layers was almost 2.5 million metric tons.
The feedmill industry’s structure is comprised of (1) commercial producers, who are solely
engaged in the feed manufacturing business, (2) integrated farm feed millers, who are
engaged in livestock production and at the same time sell feeds commercially, and (3) on-
farm feed millers, who produce feeds for their own farms. What used to be an industry led
by on-farm feed mixers in the early 1980s is now one of the fastest growing agricultural
enterprise dominated by large commercial players.
Philippine Association of Feedmillers Inc. PAFMI is the biggest and oldest group of feed
millers in the country with 35 members including Univet Nutrition and Animal Healthcare
Company, Pilmico Foods Corp., Universal Robina Corp., Philippine Foremost Milling
Company, General Milling Corporation, and Vitarich Corporation.
table 2. SWOT Analysis of philippine feed milling industry

Area of Operations S (Strength) W (Weakness) O (Opportunities) TT (Threats)(T)
Feed MIlling Domestic feed 2021, PAFMI said that the Contract Very High feed
milling industry feed milling industry will Growing input cost and
continues to continue to experience a Arrangement for unavailable raw
consolidate decline in feed demand due Feed Inputs materials due
and modernize, to the continuous outbreak to breakdown
servicing the of ASF, high importation of in logistics
feed needs of pork and poultry products, Development of
the growing government restrictions on Alternative Feed
livestock, poultry, the importation of feeds, Inputs New Players
and aquaculture banning of the cockfighting and influx of
industries. operations nationwide, imported feeds
and a lower purchasing
power brought about
by unemployment and
recession and scaling down
of consumers’ cheaper
protein source.
Feed Inputs
The common feed ingredients used in the Philippines include corn, rice bran, copra meal,
feed-wheat, cassava, soybean meal, fishmeal, coconut oil, salt, and assorted vitamins and
minerals. Focus is given on locally sourced feed inputs especially Yellow Corn. As a major
component of layer feeds, yellow corn price, supply and value chain directly impact the
egg industry. As these two sectors are highly interrelated, Egg Roadmap has put in the
local corn sector as part of circular economy.
table 3. source and characteristics of feed inputs

Feed Input Source Characteristics
Yellow Corn Local, ASEAN, > Yellow dent corn is the variety is the preferred feed-grain
United States by local end-users. However, quality issues (i.e., aflatoxin) are
commonly associated with locally produced corn, and as a result,
most > feed-mills prefer imported corn for its reliability and
uniformity.
> Traders dominate the marketing and distribution of local corn.
> To discourage corn price surges, major feed producers and big
farm operations import corn and/or corn substitute such as feed-
wheat, distiller grains and cereal by-products.
Soya United States, > Soya has an excellent amino acid profile that complements that
Argentina, Brazil of corn, the primary energy source in poultry diets.
> As local production of soy is negligible, almost 100% of soya
inputs for feeds are imported.
> As Soya and grains are primary commodities export of US to
the Philippines, this input is highly impacted by US-China trade
relations, tariffs and global logistics and events.
Wheat Ukraine, Australia > As a corn substitute together with corn distillers grains, cereal
US, Europe & grains and other food industry by products
China > Feed formulation and animal nutrition is highly impacted by the
feed inputs used.
Copra Meal, Local > Copra production will decline through MY 20/21 as coconut
Coco Oil trees take a biological rest period after consecutive years of heavy
nut bearing in MY 17/18 and 18/19
Fish Meal Local, Peru > Poultry diets invariably contained 5 percent fish meal, with early
broiler feeds and layer diets having as muchs 10 percent. What
prevented most nutritionists from using even more fish meal in
poultry diets was not cost, but its concentration in fish oil.
Source: USDA Foreign Agriculture Statistics, 2020. Oilseeds and Products Annual
Pharmaceuticals, biologicals, organics
Supplies for animal health of the Philippine livestock and poultry industry are dominated
by foreign companies. Vaccines, vitamins, medications and other biologicals are imported
from countries predominantly from China, India, Europe, and America. Locally developed
animal health pharmaceuticals and organics are negligible and these locally developed
products have not reached commercial scale yet. They are typically used in small organic
farms.
The major chicken diseases, their occurrence, and control are summarized in the Table 4.
Diseases can present serious problems, particularly in major growing areas, because of
the high chicken population density. Often there are improper or non- existent biosecurity
procedures, lack of diagnostic laboratory services (outside some major broiler integrators)
and nominal government control. The government provides no veterinary services for
farms, no reliable reporting system of disease incidence in chicken farms, and therefore
is not in a position to control the spread of diseases. Under this situation, a good farm
animal health program is essential.
Philippine Veterinary Drug Association PVDA is the vanguard of ethical industry

leadership and professional integrity in the provision of safe veterinary and nutritional
products towards food safety and animal welfare. PVDA supports the bill and the intent to
streamline the livestock industry, including covering every veterinary drugs as part of the
value chain.
Vaccines and medications from major companies such as Meriel, Schering Plough,
Intervet, Boehringer, Sanofi, Elanco, Pfizer, Bayer, and Upjohn products, among others,
are available.
Table 4. Common Poultry Diseases, Occurrence and Control
Common Poultry
Occurrence Control
Diseases
Avian Influenza Not yet endemic in the Philippines; Best prevented by bird-proofing housing
isolated detection associated with free- facilities, or limiting access of poultry
roaming poultry to areas frequented with wild migratory
birds; No approved vaccine
New Castle Endemic nationwide affecting commercial Primarily vaccination and proper
Disease and native stocks biosecurity implementation
With breaks observed in young or mature
chickens
Higher occurrence observed during the
rainy season
IBD Endemic nationwide Prevention is primarily by a vaccination
regimen during the early life of the
With breaks associated with inadequate
cleaning and disinfection, biosecurity chickens
lapses and/or improper vaccination This can be done with a vaccine given at
including having multi-aged farms day-old and/or a series of vaccines given
during the growing ages
Breaks generally occur when vaccine
strain used does not match the virus
challenge in the area, when there is
improper administration of the vaccine, or
when there is another pathogen causing
immunosuppression
Infectious Cause upper respiratory or reproductive Prevention is primarily by biosecurity

Bronchitis infections and a vaccination schedule designed
according to the level of the virus
that lead to mortality in young or adult
challenge in the epidemiological area
chickens, or significant drop in egg
production in adult laying chickens Primarily vaccination and proper
followed by observation of eggs with biosecurity implementation
poor shell quality
Colibacillosis A usual sequelae to an Mg infection Prevention can be achieved with good
leading to a chronic respiratory disease; biosecurity with primary focus on
May also be detected in other respiratory cleanliness and sanitation. Treatment
viral infections as an opportunistic with an antibiotic determined to be
pathogen effective against the isolated E. coli can
be implemented.
Mareks Endemic nationwide affecting chickens Prevention with an MD strain suited to

that have not received proper vaccination the challenge in the epidemiological
regimen ieved with the Rispens strain area, most effectively achieved with the
Rispens strain
Fowl Cholera Endemic nationwide especially observed Prevention can be achieved with good
in flocks grown in facilities with poor biosecurity with primary focus on
sanitation or in those without effective rat cleanliness and sanitation. Individual
control program; commonly observed too or flock treatment with an antibiotic
in flocks mixed with game fowls determined to be effective against the
isolated Pasteurella can be implemented.
Vaccination of either live or killed or
combination of both can be implemented
cont’d ►
Common Poultry
Occurrence Control
Diseases
Coryza Occurs in young and mature chickens Prevention can be achieved with
vaccination and good biosecurity
measures with primary focus on
cleanliness and sanitation. Individual
or flock treatment with an antibiotic
determined to be effective against
the isolated Haemophilus can be
implemented
Pullorum Disease Affects birds of all ages but < 4 weeks of Control measures focus on testing and
age suffer high mortalities. Transmission eradication of the disease
is vertically and horizontally.
Fowl Typhoid Transmitted vertically and horizontally Control measures similar to Pullorum;
vaccines are available
SOURCE : PVMA , PCPP
Poultry health challenges

• The implementation of veterinary policy on use of banned drugs and compliance
to withdrawal periods is weak due to lack of understanding and appreciation on the
effects of non-compliance.
• The introduction of avian influenza last 2017 (and the recurrence in 2020 and 2022)
disrupted production and movement of poultry.
• Disease surveillance in the country is inadequate, especially the reporting and
feedback mechanism.
Layer Breeder Companies
Below are some information about global and local layer breeders or integrators obtained
from company websites or social media accounts.
Distributors (Link of Farmers to Input Suppliers)
In a chain of food, agribusiness and biofuels, distributors are represented by agricultural

input stores, which supply farmers through different channels, such as internal commercial
teams, large company resellers, representatives, online channels, among others (Castro
and Neves, 2007). Cooperatives and small individual resellers can also play the role of
distributor, depending on the characteristics of local production.
Many of these agents have diversified their businesses in recent years, through the
creation of different types of solution package offers, and exchange and financing
mechanisms. The issue of offering credit has become a key role for distributors, in order
to generate liquidity for farmers.
Layer farmers and feedmillers commonly called this group as suppliers. Apart from
providing suppliers credit, they also provide technical assistance and usually provide
market updates to farmers and its organizations.
Local commercial input suppliers can hire their own sales and technical team while global
input suppliers have local distributors. Depending on the business, distribution can be on
exclusive or non exclusive basis.
All local agents are required to register with the Bureau of Animal Industry (BAI). The main
facts and global trends to distributors are:
• High concentration of players in emerging markets.
• Geographical diversification, working with several agricultural producers.
• Growth in grains origination and trading.
• Growth in credit facilities for farmers.
• Growth in farm management services.
• Growth in own areas and shareholders areas.
• Excellency in relationships and CRM programmes.
• Possible big data managers.
• Coordination of a strong contractual network of service providers.
• Intense competition with trading companies and cooperatives.
• Working with own brands.
• Higher percentage of generic products.
• Higher bargain power with input suppliers.
• Consolidated and known regional and national brands.
• Multinational managerial standards and governance.
• Strong interpersonal relationships.
• Pressure on business margins.
• Rising wave of online sale of inputs through marketplaces or omnichannel.
Farmers
With the growth of the world population and the demand for food and biofuels,
concomitant with the request for preserving the environment and adopting sustainable
practices, agricultural production has become increasingly efficient in terms of the use
of land, resources and inputs. In this sense, farmers have played an even more important
and active role within the production process, with the constant search for information,
technologies, traceability and professionalization (Cônsoli et al., 2011).
Productivity and innovation is indeed a common trait of layer farmers across all segment.
The backyard or cage free or ranging type adopts technologies and organic practices
to meet intended market segment. Small, medium and large commercial are constantly
looking for ways to maximize profits in operations. This could be a default given that the
financial performance of an egg farm is relatively easy to monitor as daily production ,
expenses and amortizations are easier to compute. Thus egg farmers are quick to make a
decision to adjust and take corrective actions to minimize losses.
Egg producers are also entrepreneurial. Selling of eggs at farm or own warehouse is
usually complemented by its own delivery or retail outlet. In farm value adding such
as freezing cracked eggs or consolidation of by products are being implemented to
maximize profit. Used sacks, spent hens, and off specifications eggs are sold off. Egg
shells and manure are also being sold off or processed.
Farm workers for large commercial egg companies have qualifications and benefits that
are similar to industrial manufacturing company workers. For independent commercial
farms, depending on operations size , there can be an in-house farm managers and
consultant. Each building will have a dedicated farm worker or caretaker that is in-charge
for feeding , egg collection and any other tasks assigned by the farm manager or owner.
The farm workers are commonly less education background and are commonly from crop
farming migrating to key egg production centers to look for stable income. They applied
to egg farms so that the family can reside in a housing facility provided by the farm.
Not much program or information about the egg farm workers. Currently, in San Jose
Batangas, Department of Agriculture and LGU are targeting to capture the relevant data
and put it in DA registry system.
Cooperatives
Cooperatives have a big role to play in to promote efficiency , productivity and provide
competitive advantage to egg farmers in the various stage of the value chain. As a group,
egg producers can create a cooperative for their inputs requirements like feedmilling
and as distributor for DOPs, RTLs, veterinary supplies and the farm requirements. The
cooperative can also market the produce like in Minalin, Pampanga.
As for the case of Batangas, an egg producers cooperative was set up in 2010 to help
address the challenge of the egg industry . With the help of DA, Batangas Egg Producers
Cooperative (BEPCO) established its liquid egg processing facility in 2012 and it now
caters safe, convenient, and economical pasteurized egg products to food services and
manufacturing companies.
In 2017, the cooperative partnered with DA and LGU to protect Batangas against bird flu.
In 2019, BEPCO received a financial grant from the DA for the establishment of chicken
manure automated composting facility which helped cut the cooperative members’
dependence on expensive and high-risk fertilizers.
In August 2020 Secretary Dar toured the egg processing facility of BEPCO which
showcases the benefits of farm consolidation and industrialization by value-adding,
processing, manufacturing, and developing markets for their poultry products.
“This egg processing facility is such a noble enterprise, which was initiated by the private
sector with the help of the Department of Agriculture (DA). Piloting or incubation was
done and poultry farmers were consolidated. These are the principles or strategies that
are being institutionalized and scaled up in the DA.” Secretary Dar said in a news article.
https://www.da.gov.ph/phs-egg-processing-capital- demonstrates-innovation-in-the-
value-chain-approach/
BEPCO is now a partner of various government agencies as an Egg Innovation Hub and is
a shared service facility for the egg industry. Together with other agriculture cooperatives,
these agents can help execute One DA Aspirations following the below global trends:
• Professional management, strong governance.
• Concentration and internationalisation
• towards agribusiness
• countries.
• Buying and selling alliances (joint ventures).
• Demand-driven vision and activities.
• Increased inter-cooperation.
• Increased data collection and sharing.
• Cooperatives with own brands.
• Constant technological development.
• Bring agriculture 4.0 to small and medium
• farmers.
• Credit as source of competitive advantage.
• Credit cooperatives gaining more and more space in the rural
• credit market.
• Very visible by parts of society.
• Part will focus on consumer goods and own brands with national
• presence competing in food markets.
• Owners of supermarkets and other retail formats.
• Coordinator of a collection of services offered by a contractual
• network of suppliers.
• Transparency.
• Origin identity appreciation.
• Vertical integration of businesses.
• Greater dissemination of knowledge to members through digital
• platforms.
• Adoption of technologies and sharing of service costs.
Source : Food And Agribusiness In 2030 : A Roadmap
Food Industry
The food and beverage industries are being affected by changes in consumption habits,
which have created new niche markets (vegetarians, vegans, flexitarians), have generated
acceptance of alternative ingredients and demand for healthier and traceable products;
on the other hand, they have increased pressure on their suppliers to o er more quality,
reliability and traceability. It is also important to note that the sector has also been
pressured by distributors, whose negotiating power has increased due to the high degree
of consolidation and collective purchasing groups. In addition, retailers are adopting
strategies to reduce inventory and prioritize products with more margin and turnover. As
a result, industries have less shelf space for product displays, making slotting fees more
expensive, and less warehouse space, increasing complexity and logistics costs (Neves et
al., 2015).
• More concentration/consolidation of players.
• Global competitors × local and specialised companies.
• Squeezed by retailers buying power and buying groups.
• Strong sustainability package, from ecological packages, use of by-products, water
consumption, carbon emissions.
• Diversification/merging with other industries (nutraceutics and nutricosmetics).
• Trend for nutrition and consumer experience.
• Channels optimisation (gate-to-gate and others).
• Strong cost control over all processes.
• Attractive to the youth and global talents.
• Space for gourmet, premium and hand-made products.
• Circular economy and chain integration (by-products).
• Alternative sources of ingredients (plant-based, meat substitutes, insects, algae,
hemp and others).
• Small brands empowerment.
• 4.0 Industry.
• Growth of niche products (to vegetarian, allergics and other groups with dietary
restrictions).
• Growth in the supply of superfoods (with high level of proteins, mineral, etc).
Retail ( Buying in bulk from farmers / Viajeros / Trader)
There has been a slowdown in the opening of new physical stores around the world,
with steeper declines in developed markets. In addition, the average revenue per square
meter of these stores has also been decreasing and will continue to decrease in the
coming years, due to the loss of space for alternative channels (Planet Retail, 2017). Thus,
online commerce has gained the trust of consumers, supplying much of the new needs
and trends such as convenience and time optimization.
The modernization of the Philippine retail sector continues its acceleration under
COVID-19 restrictions, which have greatly shifted consumer buying habits to choose
upscale vendors and online solutions. Despite shortages in supply caused by sea and
land freight issues, retail sales are expected to remain strong.(USDA FAS - Food Service -
Hotel Restaurant Institutional Report Sept 2021)
Fresh products such as eggs in packs are now part of e-commerce. Traditional channel
such as wet market, groceries , and sari sari stores are filled up by viajeros or traders
or by farm owned delivery vehicles. Physical warehouse and distribution channels have
defined the extent of advantage of the traders. In scenario of excess supply, traders are
also taking profit as it can provide immediate cash payment versus capital tied up in
receivables or farm inventory.
There have been ventures by retail segment owners into egg production and egg
producers investing into retail. Blumentritt and Caloocan warehouses are already filled by
own farm productions. The shortage of eggs in 2014-15 and industry good performance
in past decade had enticed many Chinese retailers to go into layer industry and lesson
learned during lean season taught farmers to create its market.
Ultimately the viajeros are also monitoring facts and trends associated with food retailing:
• Professional management, strong governance.
• Concentration and internationalisation towards agribusiness countries.
• Buying and selling alliances (joint ventures).
• Demand-driven vision and activities.
• Increased inter-cooperation.
• Increased data collection and sharing.
• Cooperatives with own brands.
• Constant technological development.
• Bring agriculture 4.0 to small and medium farmers.
• Credit as source of competitive advantage.
• Credit cooperatives gaining more and more space in the rural credit market.
• Very visible by parts of society.
• Part will focus on consumer goods and own brands with national presence
competing in food markets.
• Owners of supermarkets and other retail formats.
• Coordinator of a collection of services offered by a contractual network of suppliers.
• Transparency.
• Origin identity appreciation.
• Vertical integration of businesses.
• Greater dissemination of knowledge to members through digital platforms.
• Adoption of technologies and sharing of service costs.
Food Service
Like retail, the food service sector has incorporated technology to improve the
consumer experience, whether through apps and delivery sites or even digitising menus,
automation and service robotisation, among others.
Philippine food service sector to shrink by a further 13 percent to $7.4 billion in 2021,
following its 44 percent decline in 2020. With the spread of the Delta variant of
COVID-19, people are hesitant to return to restaurants. Recent lockdown measures to
contain the pandemic have triggered further losses on on- premises sales. Most food
service providers remaining in operation have shifted to online delivery platforms and
curbside pickups. Larger chain restaurants have made inroads by selling ready-to-cook
meals at retail stores. (USDA FAS - Food Service - Hotel Restaurant Institutional Report
Sept 2021)
What else is going on regarding food service?

• ‘Gourmetisation’ and dishes signed by in influencers.
• ‘On the go’ concepts for restaurants, events, food machines and kiosk.
• Function robotization and automation.
• New online channels for delivering.
• Physical stores with embedded technology.
Consumers
In recent years, we have been witnessing a big revolution in terms of consumer behavior
in several sectors. It is no different for the food and beverage industry. Consumers are
becoming increasingly aware and concerned about issues related to the environment,
health and quality of life. On the other hand, innovation and technology allow for easy
access to information, connections and new experiences. All of these factors have
contributed to transforming people’s perceptions, habits and behavior in relation to food
and beverage consumption. In that sense, this material provides an overview of trends
and opportunities in food and beverage marketing for the coming years. (Chapter 4 :
Food and Agribusiness in 2030 : A Roadmap)
table 5. 20 top trends, opportunities and arguments for food marketing
20 top trends,
opportunities and
Description Authors related
arguments for food
marketing
1. Adventurer Consumers want to explore products, Angus & Westbrook (2019); Brecic et al.
consumer try exotic ingredients and have great (2017).
experiences related to taste, avour and
ambiance. As traditional products do
not catch their attention, products must
stimulate the discovery of senses.
2. Diversification With the growth of niche markets, Brecic et al. (2017); Hedin (2019);
of ingredients such as vegans and vegetarians, and McCarthy et al. (2016).
sources (plant- concerns about meat production due
based, meat to animal welfare, gas emissions and
substitutes, use of resources, alternative ingredients
insects, algae, are gaining space in order to substitute
hemp and others), or complement diets. Plant-based
‘direct from hamburgers and sausages, and insect-
nature’ arguments based foods are examples that can
already be found in some supermarkets.
3. Green products Sustainability, animal and environmental De-Magistris et al. (2017); Giampietri et al.
movement, care are important decision criteria (2015); Hedin (2019); Mascaraque (2019);
‘footprint’ for consumers, embracing the idea of McCarthy et al. (2016); Woo & Kim (2018).
(reduce waste guaranteeing resources and food for
and pollution), future generations. We observe an
animal welfare appreciation for certi cations related to
and free-range, sustainable production, respect for the
and sustainable environment and ‘humanised’ breeding.
suppliers
4. Healthy snacks Due to a busy routine, time is limited, Angus & Westbrook (2019); De- Magistris
and food ‘on the and people have less time for meals, et al. (2017); McCarthy et al. (2016).
go’ needing convenience without giving up
on healthiness. So, vegetable snacks,
nuts, dry fruits and small portions of
juices are becoming important to meet
this demand. Also, the food must be
consumer-driven, facilitating access
and even the buying process, through
technologies that reduce the time spent
in store queues.
5. Attention to Consumers are paying attention to the Angus & Westbrook (2019); Asioli et
diets (feel good, number of calories and the nutritional al. (2017); De-Magistris et al. (2017);
healthy, well- value of what they eat or drink. High- bre McCarthy et al. (2016).
being, nutrition, products are becoming important due to
bres, protein, their functional properties. Also, feeling
collagen). good through food habits is synonymous
Emergence of the with vitality, mainly associated with
exitarians (partial lifestyle.
reduction of
intakes)
cont’d ►
20 top trends,
opportunities and
arguments for food
marketing
6. Smallholder Brands with social appeal are also gaining Giampietri et al. (2015); Hedin (2019);
brands and importance for consumers, because they Mascaraque (2019); Woo & Kim (2018).
promotion of o er a quality of life to those involved in
inclusion and job the process and generate opportunities,
creation. Social creating value for social aspects of groups
responsibility of and communities.
companies
7. Consumer As technology advances, consumers have Hedin (2019); Kumar & Kapoor (2017);
connected to more access to information about what Regattieri et al. (2007).
the plate (digital, they eat or drink. The agri-food chains
more knowledge are becoming more transparent and, with
of foods and blockchain and IoT (Internet of Things),
ingredients and all kinds of food information will be
transparency) available on the consumer’s smartphone,
such as where the products came from,
what inputs were used to produce them,
how they were transported, among other
relevant information.
8. Products free of Due to food intolerances and restrictions, Asioli et al. (2017); Hedin (2019); McCarthy
... (lactose, gluten, products free of lactose, sugar, gluten et al. (2016).
sugar, etc.) and and others are gaining space on
other dietary supermarkets shelves.
restrictions
9. Indulgence – Many consumers use food as a reward Batat et al. (2018); Belk (1975); Boniface
‘my gift’ when they have accomplished a task. (2016).
10. Flavours For some kinds of new consumers, Batat et al. (2018); Belk (1975); Brecic et al.
and sensory the complete experience comes from (2017); Jaeger et al. (2017).
aspects (textures, combining the sensory aspects – colour,
smell, colours), texture, avour, smell and sometimes the
knowledge about ambiance.
food ingredient
characteristics
11. Origin Consumers are becoming increasingly Manning (2016); Manning et al. (2007);
of products, concerned about food and beverage Planet Retail (2017).
ingredients and origin and how they were produced.
traceability (for Knowing exactly where they come from
security and and how they arrived on the supermarket
knowledge) shelf generates greater trust and
relationship. Blockchain allowing better
tracing.
12. Authenticity The ‘more is less’ philosophy has also Belk (1975); Kumar & Kapoor (2017); Youn
and simplicity arrived in the food and beverage market. & Kim (2017).
Cleaner brands, simple packages and
simple products t this philosophy.
13. Family and Approaching the consumer through Belk (1975); Kumar & Kapoor (2017);
tradition company history and tradition, promoting Manning (2016); Manning et al. (2007).
a family spirit, increasing empathy and
security. ‘From my family to yours’.
cont’d ►
20 top trends,
opportunities and
arguments for food
marketing
14. Buy local, In the reverse wave of the globalisation Adams & Salois (2010); Belk (1975); Kumar
made locally and of markets, some consumers are & Kapoor (2017).
‘direct from farms’ migrating to the ‘buy local and made
argument locally’ philosophy, which brings with it
appreciation and pride of local products.
‘Appreciating our community’.
15. Gourmet, Gourmet, premium, hand-made are Angus & Westbrook (2019); Heide &
premium and products with a higher standard, Olsen (2018); Youn & Kim (2017).
hand-made proclaiming a more elaborate cuisine to
(artisanal) consumers willing to pay for the best.
products
16. Desire for In today’s economy, consumers share Mossberg & Eide (2017); Planet Retail
storytelling, their experiences, which are valued by (2017); Zhao & Zhang (2017).
sharing other users. Also, consumers become
information more engaged if they know the story
among users and behind the product/brand and identify
the role of food in with it. Growing importance of in uencers
uencers on social media.
17. Make your Inclination to make their own products or Angus & Westbrook (2019); Heide &
own products or foods with mixtures of different ingredient Olsen (2018).
foods (cooking origins.
experience)
18. Propensity In order to reduce packaging and plastic Giampietri et al. (2015); Hedin (2019);
to buy bulk and use, consumers are valuing bulk and Mascaraque (2019); Woo & Kim (2018).
concentrated concentrated products.
products
19. Longer living The number of people living alone has Angus & Westbrook (2019); Belk (1975).
– practicality, grown dramatically in recent years. This
small portions market demands practical products and
small individual portions for a one-person
meal or snack.
20. Pleasure of Consumers are valuing their disconnect Angus & Westbrook (2019); McCarthy et
logging out (joy moments so as to devote more time to al. (2016).
of missing out – their hobbies and pleasures.
JOMO)
Philippine Association of Layer Breeders Inc. (PABLI) has commissioned a tracking study
in 2019 and 2021 on the egg consumption pattern of the Filipinos. The market research
called Project Alder has the following conclusion :
• There is already an increase in egg consumption. Use of eggs in different meals is
becoming a habit a Negative beliefs towards eggs have decreased but can still be
worked on.
• Significantly more regular egg eaters believe that eggs are staple food at home and
using it as ingredient makes a dish better. While negative effect on health for eating
eggs daily is more believed by non-regular egg eaters
• Benefits of eating egg need more push as it is left to be the barriers as to why certain
segments remain to have unchanged or minimally changed habits.
Figure 12. four clusters found among egg eaters based on their considerations and beliefs.
The study also shown four clusters among egg eaters namely Egg-conomical and
Healthy, Egg-citing / Egg-thusiast, Eggfortless, and V-Egg-ilant where benefits, quality,
convenience, and control on consumption are the considerations and beliefs. For benefit-
driven egg eaters, their core belief is that eggs are healthy and affordable. For the second
group, they believe that eggs are essential and fun to prepare. While for convenience-
driven, they believe that egg dishes are easy to learn and prepare. The last group
believes as well that eggs are healthy but must be consumed with caution.
These Filipino consumers and beliefs are to be considered in drafting the specific action
plans for this Egg Roadmap.
Associations
In agribusiness, the associations have an important economic function such as the

provision of collective goods, minimisation of transaction costs for members, changes in
the structure of institutions for the bene t of their associates, economies of scale, conflict
resolution, defense of members’ interests, the role of coordinator between companies,
and representation and communication (Castro et al., 2015; Nassar, 2001; Saes, 2000).
Moreover, the associations are linked directly to the increase in productivity and e ciency
of the associates (Neves et al., 2017).
In recent years, agricultural associations have occupied an increasingly broad space in the
government spheres, actively participating in discussions and positioning themselves as
essential agents in supporting public authorities for the development of sector policies.
For this reason, associations should gain even more space in the coming years, and it is
necessary to pay attention to some essential points to ensure that they achieve the final
goal.
Below are the main trends for these agents:

• Increasing participation in well-managed associations, cooperatives, syndicates and
others (collective actions).
• Clashes of interest between farmers and industry.
• Increase in transparency of chain information.
• Increased e orts among companies to improve the visibility of sectors.
• Increased importance in promoting and transferring technology.
• Important role in training farmers.
• Coordinator of sustainability among farmers.
• Search for modern public policies for agribusiness. Coordinators of partnerships and
initiatives involving different links in the agro-industrial system.
The following are lead private sector organizations for the egg industry :
Income / Cost & Return Analysis
Income and Profit Analysis obtained from Value Chain Analysis
prepared by DA 4A for Chicken Egg.
The Egg Producer
For an individual or company to set up a 10,000-layer farm, it would require at least Php
7.5 Million capital wherein 45% of which is for housing, cages and equipment, 35% for the
poultry stock while the remaining 20% is for the operation cost for one and a half month.
Initial capital requirement, 10,000- layer farmcontains the details of the initial capital
requirement while Technical and financial assumptions, 10,000 layer farmcontains other
technical assumptions in computing for the cost and returns of chicken egg production.
Based on the Cost and Returns Analysis found in Projected Cost and Return for 10,000
RTLP – (Egg Producer), about 80 %of the Direct Cost is spent on feeds while the next
highest expense is the replacement pullets that are being replaced every two years.
Other expenses include biologics which is estimated to be 3% of feed cost, and a laborer
for the whole farm. Operating expenses include repairs and maintenance, depreciation,
utilities and land rental. For the returns, aside from income from sale of eggs, the feed
bags, manure and culled layers can be sold too.
On an average, about 80% of the pullets are expected to lay eggs 42 weeks in a year.
With the heavy investment cost in putting up the business, the cost of money should be
factored in representing quite a chunk on the expected profit from the business. In the
Cost and Return table, the interest was factored in for a 70% initial capital loan payable
for 6 years at 8% interest rate.
table 6. cost and return analysis (70% capital payable for 6 years at 8% interest rate)
The Trader
Based on FGD, a medium scale trader sells at least 10,500 eggs two to three times per
week. Chicken eggs are sold depending on the size of the egg at varying cost. Every
delivery, a trader is expected to earn as much as Php 6,448. Costs and Returns of Chicken
Egg Trader per week shows the cost and return analysis of a trader of chicken egg in
CALABARZON.
table 7. cost and return analysis of chicken egg trader, calabarzon
Retailer
The retailers are the ones that sell chicken egg to the consumers. An ordinary retailer can
sell 3,000 eggs for 2 to 4 days with an expected income of Php 2,277. Details of their
cost, income and profit can be found on Costs and Returns of Chicken Egg Retailer per
week and Cost and Return on a Per Egg Basis.
table 8. cost and return analysis of chicken egg retailer
The Processor
According to the processor, the bulk of their cost came from buying raw materials, which
is actually 20 eggs for a kilo of liquid pasteurized whole egg, 30 eggs for a kilo of whites
and 50 eggs for a kilo of yolk. Based on the table, it was estimated that they can earn Php
11.99 per kilogram of liquid egg produced or an equivalent of Php.60 per piece of egg
used as raw material.
table 9. cost and return analysis of chicken egg processor (8% margin)
Cost per Kilogram of Coast on Per Egg Basis
Items
Liquid Egg (20 eggs/kilogram)
Cost: Raw Materials 94.00 4.70

Other Cost 1.45
Direct Labor 6.47 0.32
Depreciation 7.53 0.38
Utilities 9.91 0.50
Packaging 5.10 0.26
Total Cost 123.01 6.15
Returns Total Returns 135.00 6.75
Profit Total Profit (PhP) 11.99 0.60
Assumptions: 20 eggs per kilogram of pasteurized whole egg

Cost is based on the data prepared by BEPCO
Relative Financial Position of Players
Two Relative Financial Position of Players were prepared. First is for the Fresh Chicken
Egg Production and the other is based on the Liquid Pasteurized Egg Production. Based
on the data below, the retailers acquire the highest profit share of 38% followed by the
farmer at 35% then the trader at 35%. Meanwhile in cases wherein the farmer sells directly
to the consumer
Figure 13. relative financial position of players
Egg Production is capital intensivebut based on 2018 Analysis, producers put it

the highest capital but the least return compare to trader and retailer.
Farmer has a higher profit margin compare to Processors.
Processing Facility requires huge volume for economies of scale. Thus clustering
model or forward integration for value added processing is recommended
Bench Mark Analysis
Technical Parameters for Layer Production
A study entitled Benchmarking of the Livestock and Poultry Industries conducted by

Gonzales, et al in 2012 shows that the Philippines was generally at par with Malaysia and
Vietnam in terms of its technical parameters of layer farms. For the depletion rate, the
country was more efficient compared to Malaysia and Vietnam. However, the Philippines
has the lowest recovery rate among the other four ASEAN countries (Indonesia, Malaysia,
Thailand and Vietnam).
The laying rate among the five ASEAN countries ranged from 79% to 85% . The lowest
laying rate was recorded in Malaysia while the highest were attained by Thailand and
Indonesia. Closed house layer farms in Thailand can produce over 300 eggs while the
large farms in Indonesia can reach up to 310 eggs per bird per year.. On the other hand,
Malaysia has the least number of eggs per bird per year with an average of 290 eggs.
In terms of feed conversion ratio (FCR), closed layer houses in Thailand and large layer
farms of Indonesia were the most efficient users of feeds. Medium sized farms in the
Philippines, Malaysia and Vietnam attained the highest FCR. This means that these
countries have the highest feed requirement for layer chickens to grow.
On the other hand, the Philippines has attained the lowest percentage of saleable eggs
estimated at 90-92%. It also has the lowest depletion rate together with open house and
closed house layer farms in Thailand. These findings imply that the Philippines has the
lowest recovery rate and highest mortality rate in the chicken layer. Overall,large farms in
Indonesia and closed houses in Thailand were more efficient among the other countries.
table 10. layer technical parameters, 2009
Philippines Indonesia Malaysia Thailand Vietnam
Parameter
S M L S M L S M L OH CL M L
Laying 80 80 80 80 82 85 79 79 79 81 >82 79 >80

Rate1 (%)
Number of 292 292 292 292 301 310 290 290 290 296 >300 290 >292
Egg/Bird/
Year
FCR2 1.50 1.58 1.48 1.50 1.51 1.40 1.51 1.59 1.50 1.55 <1.45 1.59 <1.48
(kg/dozen
egg)
Recovery 90-92 90-92 90-92 95 97 99 96 97 97 92 >97 95 >95

Rate3 (%)
Depletion 15 10 10 16 15 14 15 15 15 10 10 15 15
Rate3 (%)
1
Total eggs produced per day/Total number of layers in the hen house
2
Feed Conversion Ratio; Assumed 100 gm/bird/day for Small Farm; 105 gm for Medium Farm and Open House; 99gm
for Large Farm and Closed House
3
Saleable eggs
4
Mortality Report
Notes: Sa Small Farm; M= Medium Farm; L= Large Farms; OH= Open House; CH= Closed House
Financial Parameters for Layer Production
A past study on the estimated costs of layer production which was conducted in 2009 by
Gonzales, et al revealed that the farm costs per dozen eggs in medium and large farms in
the Philippines were comparable to open houses in Thailand and medium to large farms
in Vietnam. These were also one of the closest farm costs in chicken egg production
among the five ASEAN countries. However, the small farms in the Philippines had one of
the highest farm costs next to the medium farms in Malaysia.
Overall, the cost of feed has the highest percent share in the total farm cost. Medium
to large farms in Malaysia have the highest percent share of cost of feed. This implies
that Malaysia has the highest feed costs among the ASEAN countries. Moreover, the
Philippines also has the lowest labor and overhead (water, rental, electricity and tax) costs.
However, changes in these data are expected since the study was conducted more than a
decade ago. A recent study was conducted by SEARCA in 2021 but the results are not yet
published.
table 11. cross-country comparison of layer production in selected asean countries, 2009
Item Philippines Indonesia Malaysia Thailand Vietnam
Operation &
Maintenance
S M L S M L S M L OH CL M L
Cost of 0.74 0.62 0.64 0.64 0.74 0.74 0.62 0.63 0.62 0.59 0.58 0.60 0.58
Feeds1
Cost of 0.04 0.09 0.09 0.11 0.02 0.02 0.14 0.13 0.13 0.09 0.08 0.09 0.08
layers2
Labor 0.06 0.01 0.01 0.02 0.02 0.02 0.06 0.06 0.06 0.03 0.03 0.02 0.02
Overhead3 0.01 0.01 0.01 0.02 0.01 0.01 0.04 0.04 0.03 0.02 0.04 0.02 0.03
Total farm 0.88 0.75 0.75 0.80 0.80 0.90 0.90 0.89 0.88 0.75 0.78 0.76 0.75
cost per
dozen egg
Percent share to total farm cost
Cost of 84% 83% 85% 80% 93% 93% 69% 71% 70% 79% 74% 79% 77%
Feeds1
Cost of 5% 12% 12% 14% 3% 3% 16% 15% 15% 12% 10% 12% 6%
layers2
Labor 7% 1% 1% 3% 3% 3% 7% 7% 5% 4% 4% 3% 3%
Overhead3 1% 1% 1% 3% 1% 1% 4% 5% 3% 3% 5% 3% 4%
1
Cost of feeds includes feeds, vitamins, minerals supplements and other feed ingredients
2
Cost of layers includes day old chicks, pullets, layers
3
Overhead cost includes electric,water,rent, tax
2009 average US dollar exchange rate=Php 47.68
Competitive Analysis
Chicken egg is a relatively minor industry compared to broiler chicken. Egg production in
the Philippines mainly serves the domestic market. Thus, no export of eggs takes place.
The country used to import eggs in shell until the mid-1990s. Today, most of the imports
are in processed form-dried egg yolk and powdered eggs-which are preferred and used
by bakers, food manufacturers, and the food service industry.
MARKET TRENDS AND
PROSPECTS
Macro Environment For Food ,
Agribusiness And Biofuel Chain
(Global Scan)
Socio/Cultural Environment – Consumer Movements
• Concern about food waste, recycling, reusing, increasing value to circular economy.
• Concern about inclusion and social innovation (smallholders).
• Food miles movement empowering ‘buy local’ and other regional initiatives.
• Increasing demand for image and country of origin denomination. Ethnic foods,
artisanal products (home-made), organic and other experiences.
• Authenticity, simplicity, ethics and openness to dialogue. Slow-food movement (eating
and enjoying).
• Positive attitudes toward direct ‘farmers-to-consumers’ channels (farmers’ markets).
• Multicultural approach: cultures differ in markets and so do consumers’ behaviour, diets,
lifestyles, and insights.
• Increasing purchasing power of consumers and possibilities of increased choices.
• Land use issues (preservation) and animal welfare (free range and others); greater social
pressure in relation to the scarcity of resources; increasing engagement of Millennials in
sustainability topics.
• Climate change and climate-related issues; concern about carbon measurement and
management (carbon footprint); climate- and planet-friendly behaviour.
• Simplicity lifestyle; time-saving movements (buying time, learning how to use time, etc).
• Older population issues (+65 will double by 2030).
• Gender roles and related food products.
• New role of influencers with consumers.
• Growth of online buying behaviour (also households growing own fruits and
vegetables).
56
• Increasing collectivism and engagement approach.
• Increasing appreciation of small and local businesses.
• Increase in sanitising, hygiene care and greater knowledge of virology. Increasing
appreciation for certification; demanding more security and traceable products.
• Paying more attention to diet (feeling good, healthy, well-being, nutrition). Increasing
curiosity and acceptance of alternative and sustainable
• ingredients sources (lab meat, other plant-based products, insect protein).
• Greater interest in the origin, sources, reliability of news.
• Increasing confidence in science and agriculture.
• Increasing value to ‘made in ... my country’.
• Increasing activist approach and engagement; increasing connectivity of food
consumers.
• Appreciation of moments with family, (cooking, eating together). Expansion of Asian
culture and influence (food and others).
• Others
POLITICAL/LEGAL (REGULATORY) ENVIRONMENT

• Governmental/public policies interventions and regulations. Evolving role of NGOs
(non-governmental organizations) and
• pressure groups as influencers.
• Labour legislation and trade unions.
• Environmental legislation.
• Tari barriers.
• Agricultural subsidies policies.
• Certification laws.
• Investments incentive programs.
• International trade regulations.
• Tax policies.
• Crisis-related interest rate cuts; liquidity injection; credit lines; tax relief; and
suppression of some regulatory obstacles; vouchers for informal workers.
• Governments going ‘online’.
• Increase in health budget and regulation.
• Increase in budgets for public R&D.
• Prohibition of trade of exotic products and increased ‘wet market’ regulations.
• Policies for local production incentives.
• Product labelling and traceability requirements.
• Data and information protection.
• Changes in labour safety laws.
• Restrictions on freedom and individual movements.
• Interruption of some production and distribution chains, prices & tax regulations.
• Embargo over some products due to shortages and international political conflicts.
• Problems of stability and political crisis.
• Labour restrictions and shortages for agricultural activities (handpicked and others).
• Increase in food safety regulations.
• Increase in food self-sufficiency policies after the Coronavirus event. Regulations for
pollution, plastic and other types.
ECONOMIC AND NATURAL ENVIRONMENTS

• Asian and emerging nation-driven world (70% of world GDP in 2030) a their fast
recovery from the crisis.
• GDP/demand growth and diet changes.
• Pandemic and its impacts on global economic growth and developm Exchange rates,
interest rates and inflation.
• Economic borders (agreements and trade).
• More transparent income and profit allocation and distribution; searchi for
inequalities, solutions to poverty, hunger.
• Growth of bio-economy (mass, plastic, fuel, electricity)-based chains. Natural
resources scarcity.
• Different world regions productivity levels and gaps.
• New types of insurances & other risk management tools.
• Circular economy (using by-products as inputs).
• Industries consolidation and growth of Chinese influence.
• Global investors and faster capital flows (credit), with new currencies. Terrorism risks
for food stocks, food transport.
• Volatility in world food prices.
• Increasing value of biodiversity.
• Education as a basic source for competitiveness.
• Sharing economy (Uber models).
• The food bridge: from the Americas (food production) to Asia (food consumption).
• New labour forms, work models (at home, during commute, part time others).
• Increase in home offices and simplification of processes, resulting in le need for
workers and physical space.
• New sources of protectionism.
• Precarity: job and income insecurity.
• Public (government) debt.
• Health risks in food production industrial units and other stages of the chains.
• Private companies providing more micro credit plans and fintechs. Crowd-funding
movements.
• Restaurants trending toward the delivery model.
• Increase in raw material stocks.
• Natural disasters.
• Diseases and plagues.
• Effects of climate change in producing areas.
• Possible water shortages, flooding, and weather events.
TECHNOLOGY ENVIRONMENT
• Increasing data generation, ownership and usage.
• Increasing information ows, transparency, traceability and identity preservation.
• Increasing levels of security (data, quality assurance, zero contaminations).
• Allowing consumer communication tools (from in-person to digital platforms).
• Digital contracts.
• Higher levels of innovation and entrepreneurship in food chains. Increasing gaps
among users and non-users.
• Smart farms and precision agriculture: digital farming everywhere with GPS-guided
equipment, data-driven drones, analytics software, advanced equipment.
• Convergence of industries (food and medicine, food and cosmetics). Gene editing:
resistance, resource usage, productivity and consumers; increasing biotech,
genomics, traits; fungi, bacteria and drought- resistant crops.
• Enhancing intellectual property.
• Natural lab-produced food substitutes (food coming from different sources); increase
in meat substitutes (plant-based).
• Organics and yields.
• Increasing number of start-ups.
• Increasing amplitude of tablets/phones and their services.
• Artificial intelligence (robots).
• 3D printing (seeds, etc.).
• Energy sources (solar power and others much more accessible); Energy generation
technologies expected to become cheaper. Increasing tech innovations related to
services, experiences, and relationship marketing.
• Tech-driven diversification toward complete solutions: a chemical company to a seed
company, to precision planting, to climate monitoring and high-tech services.
• Greater use of digital and mobile, with an increase in online meetings for socialising
and business.
• Expansion of support areas to the digital environment.
• Increase in online commercial platforms (marketplaces).
• Aerospace technology, nanotechnology and others.
• New tech-inspired forms of marketing (the use of ‘lives’, etc).
• Tech and metropolitan agriculture.
• Super plants and superfood (with high level of proteins, minerals, etc). Regenerative
agriculture.
• Bioplastics and all other bio developments.
• Accelerating R&D and robotics (mainly for harvesting).
• Increasing technology and data in retailing.
• Apps in several activities of food production.
Market Trends and Prospects
A Prosperous Maritime Archipelago
PAGTANAW 2050 chart a strategic path by anticipating the factors that will influence
the development of the Philippines’ scientific capital in the years leading up to 2050. It
is based on a rigorous evaluation of key trends in science, technology, and innovation
(STI) in the Philippine setting. It is meant to serve as a planning device towards achieving
concrete goals and designing strategic plans that shall transcend political periods whilst
aiming for inclusive growth, sustainability, and competitiveness in STI.
First, globalization has been interrupted, and it is critical to understand whether this
will be a brief interruption or a mere blip. Due to the factors related to COVID-19 and,
perhaps, also the political environment (e.g., populism), this may be a more protracted
adjustment period for broader globalization trends (Neuman 2020).
MEGATRENDS
1. Population - Young population with 53% belongs to the age group 0-24. Potential
source of the talent pool for science, technology, and innovation. Need : Dividend
are those where the working-age population have quality education, good health,
and where there are sufficient quality job . In the next three decades, these
demographic shifts will continue to have an impact on economic growth and well-
being, especially as developing countries, including the Philippines, transition to
higher income status. The expected shift of manufacturing to greater automation,
and the pressure that change will exert on lower- skill work, poses a particular
challenge to countries that have yet to bene t from the demographic dividend.
2. Migration - Pandemic and Climate Change - internal and external migration This
includes people moving away from lower water availability and crop productivity,
and coastal areas with rising sea levels and storm surges. This projection may
be especially important for the Philippines, which is visited by an average of 20
typhoons per year and has experienced ve of the strongest tropical cyclones in
history—four of which were experienced just in the last 10 years
3. Poverty - lower education, who live in rural areas, work on farms, and are part of
big households are still over-represented among the poor (Dugarova and Gulasan
2017; World Bank 2020b). Despite rapid urbanization in most developing countries,
poverty is still predominantly a rural phenomenon, accounting for nearly two-thirds
of total national poverty.
4. Economic Inequality
Intervention
1. The government needs to increase and protect investments in human capital by
building a more crisis-resilient and inclusive healthcare system, and equipping the
vulnerable population with STEM education, and specialized education to combat
misinformation (critical thinking )
2. Government needs to be agile and innovative in creating new livelihood
opportunities as the disruptive forces in the economy start to operate. Leveling the
playing field should be accompanied by opportunities to earn a decent living
3. Lastly, barriers in technology adoption among businesses and populations need
to be addressed through exible and adaptable government policies. Promoting
strong competition across sectors will be crucial in facilitating an environment
conducive to strong innovation and technology ows.
TARGET SETTINGS
Our Vision
Eggs nourishing every Filipino. Egg Industry leading to a healthier Philippines
and better food system.
Our Mission
To make eggs part of the daily life
Goals , Objectives and Targets

Philippine Egg Industry Plan 365
The Roadmap lays out where we want to head, and how we intend to get there.
The insights, goals or aspirations, actions , impact and targets under the 5
ROADMAP PILLARS
63
Roadmap Pillar I: Customer and Industry Value
Its 2040. Egg is a solution to achieve Zero Hunger. Filipinos are the biggest gainers in
a decade of smart investment in the food system infrastructure, which has increased
the value of goods and driven down the cost of local food production and reaching key
markets.
The focus on health and nutrition and the incentives which seeded dedicated food hubs
across the country created synergy in private investments, government food security plan
and community development.
Technology has changed the way we trade –making market access seamless, safe and
streamlined -and providing clear market signals to guide industry investment.
Local fresh produce stands for quality and integrity, and commands a premium price to
match. At every step on this journey, we have engaged our customers –giving them a
transparent insight into the way we farm and meeting their changing expectations.
INSIGHTS ASPIRATIONS ACTIONS OBJECTIVES IMPACT METRICS &TARGET

Undernutrition is, and P1 One Campaign against • Greater reach and National Egg
has always been, a GOAL 1 Protein Malnutrition. impact of industry Consumption per Capita,
serious problem in Grow or establish industry communications. 150 by 2023, 200 by
Filipinos love
the Philippines. initiatives to improve two- • Industry understands and 2030, 300 by 2040
eating Eggs and
way communication with responds to consumers
Nutritionally and nutritious food. Marketing - Positive
the consumers, including expectations
economically, the Image of Eggs and Egg
a strategy to educate the • Shared respect and
egg is always been Agri-techpreneurs
public about nutrition , understanding
unbeatable. Now
agricultural practices and • Consumers are more Trade - Inclusion of
is the perfect time
advise industry where informed about egg Eggs in Zero Hunger
to promote egg as
practice change farming practices and Poverty Alleviation
affordable, nutritious
Program.
and a low impact
food source Establish standards , egg • Consumer Protection Food Safety - Quality
handling , and suggested • Fair Price and Stable
Good nutrition is and Fair Priced Eggs
retail price. Market
a foundation for reach consumers
economic prosperity
Build on distribution system, • Improved understanding Egg prices are stable.
packaging, traceability and of provenance and Less volatility and treated
labelling systems to improve production attributes as products
the integrity of product • Product integrity
information provided to the and biosecurity as a
community. competitive advantage
• Labelling laws which
help consumers make
fact based decisions on
imported or ‘alternative’
foods
Food System is P1 Create national Egg • Collaboration across the Food System Awareness
not just physical GOAL 2 Innovation Hub . industry stakeholders in and Programs at
infrastructure. It achieving Egg Industry barangay level
Egg Industry Promote linkage of
requires mindset Sustainable Development
leads to a the 3 sectors - primary Stakeholders
transformation. Goals
healthier (production) , secondary Engagement. Participants
• Food Sufficiency planning
Egg industry is Philippines and ( processing and count and number of
cuts across
relatively small a better food manufacturing) and Industry events and
• and reach the people
compare to crops, system. tertiary ( service ) as One programs linked with
swine , broiler and Eggcosystem national programs related
fisheries but is on SGDs.
more inclusive in
terms of number of
commercial farmers,
cooperatives and
large industry
partners.
Industry innovation
is also a successful
Public - Private -
Partnership.
Roadmap Pillar II: Growing Sustainably
Small holder or Backyard operations are for self-consumption and for selling something
extra as a family income. Small and scavenging flocks controlled by cooperatives, villagers
and families are prevalent in rural areas, where they contribute to poverty alleviation and
food security.
Commercial Egg Farms are intended to feed millions of population in the urban , peri
urban and high demand areas. However, as larger production farms become more
common, siting issues regarding biosecurity will have an impact on small-scale village
and family flocks, possibly leading to conflict if proper management practices are not
exercised. The sustainability and potential expansion of any poultry production or
processing operation are affected by its location, especially in the long term. This is
particularly true of operations located near urban or peri-urban areas. These factors
demand careful planning of the location and siting of poultry production units. Failure to
take such planning considerations into account when constructing new and larger facilities
may result in costly changes or management expenditures in the future.
The Philippines is self P2 Implement Ecosystem Framework • Food security to RAD - for North Luzon,
sufficient on eggs, GOAL in key production areas. targeted market. South Luzon Visayas &
but is vulnerable . “Eggcosystem Model” – closed • Reduced value chain Mindanao
Closed Loop ,
loop . See Figure P2 -Food System bottlenecks
The chicken egg Integrated Egg 100% by 2040
– Industries & Stakeholders
market is fairly Industry • Lower transport and
Number of infrastructure
competitive and Establish Regional Agriculture logistics costs
set up as per Figure P2A
production is not Deals (RAD) to provide a multi- • Improved global
controlled by any government framework for competitiveness Farm / Farm workers
large firm, however physical infrastructure investment Registration
• Increased value-
seasonal egg glut or and regional development policy.
adding 100% by 2025
shortage of chicks,
Map strategic transport
high input cost, • Increased Compliance to Waste
infrastructure for food system employment in food
biosecurity, land use Management Laws -
to identify cost reduction manufacturing
and climate resiliency Available and affordable
opportunities. Introduce consistent
concerns continuously • Increase product providers
national transport regulations.
post a threat on the value
sustainability of the Establish food manufacturing • Market driven
industry. precincts in key growing regions production systems
with access to export facilities.
• Meet and anticipate
Implement value chain customer needs
technologies and processes that
inform prices and strengthen
market signals.
Implement farm standards, zoning, • Well Planned Conversion of Chicken

and appropriate public goods / Manure
• Fit for Growth
infrastructure Location, siting and 100% clean up by 2030
concentration of
poultry units .
Establish a government- backed • Investment in Aerosol Contamination

Environmental Stewardship Fund, conservation Level of Integration
aimed at seeding a marketplace tax instrument (Downstream , Upstream)
for private sector investment Biophysical asset
management Cost Reduction
balances production
with conservation
Remuneration
for positive
environmental
contributions
• A natural capital
accounting system
An active market for
private investment in
on- farm stewardship
Roadmap Pillar III: Unlocking Innovation
The populations that will suffer the most from the increase in food prices are the poor
people across the world. Reasons for this are, among others, that “lower income
consumers spend a larger share of their income on food [and] bulk commodities account
for a larger share of food expenditure in low income families”. Egg is a solution. Let’s
start maximize the value of eggs by extracting its nutraceutical and functional elements,
extending its shelf life, and value addition of its by-products

Food is becoming P3 Implement the food value • Increase productivity Productivity Innovation
expensive due to GOAL hierarchy . See Figure P3. and efficiency Index
increasing cost of
A globally Commercialization Local
production, growing Collaborative and Focused • Results driven and
competitive resources utilization
demand and market Approach in innovation. faster time to market
industry where
inefficiencies. Egg Innovation Facility
all stakeholders • Frameworks
are benefitting for beneficial Feed Inputs and
through collaboration AlternativesFeed Stuff
innovation. • Reduced duplication Hub & Facilities
and improved
Feed supplements
efficiency
and additives Hub and
• Increased private R&D Facilities
investment
Genetic diversity and
• Better monitoring and conservation of genetic
evaluation frameworks
resources
• Greater return on
Policies Monitoring,
public investment
Replication, &
commercialization
Invest in the capacity of digital • Science based
regulation Extension Services
and human networks to share and
promote new practices and tools • World class access to
appropriate for traditional systems, technology
which include family poultry
consisting of scavenging birds and
backyard raising; ·small-scale semi-
commercial systems; and large-
scale commercial systems
Roadmap Pillar IV: Capable People and Vibrant Communities
Working in Egg Industry may it be in primary (production ) secondary (manufacturing ) and

tertiary (services) is recognised as a rewarding and aspirational career choice for people of
all skill levels and backgrounds.We attract and develop people to match the needs of our
sector and we adapt to the shifting needs of the future. They are leaders, critical thinkers,
technical experts, those who work with their hands and more. Our reputation for workplace
excellence attracts phenomenal human talent from the Philippines and around the globe.

There are many P4 Apply an agriculture lens to • All Filipinos are exposed Double the number of
commercial GOAL school and tertiary education to agriculture Agriculture tertiary and vocational
players in the curricula. is a career of choice agriculture graduates
Strengthen the economy
Egg industry. • Pool of qualified, skilled by 2040
by promoting enterprise Promote the compelling
labor
Farm workers development and by rationale for a career in Meeting Economic and
in traditional increasing stakeholders’ agriculture. • Greater clarity skilled Social Indicators such as
crops are income and community on-farm roles Continued
Establish a nationally opportunities for Poverty Reduction
migrating to benefits
consistent, ‘trade- equivalent’ development Unemployment
work in egg
There is a clear career job brand for skilled farm UnderEmployment
farms. • A strong pool of industry
pathway to attract workers. Migration
leader
Egg retailing workers and develop
Grow professional
and distribution their skills,
development, leadership
in communities
with tailored streams for and mentoring opportunities
are thriving
new entrants through to for employees and business
seasoned professionals. owners.
We have robust and Establish an ‘Ag Gap Year’ • Introduce agriculture at

sustainable mechanisms program to get young key career decision point
to access labour Filipinos to try their hand at • Reduced unemployment
agriculture.
• A positive experience for
Create pathways for farm workers
unemployed to find on- farm
work.
Proactive steps to stamp

out any exploitation of farm
workers.
P4 Ensure every regional • New economic

GOAL 2 economic development plan opportunities for regional
includes agriculture and value communities Integrated
We live in strong economic plan for
chain industries. Complement
communities that agriculture Great schools
existing regional plans with
are have world class in rural and regional
the Regional Agriculture
education and health communities.
Deals approach. See P2
facilities; culture and • High speed connectivity
Eggcosystem Approach.
entertainment; and a Access to health services
diverse economy. Build leadership capability
• Safe roads and
and regional development
communities
‘literacy’ and practice
• Access to retail, financial
Champion provision of urban- and professional services
equivalent infrastructure.
Roadmap Pillar V: Capital & Risk Management
Egg enterprises have become increasingly sophisticated in their approach to governance,

risk management and planning for the future. Every farm has a clear strategy for
managing the inherent risks of farming, including an expanded role for insurance, and
business models which share production risks along the value chain. Commercial layer
enterprises are investment- ready.

Agriculture is P5 Champion producer • Reduce uncertainty Growth rate
volatile. GOAL peer review boards and More rigorous business
90% of family farms
benchmarking groups to decision- making
Disease Create a data driven have documented
inform farm business decision • Improved productivity
outbreak pose enterprise model that business plans,
making. and returns
a high threat will support chicken including succession
and Banks are eggs to continuously Support cross-sectoral plans. Biosecurity Plan
selective on meet the 4 global food capacity building initiatives for Monitoring
farm credit and nutrition security financial literacy, leadership
Bureau of Animal
focusing index i.e affordable, and corporate governance.
Industry Strategic
on medium available, safe, and
Continue to promote • Enterprise Continuity Reorganization
to large resource resilient
proactive succession planning. Disease Control &
commercial Farm businesses
scale have embraced new Surveillance Facilities
producers. governance models Educate industry • Increased productivity Diagnostic laboratories
stakeholders about financial Reduced risk (3 Regions III, IV and
-helping them better
plan for the future, risk management options • Global competitiveness. NCR) and establishment
manage risk, and (including income and multi- of diagnostic
increase profit. peril crop insurance, swaps laboratories in strategic
Innovative tools to and futures) and support ideas areas (5 laboratories)
reduce the inherent to improve their availability
risks of farming are and affordability.
used by every egg farm
business - supported
by consistent and
well administered
government risk
management policies.
RECOMMENDATIONS
FOR POLICIES,
STRATEGIES, AND
PROGRAMS
Roadmap Pillar I:
Customer and Industry Value
70
Roadmap Pillar II:
Growing Sustainably
Figure 14. Food System – Industries & Stakeholders
As per industry analysis, currently, fragmented sources of public and private investment
have no coordinating strategy. By setting clear priorities at the identified egg production
regional level, and committing governments to policies and investments that complement
those priorities, we can better support private sector investment and growth.
Key concepts
• Regional Agriculture Deals (RADs) are a binding agreement between national and
local governments;
• A RAD will define the agricultural value chain priorities for a region, and commit all
tiers of government to policies and investments which support those priorities; and,
• Regions will be defined by shared agricultural production systems and value chains
–cutting across local government areas as needed.
This model builds upon the UK City Deals approach which concepts can be adopted
in the Philippines. RADs will deliver a more focused and stable policy environment for
private investment, grounded in detailed local consultation.
Roadmap Pillar III:
Unlocking Innovation
Figure 15. Food Hierarchy Value
Pharma
Processed
Food
Fresh Produce
VALUE
Feed Inputs
Crop Inputs
Gasification Raw Materials
VOLUME
Egg Innovation across the product value chain will be replicated in the traditional crops
i.e. Rice, Corn and Coconut. By maximizing the value of agricultural commodities by
extracting its nutraceutical and functional elements , extending shelf life, and value
additions of its by products.
Egg Innovation Facility - Pilot BEPCO
Feed Inputs and Alternatives Feed Stuff Hub & Facilities Protein Enriched Copra Meal
(Php 250 Mio project for R4A)
Feed supplements and additives Hub and Facilities (Local development, academe and
Bureau of Plant Industry)
Genetic diversity and conservation of genetic resources (Partner with Academe and
Breeders - Climate Relient
Policies Monitoring, Replication, & commercialization, Extension Services (One

Government Approach)
Roadmap Pillar IV:
Strengthen the economy by promoting
enterprise development and by
increasing stakeholders’ income and
community benefits
1. Figure
Clear15.Policies
Food Hierarchy Value Programs for enterprise development, specific to local
and Targeted
needs.
2. Inclusion of Agriculture Development Plan in Barangay, Municipal/City, Provincial/

Regional level.
Devolution in Action to include Enterprise Building and Mindset Change. Strengthen

cooperatives and associations, social enterprises and partners.
3. Government to create a level playing field for competitive industry.
Roadmap Pillar V:
Egg Industry is data driven and meets
the global food security index.F
1. Public, Private and Community Partnership Projects to Protect Food and Feed Security
2. Clear Government Focus and Priorities - backed by numbers , market intelligence and
jointly agreed by all stakeholders.
3. Robust Execution Plan for Animal Health and Welfare . Government to provide
infrastructure that can protect the BioSecurity, Disease Control & Surveillance Facilities
a. Diagnostic laboratories (3 Regions II1, IV and NC) and establishment of diagnostic

laboratories in strategic areas (5 laboratories)
4. Make Access to Credit, Insurance, Investment Incentives easy for domestic players

Poultry Layer Industry: Philippine

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PHILIPPINE

Copyright 2022. All rights reserved.

No part of this publication may be reproduced, distributed, or transmitted in any form

Department of Agriculture - Bureau of Agricultural Research

Bureau of Animal Industry

Cover & Book Design:

Alphabet Communications Graphics & Print

Ms. Cecille Aldueza-Virtucio, BEPCO

OIC Director Dr. Reildrin G. Morales, DA-BAI

Asst. Prof. Bates Bathan, UPLB-CEM

Caroline Ann Rodero, DA-BAI

Atty. Irwin M. Ambal, PEA

Dr. Jonathan Sabiniano, DA BAI

Table 2. Swot Analysis of Philippine Feed Milling Industry 27

Table 3. Source and Characteristics of Feed Inputs 28

Table 4. Common Poultry Diseases, Occurrence and Control 30

Table 5. 20 Top Trends, Opportunities and Arguments

Table 6. Cost and Return Analysis

Table 7. Cost and Return Analysis of Chicken Egg Trader, Calabarzon 49

Table 8. Cost and Return Analysis of Chicken Egg Retailer 50

Table 9. Cost and Return Analysis of Chicken Egg Processor

Table 10. Layer Technical Parameters, 2009 54

Table 11. Cross-Country Comparison of Layer Production

Figure 2. Market & Channels 10

Figure 3. Egg Product Forms 11

Figure 4. Average Growth Rates of Value of Production

Figure 5. Industry Profile 13

Figure 6. Forecast Production Based on PS Numbers as of

Figure 7. Regional Egg Production Profile 15

Figure 8. Regional Population, Inventory and Consumption Profile 16

Figure 9. Farm Gate Egg Prices (In Months , Annual) 17

Figure 10. Agents Of Food , Agribusiness , and Biofuel Chain 20

Figure 11. Egg Value Chain 25

Figure 13. Relative Financial Position of Players 52

Figure 14. Food System – Industries & Stakeholders 71

Figure 15. Food Hierarchy Value 72

WILLIAM D. DAR, Ph.D.

Through conscious efforts for continued innovation, intensive

Now with the creation of the Layer Industry Roadmap, we look

WILLIAM C. MEDRANO, Ph.D.

We hope you’ll join us on the journey!

CECILE ALDUEZA VIRTUCIO, Pabli/BEPCO

Pillar I: Customer and Industry Value

Pillar II: Growing Sustainably

Pillar III: Unlocking Innovation.

Continuous learning to improve productivity and maximize shareholders’ benefits

Pillar IV: Capable People and Vibrant Communities

Working in Egg Industry may it be in primary (production ) secondary (manufacturing ) and

Strengthen the economy by promoting enterprise development and by increasing

Egg enterprises have become increasingly sophisticated in their approach to governance,

Structure of the Chicken Industry (Egg and Meat)

Figure 2. market & channels

Figure 3. egg product forms

Source: United Nations Economic Commission for Europe

Agriculture Crops Livestock Poultry Fisheries

Figure 5. industry profile

Source PSA , PCPP, PABLI, Deltaman

Forecast Production is based on PS Numbers as of December 31, 2021 made by Bureau

Figure 6. Forecast Production based on PS Numbers as of December 31, 2021