The Agribusiness

The Agribusiness
Input Subsystem
Input Subsystem
GROUP 1
The Agribusiness system may
be divided into four subsystem:

INPUT MARKETING
PROCESSING
SUBSYSTEM PRODUCTION
SUBSYTEM SUBSYSTEM
SUBSYSTEM

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INPUT

O Are important factors in attaining farm

productivity. In particular, and
product/industry competitiveness, in
general. The efficiency of the
transformation of inputs will determine
the costs and quality of product.

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1.Quantity of Inputs
 In any factory/ production site or any processing firms which are
dealing with living productive units, there is an optional quantity
required to produce a productive.
 For living productive units such as plants and animals, the level of
inputs must be measured according to their specific requirements for
optional growth as well as the total environment.
2. Quality of Inputs
 The quality of inputs impact on productivity or efficiency. Poor quality
of inputs will leads to slow growth , poor product quality, and even
high morality
3. Timeliness of Application
 Crops and animals have growth cycles. There are specific input
requirements in every stage of the cycle. Failure to observe this will
eventually affect productivity, product quality, and product cost. Delay
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in application will reduce its effectiveness.
 4. Cost of Inputs

 The choice of inputs affects the farm’s profitability. There are

inputs that can be deal for productivity and quality criteria.
However, their usage may not be cost-effective. High cost inputs
would reduce the farm profits.

5.Combination of Various Inputs

 The appropriate combination of inputs use and time application is

an important consideration in attaining plant or animal growth and
quality. This is the primordial role of the manager or entrepreneur.

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 Philippine Input
Philippine Input
Subsystem Scenario
Subsystem Scenario
 Crops
• Crops are land intensive.
• New land was significant source
of growth, but its future role is
limited to few countries.
 Classification of Crops According to Gestation
Period

• Annual Crops
• Perennial Crops
 Among the major inputs to
crop productions are:

• Seeds and Planting • Farm Machinery and

Materials Equipment
• Fertilizers • Buildings and
• Crop protection Structure
products • Irrigation
 Seeds and Planting Material

Its selection should be based on the market

demand for the product as well as the
quality
The low productivity of crops in the
Philippines can be attributed, in part, to poor
quality seeds or planting materials
Seeds
 Quantity of seeds per hectare
( Technical recommendation).

Planting Materials
Quantity of planting materials depends
on planting density.
 Issues in the seed Industry

The supply system of seeds in the Philippines is

generally underdeveloped.

The supply chain could vary according to crops.

Many seed companies are members of the

Philippine Seed Industry Association (PSIA).
 Fertilizer Industry
Fertilizers are critical to plant growth.
Nutrient required to grow abundant healthy plants
in agriculture.
Improve soil fertility
It help farmers provide abundant yields of high
quality crops.
 Fertilizer Cost
The cost of fertilizers to farmers is relatively high
due to;
High transport and handling cost
Poor rural infrastructure and inefficient
port service.
Small purchases of small farmers
 Organic Fertilizer Use

Increasing loss of soil fertility

Increasing use of by-products for
organic fertilizer manufacturing
Increasing awareness of balanced
fertilization
 Major Fertilizers Markets

Rice
Corn
Sugarcane
Vegetables
Cavendish banana
Pineapple
 Key Fertilizer Industry Players

Philippine Phospate Fertilizer Corp.

Atlas Fertilzer Corporation
Soiltech Agricultural Products Corp.
Farmix Fertilizer Corp.
 Crop Protection Products
 Crop protection products include insecticides, fungicides, and
herbicides, molluscicide, nematocides. Pests and diseases are
unavoidable in production units while native cultivars may
have developed some resistance to them; high yielding hybrids
are easily susceptible.

 The industry is dominated by foreign brands which are sold by

either subsidiaries of multinational or their agents.

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The following are the crops that are major
users of crop protection products

rice Vegetables
Cavendish Corn
banana
pineapple.
Mango

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 The following are the key
players in crop protection:

 Bayer Philippines
 Novartis
 Jardine
 Syngenta, etc.

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Two developments that have greatly
benefited crop production are the use of

 bio-friendly bio-pesticides and

 the advent of biotechnology.

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Farm Machineries and Equipment

 Farm machineries generally include two-wheel

or hand tractors, four wheel tractors, rice
threshers, corn shellers and pumps.
 The market for farm machineries is heavily
influenced by farm profitability because these
are products that require lump-sum investment

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The key players in the Philippine
agricultural machinery and equipment
industry are:

Abomar Corporation  Kubota Agro-Industrial

Machinery Philippines
Alpha Machinery and
Inc.
Engineering Corp.
 Kawasaki Motors Inc.
Honda Philippines Inc.
 Solanda Enterprises, etc.

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 Irrigation and Drainage

Irrigation is very useful due to variation of

rainfall pattern. It has several benefits:
a. It increases the use of land as it allows
planting during dry season
b. It increases farm productivity
c. It provides an avenue for crop diversification

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 There are many irrigation systems that are run-of-the-
river gravity system which includes Magat River
Irrigation in Isabela, Upper Pampanga River Irrigation
System in Nueva Ecija, Angat-Maasim River Irrigation
System in Bulacan.

 There are over 180,000 hectares under private

irrigation, over 650,000 hectares under national
irrigation and over 480,000 hectares under communal
irrigation system.

 Modern irrigation technologies such as drip and 25

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sprinkler irrigation are also used in banana plantations.

 Livestock
 Livestock accounts more or less 16% of the total agricultural
production.
Swine
Inputs in swine production include:
breeds,
feeds,
animal health products and
farm structures and
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equipment's.
a. Breeds. Most of the pigs in the Philippines are
descendants of various foreign breeds such as Duroc,
Landrace, and Yorkshire. Breed selection is important.
Good breeds deliver good production performance in
terms of daily weight gains, feed conversion ratio, and
fat-lean meat ratio.
b. Feeds. Feeds account for up to 80% of the cost of
production. Feed ingredients are mixture of many
products, mainly corn, soybean meal, full fat soybean,
fish meal, rice bran, etc.
c. Animal Health Products. Animal health products
include biological, pharmaceuticals and feed
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e. Farm Machineries. The farm machinery
requirements of the commercial hog business are
fairly diverse, including feeding equipment such as
hammer mills and mixers, water servers, and
laboratory equipment.

d. Buildings and Structures. Swine require

building designs and specifications suited to the
growth stage of the pig. Such structures include sow,
nursery and, grow out areas; ventilation systems;
water systems; wastes disposal systems; and waste
treatment plants.
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 Cattle
The cattle industry account for more or
less 16% of the livestock sector. The
major inputs of cattle feedlots include:
feeder cattle, roughage and forages,
feed concentrates, animal health
products, farm machineries and
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a. Feeder Cattle. Supply of feeder cattle in the Philippines comes from
two sources: cattle ranchers and imports. Importation of feeder cattle
is not regulated, large feedlot operators can import on their own.
Cattle are usually fattened over several months prior to sales.
b. Roughage and Forages. Roughage and forages comprise the bulk of
the cattle ration. It includes sugarcane tops, Napier grass and corn
plant. As a key input source, it is important that the supply is not too
far from the cattle feedlot.
c. Feed Concentrates. Feed concentrates provide the vitamins and
minerals.
d. Animal Health Products. Its same with those used in swine
production, the only difference is the feedlots increasing use of
growth hormones.
e. Farm Machineries and Structures. It includes water supply
equipment, tractors for manure disposal and weighing scales. The
structures
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 Poultry
 The poultry industry in the Philippines comprises chicken
meat, chicken eggs, duck meat and duck eggs.
 The chicken industry has the same types of inputs as the
swine industry like breeds, feeds, animal health products
and farm machinery and structures.
 Under contract growing agreement, the company supplies
the day-old chicks (DOCs) and provides the feeds,
vaccines, and technical services. The grower provides
housing, labor, medication and equipment and utilities.
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a. Breeds. The DOCs used by broiler contract growers of the
poultry integrators come from a long line of activities.
Some of the poultry integrators are San Miguel Foods,
Swift Foods, Vitarich, and Purefoods.
b. Feeds. Feeds are supplied by the integrators following their
standard requirements. The pre-mixed feeds are delivered to
the contract grower on a periodic basis.
c. Animal Health Products. Following the contract growing
agreement, the grower will provide the animal health
requirements, except the vaccine as vaccination is
undertaken by the integrator.
d. Farm Machineries. The housing and other facilities of the
broiler farm include brooding and feeding equipment as 32
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well as ventilators and water pumps .
 GROUP 1

1.Arumpac, Asnia

2. Abiden,Allaniah

3. Ali, Junaidah

4. Aba, Hussien

5. Ansari, Anwar

6. Baguinda,