Career Development on
Agribusiness Industry
Col. Alejandro T. Escaño
President
Philippine Chamber of Agriculture & Food, Inc. (PCAFI)
12th
October 2012
National PESO Congress
Baguio City
STRATEGIC ROLES OF
AGRICULTURE AND FISHERY
• ECONOMIC –
•
•
15% of GDP direct, about
40% of GDP direct and indirect, most of
domestic food, bulk of raw materials for agroprocessing, and 10% exports.
LIVELIHOOD/SELF EMPLOYEDOver 12 million direct jobs
ENVIRONMENT- impact of water use,
irrigation, deforestation, watershed, coral reefs,
and climate change.
Agriculture is an investment
PRIORITY
Agriculture provides food for people.
Increases in agricultural output can lead to
cheaper food, benefiting both the urban
and rural poor, who spend more than 41%
of their income on food (Philippines).
Importance of Agriculture
Expenditure Group
2003
2006
43.1
41.4
13.1
12.7
Fuel, Light and Water
6.5
7.6
Education
4.0
4.4
Personal Care and Effects
3.9
3.7
Clothing, Footwear &Other Wear
2.9
2.4
Medical Care
2.2
2.9
Durable Furniture and Equipment
2.6
2.7
Household Operations
2.2
2.3
Alcoholic Beverages
0.7
0.7
Tobacco
1.1
0.9
Recreation
0.5
0.5
Non-Durable Furnishings
0.2
0.2
House Maintenance and Minor Repairs
0.7
0.5
Taxes Paid
2.1
1.6
Miscellaneous Expenditures
2.6
1.4
Other Expenditures
2.9
3.0
Food
Rent/Rental Value of Dwelling Unit
AGRIBUSINESS AND SECTORAL LINKAGES
Farm
Inputs
AGRICULTURE
Grains, Fruits,
Vegetables, Fiber,
Tree Crops, Livestock,
Fishery
Food & Raw
Materials
SERVICES
-Banking
-Transport
-Storage
-Trade
-Insurance
INDUSTRY
Processing, Fertilizers,
Plant/Animal Health,
Machinery
Agribusiness Supply Chain Players
Seed supplier breeder
Fertilizer distributor
Crop protection provider
Animal health provider
Input
suppliers
Farm machinery
supplier
Irrigation
equipment
provider
Growers/
Producers
Cannery
Dressing plant
Mill
Slaughter house
Packing house
Processors
Farmer
Grower
Animal Raiser
Packaging
products
provider
Supermarket
Restaurant
Convenience store
Distributors
Wholesaler
Importer
Exporter
Logistics
provider
Retailers
Consumers
Agribusiness Supply Chain Players
• The importance of agriculture & fisheries to the
Philippine economy is greater than standard
Gross Domestic Product (GDP) estimates
because these capture only the production
phase of value chains.
• This understates the importance of agriculture
and fisheries to the Philippine economy. If the
share of manufacturing (e.g. food and beverage
industries) and service sector activity that is
directly dependent on the existence of domestic
agriculture and fisheries production is taken into
account, then a different picture emerges.
Agribusiness Supply Chain Players
• Taking into account various multiplier
effects, agriculture probably ‘drives’
about one-quarter (25 %) of GDP at
this time,
i.e. well above the 12-13% figure
frequently cited (JICA)
Philippine Chamber of Agriculture and Food, Inc.
(PCAFI)
Composed of major players in the food, fisheries, agroforestry, policy advocacy, distribution, processing in
agriculture
Vision
A sustainable and globally competitive agribusiness*
system that materially contribute to the Philippine
economy
*/ Agribusiness system includes the entire stream of functions in the
agricultural and fishery continuum.
GLOBAL OPPORTUNITIES IN
AGRICULTURE
• Rising incomes and wealth in
China, Taiwan, India, ASEAN
• Supply chain transformation
• Biofuels boom
• Technology advances
(Life sciences + ICT)
• Cross-border investments
H.E. Ma Keqing
Ambassador of PROC in RP with PCAFI Chairman
China’s Achievement in Agriculture
Farmers’ income increased
By H.E. Ma Keqing
Ambassador of PROC in RP
CNY
6000
5000
4000
3000
2253.42
2000
1000
2011
2010
2009
2008
2007
2006
2005
2004
2003
2002
2001
0
2000
In 2011, farmers’
annual nominal
income reached
6,977 Yuan/person,
with 10.8% annual
rate of increase
during 2000-2011
6977.00
7000
12
Comparison of PROC & RP in Agricultural Sector
Population & Farmland
Population:
By H.E. Ma Keqing
Ambassador of PROC in RP
• PROC: 1347 million (by end of 2011)
•
RP:
92.34 million (2010, NSCB)
• Farmland:
•
PROC: 133 million hectare(2011)
RP:
14.2 million hectare
Farmland per capita:
•
PROC: 0.1 ha
RP:
0.15 ha
Comparison of PROC & RP in Agricultural Sector
Grain Productivity- Unit Yield,Kg/ha
By H.E. Ma Keqing
Ambassador of PROC in RP
• PROC:
Rice: 6693, Wheat: 4875, Corn: 5736
• World Average:
4374
• RP:
3677
3000
5215
2739
AVRDC IN TAIWAN
Research to promote development
§ Founded in 1971 as the
Asian Vegetable Research and
Development Center with a regional
research focus on Asia
§ Our research and development is
nonprofit
§ Our research outputs are global
public goods
§ The World Vegetable Center has an
expanding global role with a growing
network of regional offices
Slide 2
(6/2012)
www.avrdc.org
Alleviate poverty and
malnutrition in the
developing world
through the increased
production and
consumption of healthpromoting vegetables.
WORLD VEGETABLE CENTER IN TAIWAN
MAUREEEN MERCOZZI
– AVRDC Head Communication & Information
WORLD VEGETABLE CENTER GENBANK
IN TAIWAN
DR.ANDREAS EBERT
– AVRDC GENBANK Manager
HAN KUANG VEGETABLE PRODUCTION
COOPERATIVE IN TAIWAN
TING-CHUAN LIAO - Chairman
BENCHMARKING AGRI GROWTH
Philippines tailed in the 80s and 90s, and
picked up in 2000s; private sector-led
(% Average Annual Growth)
1980-1990 1990-2000 2001-2008
Indonesia
3.6
2.1
3.4
Malaysia
3.4
0.3
3.3
Philippines
1.0
1.7
3.8
Thailand
3.9
4.2
3.0
China
5.9
4.1
4.2
Vietnam
2.8
4.3
3.9
Source: World Bank Development Indicators, 2004 and 2006; Asian Development Bank – Key Indicators of
Developing Asia and Pacific Countries, 2007
Career Opportunities
•
•
•
•
•
•
Agri-technicians
Agri-extension Workers
Teachers / Trainers
Farm Supervisors
Farm Manager
Traders /Suppliers
• Entrepreneurs
NEW BREED OF FARMERS
(MFI - Farm Business Institute)
Farm Business School
in Jalajala, Rizal
Diploma in Entrepreneurship
PREPARATION FOR CAREER OPPORTUNITIES IN
AGRICULTURE
Ladderized approach to skills training
TESDA-accredited trainings range from 152 hours to
1,440 hours
National Certification by TESDA
TESDA training included in Certificate and Diploma in
Entrepreneurship
Scholarships Available!
PREPARATION FOR CAREER OPPORTUNITIES IN
AGRICULTURE
Diploma in Entrepreneurship with Specialization:
Sustainable Agriculture
Aquaculture
Eco-Farm Tourism
Food Processing
Farm Business
Urban Agriculture
Agro-Forestry
Landscaping
PREPARATION FOR CAREER OPPORTUNITIES IN
AGRICULTURE
2-year Diploma courses lead to BS Entrepreneurial
Management Courses in partner State Universities
(University of Rizal System, Palawan State University
& Ming Yuan College)
Curriculum design : 30% classroom and practicum
70% including On-the-Job Training (OJT) Placement
Student’s farm business ventures
Residential campus in Rizal, Palawan & Negros
Occidental
Issues and Concerns
Agriculture has lost its appeal as career
option
Benefactors focus on jobs that promise
overseas employment
In the past, agriculture was thought in the
classroom and field exposure is at a
minimum
Preference for a 4-year course
Actions Taken / Recommendations
Emphasis on hands on training & OJT in
successful farms of entrepreneurs
OJT period complete one production cycle to
optimize learning and experience
Learning by doing
Ladderized two-year diploma programs for
immediate impact
Scholarship / Pay it forward scheme for
children of farmers
Helping one another
87 graduating Diploma in Agricultural
Entrepreneurship in MFI need start-up
capital for micro-agri enterprises as new
entrepreneurs
Government agencies like DOLE can help
provide start-up support for young
entrepreneurs
It’s time to be a GREEN
entrepreneur!
THANK YOU!