Presentation during the Bureau of Agricultural Research (BAR) 14th Agriculture and Fisheries Technology Forum and Product Exhibition Seminar Series on August 31, 2018 at Megatrade Hall 2, SM Megamall, Mandaluyong City

1. 14th Agriculture and Fisheries
Technology Forum and Product
Exhibition
1
August 30 to September 2, 2018
Trade Hall 2, SM Megamall,
Mandaluyong City
Department of Agriculture
BUREAU OF AGRICULTURAL RESEARCH
Theme, “Agripreneurship: Mainstreaming Agriculture
and Fisheries R&D by Delivering Technology
Breakthroughs to Farmers and Fisherfolks,.”

2. Queen Pineapple Products and
its Financial Viability

4. ORGANIZATION HEADQUARTER
BRGY. MALASUGUI, LABO
CAMARINES NORTE
BICOL REGION, PHILIPPINES

5. LABO PROGRESSIVE MULTI-PURPOSE COOPERATIVE
PROFILE
Date Organized: SEPTEMBER 11, 1987
Type of Cooperative: AGRICULTURE COMMUNITY BASED COOPERATIVE
Address: BRGY. MALASUGUI, LABO, CAMARINES NORTE,
Member of the Board of Directors:
Chairperson : Mrs. FE V. DE MESA
Vice Chairman: Mr. ARIEL F. LIBRIA
Farmer Sector Representative: Mr. ROMULO B. TEMPLONUEVO
Business Sector Representative: Engr. EDMOND MADERA
Women Sector Representative: Miss CONSTANCIA O. LABIOS
Youth Sector Representative: Mrs. JUVELYN B. ECHEMANE
SSE Sector Representative: Mrs. MARIA DT. BENITEZ
Secretary of the Board: Mrs. MARIVIC C. ALOC
General Manager/TRIAS Project Program Manager: MARIO M. ESPESO
Total Number of Members (to date: 8,844): (FF and Fisherfolk -5,007; SSE-2,652;
Employed- 1,185)
Total Number of Regular Employee: 50 (Male-30; Female-20)

6. FINANCIAL HIGHLIGHTS
KEY RESULT AREAS 2014 2015 2016 2017
Membership 8,867 9,146 9,323 8,844
Membership Deposit 27,224,047 30,423,624 28,677,403 30,830,359
Paid-up Capital 22,478,363 23,990,378 25,054,526 27,205,772
Total Assets 90,299,713 96,973,935 123,745,428 131,920,334

7. PROGRAMS AND SERVICES
A. FINANCIAL SERVICES B. ECONOMIC SERVICES
• PRODUCTION LOAN: Decorticated Fiber Project
 Short and Long Term Business Loan Handloom Weaving Project
 Working Capital Loan Specialty Handmade Paper Project
 Marketing Loan Hand scrape & Knotted Fiber Project
2. AGRICULTURAL LOAN: Virgin Coconut Oil Processing Project
 Livestock Production Loan Pineapple Production Project
 Crop Production Loan Organic Fertilizer Production Project
 Fish and Aqua Loan C. SOCIAL SERVICES
3. PROVIDENTIAL LOAN: Scholarship Program
 Health Loan Loans and Accident Insurance
 Educational Loan Life and Non-Life Insurance
 Emergency Loan ALS Service Provider
 Elders Loan Mutual Benefit Program (P4)
4. MICROFINANCE LOAN: Members Enterprise Development Training
 Agri and Non-Agri Loan
5. DEPOSIT SERVICES: Share Capital and Savings Deposit

8. ENHANCING COMPETITIVENESS OF
THE “QUEEN” PINEAPPLE IN BICOL
REGION
A Partnership Project with the Department of
Agriculture-Bureau of Agricultural Research
(DA-BAR), Department of Agriculture Regional
Field Office – 5 (DA RFO 5) and the Labo
Progressive Multi-Purpose Cooperative (LPMPC)
Year 2008 - 2014

9. GOAL
TO ENHANCE AND SUSTAIN
THE EXPORTATION OF FRESH,
PROCESSED AND OTHER BY-
PRODUCTS FROM “ Queen”
Pineapple

10. OBJECTIVES
 To promote and enhance adoption of the best
practices/technologies in the production of quality
“Queen pineapple fruits;
 To explore and expand the potential markets for the
fresh and processed “Queen Pineapple fruits and by-
products in the local and international markets;
 To strengthen the capabilities of samll Queen
pineapple growers in Camarines Norte so as to
produce good quality fruits on a sustained volume that
will meet the requirement of the fresh market, locally
and abroad.

11. EXPECTED OUTPUT
 Increase in the adoption of best
practices/technologies for production and
postproduction handling of Queen pineapple in
identified major pineapple-producing areas;
 Market reconnaissance for fresh and processed Queen
Pineapple ad.or its by-products;
 Test marketing trials (small-scale) in identified
importing/market area/country
 Strengthened capability of small Queen” pineapple
growers in Camarines Norte to produce and handle
exportable Queen pineapple fruits

12. PROJECT COMPONENTS
A. Up-scaling the production of Exportable Fruits as
intercrop to Coconut and as Monocrop in the Open upland
Areas of Camarines Norte
B. Market Development
C. Capacity Building
D. Infrastructure Modernization thru Networking and
Collaboration

13. THE LABO PROGRESSIVE
MULTI-PURPOSE
COOPERATIVE AGRIBUSINESS
PROJECTS ASSISSTED BY DA-
BAR

14. PAGTATANIM NG PINYA

15. Integrated Pineapple Processing Project
PAGGAWA NG DYUS O KATAS MULA SA BUNGA NG PINYA,
KENDI AT PALAMAN SA TINAPAY

16. PAGHAGOT NG DAHON NG PINYA GAMIT ANG
MAKINANG PANGHAGOT

17. Pagdudugtong ng hibla at paghahabi ng
damit mula sa ng dahon ng pinya

18. Handmade Paper Production Project
Paggawa ng papel gamit ang hibla ng dahoon ng pinya at hinaluan ng iba pang lokal
na materyales

19. PAGGAWA NG ORGANIKONG PATABA GAMIT ANG BALAT AT PULP
NG PINYA, TAE NG BAKA, BARANI NG SAGING AT MGA DAMO
GAMIT ANG BULATE
VERMICOMPOST FERTILIZER PRODUCTION
PROJECT

20. Paggawa ng purong langis mula sa niyog
bilang gamot at panlinis ng katawan

22. ESTIMATED REVENUE ON PINEAPPLE FRUITS
(LPMPC BUYING SCHEME)
POPULATION PER HECTARE 30,000 PLANTS 35,000 PLANTS
Less 5% Mortality 28,500 pcs 33,275 pcs
Estimated number of marketable fruits
equivalent to 70% of the population
19,950 pcs 23,500 pcs
Estimated gross revenue per hectare at P6.50
per pc with 70% good size (550 -1000 gms)
and 30% non-good size (549 gms to 350 gms)
at P4.50/kl.
129,675
38,475
168,150
152,750
43,987
196,737
Estimated production cost per hectare at
P2.50 per pc.
75,000 87,500
Estimated net revenue per hectare 93,150 109,237
Estimated Return of Investment 124.2% 125.14%
Minimum number of workers per hectare 10 12

23. ESTIMATED REVENUE ON DECORTICATED FIBER
POPULATION PER HECTARE 30,000 PLANTS 35,000 PLANTS
Harvestable number of leaves per plants = 1 kl 15 pcs 15 pcs
Harvestable number of leaves per hectare less
5% mortality
427,500 pcs 499,125 pcs
Total weight of leaves per hectare at an
average weight of 55 gms. per leaf
23,512 kls 27,451 kls
Fiber recovery per hectare @ 1.25% 293.9 kls 343.14 kls
Estimated gross revenue per hectare @
P230.00 per kilo
67,597 78,922
Less Cost of Production of P75.00 Per Kilo 22,042 25,734
Estimated net Income 45,555 53,188
Conditions of pineapple plants for harvest
Number of workers per hectare
Number of days operation
Average income of worker per day
Un-pruned
5 workers
29 days
314
Un-pruned
5 workers
34 days
314

24. ESTIMATED REVENUE ON HAND SCRAPED FIBER
POPULATION PER HECTARE 30,000 PLANTS 35,000 PLANTS
Harvestable leaves per hectare 23,512 kls 27,451 kls
Fiber recovery per hectare @ .8% per klo 188 kls 219.6 kls
Estimated gross income per hectare @
P1,000.00 per kilo
188,000 219,600
Less cost of Production (P750.00 per kl) 141,000 164,700
Estimated net income per hectare 47,000 54,900
Estimated production per day per worker
using only small ceramic plates and metal
spoon and estimated daily income
400 gms
300/day
400 gms
300/day
Number of workers required for 26 day
operation
18 21

25. ESTIMATED REVENUE ON KNOTTED FIBER
POPULATION PER HECTARE 30,000 PLANTS 35,000 PLANTS
Harvestable leaves per hectare 23,512 kls 27,451 kls
Fiber recovery per hectare @ .8% per klo 188 kls 219.6 kls
Estimated knotted fiber @ 60% recovery 112.8 kls 131.76 kls
Estimated gross income @ P6,000.00 per klo 676,800 790,560
Less cost of production @ P4,500.00 per klo 507,600 592,920
Estimated net income per hectare 169,200 197,640
Estimated production per worker per day 100 gms 100 gms
Estimated average income of worker/day P450.00 P450.00
Number of workers required for 26 days
operation
43 50

26. OPTIMIZING BENEFITS
IN PINEAPPLE VALUE
CHAIN

27. Input
Supply
Pineapple suckers,
fertilizers, herbicides,
pesticides, flower inducer,
fruit enhancer, organic
fertilizer for basal
Marketing-social media,
telephone. celfone, fax
Transportation-small
vehicle, hauler for IPP
supply and forward trucks
for MM market
Harvesting, sorting,
grading, small fruits
for IPP, bigger fruits
sold to market
Marketing
Land preparation, planting
weeding, fertilizer
application, flower
induction, fruit enhancing
Pineapple
Production
LOGISTICSAssembly
Smaller fruits sold to
Coop IPP, while bigger
fruits sold to Local
traders, Hotels
Supermarkets, Dealers,
Suckers-Php 1.00/pc;
Commercial fertilizer ranges
from Php1,200 – 1,800/bag;
Organic fertilizer – Php300
per bag; Herbicide –
Php1,300/bag
Harvester - .25/pc; Sorters
- .10/pc; Baggage - .25/pc,
up and down; Transport :
Coop - .35/pc; Manila –
1.00/pc
Bigger fruits sold to market
ranges from Php 5.50 -7/pc;
smaller fruits sold to IPP is
P2.50 pick-up to 4.50 per
kilo, delivered
Php 2.50/plant production
cost/pc @ 35,000 plants
population planting
density/ha. With 90%
survival rate
Full payment upon
pick-up; Term
payment; Coop profit
margin is 15% to 25%
LPMPC PRICE
PINEAPPLE
PRODUCTION
Financing and
BDS
Financing program for
contract growers at
Php75,000 per ha. payable
upon harvest
Financing Service are
provided by branches;
GAP training is served by
Agritech while Entrep
dev’t skills trainings are
conducted by MREDT
Pineapple farmer
members in different
branches are organized
into clusters and
provided with free
trainings
Coop agri-tech provides
coaching, mentoring and
training on GAP. Tractor
and sprayers offers for
rental at minimal fee
Provided by
agribusiness unit in
collaboration with the
4 C&S branches of
LPMPC
Benefits to
Farmers
SSF for farmer members at
minimal rental rate like
handtractor, cultivator,
power sprayer and heavy
duty tractor for land
preparation and
maintenance
An estimated net income
of P43,462.5 for
pineapple owner for
35,000 population per
hectare, while farmer
haulers earns P9,450 per
hectare
Additional farmers income of
P5,000 – 10,000 for
batterball size per ha, Family
farm workers income of
P25,000-P30,000 per
hectare. Free training,
coaching and mentoring
Members ICPR
received annually,
direct incentive of .50-
1.00/pc as supplier of
fresh fruits
Lower interest rate and
affordable loan terms.
Reduce cost of fertilizer,
pesticides and herbicides;
Membership to Coop
Process

28. Input
Supply
Stage 2 ripeness fresh
batter ball size pineapple
for pineapple Juice; For
Jam and Jelly, stage 0
ripeness
Processing Facilities and
equipment; Warehouse;
Delivery Van; 12
Manpower,
Marketing
Peeling / Chopping / Extraction
/ Mixing / Bulk Storage
/Cooking / Pasteurization /
Packaging and Labelling
Processing Logistics
Dealers, Distributors,
Traders, Hotels, Stores,
Canteens, Supermarkets,
LGUs, Schools
Delivered: BB – 4.50/kl;
pick-up – 2.50/kl; Good
size -5 to 7.50/kl;
Wholesale price, term
payments, discounts, rebates
for distributors. Institutional
buyers and dealers; Credit line
and B2B transactions
Workers – Php300/day with
OT and benefits; Regular Staff
(Spvr, Prdt’n Asst., FT,
Driver) – Php350 – 450/day,
with OT and Benefits
Distributors, Dealers,
Institional Buyers less 10% to
15%; Retailers less 5% to
7%, with rebates
LPMPC Price
INTEGRATED
PINEAPPLE
PROCESSING
Financing and
BDS
Production Loan for PF
suppliers; Working Capital
loan for traders supplying
fruits; Deposit Services
4 Credit and Savings Operation
branches of Coop caters credit
services while MREDT handles
different skills and development
trainings and seminars
Working capital and
providential loan to staffs and
workers, insurance, health
program and skills training;
Deposit Services
Credit facilities for retailers;
term payment for dealers,
distributors and institutional
buyers; Free training and
seminars
Benefits to
Farmers
Credit Facilities; Deposit
Services; P4; Heath and
education program for the
family; Insurance; Training on
GAP
Market for BB pineapple; price
stability; Payment on time.
Annual ICPR for coop
members; Incentive for
MIGS; Rights and privileges
as coop member
Membership to Coop;
lower interest rate; Higher
interest on deposit
Process

29. Raw Materials
Supply
Matured Pineapple Leaves
(Queen Formosa or Hawaii
Variety)
Harvester; Decorticator
Washer/Cleaner;
Decorticating Machine;
Haulers; Transport
Vehicle; Packaging Mat’l
Marketing
Harvesting of Pineapple Leaves:
Decorticating of Pineapple
Leaves: Washing Drying,
Storage; Weighing and
Packaging
Fiber
Production
Logistics
Local and Foreign Market
(garments and shoes
manufacturer, specialty
paper processor and
upholstery makers
Pineapple leaves-.25 -
.50/kl farmgate price; Lot
price-5,000-15,000/ha;
Per kilo dried fiber-20
Credit facility for fiber
supplier; Deco machine
for rental; Accident
Insurance for workers;
Provision of haulers
Harvesting of leaves-1.00/kl;
Decorticator-20/kl wet
fiber; /Washer
Drier/Cleaner-8.50/kl wet
fiber; Dried Fiber-230/kl
COD, FOB; Term
Payments; Landed Cost
LPMPC Price
DECORTICATED
PINEAPPLE
FIBER
PROCESS
Agri loan for Pineapple
Farmers, Accident Insurance;
Training on GAP and proper
harvesting of leaves; Deposit
Services
Shared Service Facility;
Financing and Loan
Facility; Loan and
Accident Insurance
Facility; Training Facility;
Deposit Services
Loan facility for acquisition
of hauler and deco machine;
Working capital; Accident
Insurance; Training on
operation, safety and
maintenance of deco machine
Loan and financing
facility, Loan and
Accident Insurance
provided by Credit and
Savings Operation;
Benefits to
Farmers/Workers
Additional income of 5,000
to 15,000 per ha. from selling
of leaves; Membership to
Coop; Household Enterprise
Hauler of fiber earns
P250-300 per batch of
delivery to the coop
Five fiber decorticators
earns P33,750 per ha. for
18 to 20 days work
Cooperative member-
owners benefits from the
revenues generated from
the sales of fiber, ICPR
Financing and
BDS

30. Raw Materials
Supply
Matured Pineapple Leaves;
Silk Yarn; Cotton; Abaca
Pinukpok
Fiber Handscrapers and
Knotters; Weavers, Cloth
Embroiderers and Dyers,
Handloom Machine and
Accessories
Marketing
Handscraping, Knotting,
Bobbin Winding, Warping,
Setting, Beaming, draw-in,
Denting, Weaving, Dyeing
Weaving
Production
Logistics
Pasalubong Centers,
Souvenir Shops, Fashion
Designers, Tourist, Malls,
Dress Shops
Hancraped Fiber-1,000/kl;
Fiber Knotting 4,500/kl;
Knotted handscraped
pineapple fiber-6,000/kl; Silk-
4,000/kl; Abaca Pinukpok-
1,800/kl
Free usages of Handloom
Machines; Provision of
allowance while on training;
Dyeing-50/yard; Embroidery-
100 to 800/yard
Warping and setting-Php
450/ 32 yards; Weaving @
Php 150/yard for Pineapple
Cloth 60” width; Alampay-
75/yard including setting;
Pineapple Cloth 60” Width-
Php 800/yard; 45” width-
Php 600/yard; 30” width-
Php 400/yard; Alampay-
1,000/pc
LPMPC
Price
HANDLOOM
WEAVING
Financing and
BDS
Credit Line for supplier of raw
materials, Insurance; Deposit
Services; Free training on skills
and enterprise development
Financing/Loan Facility
for working capital of
weavers; Acquisition of
equipment; MREDT for
skills trainings
Free Basic Skill Training on
Handloom Weaving;
Financing of Handloom
Machine for weavers;
Provision 0f WC loan
Credit and Savings
Operation Branches
provide financial
interventions to weavers
and suppliers
Benefits of
Farmers/Weavers
Additional income from
leaves; Membership to Coop;
Household Enterprise; Free
Skills Training
Credit Facilities; Insurance;
Scholarship Program for
Children; Health Program;
Members Mutual Fund,
Deposit Svcs; Loan Facility
Plain Cloth;150/yard; Pick-
up Design-300/yard; Free
Advance training on weaving,
design and embroidery; Field
exposure on other Weaving
Center
Interest on Share Capital;
Patronage Refund; Interest
on Savings Deposit; Tax
Free on ICPR and Deposits
PROCESS

31. CHALLENGES
1. High production cost ( inputs and labor) and low yield of fruits experienced by
pineapple farmers
2. Many pineapple farmers are still practicing traditional farming. No soil test, farm
planning and budgeting.
3. Fluctuating price of fruits, farmers are usually hostage by traders.
4. Pole vaulting of some farmers related to selling of produced under contract.
5. Untoward attitude of some farmers with regards to pineapple production. Fruiting and
ripening made beyond standard maturity.
6. Low acceptance on new technology of pineapple farmers, thinking it is always
additional cost.
7. Lukewarm response of farmers on the farm assistance being extended by the
Department of Agriculture and other government agencies.
8. High freight cost of pineapple fruits in nearby provinces and Metro Manila.
9. Low efficiency and high risk type of the existing mechanical decorticating machines
10. Failure to deliver the buyer’s volume requirements of pineapple fiber due to low
production output.
11. Low output of pineapple leaves harvester due to changes in weather condition.
12. Supply of knotted pineapple fiber, silk and abaca tinagak for handloom weaving

32. Issues and concerns in exporting of
pineapple
Some Asian countries have tried importing the fruit from Camarines Norte
but several problems were encountered during the initial exportation of
the fruits. Problems encountered during the initial exportation are:
 Rapid ripening and deterioration of the fruits.
 Low recovery and productivity of pineapple due to malpractices of
some pineapple farmers.
 Inadequate facilities and equipment for fast and efficient packing
of fruits in the packinghouse for post harvest and processing
operations
 Higher percentage of rejection for export due to the present
production system that produces large volume of small fruits.
 Absence of updated and reliable data on area and volume of
production to determine total supply that will be available for
exportation.
 Harvest Programming still undetermined

33. LESSONS LEARNED
 Market up-scaling requires volume – resources, technology and research –
collaboration among small farmers, concerned government agencies and
market community and the role of consolidator be it private sector or MBO
social enterprise;
 Close/strong partnership with private sector/buyers (local or foreign) is a key
to up-scaling the farmers enterprise;
 Support from government agencies during the gestation/growth of the
enterprise but not limited to product development, packaging and labelling for
start up projects is highly needed to develop the industry;
 Sense of project ownership and inclusivity of members still need to be
developed in the organization
 Those pineapple farmers who adopted the Good Agricultural Practices
increased its production output and reduced the cost.

34. NEW PROJECTS OF LPMPC
1. Camarines Norte Trading and Pineapple Process – to revive trading of
fresh pineapple fruits, local and abroad and expansion of pineapple
processing from 2,000 pouch to 10,000 pouch per batch, under DA-
PRDP. Status of project is on-going.
2. To convert pulp and peel of pineapple as raw materials for animal
feeds. Some Feed Mill like Purina manifested their intention in bulk
buying of dried pulp and grated peel. Ongoing conceptualization of
proposal in partnership with DA RFO 5 – HVC for submission to DA-BAR
for possible funding.
3. To automate Decortication of Pineapple Leaves to increase fiber
production and establish trial farm for pineapple under coconut tress
intended for fiber production. Conceptualization of proposal is on-going
for possible funding from DA-BAR.
4. To operate Agri Pinoy Trading Center in Camarines Norte in partnership
with DA-RFO 5 and PLGU-CN. Research Study to identify Best Business
Model of the APTC is on-going, funded by TRIAS NGO in Belgium.