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REGION 02 AGRIBUSINESS PROFILE
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Region 2 Agribusiness Profile 10-30-07

Mar 26, 2015

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Page 1: Region 2 Agribusiness Profile 10-30-07

REGION 02

AGRIBUSINESSPROFILE

Page 2: Region 2 Agribusiness Profile 10-30-07

I. General Information

Land AreaTopographyClimateHydrologyLand Use OpportunityEcological FeaturesSoil TypePopulation

II. Agricultural and Market Information

Commodity Profile- Rice and Corn- Fruits and Vegetables- Livestock

Market Centers/Trading Post

III. Infrastructure and Support Services

Transport (Air, Land, Sea)CommunicationsInfrastructure

– Road and irrigation facility– Electricity

Research Institutions- SCU’s- Research Outreach Stations (ROS)

Banking Institutions

IV. Agribusiness and Investment Opportunities

Cost and Returns (Cost Structure) of Priority Commodities- Rice- Corn- Vegetables

Geographical Flow- Rice- Corn- Vegetables- Mango

List of Technical Experts

Directory of Suppliers/Producers

Page 3: Region 2 Agribusiness Profile 10-30-07

REGION 02 AGRIBUSINESS PROFILE

fn:d/agribiz_s

I. GENERAL INFORMATION

Region 02 is composed of five (5) provinces namely the island group ofBatanes, the valley provinces of Cagayan and Isabela, and the generallymountainous provinces of Nueva Vizcaya and Quirino. It lies within thenortheastern tip of the Philippines and bounded on three sides by big mountainranges: Cordillera to the west, Caraballo to the south, and Sierra Madre to theeast. To the north lies the Babuyan channel beyond which is the North ChinaSea. Tuguegarao City, the regional capital, is about 485 kilometers from Manilavia the Maharlika Highway. (Figures 1 and 2)

Land Area

Cagayan Valley is the fourth largest region inthe country with a total land area of 2,683,758hectares. The provinces of Cagayan and Isabelaoccupy about three-fourths of the region’s areahaving 900,267 has. and 1,066,456 has., respectively.The remaining area is shared by the provinces ofNueva Vizcaya (390,387 has.), Quirino (305,720 has.),and the island group of Batanes (20,928 has.). (Table1)

Topography

Topography is generally sloping. About 40percent of the land is mountainous or with slopesgreater than 30 degrees. This is followed byundulating to hilly terrain (8 to 30 degrees slope) andlowlands (below 8 degrees slope) at 31 and 29percent of total area respectively (Table 1 andFigures 3,4 and 5). Lands with elevation from 0 to500 m. above sea level (ASL) represent about 92percent of the total area while only 8 percent havean elevation between 500 to 1000 m. ASL (Figure 3).

Source: Regional Physical Framework Plan (2001-2030); Statistical Yearbook 2005

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FIGURE 1: LOCATION MAP

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FIGURE 2: ADMINISTRATIVE MAP

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FIGURE 3: ELEVATION MAP

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Table 1. Land Area and Slope Classification, Region II By ProvinceAs of 2000

REGION II BAT. CAG. ISA. VIZ. QUI.LANDAREA/

SLOPE Area (Has) %Dist. Area (Has) Area (Has) Area (Has) Area

(Has) Area (Has)

Total LandAreaSlope

2,685,836 100.00 23,000 906,270 1,066,456 390,390 305,720

0 – 3 % 665,390.50 24.79 1,065 253,831 343,615 56,193 17,1863 – 8% 163,364.00 6.08 566 54,763 54,763 1,976 25,9108 – 18% 367,723.30 13.69 3,373 12,316 12,316 4,230 23,96218 – 30% 407,656.40 15.17 8,257.44 153,665 153,665 20,103 65,91630 – 50 % 717261.00 13.26 3,245.40 94,030 94,030 87,415 47,46150 and above 717,261 26.71 6,532..00 223,595 222,595 224,451 111,940Reservoir 7986 0.3 0.00 0.00 0.00 1,627 4,175Source: ALMED, Bureau of Soils and Water

Climate

The region falls under four climate types generally characterized by TypeIII, not very pronounced seasons or dry from November to April and wet duringthe rest of the year in the region’s western flank or valley areas; Type IV withrainfall more or less evenly distributed throughout the year in the region’s easternflank, Type II in the island municipalities of Batanes Province and Type I with twopronounced seasons, dry from November to April and wet during the rest of theyear in the western portion of the province of Nueva Vizcaya and the northwesttip of Cagayan province (Figure 6). Rainfall varies from 1600 mm. in the valleyareas to 4400 mm. in the mountainous areas. Regional annual average rainfall is2600 mm. Temperature ranges from a low of 17oC during the period ofNovember to February, to a high of 35oC during the months of April to June, withMay as the warmest and January the coldest months. High humidity prevails,ranging from 70% and 90%, with an annual mean of 76%. Tropical storms arecommon between May and November, averaging about twelve per year. .

Hydrology

The region has the largest possible dam and reservoirsites among all regions in the country. It also has the biggestriver basin, the Cagayan River Basin, with a drainage area ofabout 2,730,00 hectares and groundwater reserve of 47,895MCM (Figure 7). Groundwater storage capacity is placed11,850 MCM with estimated gross inflow of 7,186 MCM andnet inflow of 3,593 MCM per year. The Cagayan River hasthree major tributaries: Ilagan River which drains a majorportion of the eastern watersheds, Magat River which drawswater from the southern portions, and Chico River coveringnorthwest areas.

Source: Regional Physical Framework Plan (2001-2030); Statistical Yearbook 2005

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FIGURE 4: SLOPE MAP

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FIGURE 5: CONTOUR MAP

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FIGURE 6: CLIMATE MAP

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FIGURE 7: GROUND WATER MAP

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Both inland and marine waters make up a considerable resource. Rivers,swamps and lakes have an aggregate area of 22,724 hectares. There are about890 kms. of coastline and rich fishing grounds, particularly within the Babuyan andBalintang Channels on the north and the Palanan and Divilacan Bays on theeast, including its territorial seas within the 200 kms. Exclusive Economic Zones(EEZs).

Land Use Opportunity

Based on land use opportunity, about 15,881 sq. kms. (59%) of the totalland area is best suited for forest and wildlife. About 988,000 hectares (37%) issuitable for crops, 929 sq. kms. (3%) for built-up and other special uses, and 168 sq.kms. for fishponds and mangroves. Of its total potential cropland, about 5,897 sq.kms. (60%) is suitable for rice and corn; 463 sq. kms. (5%) for vegetables and otherrootcrops; and 3,307 sq. kms. (35%) for fruit trees and other permanent crops(Table 2).

Ecological Features

There are several minor faultlines but most of these are inactive. Only theDigdig Fault is considered active as manifested by the 1990 killer earthquake(Figure 8). There are also about four minor volcanoes located in the province ofCagayan and off its northern coast. While these volcanoes are considereddormant, the Mt. Pinatubo tragedy and the reported Smoke emissions of one ofthese volcanoes (Mt. Didicas) off Camiguin Island, necessitate the conduct ofstudies and preparation to anticipate their possible reactivation.

Source: Regional Physical Framework Plan (2001-2030); Statistical Yearbook 2005

Table 2. LAND USE OPPORTUNITY, REGION 2: BY PROVINCE

LANDUSEOPPORTUNIT

YAREA % DIS AREA % DIS AREA % DIS AREA % DIS AREA % DIS AREA % DIS(HAS.) TRIBUTIO

N(HAS.) TRIBUTIO

N(HAS.) TRIBUTIO

N(HAS.) TRIBUTIO

N(HAS.) TRIBUTIO

N(HAS.) TRIBUTIO

NTOTAL LANDAREA

2,685,836 100 23,000 100 900,270 100 1,066,456 100 390,390 100 305,720 100

AGRICULTURE

988,053 37 19,980 87 278,500 31 523,031 49 114,100 30 52,442 17AGRICULTURE

AREA636,391 24 9,293 40 190,033 21 339,923 32 60,600 16 36,542 12

EXPANSIONAREA

351,662 13 10,687 46 88,467 10 183,108 17 53,500 14 15,900 5

FORESTRY

1,588,087 59 2,737 12 587,375 65 483,097 45 266,569 68 248,309 81PRESERVATION

AREA1,272,876 47 2,156 9 546,775 61 395,381 37 129,355 33 199,209 65

REHABILITATIONAREA

315,211 12 581 3 40,600 5 87,716 8 137,214 35 49,100 16

WETLANDAREAS

16,755 1 0 0 15,785 2 970 0 0 0 0 0

MISCELLANEOUSLANDTYPE 92,941 3 283 1 18,610 2 59,358 6 9,721 2 4,969 2SOURCE OF DATA: ALMED, Bureau of Soils and Water Management, DA Region II

ISABELA NUEVAVIZCAYA

QUIRINO

REGION02

BATANES

CAGAYAN

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FIGURE 8: FAULT LINES AND VOLCANIC HAZARD MAP

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POPULATION CHARACTERISTICS

Population Level

As of Censal Year 2000, total regional population was estimated at2,813,159 persons. Despite having the fourth largest land area, the region’s totalpopulation count is 6th lowest among all regions of the country. During the sameyear, total regional population accounted for about 3.68 percent of the nationaltotal. For the past 20 years, the regional percentage share to the national totalpopulation has been decreasing, from 4.22 percent in 1980 to 3.68 percent incensal year 2000 (Table4).

Projected Populations by Sex, Region and Province, and by Single-Calendar Years: 2000-2010(Medium Series)Region/Province/Sex

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Both Sexes 2,827,900 2,877,40 2,928,200 2,979,300 3,032,500 3,086,000 3,139,000 3,194,400 3,250,100 3,307,100 3,365,400Male 1,448,500 1,473,000 1,498,500 1,524,000 1,550,700 1,577,300 1,603,500 1,631,500 1,659,100 1,687,600 1,715,900

Female 1,379,400 1,404,400 1,429,700 1,455,300 1,481,800 1,508,700 1,535,500 1,562,900 1,591,000 1,619,500 1,649,500

Source: BAS

Source: Regional Physical Framework Plan (2001-2030); Statistical Yearbook 2005

Table 3. Population Levels and Percent Distribution

REGION May 2000 % Share

Philippines 76,498,735 100.00IV 11,793,655 15.42NCR 9,932,560 12.98III 8,030,945 10.50VI 6,208,733 8.12VII 5,701,064 7.45XI 5,189,335 6.78V 4,674,855 6.11I 4,200,478 5.49VIII 3,610,355 4.72IX 3,091,208 4.04II 2,813,159 3.68X 2,747,585 3.59XII 2,598,210 3.40ARMM 2,412,159 3.15XIII 2,095,367 2.74CAR 1,365,220 1.78Source: National Statistics Office, May 2000 CPH

Philippines, May 2000 Census of Population

Page 15: Region 2 Agribusiness Profile 10-30-07

LAND USE

The region total land area is 26,132.01 square kilometer. The land usepattern is 625,333 hectares or 60.8% croplands; 400,380 hectares or 38.9%pasturelands and 2,416 hectares or 0.3% fishponds arriving at the total agriculturaland fishery land area of 1,028,192 hectares. The rest of the region’s land area areforest areas and residential areas (please see attached sheet for moreinformation).

AGRICULTURE AND FISHERY LAND AREA

TOTAL AREA 1,028,192 has.CROPS LAND 625,333 (60.8%)PASTURE LAND 400,380 (38.9%)FISHPONDS 2,416 (0.3%)COASTLINE 890 kms

SOIL TYPES (Please see attached soil map)

BATANES

SOIL TYPE CORRESPONDING NUMBERIN THE SOIL MAP

Filled up soils 29Bolinao Clay 153Beach Sand 118Luisiana Clay 233Umingan Loam 322Rough Broken Land 326Faraon Clay 132Dune Land (sand dunes) 594Rock Land 599Bolinao Clay Loam, deep phase 683Mayan Clay Loam 684Uyugan Clay Loam 685Basco Loam 688Basco Loam, steep phase 689Sabtang Loam 690

QUIRINO

SOIL TYPE CORRESPONDING NUMBERIN THE SOIL MAP

Rugao Sandy Loam 399Cauayan Clay Loam 397Alaminos Clay Loam 407Rugao Clay 400Annam Clay Loam 98Maligaya Clay Loam 117Cauayan Sandy Loam 396

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Quingua Silt Loam 5Luisiana Clay Loam 140Quingua Clay Loam 109Mountain Soils, undifferentiated 45

CAGAYAN

SOIL TYPE CORRESPONDING NUMBERIN THE SOIL MAP

Hydrosol 1Quingua Silt Loam 5Mountain Soils, undifferentiated 45San Fernando Clay 68San Manuel Silt Loam 82San Manuel Sandy Loam 96Alaminos Loam 103Bolinao Clay Loam 108Quingua Clay Loam 109Beach Sand 118Sta. Rita Clay Loam 113Faraon Clay 132Barcelona Clay 148River Wash 152Isabela Clay 256Bantay Clay Loam 259Bago Sandy Clay Loam 262Zaragosa Clay 90San Juan Sandy Clay Loam 388Ilagan Sandy Loam, eroded phase 393Rugao Clay 400Alaminos Clay Loam 407Bigaa Silty Clay Loam 546Toran Silty Clay 567Toran Loam 568Carig Clay Loam 570Carog Loam 571Buguey Loamy Sand 572Mayon Loam 578Bog Deep 593Sand Dunes 594Umingan Sandy Clay Loam 597Rock Land 599San Juan Loam 600

ISABELA

SOIL TYPE CORRESPONDING NUMBERIN THE SOIL MAP

Hydrosol 1Bantog Clay Loam 16Mountain Soils, undifferentiated 45

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San Manuel Sandy Loam 96Beach Sand 118Sta. Rita Clay Loam 119San Manuel Loam 190Bigaa Clay 192Bago Sandy Clay Loam 262Guimbalaon Clay Loam 280Quingua Silty Clay Loam 285Cauayan Sandy Loam 396Cauayan Clay Loam 397Cauayan Clay 398Rugao Clay 400Rugao Clay Loam 401Alaminos Clay Loam 407Bago Clay Loam 410Quingua Sandy Loam 412Bago Sandy Loam 548San Juan Clay 874Cauayan Loam 622Rugao Sandy Clay Loam 824Ilagan Loam 903

NUEVA VIZCAYA

SOIL TYPE CORRESPONDING NUMBERIN THE SOIL MAP

Quingua Silt Loam 5Guimbalaon Clay Loam 280Sibul Clay 14Guimbalaon Gravelly Clay Loam 288Bantog Clay Loam 16Umingan Loam 322Mountain Soils, undifferentiated 45Cauayan Snady Loam 396San Manuel Silt Loam 82Cauayan Clay Loam 397San Manuel Sandy Loam 96Rugao Sandy Loam 399Annam Clay Loam 98Rugao Clay 400Bolinao Clay Loam 108Bantay-Bawang Complex 402Quingua Clay Loam 109Luisiana-Annam Complex 404Maligaya Clay Loam 117Alaminos Clay Loam 407Faraon Clay 132Guimbalaon-Annam Complex 524Luisiana Clay Loam 140Sta. Filomena Clay Loam 580River Wash 152San Juan Clay 600Bago Sandy Clay Loam 262

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Brooke’s Loam 607Guimbalaon Clay Loam, eroded phase 279Sevilla Clay Loam 650

II. AGRICULTURAL AND MARKET INFORMATION

A. COMMODITY PROFILE

Grains/Cereals

• Rice• Yellow Corn• White Corn

Rice Volume of Production and Area Harvested, 2005Province/Farm Type Production (MT) Area (Has.)

RICECagayan Valley

Irrigated 1754957 426455Rainfed 93892 47517

CagayanIrrigated 420619 109979Rainfed 71187 35362

IsabelaIrrigated 1075755 250607Rainfed 13626 8155

Nueva VizcayaIrrigated 203130 51589Rainfed 4227 1820

QuirinoIrrigated 55453 14280Rainfed 4852 2180

Source: BAS, region 02

Corn Volume of Production and Area Harvested, 2005Province/Farm Type Production (MT) Area (Has.)

CORNCagayan Valley

White 54460 27918Yellow 715046 230262

CagayanWhite 15452 11482Yellow 136695 47030

IsabelaWhite 32910 13616Yellow 480777 151433

Nueva VizcayaWhite 4243 1796Yellow 29605 9625

QuirinoWhite 1855 1024Yellow 67949 22174

Source: BAS, region 02

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High Value Commercial Crops

• Mango• banana• pineapple• peanut• yacon• calamansi/citrus• spices (garlic, onion, ginger)• Pinakbet vegetables (ampalaya, tomato, eggplant, squash)• Baguio vegetables (brocolli, beans, carrots, cucumber,

sweet peas, cabbage, red pepper, chayote)

Volume of production in metric tons and area planted in hectare, 2006PRODUCTION AREA (in hectare)

ITEMBanana Mango Pineapple Papaya Banana Mango Pineapple Papaya

Cagayan Valley 360,770 51,082 23,983 2,749 23,325 9,834 1,328 260,190

Cagayan 83,626 8,762 8,284 635 4,812 1,779 627 127,825

Isabela 207,381 35,049 4,473 579 9,501 3,395 435 53,865

Nueva Vizcaya 23,638 4,550 11,146 1,330 1,877 3,765 258 53,000

Quirino 46,124 2,722 80 205 7,135 895 8 25,500

Volume of production and area planted, 2006Commodity Production (MT) Area (In hectares)

Ampalaya 6,378 1,171Cabbage 1,055 152Carrots 820 129Eggplant 15,023 1,910Garlic 153 64Onion 965 180Squash fruit 45,774 2,504Tomato 12,515 893

Livestock and Poultry

Production in Metric Tons (liveweight)

• Carabao - 13,085• Cattle - 13,772• Hogs - 90,730• Chicken - 43,057• Goat - 2,444• Duck - 6,286

Source: BAS, 2006

Page 20: Region 2 Agribusiness Profile 10-30-07

B. MARKET CENTERS/TERMINALS

There are 21 major trading centers in Region 02 which have daily marketactivities with 10-12 hours trading time. Nine (9) major markets are found in theprovince of Cagayan; 7 market centers are situated in Isabela province; 2 centersin Nueva Vizcaya province ; 2 market centers in the province of Quirino and 1major market in Batanes island.

Cagayan: Isabela:Tuguegarao City Santiago CityAparri CauayanBallesteros IlaganCamalaniugan RoxasClaveria AliciaSanchez Mira San MateoGattaran TumauiniGonzagaJunction Luna, Abulug Batanes: Basco

Nueva Vizcaya: Quirino:Bambang CabarroguisSolano Maddela

Other municipalities and those municipalities belonging to the 4th classand below have market days which is either once, twice or 3 times a week.

Terminal

Nueva Vizcaya Agricultural Terminal (NVAT), Incorporation, Bambang,Nueva Vizcaya.) is a 6.5-hectare facility that provides market channels for fruitsand vegetables of Nueva Vizcaya and adjoining provinces. The vegetables arebought by buyers from Regions 1, 2, 3 and 4, CAR and Metro Manila.

III. INFRASTRUCTURE AND SUPPORT SERVICES

A. TRANSPORT ENTRY POINTS

Tuguegarao City, the regional capital, is about 485 kilometers from Manilavia the Maharlika Highway. Air-conditioned and ordinary buses regularly ply theroute from Metro Manila to the region mainly through Sta. Fe, Nueva Vizcaya. Theregion can also be reached via Patapat Road which link it to the Ilocos Region.Air flights to and from Metro Manila are also available in Tuguegarao City.

AIRPORTS

Region 02 has 4 public airports in operation, namely, Tuguegarao,Cauayan, Basco, and Bagabag Airports.

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Tuguegarao Airport

From the public market, the airport is 1.5 kms away which can be reachedthrough the national highway going to Aparri, Cagayan. Available transportfacilities are buses, jeepneys, tricycles and even calesas. Flights available are thefollowing:

To and from ManilaTo and from BatanesTo and from PalananTo and from Dinapigue

Cauayan Airport/Private Airport

Meanwhile, an airstrip that was constructed along the eastern coast ofPalanan, Isabela by the ACME logging concessionaire is currently used by privateaircrafts for commercial operation (The ACME Wood Industry Inc. ceasedoperation in 1996). The airport is along the national highway 2 kms. before thepublic market when traveling from Metro Manila. From the public market, it canbe reached through buses, jeepneys and tricycles. Available flights are as follows:

To and from PalananTo and from Dinapigue

Batanes Airport

To and from ManilaTo and from TuguegaraoTo and from Laoag

List of national Airports Region 2NAME/LOCATION CLASSIFICATION STRATEGIC ROLE

Tuguegarao Airport secondary Service’s the region’s institutionalcenter

Cauayan Airport tertiary Caters to air transport needs ofCommercial centers in Isabela

Basco Airport tertiary Provides air transport for theprovince of Batanes

Bagabag Airport tertiary Alternative intermodal transport forthe region and CAR

Source: RPFP document

LAND TRANSPORT

Bus

Region 02 has at least 15 bus companies operating everyday with routesfrom Tuguegarao/Aparri to Metro Manila, Baguio and Dagupan via Sta. Fe,Nueva Vizcaya. Everyday trips to Laoag from Tuguegarao via Patapat Road(Ilocos) is also available.

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Victory Liner Bus company (Tuguegarao to Manila)Baliwag Bus company (Tuguegarao to Manila)Florida Bus Company (Tuguegarao to Manila)EMC Bus Company (Tuguegarao to Manila)Dagupan Bus Company (Tuguegarao to DagupanDangwa Bus Company (Tuguegarao to Baguio)Autobus Bus Company (Tuguegarao to Manila; Tuguegarao to Baguio)GMW Bus Company (tuguegarao to region 1)

Mini-buses

Everyday trips from Tuguegarao City (Cagayan) to Santiago City (Isabela)is also available. The trip could either be via Ilagan, Isabela or via Mallig, Isabelawhich is shorter in distance.

Jeepneys/Vans

Jeepneys and vans are also available for short distance travel (from onemunicipality to another municipality).

PORTS

The region has two national ports and several municipal ports. RepublicAct 7922 created the Cagayan Special Economic Zone and Free Port (CSEZFP) atSta. Ana, Cagayan to be managed by the Cagayan Economic Zone Authority(CEZA).

Name Classification ManagementPort of Aparri National Port Entry Philippine Port AuthoritySub-port of ABulug Municipal Port Philippine Port AuthorityPort of Batanes National Port Entry Philippine Port AuthoritySub-port of Claveria Municipal Port Philippine Port AuthoritySub-port of Divilacan Municipal Port Philippine Port AuthorityPort of Irene Municipal Port Cagayan Economic Zone AuthoritySub-port of Itbayat Municipal Port Municipality of ItbayatSub-port of Ivana Municipal Port Municipality of IvanaSub-port Maconacon Municipal Port Philippine Port AuthoritySub-port of Mahatao Municipal Port Municipality of MahataoSub-port of Sabtang Municipal Port Municipality of SabtangPort of san Vicente Municipal Port Cagayan Economic Zone AuthoritySub-port of Uyugan Municipal Port

Source: Philippine Port Authority, Aparri

Municipal Ports

Meanwhile, the group of islands in Batanes is isolated from the mainland’seconomic activities due to inefficient sea transport facilities. The Philippine Navy’sLanding Ship Tank (LST) calls on the island-province barely four times a year. Asidefrom this courtesy from the PN, two maritime vessels owned by the localcooperative in the province are providing transport for the Ivatans and theirgoods.

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On the other hand, the island-municipality of Calayan depends onmotorized bancas as transport service to and from the coastal municipalities ofClaveria and Aparri in northwestern and northern Cagayan, respectively.Calayan is around 45 nautical miles north of Aparri has a land area (508.60 sq.km.) greater than Batanes (209.3 sq. km.)

B. COMMUNICATIONS

Communication services are increasingly becoming the majordeterminant to the regional economy and the private sector is expected to playa major role for its development.

Postal Services

Postal service is widely preferred as a means of transmitting mailsespecially in the less developed areas of the region. As of CY-2000, there are 102post offices and postal stations distributed among the 5 provinces of the region.Of these, 72 percent are located in the provinces of Cagayan and Isabela.

Based from the planning standard of one (1) post office per municipality,the region has adequate post offices/postal stations.

Telecommunications

Telephone

Telecommunications has achieved a significant headway along privatesector initiated expansions. As of CY-2002, three (3) local exchange carriers (e.g.,PLDT, DIGITEL, and ETPI) are operating in the region, having an aggregate of38,882 installed lines. The number of subscribers is 32,184 or 82.77 percent of thetotal installed lines (of 38,882).

§ PLDT§ DIGETEL§ BAYANTEL/ETPI

Cellphone

§ SMART§ GLOBE§ SUNCELLULAR

Television

§ ABS-CBN ISABELA & TUGUEGARAO§ VARIOUS CABLE TELEVISIONS

Radio§ 13 AM STATIONS

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§ 11 FM STATIONSLocal Telecommunications

Meanwhile, all municipalities are provided with facilities of theGovernment Emergency Telephone System (GETS) that is linked to Manila. Thisfacility, however, is for emergency use only and not generally accessible for useby the public. To fill in this development gap, the Municipal Telephone Program ofthe DOTC provided 42 municipalities not served by the existing exchange carrierswith public calling stations.

C. IRRIGATION AND OTHER FARM FACILITIES

Water Resources

Irrigation

The region’s water resources have a comparative advantage over theother regions of the country. Specifically, the Cagayan River Basin, with theCagayan River as the longest in the country, has the largest drainage area of27,300 square kilometers. Despite the region’s abundant water resourceshowever, its irrigation coverage merely stands at 46.54 percent or 219,988hectares out of 472,640 hectares of potential irrigable lands in the region as of CY2001.

National Irrigation Systems

There are 17 operational national irrigation systems (NISs) in the region withan aggregate irrigation service area of 134,758 hectares).

The Addalam River Irrigation Project (ARIP), an NIS project, is undergoingconstruction in Saguday, Quirino. The project irrigates an aggregate area of 5,830hectares of farmlands in the municipalities of Saguday and Aglipay in Quirino;and Echague and Jones in Isabela.

Meanwhile, the Upper Chico River Irrigation System (UCRIS) that has beenoperating in 1986, and administered by NIA Cordillera Administrative Region(CAR), irrigates a total of 8,510 hectares of farmlands in Mallig (3,200 has.) andQuezon (5,310 has.) in Isabela. The total irrigation service area of the UCRIS is15,311 hectares. It irrigates the remaining 6,801 hectares in Tabuk (6,655 has.) andPinukpuk (146 has.) in Kalinga province of CAR.

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IRRIGATION DEVELOPMENT, Region 2: As of December 31, 2003

PROVINCE POTENTIAL AREAFOR IRRIGATION

(Has.)

IRRIGATIONSECTOR

NUMBER OFSYSTEM

SERVICE AREA,(Has.)

IRRIG.DEVELOP-

MENT(%)

NIS 17 141,600 47.90%CISA 1,046 32,475B 2,983 23,883

REGION 2 472,640

C 2,661 28,444Grand Total 6,707 226,402

NIS 4.30%CISA 41 146.70B 2 11.00

BATANES 3,670

C - -Sub Total 43 157.70

NIS 11 37,462 50.70%CISA 473 14,470B 1,023 10,451

CAGAYAN 143,610

C 1,391 10,426Sub Total 2,898 72,809

NIS 5 99,194 46.53%CISA 313 7,879B 1,917 7,786

ISABELA 252,870

C 721 2,799Sub Total 2,956 117,658

NIS* - 2,784 34.67%CISA 102 4,383B 12 393

QUIRINO 23,970

C 68 751Sub Total 182 8,311

NIS 1 2,160 56.61%CISA 117 5,596B 29 5,242

NUEVA VIZCAYA48,520

C 481 14,468Sub Total 628 27,466

Source: National Irrigation Administration Region 2Note: Exclusive Service Area of Ifugao, MARIIS=575 Has. and Service Area of Apayao,

AAIS=2,818 Has.* = Area under MARIISA = NIA Assisted/ConstructedNIS = National Irrigation SystemB = Constructed by Other AgencyCIS = Communal Irrigation SystemC = Privately Owned System

As of 1999, the inventory of irrigation units, farm machinery and post harvestfacilities provided to farmer groups within the region are as follows:

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Irrigation

Small Water Impounding Project/Diversion Dams (SWIP/DDs)On-going : 34Completed : 44

Small Farm Reservoir (SFR)On-going : 258Completed : 1,651(from 1997-1999)

Shallow Tube Well Irrigation Project(STWIP)For Installation: 24Installed : 3,575(from 1995-1999)

Machinery/Equipment

4 Wheel Tractor - 2,155 unitsHand Tractor - 46,362 unitsIrrigation Pump - 16,508 unitsMulti-Thresher/Sheller - 97 unitsCorn Sheller - 2,904 units

Post harvest Facilities

Warehouses - 1,533 unitsMultipurpose Drying Pavement - 8,326 unitsMechanical Dryer - 354 unitsRicemills - 2,236 units

D. Power and Electrification

Power Generation

The region is endowed with energy potentials such as coal, geothermaland hydro thermal especially in the provinces of Cagayan and Isabela. Coalreserves are present in Isabela and Quirino while geothermal resources in northernCagayan have been found to have ample potentials for power generation.

There is one operating hydrothermal plant in the region - the MagatHydroelectric Power Plant in Isabela which has an installed capacity of 360megawatts.

Electricity

§ NAPOCOR through:

§ Cagayan Electric Cooperative (CAGELCO)Tuguegarao, Cagayan

§ Isabela Electric Cooperative (ISELCO)Ilagan, Isabela

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§ Quirino Electric Cooperative (QUIRELCO)Cabarroguis, Quirino

§ Nueva Vizcaya Electric Cooperative (NUVELCO)Bayombong, Nueva Vizcaya

Rural Electrification

As of CY-2005, the region’s electrification/energization at the municipallevel is 100 percent, barangay energization is 96 percent (2,213 out of 2,311potential barangays), and household energization is 75 percent.

Region Potential coverage(No.)

Actual energized(No.)

% energized

Region 02Municipalities 97 97 100Barangays 2,311 2,213 96Connections 620,600 464,126 75

Source: Statistical Yearbook 2005

E. SCUs

The States, Colleges and Universities present in the region are as follows:

- Cagayan State University (CSU) with campuses throughout theProvince of Cagayan

- Isabela State University (ISU) with campuses also in the differentmunicipalities of Isabela

- Quirino State College (QSC)- Nueva Vizcaya State Institute of Technology (NVSIT)- St. Paul University main campus- La Sallette University- Northeastern College- St. Mary’s University- Cagayan Colleges Tuguegarao- St. Louis University of Tuguegarao and others.

F. RESEARCH CENTERS

§ Department of Agriculture-Research Outreach Stations (DA-ROSes)- Cagayan Valley Lowland Marine Outreach Station (CVLMROS)

Iguig, Cagayan*specialization : corn. Rice, horticulture, asf,Contact Person: Engr. Lorenzo Caranguian, Center Chief

Sub-research station:Cagayan Breeding Station (goats and sheep)Solana, Cagayan

Abulug Seed Farm (rice seed production and orchard management)Abulug, Cagayan

Page 28: Region 2 Agribusiness Profile 10-30-07

- Cagayan Valley Integrated Agricultural Research Center (CVIARC)San Felipe, Ilagan, Isabela*specialization: rice, corn, vegetables, mango, banana, legumesContact Person: Mr. Orlando Lorenzana, Center Chief

Sub-research station:Gamu Breeding Station ( sheep and goat)Gamu, Isabela

- Cagayan Valley Hillyland Research Outreach Station (CVHILROS)Tapaya, Bagabag, Nueva Vizcaya*specialization: rice, corn, vegetables, mango, banana, goat, sheepContact Person: Ms. Celerina Miranda, OIC-Center Chief

- Cagayan Valley Upland Research Outreach Station (CVUPROS)Aglipay, Quirino*specialization: banana, cattleContact Person: Mr. Charles Cabaccan, Center Chief

- Island Agricultural Research Outreach Station (IAROS)Basco, Batanes*specialization: sheep and goat, root crops, garlicContact Person: Mr. Celso Batallones, Center Chief

§ Cagayan Valley Agricultural Resources Research and Development(CVARRD), Echague, Isabela

§ Cagayan State University – Biological Technology, Tuguegarao, Cagayan

§ Quirino State College – Tissue Culture CenterCabarroguis, quirino

H. WATER

§ Water systems operated by provincial/municipal water districts.

I. FINANCIAL AND BANKING INSTITUTIONS

§ Branches of the following banks operating throughout the region:

Cagayan

§ PNB§ METROBANK§ UCPB§ RCBC§ LANDBANK§ EQUITABLE BANK

Page 29: Region 2 Agribusiness Profile 10-30-07

§ CHINA BANK§ PCI BANK§ PR BANKS§ FICO BANK§ CONSOLBANK§ RURAL BANKS of different municipalities

Isabela

§ PNB§ METROBANK§ UCPB§ RCBC§ LANDBANK§ EQUITABLE BANK§ CHINA BANK§ PCI BANK§ PR BANKS§ FICO BANK§ CONSOLBANK§ RURAL BANKS of different municipalities

Quirino

§ PR BANKS§ FICO BANK§ CONSOLBANK§ RURAL BANKS of different municipalities§

Nueva Vizcaya

§ PNB§ METROBANK§ LANDBANK§ PR BANKS§ FICO BANK§ CONSOLBANK§ RURAL BANKS of different municipalities

K. AGRICULTURAL MACHINERY DEALERS

§ Sariling Atin Metal Craft§ ACT/EQUITY Machineries, Inc.§ ROPALI Trading§ 2M Agro-Industrial Machineries

Page 30: Region 2 Agribusiness Profile 10-30-07

L. INPUT DEALERS

ISABELA

There are 136 licensed fertilizer and pesticide dealers scattered all overthe different municipalities of the province, excluding the four (4) coastal towns(Dinapigue, Palanan, Maconacon & Divilacan), San Pablo, Ramon, San Isidro,San Guillermo, Sta. Maria, Gamu, Reina Mercedes, Angadanan and San Agustin.

CAGAYAN

Fertilizer and pesticide dealers in the province have a total number of 145scattered in 24 municipalities. Municipalities not included are Rizal, Sto. Niño,Calayan and Enrile.

NUEVA VIZCAYA

Twenty (20) dealers of fertilizers and pesticides operates in themunicipalities of Aritao, Bambang, Dupax del Norte, Bayombong, Villaverde,Solano, Kayapa and Bagabag.

QUIRINO

There are seven (7) fertilizer and pesticide dealers in this province. Theyoperate in the towns of Diffun, Cabarroguis, Aglipay and Maddela.

III. AGRIBUSINESS INVESTMENT OPPORTUNITIES

A. Costs and Returns (Cost structure) of Priority Commodities

Please see attached file

B. Geographical Flow of Commodity

Palay/Rice Geographical Flow

M a r k e t in g C h a n n e l: P a la y t o R ic e ,C a g a y a n V a l le y R e g io n

F a r m e rF a r m e r1 0 0 %

C o o p

M u n ic i p a lA s s e m b l e r

5 %

9 5 %

1 %

1 9 %

5 7 %

2 4 %

In te r C i t yT r a d e r s &

M il le r s

D is t r ib u t o rW h o l e s a le r /

R e t a i le r

C o n s u m e rC o n s u m e r

4 3 %

1 0 0 %

R ic e M i l le r /R e g ’ l

A s s e m b le r

P r o v ’ lA s s e m b l e r

4 %

7 2 %

2 4 %

5 7 %

Page 31: Region 2 Agribusiness Profile 10-30-07

Corn Geographical Flow

M arketin g Chann elM arketin g Chann el –– Cagayan ValleyCagayan ValleyY ellow CornY ellow Corn

Farmer

100%

97%

2%

Mu nicipalT rader

M unicipalBroker/Agent

RegionalT rader

1%

1%

12% 47%

12%

73%

1%

Provincia lTrader

InterregionalTrader

Poultry-Livestock

Farm s

6%

12%

2%

2%

38% Com mercia lFeedMiller

FoodProcessor

6%

Hog Geographical flow

D i s t r i b u t i o n F l o w , I s a b e la , 2 0 0 3

C O N S U M E R S( 1 0 0 % )

B U T C H E R –R E T A I L E R S

( 1 0 0 % )

* B L A – L L D( 1 0 0 % )

H O GR A I S E R S

( 1 0 0 % )

* B L A – L L D = B a r a n g a y L i v e s to c k A s s e m b le r – L a r g e L i v e s to c k D is tr i b u to rL iv eM e a t

Page 32: Region 2 Agribusiness Profile 10-30-07

D i s t r i b u t i o n F l o w , C a g a y a n , 2 0 0 3

C O N S U M E R S(1 0 0 % )

B U T C H E R –R E T A IL E R S

( 1 0 0 % )

* B L A – L L D(7 5 % )

H O GR A IS E R S

( 1 0 0 % )

* B L A – L L D = B a r a n g a y L iv e s to c k A s s e m b le r – L a rg e L iv e s to c k D is tr i b u to rL iv eM e a t

IN S T IT U T IO N A LB U Y E R S

( 2 5 % )

* * R L A - L L D(2 5 % )

2 5 %

7 5 %7 5 %7 5 %

2 5 %2 5 %

* * R L A – L L D = R e g io n a l L i v e s to c k A s s e m b le r – L a rg e L iv e s to c k D is tr i b u to r

M A R K E T I N G C H A N N E L O F T O M A T OA R IT A O , N U E V A V I Z C A Y A

W ho les a le r5 4 %

Farm er 1 0 0 %

V ia je ro - 2 7 %

A s s em b le r/W ho les a le r

2 7 %

7 %

R eta ile r C onsum er

1 0 %

9 0 % 1 0 0 %

M ARK ETIN G CH A N N EL OF G IN GE RSTA. FE , N U EVA V IZCA YA

Farm er 100%100%

36%

100%

W holesaler56%

Viajero

ConsumerRetailer

Page 33: Region 2 Agribusiness Profile 10-30-07

M A R K E T I N G C H A N N E L O F S N A P B E A N SD U P A X D E L N O R T E & D U P A X D E L S U R ,N U E V A V I Z C A Y A

F a rm e r 1 0 0 % 1 0 0 %

W h o le s a le r6 0 %

A s se m b le r /W ho le s a le r

R e ta ile r C o n s u m e r

4 0 %

1 0 0 %

MARKETING CHANNEL OF AMPALAYACAUAYAN, ISABELA

Viajero40%

Farmer 100%

Assembler/Wholesaler

22%

Wholesaler38% Retailer Consumer95% 100%

5%

17%

40%

Page 34: Region 2 Agribusiness Profile 10-30-07

MARKETING CHANNEL OF EGGPLANT

Wholesaler66%

Farmer 100%

Assembler/Wholesaler/

Retailer

Retailer Consumer

34%

66%

100%

Distribution Flow (Fresh), Cagayan Valley

GROWER

WHOLESALERASSEMBLER/DISTRIBUTOR

PROCESSOR/

EXPORTER

RETAILER

CONSUMER

4% 96%

40%

28%

28%

44%

44%

Page 35: Region 2 Agribusiness Profile 10-30-07

C. List of Technical Experts

Rice -Dr. Valentino PerdidoMr. Ernesto Guzman

Corn - RTD Lucrecio AlviarMr. Severino TumamangEngr. Rodolfo Bayucan

Livestock - RTD Andrew VillacortaDr. Emma Ludan

HVCC

Citrus - Ms. Celerina MirandaMango - Mr. William ContilloBanana - Mr. Charles CabaccanVegetables - Ms. Nida de Guzman

Ms. Mayda CalluengPeanut - Ms. Rosy Aquino

D. Directory of Suppliers/Buyers

Please see attached file