Supply Chain Analysis of Prawn in Misamis Occidental, Philippines

Abstract

This study analyses the existing supply chains of the prawn industry in Misamis Occidental, Philippines. Specifically, the study sought to provide an overview of the situation of prawn growers and traders in the province for a better government support and to enable sustainability in the supply chain. A tracer methodology was carried out using the structured survey questionnaire among the respondents supplemented with focus group discussion (FGD) among local officials in the community. Major players were in Bonifacio, Tangub, and Ozamis. The supply chain of Bonifacio was identified as the most profitable while that of Ozamis City was found to be the most efficient chain. Prawn traders were rated high in flexibility, responsiveness, and concern on product and process quality compared to prawn growers. Traders reap also greater profitability. However, both prawn growers and traders shared similar critical logistics issues on environmental concerns. Certain inefficiencies were also identified in the study, such as poor farm-to-market road, lack or absence of market weight standards, asymmetric market information, high transaction cost, and determination of the selling price based on average body weight which may not be accurate and may prove disadvantageous to prawn growers. The following recommendations are formulated: (1) producers shall be empowered to push for standardized price determination; (2) employ more labor solely for sorting; (3) strengthen government program through agri-fishery infrastructure; (4) provide trainings and financial and technical assistance on water pollution management; (5) promote and support green-technology by integrating saline-tolerant tilapia/bangus in prawn culture; (6) organize cooperative; (7) have market-oriented framework of development; and (8) strongly rationalize fisheries ordinances with implementation of FAO 166.