09fh-5376 ESFIM: Agricultural Commodity Exchange System (ACES) for the Philippines
| budget |
€ 60.122,95 |
status |
execution |
| start date |
01-07-2009 |
date end |
30-06-2011 |
| location |
|
country |
philippines |
| financer |
Agriterra |
| executor |
Federation of Free Farmers |
intervention level |
national |
| Programmes |
| IFAP 08: Ensure secure access to resources | | work area 12: Research for Development in agriculture | |
| description |
 In 2008 the International Federation of Agricultural Producers (IFAP) started the Empowering Smallholder Farmers in Markets (ESFIM) project, in collaboration with the European Consortium of Agricultural Research in Tropics (ECART)
The goal of the ESFIM research programme is to strengthen the capacities of national farmers’ organisations in developing countries to empower (...more...) |
| description |
In 2008 the International Federation of Agricultural Producers (IFAP) started the Empowering Smallholder Farmers in Markets (ESFIM) project, in collaboration with the European Consortium of Agricultural Research in Tropics (ECART)
The goal of the ESFIM research programme is to strengthen the capacities of national farmers’ organisations in developing countries to empower their smallholder members in markets, creating an enabling policy and regulatory environment as well as effective economic organisations and reinforcing the farmer led participatory policy formulation process of IFAP network.
For the Philippines the national research priorities formulated during the workshop are:
• Improving price formation mechanism and transparency through the establishment of an Agricultural Commodity Exchange System (ACES).
• Taking stock and in depth assessment of past marketing program launched by the National Food Authority – focus on impact on smallholder capacity in benefiting from these programs (...less...) |
| results & observations |
On 26 - 27 February 2009 a workshop was held in Quezon City, Philippines under Phase 1 of the ESFIM project to discuss a proposal to establish an Agricultural Commodity Exchange System (ACES). The workshop was attended by various stakeholders, including representatives of farmer groups, who strongly endorsed the (...more...) |
| final results & observations |
On 26 - 27 February 2009 a workshop was held in Quezon City, Philippines under Phase 1 of the ESFIM project to discuss a proposal to establish an Agricultural Commodity Exchange System (ACES). The workshop was attended by various stakeholders, including representatives of farmer groups, who strongly endorsed the proposal. The ACES was deemed important in:
a. Providing farmers a broader base to link with buyers/traders and consumers thus giving them more opportunities to get better prices for their produce;
b. Providing market information, particularly prices, so farmers can make better decisions;
c. Providing transparency in critical aspects of agricultural marketing thus making the playing field fairer;
d. Promoting a more efficient system of post-harvest processing and marketing that would result in the sale of better quality produce at reduced losses/wastes and costs; and
e. Educating farmers in the workings of the market thus preparing them for the realities of global competition.
The National Food Authority (NFA) agreed to follow up on the ACES proposal by reviving and refining the e-Trading program for corn which was discontinued after a trial implementation in 2001. This initial program was labeled as the Enhanced Electronic Trading System (EETS) for corn, with the understanding that it would eventually be upgraded into the ACES once other commodities were included in the scheme and after the EETS was continually refined into an efficient and fool-proof system.
The EETS resulted from an evaluation of the pilot initiative launched by the National Food Authority in 2001, and consultations with representatives of farmer groups, private agribusiness entitles, and government agencies. A primer on the corn industry of the Philippines and the EETS was also developed for advocacy and training purposes. The EETS was soft-launched by the Secretary of Agriculture in late November 2009 and is slated for pilot implementation in early 2010. The EETS will eventually be upgraded to the Agricultural Commodity Exchange System (ACES) once it is deemed fully developed and ready to accommodate other commodities like rice, sugar and copra.
Follow-up activities are recommended in the areas of monitoring and evaluation of the pilot EETS implementation, studies on legal and related aspects that might affect EETS/ACES implementation, the development of an advanced computer system to automatic trading and related functions, advocacy and training, and policy adjustments on the part of the government in support of ACES.
(...less...) |
| specialisms |
| Market and chain development | Research for development in agriculture (ARD) | |
PROPOSAL
| Agri-agency | Own contribution executor | Other parties | Total requested budget |
|---|
| Agriterra | FFF | | |
| € 0,00 + € 0,00 | € 0,00 | € 0,00 | € 74.345,00 |
In the Phase I ESFIM Workshop held last 26 - 27 February 2009 at Sulo Hotel in Quezon City, Metro Manila, Philippines which was attended by various stakeholders in the agriculture sector, a proposal to establish an Agricultural Commodity Exchange System (ACES) was strongly endorsed by majority of the stakeholders present.
The system is an Exchange Scheme where Farmers and Other Sellers deposit and sell their Product(s) in a designated warehouse and Processors, Manufacturers, Consumers and Other Buyers purchase and withdraw the Product(s) from a designated warehouse/area.
Initially, the Agricultural Commodities that maybe traded in the Exchange may cover Palay (Paddy)/Rice, Corn, Coconut (Copra) and Sugar. These commodities are commonly grown nationwide and consumed by majority of the population and industrial users/manufacturers.
The ACES is expected to support the agriculture sector in terms of:
1. Providing farmers a broader base to link with buyers/traders and consumers thus giving them more opportunity to get better prices for their produce;
2. Providing market information, particularly prices, so farmers can make better decision;
3. Providing transparency in critical aspect of agricultural marketing thus making the playing field more fair;
4. Providing incentives to farmers and other market players to improve the quality of agricultural products traded (standardization, price rewards and penalties) by using of post-harvest processing facilities
5. Educating farmers in the workings of the market thus preparing them for the realities of global competition.
Planned activities are:
1. Conduct of Legal Review
2. Conduct of Small Group Meetings
3. Overseas Educational Observation/Field Trip
(suggested countries to visit include China, India and Thailand)
4. Evaluation of the NFA E-Trade System on Corn
5. Pilot Implementation of ACES (advocacy and Monitoring activities)
6. Feasibility Study on the Inclusion of Coconut (Copra) in the CES
Expected Output
All project activities will be coordinated by the Federation of Free Farmers (FFF) as lead ESFIM group in the Philippines. Each group concerned with the conduct of each specific activity will have to submit final report to the FFF. However, a Stakeholders Group will be organized to provide advise on all project activities.
The major output from each activity will be a report explaining in detail the findings and recommendations from each study or activity.
Total requested budget is: € 59.475 |
GOALS
| The development of an Agricultural Commodity Exchange System (ACES) for the Philippines |
