Statement of the problem

1. What

are

the

production,

different

cultural

varieties,

practices,

methods

and

of

management

system of abaca industry in Bicol region?

2. What

are

the

problems

encountered

in

the

abaca

production?
3. What

are

the

recommendations

to

the

problems

identified in the production of abaca in selected

provinces in Bicol region?
4. What is the status and prospects of abaca industry
in Bicol region?

Objectives of the study

1. To determine the different varieties, methods of
production,

cultural

practices,

and

management

system of abaca industry in Bicol region.

2. To identify the problems encountered in the abaca
production.
3. Provide recommendations to the problems identified
in the production of abaca in selected provinces in
Bicol region.
4. To

identify

the

status

industry in Bicol region.

and

prospects

of

abaca

Scope and limitations

The study will focus the abaca industry in Bicol
region particularly in Camarines Sur, Albay and Sorsogon.
Significance of the study
The study will be beneficial to the following:
Abaca

growers/farmers

that

are

engaged

in

abaca

production in increasing their awareness to the proper

technology and management practices thus increasing their
yields.
Students/researcher

serve

as

references

that

are

willing or interested to conduct related field study.

Government it help to strengthen the government program
for abaca industry.
Community

it

helps

to

have

additional

provide livelihood for those jobless people.

Definition of terms

income

and

Distribution - The movement of goods and services from

the source through a distribution channel, right up to
the final customer, consumer, or user, and the movement
of payment in the opposite direction, right up to the
original producer or supplier.
Farm a tract of land forming a single property and
devoted to agriculture.
Farmer is a person engaged in agriculture, raising
living organisms for food or raw materials.
Market

is

one

institutions,

of

the

many

procedures,

varieties

social

of

systems,

relations

and

infrastructures whereby parties engage in exchange.

Marketing

is a body of organization of buyers and

sellers or it could be geographical area.

Marketing System is the social network that permits
interaction between buyers and sellers. It includes all
the

rules

and

regulations,

the

reputations

and

credentials of the companies and individuals involved.

Processing Movement of data or material towards a known
goal or end result, by passing it through a series of
stages or a sequence of actions.
Prospect - the possibility that something will happen in
the future.

Problems

constraints

or

irregularities

faced

by

an

individual or an association.
Retailer - A business or person that sells goods to the
consumer, as opposed to a wholesaler or supplier, who
normally sell their goods to another business.
Status define as a condition of a certain thing.
Transporting is the movement of people, animals and
goods from one location to another.
Wholesaler - person or firm that buys large quantity of
goods from various producers or vendors, warehouses them,
and resells to retailers. Wholesalers who carry only noncompeting goods or lines are called distributors.

REVIEW OF RELATED LITERATURE

Abaca (Musa textilis Ne) is a plant related to

banana, both belonging to the family Musaceae. The abaca
plant was first described by Don Luis nee (1801) who gave
the earliest confirmation that abaca is indigenous to the
Philippines.

According

to

Tabora,

Jr.

(1978),

the

earliest account on the use of abaca was written by

Pigafetta the Spanish priest who chronicled the voyage of
Magellan in 1521, where he observed that the natives were
already wearing clothing of abaca material as early as
the

16th

century.

Alzina

in

1668

on

the

other

hand

recorded one of the earliest descriptions of the abaca

plant, its processing and utilization (Tabora, Jr. 1978).
As early as 1825, abaca has been used locally in the
Philippines to generate foreign exchange (Seidenschwarz
1994, Escandor 2001).
abaca

has

Southeast

been
Asia,

part

Lacunarichman (2002)
of

traditional

particularly

in

the

wrote that

agriculture

in

Philippines.

Capistrano And Marten (1986) documented that the plant is

grown as a third phase crop in the forest plots, after a
slash-and-burn1 area has become less fertile and unable
to produce initial crops of rice (Oryza sativa) and maize
(Zea maize), and after even less demanding second phase
crop such as cassava (Manihot esculenta) and sweet potato
(Ipomea batatas).

According
Agriculture

to

the

Philippines

Agribusiness

and

Department

Marketing

of

Assistance

Service (DA-AMAS), abaca pulp was found to be a possible

substitute for coniferous pulp paper production at a four
to one ratio, making it a viable replacement option for
pulp-importing

countries

such

as

the

Philippines.

Presently, the fibre can be used to replace artificial

fibres with natural fibres in composite materials in the
automobile industry (Oliver 2004). Abaca handicrafts and
textiles

on

expansion

the

for

other

the

hand

abaca

are

potential

production

areas

and

of

processing

industry.
Lacuna-Richman
importance

of

(2002)

abaca

to

revealed
the

that

national

despite

economy,

the
its

potential as a source of a higher income to growers while

serving as a crop that may actually help in slowing down
deforestation, is given little policy attention. As a
common component in traditional agro forestry systems in
central Philippines, abaca is overlooked, a situation
that may be ascribed to what Olofson (1983) - as cited by
Lacuna-Richman
emphasis

on

systems,

over

practices.

(2002)

scientific

describes

seemingly

as

experimental
non-scientific

the

ideological

agro

forestry

forest

farming

Philippine abaca exports are projected to increase

by eight percent this year, as more countries opt for
eco-friendly products and renewable materials. Volcanic
area like the provinces of Albay and Camarines Sur in the
Bicol

Region

are

suited

for

abaca

cultivation.

The

Philippines' tropical climate, rich volcanic soils and

high to moderate rain fall are particularly appropriate
to the growing of the abaca plant.
In

2010,

the

Philippines

contributed

90%

of

the

total world supply of abaca fiber (FAOStat, 2012). The

gross value added from abaca in 2010 amounted to almost
Php 80 M (at constant 1985 prices). However, the volume
of fiber for export has been unstable and has declined by
41% during 2000-2010. During the same period, domestic
production of abaca decreased annually by an average of
1.2%. Worse, productivity dramatically declined by an
average of 32% annually (BAS, 2012).
The first report of natural infection of abaca with
banana bract mosaic virus was reported in the Philippines
in 2000 (Sharman et al., 2000). The symptoms of abaca
bract

mosaic

disease

are

expressed

at

any

stage,

an

infectedplant exhibits stringing of young leaves with

chlorotic

stripes.

Leaf

lamina

symptoms

consist

of

spindle-shaped chlorotic streaks running parallel to the

veins which may not be prominentin younger leaves in

recent
veins

infection.

Older

originatingfrom

continuous

ripples.

leaves

the

also

midrib

Greenish

to

show

which

raised

leaf

appear

like

yellowish

streaks

orspindle-shaped lesions are present in the petioles but

may be absent on petioles but may beabsent on petioles of
older leaves showing leaf lamina symptoms. When the dead
leaf

sheathsare

distinctive

pulled

away

dark-colored

orspindle-shaped

streaks

from

mosaic
are

the

pseudo

patterns,

visible

(Furuya

stems,
stripes
et

al.,

2006).
The abaca industry has been hard hit by the bunchytop and mosaic diseases that have wiped out thousands of
hectares of plantations in the region and continue to
affect

existing

ones.

Also,

the

low

production

is

attributed to the very low earnings of farmers due to the

existence of several layers of traders who pull down the
prices at the farm gate while the government has been
criticized for failing to undertake the rehabilitation of
the industry due to lack of funding, which consequently,
has crippled the industry.
METHODOLOGY

This chapter presents the respondents of the study,

sample and sampling procedure, method of data collection,
and methods of analysis.
Time and place of the study
The

study

was

conducted

in

Bicol

region,

particularly in Camarines Sur, Albay and Sorsogon. In

Camarines Sur, Ocampo, Tigaon, Goa and Sangay were chosen
as sample areas, while in Albay, the municipality of
Guinobatan, Camalig, and Daraga were selected. The study
was conducted from December to February 2016.
Respondents of the study
Twenty-seven

(27)

abaca

producers

were

taken

as

sample respondents in Bicol region.

Sample and Sampling procedure
Interview and survey were utilizes in gathering the
data/information with the aid of prepared questionnaire
to

the

abaca

producers,

traders,

and

processors

to

satisfy the purpose of the researcher.

Lists of respondents were taken from Fiber Industry
Development Authority (FIDA) Directory. A key informant
survey was also used in areas where abaca producer were

found. The study uses the purposive sampling and snowball

method in selecting respondents.
Method of data collection
Primary and secondary data were used in gathering
information.
O

Primary information source

The main gathering tool of the study were used a

questionnaire

and

it

can

supplemented

by

personal

interview of the respondents and documentary analysis.

O

Secondary data
It will be taken from published journals, research

papers and other related studies which are previously

gathered

by

other

individuals,

and

other

reading

materials on abaca industry.

Method of analysis
The
assessing

status
by

of

abaca

determining

products
the:

in

the

supply,

region

was

demand

or

consumption of the product, distribution, processing, and

pricing. Problems on abaca industry in the region were
analyzed. The overall condition of abaca industry will be

evaluated by using the SWOT Analysis before formulating

the prospects and recommendations.
Figure 1.Conceptual Framework
INPUTS/FARMS
Methods of production
Cultural practices
Management system
Producers

PROCESSING
PUBLIC SECTORS
(FIDA, LGU, DTI, EXPORTERS,
OTHER GOVERNMENT AGENCIES)

MARKETING CHANNEL
Marketing practices
Selling arrangement
Mode of payments

CONSUMERS
Wholesalers
Retailers

The study entitled Abaca industry in Bicol region

comprises

the

sequence

of

events

from

production

to

marketing and ultimately to the consumers. From the farm,

fibers passed through at least three channels (barangay,
municipal traders, and buying stations) before getting to

the

processors

or

grading

and

bailing

establishments

(GBEs).

RESULTS AND DISCUSSION

Bicol region
Camarines Sur
In

the

middle

Bicolandia

is

the

Camarines

Sur,

of

province
the

of

largest

among the six provinces of the

Bicol

region.

dominated

by

The
rich

province
and

is

fertile

lands. Camarines Sur is endowed

with rich and abundant natural resources, good physical
characteristics which make an ideal place for various
opportunities.
Albay
The
with

provinces

coconut,

hemp,

economy
rice,

is

basically

vegetables,

agricultural

sugarcane

and

pineapple as the major products. Its forests are sources

of

timber,

rattan,

pili

nuts

and

other

minor

forest

products. Albays strategic location makes it a gateway

for

the

neighboring

regions

of

Samar,

Leyte

and

the

Tagalog provinces.
Sorsogon
The province of Sorsogon is strategically located
about 600 kilometers from Metro Manila, lying in the
southernmost tip of Luzon. It serves as jump-off point to
the islands of Visayas and Mindanao.

PRODUCTION ASPECT
Nature of producers in Bicol region
Abaca producers in Bicol region could be classified
based from the volume of production and operation. From
the

twenty-seven

(20)

of

them

(27)
could

respondents
be

interviewed,

considered

as

twenty

large-scale

producers. Small-scale producers, on the other hand are

at

the

level

of

establishing

their

products are mainly for local markets.

business,

their

Table

12.

Shows

the

total

number

of

respondents

enclosed in the study.

Number of abaca producers in selected province in
Bicol region
LOCATION

No. of

Percentage (%)

Respondents
19

70.37%

Albay

14.82%

Sorsogon

14.82%

19

100%

Camarines Sur

TOTAL

total

of

twenty-seven

(27)

respondents

were

interviewed. Seven (7) of them are considered as smallscale producers and the rest were large-scale producers.
PRODUCTION INPUTS
Table 13. Raw Materials Used by producers
PROVINCES
Camarines Sur, Albay
Sorsogon

and

RAW MATERIALS
Bolo
Tuxying knife or
Pa-kus
Stripping knife or
Ha-got

They are usually on manual operation. They are using

bolo, tuxying knife or pa-kus, and stripping knife or
ha-got as their raw materials.
Table 14. Reasons for using raw materials
PROVINCES

REASONS

Camarines Sur, Albay and

It is available

Sorsogon

Commonly

used

by

the

producers
Less expensive
Easy to gather
Table 15. Shows the Advantages and Disadvantages of
using different raw materials
RAW MATERIALS

ADVANTAGES
- Easy

Bolo

DISADVANTAGES
to

- Need

more

harvest

and

laborer

in

cut

the

harvesting

plant
- Easy

Tuxying
knife
pa-kus

Stripping

or

remove

to
the

- Need

more

laborer

outer layer

--

- Need

more

knife

or

laborer

ha-got

Types of Sources
The most common raw materials used by the abaca
producers are bolo, tuxying knife (pa-kus), and stripping
knife (ha-got). The materials are gathered from public
markets.
Quantity
Raw materials are purchased on a large and small
quantity basis. Because of their method of extraction is
hand-stripping, they buy raw materials in a large volume.
Especially

bolo

they

used

it

in

harvesting

and

to

remove/cut infected parts of the plant caused by pests

and diseases.
Frequency of Buying
All respondents are buying their raw materials on
yearly basis. It purchased it yearly because the raw
materials that they used had a long life span.

Transportations
The

most

common

transportation

used

in

buying

materials by the abaca producers was tricycle.

Sometimes

they

used

trucks

and

jeep

for

selling

their products to the local traders.

Laborers
1. Quantity
In

planting

producer

has

and
a

harvesting

permanent

the

labor.

abaca,
Labors

most

of

that

has

the
of

knowledge in planting and harvesting. Majority of them is

old enough because they believe that they have knowledge
and different ways in caring abaca plant. For small-scale
producer, one to two laborers hired and sometimes because
they are small-scale producer, they work on it.
Usually, laborers are hired when operation occurred.
2. Payments
For a large-scale, the payment for the laborers are
depends on the produced product. They divided it equally.
The

laborers

are

production.
Capital and Sources

provided

with

free

snacks

during

Majority
capital.

of

Their

abaca

producers

continuous

provides

productions

are

their

own

provided

through their personal savings and money. Producers meet

a shortage for the production because some government
agencies did not paying attention to support the farmers.
PRODUCTION OUTPUT
Product Description
Abaca (Musa Textilis Nee) is a member of Musaceae
Family

to

which

the

banana

belongs.

Although

the

resemblance of the abaca to banana is close, there are

basic

differences.

Abaca

stalk

are

more

slender,

the

leaves are smaller, narrower, and more pointed than those

of the banana. A distinguished dark line on the right
hand side of the upper surface of the leaf blade is
pronounced in abaca. The fruit of abaca is smaller, nonedible and contain many seed.
There are different varieties of abaca are grown in
the Philippines. In Bicol, the varieties are: Musa Tex
51, Abuab, and Tinawagan-Puti; Linawan, Inosa, and Laylay
in Visayas; and Maguindanao, Bangolanon, and Tangongon in
Mindanao.

The most commonly used by the producers in Bicol

region are Tinawagan-Puti, Tinawagan-Pula, Bulao, Sugmad,
Abuab and Isarog.

ECONOMIC VALUE
Abaca

production

provide

livelihood

for

those

jobless people, as for the economics contribution of the

project to the country. As a result, to those farmers
from

lowland

will

gain

traditional

income

for

their

families.
Volume of Production
The volume of production depends on the production
cycle

of

operation.

For

large-scale

producer,

they

produced the abaca as in volumes to them to meet the

required expected maximum output produced per day. In
large-scale operation, they used large quantity of raw
materials and they utilize labor and equipment that leads
the production more productive and efficient.
The small-scale producers have only limited produced
of abaca. They continue their operation in production
with small quantity volume of production although they
have lack of raw materials and capital.

Table 16. The estimated volume of production

RESPONDENTS

VARIETY

AVE.

PER

QUANTITY

MONTH

PER YEAR

PRODUCED
Camarines

Sugmad

PER DAY
80 kg.

240 kg.

480 kg.

Sur

Abuab

50 kg.

150 kg.

450 kg.

Tinawagan-

35 kg.

105 kg.

315 kg.

Bulao

20 kg.

60 kg.

180 kg.

Tinawagan-

70 kg.

210 kg.

630 kg.

Puti

pula

Formula:

Produced per day X kilogram per 3 months X 2

cycle (per year)

Abaca uses
Abaca has many uses. Aside from fiber, it has many
food values. Abaca leaves are used as growing material
for mushroom.

The

flower

of

Roots

may

material.

abaca
be

may

be

converted

used
into

as

hamburger

fertilizer

and

feeds. The roots of abaca are of primary shallow root

compared to hardwood trees which have deep roots. These
may be uprooted more easily and may be chopped down to be
made into fertilizer and feed.
Other

products

are

electrolytic

condenser

paper,

high grade decorative paper, Bible paper, coffee filter,

meat

and

sausage

casings,

special

insulation

paper,

adhesive

tape

mimeograph

stencil

base

tissue,

art

paper,

paper,

cable

lens

tissue,

carbonizing

tissue,

currency paper, checks, cigarette paper, vacuum cleaner

bag,

abrasive

base

paper,

weatherproof

bristol,

map,

chart, diploma paper, nonwovens, and oil blotting paper.

CULTURAL MANAGEMENT
Soil requirement
Abaca grows in clay loam and sandy clay loam types
of soil, rich in organic matter, loose, friable, and
well-drained.

Climatic requirement
The optimum temperature requirement for abaca has
not been fully determined, but it grows in areas with
temperatures of 20 degrees Celsius during cool months and
25 degrees Celsius during warm months.
Planting season
Planting

abaca

at

the

start

of

rainy

season

is

preferable. The abaca plant grows to about 10 to 15 feet

high requiring 2 to 4 years for the abaca plant to ripen.

MATURITY AND HARVESTING

Abaca reaches its maturity 18 to 24 months after
planting under normal conditions or upon the appearance

of the flag leaf. It harvest done at 3-4 months interval.

Most of the farmers were harvesting their abaca on daily
basis following 2 to 3 months cycle. The harvesting cycle
of 2 to 3 months cycle depends on farmers preference.
FIGURE 2. PRODUCTION PROCESS

LAND PREPARATION
PREPARATION
LAND

PREPARATION OF
OF
PREPARATION
SUCKER
SUCKER

PLANTING
PLANTING

CULTURAL
CULTURAL
MANAGEMENT
MANAGEMENT

HARVESTING
HARVESTING
MANAGEMENT SYSTEM
The proper management and caring of abaca plant can
be

determined:

keep

the

surroundings

clean

and

avoid

planting between the abaca plants of other crops so that

pests and diseases may not be attracted. If the plant

attacked by pests and diseases, make sure to remove the
infected parts of the plant so that other plant may not
be affected.
Problems on production aspect
The problem encountered by the abaca producers is
pests and diseases infestation especially for the smallscale producers which accounted 84% of respondents. Low
price and quality of fiber is the second problem which
accounted 11% of respondents. Third was low productivity
of farm from the large-scale producers.
Table

17.

Shows

the

production

problem

of

abaca

producers in Bicol Region

PROBLEMS

No. of Respondents

Pests and diseases

Percentage (%)

16

84%

and

18.52%

quality of fiber
Low productivity of

22.22%

27

100%

infestation
Low
price

abaca farm
TOTAL

Table 18. total volume of production in selected

provinces

PROVINCES

Camarines Sur

Crop
Production
(in Metric
Tons)

Area
Harvested
(in Hectares)

Yield/
Hectare

762.07

6,679

0.06

TOTAL

Albay
Sorsogon

DISTRIBUTION AND MARKETING ASPECT

Farming,
processing

stripping,

are

the

five

trading,
major

fiber

sectors

exporting
of

the

and

abaca

industry.
Market flow
From the producer, the abaca fiber was sold at an
all-in basis to the barangay dealer. At this stage,
fibers are sold ungraded due to farmers general lack of
knowledge of the grading/classification system. The fiber
goes further to the town/city dealers. To some extent
some of the farmers sell directly to exporter/grading and
bailing establishments (GBEs). In some cases, farmers
cooperatives/associations have a direct link to domestic
processors.
Supply Situation

Supply of abaca fiber is mainly provided by Eastern

Visayas,

the

number

one

abaca

producing

region,

contributing an annual average of 24,952 mt or 39% of the

total.

The

Bicol

region

ranks

second

with

an

annual

average of 21,225 mt or 33% while the whole of Mindanao

supplies an average of 16,985 mt per annum or 27% of the
total production.
Production has been relatively stable during the
past ten years, averaging 64,205 mt per year.
Demand Situation
1. Local Consumption
Domestic
country's

processors

total

consumed

production

of

about

abaca

fiber

66%

of

the

during

the

period 1989-1998. A steady increase of 3.2% per year in

the consumption of abaca fiber by local processors during
the period resulted to more income through production of
high value products and employment opportunities for the
nation.
The pulp sector is considered the growth are of the
abaca industry due to the favorable development in the
world market for its end-products such as meat casings,
tea

bags,

cigarette

papers

and

other

specialty

paper

products. The pulp sector accounted for about 57% of the

total

local

consumption

for

the

past

ten

years.

Consumption by this sector grew by 6.9% annually.

The cordage sector, on the other hand, accounted for
about

31%

of

the

total

fiber

usage

by

the

domestic

manufacturers. During the ten-year period, a decreasing

rate of 1.4% per year was observed largely due to stiff
competition posed by synthetic cordage.

MIDDLEMEN
There

are

eleven

(11)

middlemen

involved

in

the

study. They come from different areas in Bicol region:

Camarines Sur which has eight (8) and Albayhas three (3)
middlemen identified.
Table 18. Types of Middlemen
Types of Middlemen

No. of Respondents

Percentage (%)

Wholesaler
Retailer

2
7

22.22%
77.78%

TOTAL

100%

SELLING ARRANGEMENTS
There are two types of selling arrangements used by
middlemen. The first one is delivery were the producers
deliver the product to the middlemen, and second is pickup basis wherein the middlemen pick-up the product from
the producers.

MEANS OF TRANSPORTATION
Most

of

automobiles

the

as

middlemen

their

means

used
of

trucks

transporting

and

jeep

products.

Personal service automobiles are sometimes they used.

MARKETING PROBLEMS
One

of

the

problems

encountered

in

marketing

products of middlemen is there are consumers demand the

product largely but there is a lack number of suppliers,
as

well

as

in

Camarines

Sur.

One

of

the

identified

problems is due to the needs of producers to sustain

their families in daily needs, some of the volumes of
abaca fibers were mixed to dry and they sell to the
middlemen even wet/not yet dry that is why the payback of

the consumer to the middlemen are less to their sold

price to the producers.

Figure 3. Marketing Channel

MIDDLEMEN

PRODUCER

WHOLESALER

RETAILER

PROCESSOR

CONSUMER

Producers are those producing abaca. They are the

supplier at the same time to the local markets. They can
also directly sell their product to the processors, then
the processors comes to buy also the product to the
middlemen and the processor sell their finished product
to the consumers.

PROCESSING ASPECT
There are many processors identified in Bicol region
especially in Albay. They are classified as: pulp mills,
cordage

manufacturers,

fiber-craft

manufacturers,

and

textile/fabrics.
There is a big competition in the region in terms of
processing.

FINANCIAL ASPECT
The abaca producers in Camarines Sur provide their
own capital. They have no support from any institutions
that is why some of the producers are lack of capital to
sustain

their

business

especially

the

small-scale

producers.

ORGANIZATIONAL ASPECT
Most of the respondents of producers were on single
proprietorship. The minimum numbers of workers are two
depending to the operations. The payment is based only if
there is an operation occurred. All workers are giving
incentives in the form of free foods, including snacks.
PUBLIC SECTOR

Government

support

is

very

important

to

the

development in the venture of abaca production. Based on

the actual survey/interview gathered, all of them are not
supported by the government, which are from Camarines
Sur.
Department of Agriculture (DA), and Philippine Fiber
Industry Development Authority (FIDA), at present are
providing

support

to

the

producers

and

processors

of

abaca. They provide seminars and training programs to the

farmers.
From among the producers interviewed, there are no
producers benefits in exporting abaca.

SWOT Analysis

Strengths
- Exceptional strength, flexibility, and resistant
to change salt water.
- Strongest among natural fibers.
Weaknesses
- Requires special processing technology.
- Poor quality abaca fiber
Opportunities
- Increased demand for abaca fabric because of its
growing popularity.
- Raw materials for producing bank notes.
- Growing demand for handmade papers as art media,
photo frames, albums, flowers, stationery, allpurpose cards, and decorative.
Threats
- Cheap imported materials
- Pest and disease infestation
- Typhoons

STATUS
Abaca industry continues to lead as the growth area
in export. It provides livelihood to abaca farmers and
manufacturers

generates

employment

in

the

abaca

manufacturing industry and contributes foreign exchange

earnings to the countrys economy. Most of abaca raw

materials and its end-products are shipped outside the
country. The demand for abaca fiber-based products and
natural-based material is largely influenced by fashion
trends and environmental consideration.
Bicol

emerged

as

the

biggest

producer

of

abaca.

Albay is one of the biggest producing high-end quality

abaca products, outranking Eastern Visayas where some
abaca areas were badly affected by viral plant diseases.
Some

government

agencies

are

not

totally

giving

support to some producers, especially in Camarines Sur.

Most of the producers in Camarines Sur are suffering in
some problems that they encountered because they did not
get any support from Department of Agriculture (DA) like
giving them additional fertilizers that would help their
plantation from attacked pests and diseases. Department
of Trade and Industry (DTI) are also conducting trainings
and

seminars

especially

to

the

processors

on

improve their skills on processing abaca fibers.

PROBLEMS AND PROSPECTS

how

to

The study deals with the problems and prospects of

the Philippine abaca industry. There are 3 major aspects
of

the

industry

that

are

considered-

production,

processing and the marketing and utilization of abaca.

Five

major

abaca.

factors

These

production,

include

use

commercial

affect

of

the

field
area

different

production,

level

capital

production

devoted

abaca
and

to

abaca

varieties

farm

of

for

investment,

technology and cultural management and dissemination of

location-specific technologies. On the other hand, the
quality and yield of abaca are affected by methods of
harvesting

and

fiber

extraction.

Lastly,

the

market

conditions at the farmers' and local manufacturers' level

and the Domestic and World market have a significant
effect on the level of productivity of abaca farming. The
findings

show

that

over

time

as

result

of

these

interlinked factors, the area devoted as well as the

total production of abaca have been declining over time.
However, there are a number of factors which are pushing
down the performance of the industry. Among these are the
pest and diseases which are ravaging the abaca farms in
certain

areas,

especially

Bicol,

the

unfavorable

biophysical conditions of abaca growing areas, lack of

capital

and

access

to

support

services,

failure

to

effectively

disseminate

technical

information

and

the

various government policies that provide incentives to

convert abaca farms to other high value or staple crops.
Lastly,

there

are

market-related

issues

at

different

levels that have a significant impact on the performance

of the industry.
The overall assessment of the industry shows that
despite external threats and internal difficulties, there
are very good prospects for the abaca industry e.g. the
abaca pulp as substitute for coniferous pulp in most
paper

and

specialty

paper

products,

the

fiber

craft

sector, abaca fabrics for decor and wrapping purposes,

abaca

cordage,

ropes

dredging/exploration,
well

as

navies

construction

environmentally

and

twines

and

business

fragile

for

merchant
and

oil

shipping

as

intercropping

in

environments

although

other

possibilities may still be in the offing. To realize

these prospects, it is necessary to improve the yields
and quality of abaca fiber and exploit the current and
new market opportunities.
Given
important
development

limited
thus
and

to

resources

however,

concentrate

provision

of

it

resources

technical

and

will

be

on

the

financial

assistance

in

those

areas

and

farms

that

have

the

greatest potential for improving yields and quality. To

this end, it will be helpful to undertake an inventory of
these areas and farms to determine the specific kinds of
support that will be required. Lastly, it will also be
necessary to enhance the financial and technical capacity
of institutions to provide the necessary assistance to
the production sector.
PROSPECTS
Despite global economic problems, demand for abaca
is

expected

to

remain

strong

and

stable

with

conservation growth rate of 3% per year indicated by

major foreign buyers support this observation/projection.
The abaca industry is expected to continue making a
stronghold

in

both

the

domestic

and

international

markets. The growing concern for environmental protection

and

forest

provided

conservation

limitless

the

world

opportunities

over

have

further

for

natural

raw

materials like abaca. Being natural and considering its

superior qualities over other materials, the utilization
of

abaca

especially

expected to strengthen.

for

industrial

application

is

The Food and Agriculture Organization (FAO) of the

United Nations projects that global consumption of abaca
will increase further to about 85,000 metric tons by the
year 2005.This translatesto total global demand of at
least 71,000 MT for Philippine abaca, including domestic
consumption as the country is the major producer.
To

sustain

the

increasing

demand

for

Philippine

fiber-crafts, however, functional and innovative designs

should continuously be introduced in the market. Abaca
production

is

expected

to

encouraging

developments

in

improve
both

in

the

response

local

and

to

world

markets.

SUMMARY AND CONCLUSION

For almost a hundred years now, the great potentials
of abaca industry in the Bicol region, specifically in
Camarines Sur and Albay, is continually being overlooked.
It

brings

awareness
agriculture

economic
and

benefits

protection

waste

products

to

to

the

our

converted

environmental

country
into

for
useful

the
and

saleable commodity. This study will provide information

pertaining

the

systematic

study

of

abaca

through

its

production,

economic

value,

marketing

system

of

the

producers, the present status on the production process,

the different variety, methods of production, cultural
practices and management system. This study will serve
then

as

guide

of

information

pertaining

to

the

usefulness of the abaca to the farmers, community, and

especially

to

our

country.

The

study

was

conducted

through survey and personal interview to the farmers,

middlemen,

and

questionnaire.

the

processor

Descriptive

using

analysis

the

interview

was

used

in

interpreting the data.

Based from the results/findings of the study, abaca
producers in Bicol region are very limited in number.
They

are

located

interviewed
considered

in

Camarines

respondents,
as

small-scale

only

Sur.

seven

producers

From
(7)

and

among

the

of

them

are

the

rest

are

large-scale producers. The producers in Camarines Sur are

processed their abaca into fiber through hand stripping
method.The most important part of the abaca is the stalk
which is the source of the fiber. Abaca fiber is superior
over

all

strength

other
and

its

natural

fibers

resistance

to

because
the

of

action

its
of

great
water.

Considered the strongest of all natural fibers, it is

three times stronger than cotton.

Their fiber production

starts to clearing, topping, tuxying, stripping and the

final process is drying before being stored. Their raw
materials are namely: bolo, tuxying knife or pa-kus and
stripping

knife

or

ha-got.

Majority

of

them

used

suckers as planting materials. Most of the large-scale

producers are having their permanent labors for their
operation and the payment for their labors are depends to
the

volume

of

produced

product,

while

in

small-scale

producers they hired for at least one to two labors. The

abaca

average

produced

per

year

for

the

large

scale

producers reacted to 45,000 kg while the average produced

by small-scale was 840 kg.
Some

of

large-scale

producers

are

selling

their

product directly in Albay. It was already ordered from

them. The small-scale producer was selling their products
to the local markets.
The financial sources are usually owned by most of
the interviewed producers. They do not avail any loans.
The producers today dont have any support from some
government agencies like Department of Agriculture (DA),
and Philippine Fiber Industry Authority (FIDA) that is
why they encountered lack of capital to start-up their

business especially to the small-scale producers. Those

institutions at present are provided/conducting trainings
and seminars for the farmers and processors but the time
goes

by,

the

institutions

today

are

not

giving

any

support especially to the farmers. Aside from being the

producers of abaca, some of them are vegetable vendor as
their other source of income.
In organization aspect, most of the farmers were on
single proprietorship and the other is classified as the
landlord.
Small-scale

producers

meet

some

problems

with

regards with the supply of raw materials, even the largescale producers. Due to inadequate capital, there is a
lack of technology and equipment to make the production
fast and easy. These may cause and trends decrease the
volume of production.
In marketing, there is a high demand but low supply
of

product.

In

that

case,

they

could

not

meet

the

required volume in the market, but despite of that, abaca

production is still going on because of a high profit.
The problems besetting the abaca production were the
following:

poor

quality

abaca

fiber,

low

price

and

quality of fiber, and low productivity of abaca farm.

Their worst problem was the pests and diseases. Bicol
region were known well for its abaca fiber, the farmer
needs effective and urgent solutions to the problems.
This may bring farmer to its downfall situation.

RECOMMENDATIONS
Farm sector
The researcher would like to recommend having the
support by the government to sustain their needs for the
large-scale

producers

especially

for

the

small-scale

producers in Camarines Sur. Theresearcher noticed that

there were already existing large-scale producer in the
region, but due to the problems encountered and lack of
knowledge in controlling pests and diseases, the produced
volume of the abaca is low.
The researcher would like also to recommend to the
farmer to organize cooperative to provide a good standard
regarding

proper

production

practices

and

cultural

management of abaca. Furthermore, conduct a research and

development

for

abaca

to

improve

the

abaca

industry.Improvement of farm to market roads to reduce

hauling costs and improve access to markets.
Processing sector
The

researcher

would

like

to

recommend

to

have

trainings and seminars to the processors supported from

Department of Agriculture (DA) and Department of Trade
and

Industry

(DTI)

for

them

to

have

an

additional

knowledge to process the abaca fiber and to improve their

skills.

In

that

way,

they

can

produce

in

volume

of

handicrafts.
Marketing sector
The

researcher

would

like

to

recommend

that

producers sell their products to the local markets in

dried form so that when traders/middlemen delivered the
product to the processors, the abaca fiber are not become
low grade.

INTRODUCTION
The botanical name of abaca is Musa textilis, a treelike herb which is of the same genus as the common banana
which

is

closely

resembles.

It

is

indigenous

to

the

Philippines. The abaca plant is smaller than the banana

although some varieties under favorable conditions can
even be taller or at least equal the height of the banana
plant.

Abaca is also popularly known worldwide as "Manila

Hemp". However, it is not related to the true hemp. The
name "hemp" is from the old English word "hard" which
came into use in the Middle English for 1000 AD and
belongs

to

the

plant

cannabis

sativa

(http://www.agnet.org/library.php).
Abaca holds many advantages, but it may not be best in
every situation. Some potential disadvantages include:
Poor quality abaca fiber, Low price and quality of fiber,
and Low productivity of abaca farm.
Demand for abaca, particularly in pulp form has been
increasing due to the growing concern for environmental
protection and forest conservation which provided more
opportunities

for

natural

fibers,

like

abaca.

It

is

expected that demand for abaca fiber, particularly by

local pulp processors will continue to expand as world
demand for abaca pulp continued to grow.
In

spite

of

high

demand

for

abaca

and

high

abaca

prices, local production has not kept pace with demand.

Owing to low income derived from abaca farming and the
tedious

process

of

extracting

the

fiber,

farmers

especially the younger ones shy away from abaca farming

and look for other jobs in the urban areas. Also, because

most of the abaca plantations are already old, typhoon

damaged and infected with viral diseases, productivity is
very low.

FIBER STATISTICS
Table 19.Monthly Bailing of Philippine Commercial Fibers
(In bales of 125.kgs)
Month
January
February
March
April
May
June
July
August
September

2012
36,110.40
36,505.00
40,698.10
40,619.60
39,663.20
39,653.30
37,141.90
33,632.20
35,894.60

2013
29,192.10
32,742.50
29,755.50
30,444.20
31,324.70
30,241.80
34,263.90
30,300.10
33,942.70

2014
35,805.60
43,507.10
30,710.40
41,559.50
44,423.90
40,444.70
39,127.50
38,793.20
40,108.30

2015
33,743.2
40,359.7
32,335.9
44,360.9
37,738.5
42,885.0
49,764.8
37,728.4

October
25,059.70
37,215.70
36,665.70
November
29,806.90
34,977.80
36,581.40
December
28,176.70
34,638.70
34,049.60
TOTAL
432,961.60 389,039.70 461,776.90
Source: http://www.philfida.da.gov.ph/

28.81%

318,916.40

24.27%

This figure shows that in year 2014, the monthly

bailing of Philippine commercial fibers were 461776.90,
and that was the highest year that has the total amount
among the 2012, 2013, and 2015.

STATUS, PROBLEMS, AND PROSPECTS OF ABACA INDUSTRY IN

BICOL REGION

MAE ANN DEMATTA BEATRIZ

AN UNDERGRADUATE THESIS SUBMITTED TO THE FACULTY OF THE

COLLEGE OF ECONOMICS AND MANAGEMENT-AGRIBUSINESS
DEPARTMENT IN PARTIAL FULFILLMENT OF
REQUIREMENTS FOR THE
DEGREE OF

BACHELOR OF SCIENCE IN AGRIBUSINESS

The thesis attached hereto, entitled STATUS,PROBLEMS,
AND PROSPECTS OF ABACA INDUSTRY IN BICOL REGION prepared
and submitted by MAE ANN DEMATTA BEATRIZ in partial
fulfillment of the requirements for the degree of
BACHELOR OF SCIENCE IN AGRIBUSINESS is hereby accepted.

HANILYN A. HIDALGO
Member, Advisory Committee
_________________
Date Signed

MIA BELLA R. FRESNIDO

Member, Advisory Committee
__________________
Date Signed

MA. FRANCIA ASUNCION D. NUEZ, Ph.D.

Member, Advisory Committee
__________________
Date Signed

SONNY R. CORPORAL
Thesis Adviser
Chairman, Department of Agribusiness
__________________
Date Signed
Accepted as partial fulfillment of the requirements for
the degree of Bachelor of Science in Agribusiness.

MA. VICTORIA P. BALDERAS

Dean, College of Economics and Management
__________________
Date Signed
Socio-economic characteristics (producers)
Table 1. AGE
AGE

NO. OF

PERCENTAGE (%)

16-21
22-26
27-31
32-36
37-41
42-46
47-51
52-56
57-61

RESPONDENTS
3
3
0
4
5
2
0
1
1
19

15.80%
15.80%
0%
21.05%
26.32%
10.53%
0%
5.26%
5.26%
100%

TOTAL:
The

table

shows

that

26.32%

of

the

age

of

the

farmers has the highest total number of 5 respondents

from age 37-41 and the lowest is accounted to 5.26%. This
means that most of the farmers interviewed, only five
(5) of them are oldest in farming.

Table 2. GENDER
GENDER

NO. OF

PERCENTAGE (%)

RESPONDENTS
11
8
19

Male
Female
Total:

57.90%
42.10%
100%

The table above shows that male was the highest

total

number

percentage.
especially
operation

of

Male
in

respondents
was

the

field,

because

they

which

highest

males

are

are

strong

have

57.90

because

in

suitable
enough

farming

for
to

of

this
be

in

operations.
Table 3. CIVIL STATUS
CIVIL STATUS
Single
Married
Single-parent
Lived-in
TOTAL:

NO. OF

PERCENTAGE (%)

RESPONDENTS
2
13
2
2
19

10.53%
68.42%
10.53%
10.53%
100%

The table shows that most of the farmers are married

with

the

total

number

of

13

respondents

which

is

equivalent to 68.42% while the rest are same as 10.53%

with total number of 2 respondents each.
Table 4. SIZE OF FAMILY
SIZE OF FAMILY

NO. OF
RESPONDENTS

PERCENTAGE (%)

1-5
6-10
11-15
16-20

10
8
0
1
19

TOTAL:

52.63%
42.10%
0%
5.26%
100%

The table shows that the lowest respondent was 5.26%

with the total number of 1 respondent while the highest
percentage

was

52.63%

with

the

total

number

of

respondents. Most of them are less size of the family.

Table 5. EDUCATIONAL ATTAINMENT

EDUCATIONAL

NO. OF

PERCENTAGE (%)

ATTAINMENT
Elementary

RESPONDENTS
9

47.37%

undergraduate
Elementary

10.53%

graduate
High

school

15.79%

undergraduate
High
school

15.79%

graduate
College

5.26%

10

undergraduate
College graduate
TOTAL:

1
19

5.26%
100%

The table shows that the educational attainment of

the farmers has the average of 9 respondents which are
elementary undergraduate and then 47.37% was their total
percentage. Since most of them are growing with poor
family,
continue

they

are

their

not

study.

sustaining
That

is

their

why

of

education
them

are

to
in

elementary undergraduates.
Table 6. NUMBER OF YEARS ENGAGED IN FARMING
NO. OF YEARS

NO. OF

ENGAGED IN

RESPONDENTS

FARMING
1-5 years
6-10 years
11- 15 years
16 above
TOTAL:
The

table

PERCENTAGE (%)

3
5
3
8
19
shows

that

15.80%
26.32%
15.80%
42.11%
100%
42.11%

was

the

highest

percentage which has total number of 8 respondents of

years engaged in farming in Camarines Sur becausetheir
farms are inherited from their parents and they are the
one who continued to operate their farm until now.

Farm characteristics
Table 7. NUMBER OF HECTARE
NO. OF HECTARE
1 below
1-5
6-10
11-15
16 above
TOTAL:

NO. OF

PERCENTAGE (%)

RESPONDENTS
1
15
2
0
1
19

5.26%
78.95%
10.53%
0%
5.26%
100%

The table above shows that there are 15 respondents

which is equivalent to 78.95% who has an average total
land

area

between

to

hectares.Most

of

them

inherited by their parents of 1 hectare above.

Table 8. TENURE STATUS
TENURE STATUS
Owner
Landlord

NO. OF

PERCENTAGE (%)

RESPONDENTS
16
3

84.21%
15.80%

are

TOTAL:
The

19
table

shows

100%

that

most

of

the

farmers

interviewed are the owner of their abaca plantation which

has the highest total number of 16 respondents which is
equivalent to 84.21% while the 3 respondents are only the
landlord which has an average of 15.80% only.

Production practices
Table 9. SOURCES OF LABOR
SOURCES OF LABOR
Family labor
Hired
Permanent labor
TOTAL:
The

table

NO. OF

PERCENTAGE (%)

RESPONDENTS
6
9
4
19

31.58%
47.37%
21.05%
100%

shows

that

the

highest

number

of

respondents was hired their labor for their operations

with an average of 47.47%. Six are family labor with
31.58% while 4 of them are permanent labor with 21.05%.
Since they are lack of money to hired laborers, most of
them are engaged on family labor.

Marketing data

Table 10. SELLING ARRANGEMENT

SELLING
ARRANGEMENT
Pick-up
Delivery
TOTAL:
The

table

NO. OF

PERCENTAGE (%)

RESPONDENTS
0
19
19

0%
19%
100%

shows

that

all

of

the

respondents

interviewed were sell their product in delivery because

base on the interview, traders are not pick-up their
product because for them it is costly.
Table 11.
MODE OF
TRANSPORTATION
Tricycle
Jeep
TOTAL:

NO. OF

PERCENTAGE (%)

RESPONDENTS
13
6
19

68.42%
31.58%
100%

The table shows that most of the respondents are

using tricycle for their mode of transportation which has
number of 13 respondents with 68.42% while the rest of
them

are

using

jeep.

Since

most

of

them

sell

it

in

barangays and nearby towns, tricycle are they usually

used.