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MARKETING CARDAVA BANANA IN ISABELA, PHILIPPINES: COUNTING

METHOD VS METRIC SYSTEM

Article · October 2018

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AARJSH VOLUME 2 ISSUE 7 (DECEMBER 2015) ISSN : 2278 – 859X

A Peer Reviewed International Journal of Asian

Academic Research Associates

AARJSH
ASIAN ACADEMIC RESEARCH
JOURNALOFSOCIAL
SCIENCE&HUMANITIES

MARKETING CARDAVA BANANA IN ISABELA, PHILIPPINES:

COUNTING METHOD VS METRIC SYSTEM
GIGI B. CALICA1; KAREN R. LINGBAWAN2; ZEREN LUCKY L. CABANAYAN3
1
Senior Science Research Specialist, Philippine Center for Postharvest Development and
Mechanization (PHilMech), CLSU Compound, Science City of Munoz, Nueva Ecija, 3120,
Philippines
2
Science Research Analyst, Philippine Center for Postharvest Development and
Mechanization (PHilMech), CLSU Compound, Science City of Munoz, Nueva Ecija, 3120,
Philippines
3
Science Research Specialist, Philippine Center for Postharvest Development and
Mechanization (PHilMech), CLSU Compound, Science City of Munoz, Nueva Ecija, 3120,
Philippines

Abstract
This study aims to determine the marketing method of cardava banana where farmers are
better off. Specifically, to describe the marketing practices of cardava banana farmers in
Isabela, Philippines and to determine the income difference from the two methods received
by the farmers. Results revealed that in spite of the existence of metric system law in the
country, majority of the farmers are marketing by counting method. In counting method,
classifications of the cardava banana are good, RR and R. Counting or sorting is by five (5)
and any excess is considered free. Results show that an average of two extra banana fingers
per banana hand is not being paid for by the traders employing counting method. Unlike in
the counting method, all banana fingers are accounted and paid for by the traders in metric
system. In terms of average price per banana hand, farmers receive 6.5 percent increase in
price from metric system. Total income received by the farmers from the metric system is 7
percent higher than counting method which is significant at 1 percent level of significance.
Income losses incurred by farmers patronizing counting method is more or less PhP16,682.40
per year enough to feed a family of five for two months. Hence, farmers are better off selling
their produce by metric system. With this evidence, the country needs to strengthen its
metric system law and stricter law implementers are demanded.

Keywords: counting method, metric system, cardava banana, banana fingers, banana hands,
better off

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I. BACKGROUND

Cardava banana or „saba‟ in the Philippines is the world‟s fourth most important
staple next to rice, corn and wheat (Hernandez, 2008). It recently captivated the international
market because of its nutritional value and versatility of use.
There are two types of marketing cardava banana in the country, the counting method
and the use of metric system or in per kilo basis. The counting method is generally practiced
in Luzon where Isabela is located while the rest of the country metric system is widely
exercised.
In Oregon, United States of America, the manner of selling of commodities not in
liquid form are sold only by weight, measure of length or area, or count. However, liquid
commodities may be sold by weight, and commodities not in liquid form may be sold by
count only if such methods give accurate information as to the quantity of commodity sold
(http://www.oregonlaws.org/ors/618.206). On the other hand, in Wisconsin, USA, through
the Wisconsin Administrative Code, identified commodities are categorized whether to be
sold in weight, measure or count. But generally, fruit and vegetables are categorized to sell in
weight or count (https://docs.legis.wisconsin.gov/code/register/1998/510b/insert/atcp91.pdf).
In the Philippines, using metric system in marketing any product in the country is
embodied in the Consumer Act of the Philippines (R.A. 7394), Chapter II, Article 63 stated
that “the system of weights and measures to be used for all products, commodities, materials,
utilities, services and commercial transactions, in all contracts, deeds and other official and
legal instruments and documents shall be in metric system, in accordance with existing laws
and their implementing rules and regulations.”
However, based on the focus group discussion conducted by PHilMech (2014),
majority of the cardava farmers in Isabela (52%) are still selling their produce to the traders
by counting method which in the same manner would be disposed to the wholesalers in major
markets. Do farmers in Isabela benefit from practicing counting method?
The general objective of this study is to determine the marketing system of cardava
banana where farmers are better off. Specifically, to describe the marketing practices of
cardava banana farmers in Isabela, Philippines and to determine the income received by the
farmers from the two methods.

II. MATERIALS AND METHODS

2.1 Study area

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Isabela province is the top producer of cardava banana in the island of Luzon in the
Philippines. Primarily, its major product is cardava banana and its production areas are
located around 77 km away from the center of the province with unpaved road network.
Because of its distance and poor accessibility, only two trader/consolidators are operating in
the area – one buys using counting method and the other metric system. Consolidation period
is around 2 days to fill the capacity of the hauling truck that transports and delivers the
commodity to the nearby province of Pangasinan‟s public market which is around 278 km
away from the area wherein counting method is being practiced. It takes around 12 hours to
transport a truck load of cardava banana to the said public market. For those traders
employing metric system, they travel 12 hours to transport and deliver goods to Balintawak
market in Metro Manila, which is around 350 km away from Isabela where metric system is
being practiced (Figure 1).

Figure 1. Map of the Philippines showing the production area, Isabela and the markets of
Pangasinan and Balintawak in Metro Manila

2.2 Sample collection

During the time of the sample collection, only the trader using counting method has
cardava banana stocks in his place. The team randomly collected 159 banana hands or 20
bunches (7 percent of 2,271 hands) of cardava banana from the stocks and allow the trader
classify, count and weigh the samples.
2.3 Data Analysis

Descriptive and t-test analyses were employed in the study. Data were processed
using Statistical Package for Social Sciences (SPSS).

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III. MARKETING THEORIES

Transaction Model on Figure 2 shows that the foundation for pricing the cardava
banana in the country is based on the features of roundness, size, number of fingers, and
weight of the commodity. On the other hand, the buyer‟s valuation for the commodity
depends on the benefits they offer (Linn, 2010).
In Isabela, Philippines, two methods are practiced in the valuation of the cardava
banana – the counting method and the metric system. The value factor in both systems
observes all possible costs added in the process of acquisition (Linn, 2010). The condition
for the transaction being performed is, in principle, that buyer values the product to equal or
less than the price asked: PRICE ASKED > PERCEIVED VALUE
At present, farmers are benefiting from both systems. However, in evaluating both
systems, farmers are better off with metric system over the counting method. Metric system
started in the country by passing the Presidential Decree 187 in 1973 and several laws
thereafter for the continued support to the system. Alongside with these laws several
government agencies concerned were assigned for its implementation indicating that there are
shortcomings on the execution of the laws which needs to be revisited and strengthened.
Philippine laws, DTI, LGU’s, other gov’t. agencies concerned

SUPPLIER’S BUYERS’S
PRODUCT EVALUATION
 Roundness
PRICE ASKED

 Size Metric Counting

VALUE

 No. of System Method

Fingers
 Weight

______ Benefit
* Adopted from Linn, 2010

Figure 2. Marketing transaction system for cardava banana in Isabela, Philippines

IV. RESULTS

Results revealed that cardava farmers are better off employing the metric system than
counting method way of selling their produce. This is due to the extra banana fingers not
being paid for by the traders practicing counting method which on the other hand accounted
and paid for by metric system.

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Aside from the fact that only two traders (one employing counting method and the
other metric system) are available in the area and trusted relative or neighbour trader,
majority of the farmers (52%) are still patronizing the counting method believing that they
are earning more with this method because they get higher price for their produce classified
as good. More so, farmers do not approve of the price averaging (one price for the lot of
cardava banana) done by the traders in metric system because they think they incur higher
loss in terms of income with the system.
If farmers are harvesting 50 bunches per week that weighs 13 kg per bunch, farmers
are losing income of around PhP347.55 per week or around PhP16,682.40 per year. The
country‟s poverty threshold is around P8,022 per month enough to cover the basic food and
non-food needs of a family of five and the income needed by the family to be considered “not
poor” (National Statistics Coordinating Board, 2013). Thus, the income loss incurred by the
cardava banana farmers using counting method is equivalent to two months income needed
by a family of five in the country.
The negative reception of the farmers regarding the metric system and with the
existence of these big provincial markets as venue for the local traders in marketing the
commodity in counting method would only support the method to prevail in the market.
These only show that players especially the farmers are not properly informed on the existing
metric system law of the country.
Awareness campaigns on the use of metric system and its change in pricing and
valuing the commodity would help the farmers to understand the advantages of the said
system. The Department of Trade and Industry (DTI) as well as the Local Government Units
(LGUs) should strengthen the implementation of the law. More so, the city, provincial and
municipal treasurers shall strictly enforce the provision of the law.

V. DISCUSSION

5.1 Marketing Practices

5.1.1 Harvesting of cardava banana

A farmer with an average area of 2 hectares planted around 286 plants per hectare
with 4 to 5 suckers, harvests by cutting the banana trunk at the middle portion using a bolo.
Farmers harvest an average of 50 bunches of cardava banana every week for the whole year.
Bunches are collected and piled in a designated piling area which is located near the roadside

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for easy hauling. After harvesting and piling, dehanding of the cardava bunches follows
wherein a bunch weighs 13 kg and consists of an average of 8 banana hands.

5.1.2 Classification of cardava banana

After dehanding bunches of cardava banana at the farm, farmers pre-classify or sort
their harvests base on their marketing experience. However, the final classification would be
done by the trader/consolidator in the area. Classifications include good, RR or semi-good
and R or marketable reject. Aside from the requirement of roundness and maturity of the
banana, it is classified as good when the size is 13-14cm long, RR if around 12 cm long and
R if around 11 cm long. Table 1 shows that around 76.10 percent are good, 23.30 percent are
RR, and 0.60 percent is R. Small percentage of R is due to the pre-classification done by the
farmers. Moreover, a hand of cardava banana consists of fingers ranging from 16 to 18 and its
average weight is around 1.58 kg per hand (Table 1).

5.1.3 Pricing

Counting method

Delivered stocks of the farmers would be counted by fingers which would be the basis
of payment. Payment is in cash basis. In counting the banana fingers, consolidator
simultaneously does the quality rating so rejects are automatically left behind. He has to
accumulate stocks to fully load their truck before their delivery schedule with their respective
market.
Usually, counting or sorting of the consolidator takes place in the presence of the
farmer. The price for classified good is PhP1/finger; RR is priced half the price of good thus,
it costs P0.50/finger while R is half the price of RR is PhP0.25/finger. Counting or sorting is
by 5 and in excess is considered free. Example, one banana hand has 16 fingers and classified
as good. The buying price is PhP1/finger for good thus it costs PhP15.00. The trader would
only pay for the 15 pieces and the excess 1 banana finger is free of charge. This also applies
to all classifications, so classified RR, i.e., half of the buying price of good is PhP7.50 and
PhP3.75 if it is classified as R.
As shown in Table 1, an average of two extra banana fingers per banana hand (in
excess of 15) is not being paid for by the traders employing the counting system.

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Table 1. Classification of cardava banana using counting method and its corresponding
weight in metric system, Isabela, Philippines, 2015
COUNTING METRIC
METHOD* SYSTEM, kg
CLASSIFICATION NO. OF PERCENT Average Average Average
BANANA banana Extra Weight per
HANDS fingers banana banana hand
per finger per
hand hand
Good 121 76.10 16 2 1.63
RR 37 23.30 16 1 1.43
R 1 0.60 18 3 1.36
Total Mean 16 2 1.58**
* Counting by 5
**Total weight of hands/number of hands

Metric system
In metric system, traders‟ price would depend on the quality of the produce of the
farmers. A kilogram of cardava banana would have 10 fingers. In this case, the deliveries of
the farmers are paid at PhP8.50 per kg (PHilMech, 2013) which is lower than PhP10
(@PhP1/finger) if classified good but higher, if classified RR (PhP5.00) or R (PhP2.50) in
counting method. Unlike in counting method, all the fingers are accounted and paid for by the
traders in metric system.
In terms of average price per banana hand, Table 2 shows that farmers receive 6.5
percent increase in price from metric system. On the other hand, taking into consideration the
different classifications of cardava, farmers receive higher price from the classifications RR
and R with metric system but 2 percent decrease in price for good classification.

Table 2. Pricing of cardava banana by counting method and metric system per hand in
Isabela, Philippines, 2015

COUNTING METHOD* METRIC SYSTEM @

CLASSIFICATION PhP8.50/kg
Price/finger Average Price/hand Average Price/hand
Good 1.00 14.17 13.86
RR 0.50 7.64 12.19
R 0.25 3.75 11.54
Total Mean 12.59** 13.46***
* Price/finger x total number of fingers base on counting by 5 Note: 1 USD = PhP47.00
** Total price by counting method/number of hands
***(Total weight x PhP8.50/kg)/number of hands

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5.2 Income Difference

Examining the total income received by the farmers from the two methods, farmers‟
income using metric system is higher than the counting method (Table 3). Statistically, the
income difference is significant at 1 percent level of significance using the paired sample t
test (Table 4).
Further, results indicate that farmers patronizing the counting method are incurring
income losses of around PhP139.02 based on the 20 bunches sample. Equating it to the
average harvest of the farmers of 50 bunches, more or less income losses are around
PhP347.55 per week which could be accumulated to around PhP16,682.40 in a year (Table
5).

Table 3. Farmers proceeds and income difference in selling 20 bunches of cardava banana by
counting method and metric system, Isabela, Philippines, 2015 in pesos
CLASSIFICATION COUNTING METHOD METRIC SYSTEM*
Good 1,715.00 1,677.64
RR 282.50 451.09
R 3.75 11.54
TOTAL 2,001.25 2,140.27
Income Difference 139.02
* PhP8.50/kg Note: 1 USD = PhP47.00

Table 4. Statistical results of paired sample t tests, metric-counting method, Isabela,

Philippines, 2015
PAIRED DIFFERENCES
95% Confidence
Interval of the
Difference
Std. Std. Sig. (2-
Mean Deviation Error Lower Upper t Df tailed)
Mean
Metric-counting .87437 3.77638 .29949 .28285 1.46588 2.920 158 .004
*1% significance

Table 5. Income losses incurred by cardava banana farmers by selling in counting method in
Isabela, Philippines, 2015
INCOME LOSSES, PhP*
@ 50 bunches**
Per week 347.55
Per month 1,390.20
Per year 16,682.40
* Income losses of PhP139.02 from 20 bunches sample (See Table 3)

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(PhP139.02 x 50 bunches/20 bunches)

**Average harvest/week/farmer
Note: 1 USD = PhP47.00

5.3 Metric system law of the country

The metric system law in the country started in 1973 by virtue of the Presidential
Decree 187 prescribing metric system of weights and measures as the standard measurement
for all products, commodities, materials, utilities and services and in all business and legal
transactions. By virtue of Pambansang Batas Bilang 8 effective January 1983, the metric
system or the international system of units (SI) was declared as the sole measurement
system in the Philippines for all products, commodities, materials, utilities, services, and
commercial transactions, in all contracts, deeds and other official and legal instruments and
documents. Moreover, in 1992, the use of metric system was further reinforced by the
Consumer Act of the Philippines.
Under the Republic Act 7394 otherwise known as the Consumer Act of the
Philippines, Article 64 on Prohibited Acts stated that for any person, assuming to determine
truly the weight or measure of any article bought or sold by weight or measure, to
fraudulently misrepresent the weight or measure shall be punished or be subject to a fine of
one thousand pesos (PhP1,000) or imprisonment not exceeding one year or both, upon the
discretion of the court (Article 65 Chapter II).
The law gave the full enforcement to the Department of Trade and Industry (DTI) on
the use of metric system in the country. Its partners are the Local Government Units
comprising of the provincial, city, or municipal treasurers who shall strictly enforce the
provisions of law, and implementing rules and regulations in their respective jurisdictions.
They have to create level of awareness in the municipality and to address the concerns to its
constituents the change of pricing or valuing of commodity.

VI. CONCLUSION

In the Philippines, aside from the maturity and roundness of cardava banana they are
classified into good, RR or R when marketing it by counting method. However, these
classifications are not considered in metric system because traders employ price averaging
wherein they value the commodity with one price regardless of its classification.
Majority of the cardava banana farmers in Isabela, Philippines still patronizes the
counting method in marketing their produce because it is the method being practiced by their
trusted traders who are either relatives or neighbors as well as in some big provincial markets.

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Income losses between the two methods is around PhP347.55 per week based on the
average harvest of 50 bunches and around PhP16,682.40 in one year which could cover the
needs of a family of five in the country for two months.
With the existing metric system laws in the country, it is high time to strengthen those
by employing new strategies of implementation and more strict enforcement of the provisions
of the law.

ACKNOWLEDGEMENT
The authors would like to thank Ms. Joanne T. Ceynas and Mr. Joseph Philip B.
Conlu who helped us gather the data, Dr. Renita SM. Dela Cruz for sharing her knowledge
and PHilMech for funding the study.

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REFERENCES

Declaration of Metric System as Sole Measurement System in the Philippines. Philippine

National Law 8, (1983)

Hernandez, M. E. 2008. A Sweet, Crunchy Bite for the Banana Chips Industry, BAR R&D
Digest Volume 10 Issue No. 2 (April-June 2008)

Linn, C.E. 2010. General theory of marketing. Meta Management, Stockholm 1999-2010.
http://www.metamanagement.se/linn_gtm_08.pdf . Retrieved October, 21, 2015

National Statistical Coordinating Board. 2013. Poverty incidence. National Statistics Office,
Quezon City, Philippines

Oregon laws. 2013. Under the 2013 Oregon revised statutes Volume 13. Water Resources,
Agriculture and Food, Chapter 618. Weights and Measures, Sec. 206. Manner of
selling commodities. http://www.oregonlaws.org/ors/618.206

PHilMech. 2014. Focus group discussion, Isabela, Philippines

The Metric System Law of the Philippines. Presidential Decree No.187, (1973)

The Consumer Act of the Philippines. Republic Act 7394, (1992)

Wisconsin State Legislature. 1998. Administrative code of the Department of Agriculture,

Trade and Consumer Protection (ATCP), Chapter ATCP 91
https://docs.legis.wisconsin.gov/code/register/1998/510b/insert/atcp91.pdf

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