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Cacacho Romero Final Draft
Cacacho Romero Final Draft
THESIS PROPOSAL
Department of Agribusiness
College of Agriculture, Food and Sustainable Development
MARIANO MARCOS STATE UNIVERSITY
City of Batac, Ilocos Norte
February 2023
APPROVAL SHEET
_________
Date signed
________________ ________________
Date Signed Date Signed
TABLE OF CONTENTS
PAGE
INTRODUCTION
Background of Study
Statement of the Problem
Significant of the Study
Scope and Limitation
Operational Definition of Terms
METHODOLOGY
SUMMARY CONCLUSION
LITERATION CITED
APPENDICES
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INTRODUCTION
Yellow corn is one of the major sources of income for every Filipino farmer in
terms of area planted in the Philippines (Hansen et al., 2022). Yellow corn is a
significant animal feed ingredient, and it is the grain that animal raisers favor,
especially for poultry and swine (Salpietra, 2017). This is because it is relatively
inexpensive and has a high calorie and protein content rich in essential amino acids
(Harris, 2022).
Based on the report of the Philippine Statistic Authority (PSA) (2022), Ilocos
Norte’s volume of yellow corn production in the 1 st quarter of 2022 decreased but in
the second quarter it recorded positive growth and ranked 3rd among the four (4)
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provinces in the region. In the first quarter of 2022, Ilocos Norte produced 46,121 Mt,
which is lower than the 47,119 Mt produced in the same quarter in 2021. On the other
hand, the volume of production in the 2nd quarter produced 15,878 Mt, which is
higher than the expected harvest of 14, 199 mt in the same quarter in 2021.
The average domestic retail price of yellow corn grain was estimated about
PhP34.18 per kg, which shows an increase of more than PhP2.00 per kg from the
previous year. Since 2017, the average retail price of yellow corn has been increasing
(Statista Research Department, 2023). Moreover, yellow corn farm gate price has an
estimated average of PhP16.11 per kg from January to March 2022, up 29.1% from
PhP12.47 per kg from January to March 2021 (DA-Regional Field Office III, 2019).
Aramugam (2015) mentioned that the main problem of yellow corn producers
in Philippines is the price changes that providing unreasonable price to both farmers
transportation costs, and the farmers lack of knowledge about specific marketing
One of the biggest issues that every farmer has to deal with is price, which
fluctuates wildly on the market. It is difficult for corn farmers to continue planting
every season due to the prices and the locations of markets. It is a challenge for them
to acquire that capital to pay for additional labor and purchase corn inputs.
determine the marketing practices of yellow corn producers in Paoay, Ilocos Norte.
1. What is the socio- economic profile of yellow corn producers in Paoay, Ilocos
Norte.
2. What are the marketing practices of yellow corn producers in terms of:
a. product
b. price
c. place and
d. promotion?
marketing?
Current/ Aspiring farmers. This will give yellow corn producers important
knowledge and a background about enhancing their marketing techniques for yellow
corn. It will also give information to those who want to engage in the farming of
Local Government Units (LGU). The study will serve as a guide for the
local government in creating and giving a starting point for new projects, programs,
students, and others who wish to learn more about the marketing strategies used by
yellow corm producers in the three (3) barangays in Paoay, Ilocos Norte. It dealt with
the yellow corn producer`s socio-economic profile, marketing practices (in terms of
The operational definitional terms were listed and defined for a better
understanding of the study. The following terms were used in the study:
respondents like age, annual income, area planted of yellow corn, civil status, highest
usual volume with yellow corn sold and years in corn farming.
Age. This refers to how old the farmer is at the time of the study. This
Area planted for yellow corn. This refers to the land devoted by the
Civil status. This refers to whether the respondents are single, married,
widowed or separated.
Usual volume with yellow corn sold. This refers to the amount of corn
sold by the farmers either per sack, salop, scoop, and kg.
Years in corn farming. This refers to the total number of years that the
Marketing practices. This refers on how yellow corn will sell in the
market. This refers to the different activities done in terms of product, price, place or
producers.
which are techniques using to create more sales, close more deals
quickly and increase revenue like sacks, like sacks. Salop, scoop and kg.
Buyer. This refers to anyone who will buy the yellow corn.
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product transportation.
coordination.
Yellow corn crops are most commonly grown in agricultural areas in the
Philippines (Urrutia et al., 2017). Corn is the second most important crop and major
sources of income of every Filipino in the Philippines and overall value next to rice
(Hansen et al., 2022). With large swatches of land dedicated to corn, global
production yields of more than one billion Mt (Baker 2018, as cited by Mateo and
Tabios, 2022).
60% of the overall mixed feed ration, making it one of the most significant feed
grains used in feed milling (Dayo, 2015). It is one of the essential component in
formulating feeds for hogs and poultry. Both the demand and the productivity of
yellow corn are generally growing due to the increasing demand for meat (DA
National Corn Program, n.d.). It has proven to be one of the most adaptable crops for
livestock and fuel (Gwirtz, 2013). In addition, it serves many other purposes and is
widely used. Aside from being a main ingredient for animal feeds, yellow corn can
(Paguirigan, 2019, as cited by Mateo and Tabios, 2022). It is estimated that 600,000
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farm households rely on corn as a major source of income. This is on top of the
The yellow corn production in the country has improved by 25% in the year
2020, reaching 6.0 Mt compared to 4.8 Mt in the year 2011. From the agronomic
studies, yellow corn yields are expected to increase via projecting from 4.68 to 5.17
Mt per ha: area increases yearly from 1.45 to 1.51 million ha in 2022-2025. These
will result in increased production from 6.79 M Mt to 7.8 M Mt in 2025 (DA National
According to the DA National Corn Program (n.d.), yellow corn farmers are
on average 49 years old on average, and the majority have completed primary school.
Approximately 36% of corn farmers in the country are fully owned. As studied by
Paguirigan (2019) as cited by Mateo and Tabios (2019), most of them are married,
and farming is their main source of income. In addition, they also grow rice and
vegetables. They mentioned also that men are more engaged in planting while women
Product. The farmer has several options. Some farmers keep their yellow
corn in storage to use as animal feed, sell it right away after harvesting or store it until
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there is a great or high selling price (Shen, n.d.). Yellow corn mostly sold after the
Price. Products or service’s pricing represents its true value (Balisacan, 2019,
as cited by Mateo and Tabios, 2019) and has a significant impact on how marketable
it is.
Yellow corn farm gate price has an estimated average of PhP16.11 per kg
from January to March 2022, up 29.1% from PhP12.47 per kg from January to March
2021. Yellow corn's monthly average farm gate prices in 2022 were higher than their
Field Office III, 2019). The average domestic retail price of yellow corn grain was
estimated about PhP34.18 per kg, an increase of more than PhP2.00 per kg from the
previous year. Since 2017, the average retail price of yellow corn has been increasing
millers with end users (DA National Corn Program, n.d.). Farmers also sell to large
traders and processors. However, a deal of this nature frequently calls for a
Farmers are at the mercy of the traders who buy their corn. Hence, farmers cannot
object if traders purchase their crop at too low price even the National Food Authority
(NFA) has set a price floor for corn. They view low corn prices as a crop failure, and
faster than doing so through retail markets. Some farmers also sell to different buyers
commodity marketing system faces a number of problems and challenges that signal
inefficiencies, which are growing increasingly difficult. the poor prices farmers obtain
for their products, several layers of market middlemen in agricultural supply chains,
and a lack of access to profitable markets (for example, institutional and export
markets).
The low buying price and fluctuating market prices were two of the most
frequent issues farmers faced while marketing their goods (Bureau of Agricultural
Statistics, 2011). Yellow corn producer’s problems are the price changes that
providing unreasonable price to both farmers and consumers of the maize. Moreover,
the middlemen’s relatively high transportation costs, and the farmers lack of
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knowledge about specific marketing conditions made it difficult for them to sell their
packing supplies were issues when distributing their yellow corn products (Kaputo,
2008).
The rising cost of fertilizer is another issue currently affecting farmers. When
they get ready to plant their dry-season crops, local farmers having a great deal of
difficulties due to the rise in fertilizer prices. Farmers must now pay more for
fertilizer as it accounts for more than half of their output expenses as a result of recent
price increases (Business world, 2021 as cited by Mateo and Tabios, 2022).
Conceptual Framework
analyze and determine the conclusions regarding the study. The socio-economic
profile of the respondents (age, annual income, area planted with yellow corn, civil
status, highest educational attainment, household size, mode of selling the product,
information, usual volume of yellow corn sold, and years in corn farming); marketing
practices (in terms of product, price, place, and promotion), and problems
The information gathered will be used to describe and study the marketing practices
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Inputs
Output Process
Descriptive Analysis
Marketing practice of yellow corn Through face-to-face interview (interview-schedule)
producers in Paoay Ilocos Norte
1. The yellow corn producers are an average of 49 years old; most of them are
married, and the majority completed primary school. The yellow corn farmers
in the country are fully owned, with an average of 36%; in addition, farming is
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their produce to traders shortly after harvesting or drying. Farmers are at the
mercy of the traders who buy their corn. Hence, farmers cannot object if
traders purchase their crop at a too low price, even though the National Food
Authority (NFA) has set a price floor for corn. They also agree to a pre-
product are: the price changes that result from providing an unreasonable
knowledge about specific marketing conditions that made it difficult for the
of packing supplies that were issues when distributing their yellow corn
METHODOLOGY
locale of the study, research design, variables of the study, units of analysis,
population and sample, research instrument, data gathering procedure and data
analysis.
the province of Ilocos Norte, Philippines. The town is home to the Paoay Church, a
UNESCO World Heritage Site. Paoay lies on the tiny strip of Ilocos Norte’s coastal
plain facing the China Sea, bounded by the City of Laoag on the north, Currimao on
the south, Sarrat on the east, and the Luzon Sea on the west. The municipality has a
land area of 76.24 square meter, consists of 31 barangays, and is populated by the
because farming is one of the major sources of income and occupations of the people
in Paoay, Ilocos Norte. During the dry season, they plant different varieties of corn,
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Figure 2. Map of Paoay, Ilocos Norte showing the Locale of the Study (Retrieved
Research Design
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In this study, the researcher will use a descriptive research design to describe
about the marketing practices of yellow corn producers in Paoay, Ilocos Norte,
problems encountered in the marketing of yellow corn are describe and observe.
The variables of the study are the yellow corn producers such as socio-
annual income, area planted with yellow corn, civil status, highest educational
yellow corn sold, and years in corn farming); marketing practices (in terms of
product, price, place, and promotion), and problems encountered by yellow corn
Units of Analysis
The units of analysis are the yellow corn producer whose characterized were
The respondents of this study are the farmers who are engaged in the
production of yellow corn in the area of three (3) different barangays in Paoay, Ilocos
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Norte. The total number of yellow corn producers will interview are 30 respondents.
Research Instrument
interview schedule is written in English, and at the same time it will simultaneously
translated into the local language during the interview in order to have a better
understanding between the interviewer and the respondents and also to get accurate
responses. The interview schedule will ask about the respondent’s socio- economic
profile, marketing practices (in terms of price, place, product and promotion) and
The student’s researcher conducts the research in Paoay, Ilocos Norte, and
emphasizes to the respondents the value of their participation in the research. The
researcher will clarify some terms for the respondents so they can answer the
questionnaire with full knowledge of their responsibility as the subject of the study.
The respondents will assure that their identities and all information gathered were
kept confidential. The interview schedule will use in conducting the interview was
written in both English and the local language. During the interview process, Iluko
were utilize to engage the respondents in discussion so they could better comprehend
the study. In addition, the student researchers interviewed their respective respondents
in their homes.
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Data Analysis
product, price and place, and problem encountered by the yellow corn producers.
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LITERATURE CITED
DAYO, M. 2015. Quality Protein Maize (QPM): A high-protein corn for swine and
poultry. Retrieved from https:businessdiary.com.ph/12814/qualityprotein-
maize-qpm-a-high-protein-corn-for-swine-and-poultry/? amp on February 12,
2023.
GAMBOA, R. 2021. Tackling the yellow corn value chain. Retrieved from
htpps://www.philstar.com/business/2021/09/16/2127355/tackling-yellow-
corn-value-chain on February 28, 2023
GWIRTZ, J. 2013. Processing maize flour and corn meal food products. Retrived
from https://doi.org/10.1111/nyas.12299 on February 15, 2023
HANSE, O. 2014. Paoay Church: A significant landmark of the past and present.
Retrieved from htpps://thedailyroar.com/culture/paoay-church-a-significant-
landmark-of-the-past-and-present/?amp=1 on February 13, 2023.
HANSEN, J., DE LOS SANTOS, W.L., and LANSIGAN, F.P. 2022. Linking corn
production climate information and Farm level decision making a Case
Study. Retrieved from https://www.climate- policy- watcher.org/climate-
forecasts/linking-corn-production-climate- information-and- farmlevel-
24
MATEO, K. H., and TABIOS, K.J. 2022 Marketing Practices of Glutinous Corn
(Zea Mays) producers in Brgy. 22 San Guillermo, San Nicolas, Ilocos Norte.
Undergraduate Thesis. Mariano Marcos State University, City of Batac,
Ilocos Norte.
SALAZAR, A., ELCA, C., LAPINA, G., and SALAZAR, F.G. N.D. Issues Paper
on Corn Industry in the Philippines. Retrieved from
https://www.google.com/url?sa=web&url=https://www.phcc.gov.ph/wp-
content.uploads/2021/PCC-Issues-Paper-2021-01-Issues-Paper-on-Corn-
Industry-in-the-Philippines.pdf&ved=2ahUKEwiYlZutpj8AhUAwnMBHc_-
ASlQFnoECa4QAQ&usg=AOvVaw1WRaclR9gsY2LrGfP45UcV on
October 18, 2022.
25
URRUTIA, J., DIAZ, J.L., and MINGO, F. L. 2017. Forecasting the Quarterly
Production of Rice and Corn in the Philippines: A Time Series Analysis.
Retrieved from https://iopscience.iop.org/article/10.1088/1742-
6596/820/1/012007/meta on February 15, 2023
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APPENDICES
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APPENDIX A
Date: __________________
_________________________
Mayor
Municipality of Paoay, Ilocos Norte
THRU: ________________________
Municipal Agriculturist
Ma’am/Sir:
GENEROSE P. ROMERO
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Student-researchers
Noted by:
SOSIMA R. DEMANDANTE
Dean, CAFSD
APPENDIX B
Date
Barangay Chairman
Brgy.
Municipality of Paoay, Ilocos Norte
Sir/Madam:
We are 4th year BS in Agribusiness students of the College of
Agriculture, Food and Sustainable Development at Mariano Marcos State
University. As part of our degree requirements, we are currently working on a
thesis entitled, “MARKETING PRACTICES OF YELLOW CORN
PRODUCERS IN PAOAY, ILOCOS NORTE”.
In this regard, may we request permission to conduct interviews to the
corn producers from your barangay. Your assistance will be of great help in the
completion of our undergraduate thesis.
Thank you very much and we look forward to your favorable
response to this request. May God bless you and your office.
GENEROSE P. ROMERO
Student-researchers
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Noted by:
SOSIMA R. DEMANDANTE
Dean, CAFSD
APPENDIX C
Dear Respondents:
Greetings!
We are 4th year students taking up Bachelor of Science in Agribusiness at
Mariano Marcos State University, College of Agriculture, Food, and Sustainable
Development (CAFSD). We are currently pursuing a thesis entitled “Marketing
Practices of Yellow Corn Producers in Paoay, Ilocos Norte”.
Our study would like to look upon yellow corn producers’ socio-economic
profile, marketing practices (in terms of product, place and price) and problems
encountered (in terms of marketing) by the yellow corn producers.
You will be asked to answer a set of questions with regards of the said topics.
Your feedback to our questionnaire will only be recorded for this research purposes
only. This is purely voluntary and refusal to participate will be respected and will not
result in any loss or penalty.
Student Researchers:
GENEROSE P. ROMERO
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APPENDIX D
Direction: Please write the information needed and/ or check the right answer.
[ ]1 [ ]2 [ ]3 [ ]4
_____College/ Kolehiyo:
[ ]1 [ ]2 [ ]3 [ ]4
Course/ Kurso: _________________________
____ Higher Degrees/ Kangatwan nga nagadalan:
[ ] Master [ ] Doctorate [ ] ____ Postgraduate
Course:_______________________
4. Household size/ Bilang ti miyembro iti pamilya
[ ] 1-5
[ ] 6-10
[ ] others (Please specify)/ dadduma pay (ilanad)
5. Civil Status/ Estatdo iti Biag
[ ] Single/ Awan asawaan
[ ] Married/ Naasawaan
[ ] Widow/ Balo
[ ] Separated/ Nakisina
6. Organization Affiliation/ Nakaikappengan nga Orgnosasyon
Name of Organization/ Position/ Officer/
Nagan ti organisasyon Akem Opisyal