SOCIO-ECONOMIC BENEFIT COST STUDY

NAME AND ADDRESS OF THE PROJECT PROPONENT AND DEVELOPER

The Owner-Developer of the Project, ________________, a corporation duly
organized and existing under and by virtue of the laws of the Philippines with
principal office at ________________, is the owner and developer of a parcel of
land with a registered area of ________________ square meters situated at
Barangay _________, ___________, Batangas.
PURPOSE OF LAND CONVERSION AND THE IMPORTANCE OF THE
PROJECT
The subject property will be developed into an Agro-Industrial Piggery Farm
Project. Old piggery buildings built and used by the owner shall be
rehabilitated, renovated and upgraded to modern standards and compliant
with current environmental laws.
Beginning the year 2019, the Philippine hog industry has been devastated by
the African Swine Fever (ASF), a highly contagious hemorrhagic disease of pigs,
warthogs, European wild boar and American wild pigs. ASF infection is
characterized by high fever, loss of appetite, hemorrhages in the skin and
internal organs, and then death within 2 to 10 days on the average. Mortality
rate of the pigs infected with ASF is as high as 100%.
Since 2019, ASF has spread to 12 regions, 46 provinces, and 493 cities and
municipalities. An estimated 3 million heads of swine were lost due to deaths
from ASF and culling.1 The public has been affected as well by dwindling pork
supplies and soaring prices that reached a high of P400 per kilogram, almost
the equivalent of the minimum daily wage in Metro Manila before the
government-imposed price.2 To date, there is no effective vaccine nor cure for
ASF.
To encourage the stability of the hog industry and assist in raising swine
population to pre-ASF numbers, the Department of Agrarian Reform (DAR) issued
DAR Administrative Order (A.O.) No. 03, Series of 2021, entitled “Amending
Certain Provisions of the Comprehensive Rules on Land Use Conversion Under
DAR Administrative Order No. 1, Series of 2002 and Certain Provisions On DAR
Administrative Order No. 1, Series of 2019 and DAR Administrative Order No. 6,
Series of 2019 To Update The Rules To Adapt To The New Normal.”

Under DAR A.O No. 3, Series of 2021, Agro-Industrial Undertakings, which

include piggeries are treated as “Special Project Undertakings which are
Critically Important Project in Conversion Applications” to ensure food security
of Filipinos.

1
https://www.rappler.com/business/duterte-declares-state-calamity-over-african-swine-fever-may-2021/
2
https://nast.dost.gov.ph/images/pdf%20files/Publications/ScienceAdvisory/SA21_02.pdf
The conversion of the property will undeniably enhance the value, as well as
maximize the beneficial use thereof. More importantly, the establishment and
operation of a piggery farm on the subject property will immediately provide
jobs for local residents, increase the supply of pork products for consumption
and commercial farming in the local and surrounding communities, which will
help stabilize the prices of pork products in the market and ensure food
security for every Filipino.

Hence, the conversion of the property will have the following multiplying
benefits:

1. Generate revenue (in the form of income, permits, business, and real
property taxes) to the host local government;
2. Increase in commercial and business activities in the area;
3. Livelihood opportunities during and after project development;
4. Increase supply of pork products;
5. Decrease or at the very least, stabilize the price of pork in the
domestic local markets;
6. Create a multiplier effect on the local economy.

The expected manpower requirement during the construction period is

estimated at Thirty (30) to Forty (40) persons. Given the necessary training,
qualified residents of ________________, Batangas and nearby communities shall
be given priority for these employment opportunities.

DESCRIPTION OF EXISTING ENVIRONMENTAL SETTINGS

Existing Land Use

The property, consisting of non-prime agricultural land, was used by the owner
as a piggery farm. However, said piggery farm was closed a few years back and
the improvements on the property have since deteriorated and are in a state of
disrepair.

As much as the design can accommodate, the Project shall utilize the existing
terrain of the site, thus, preserving the natural topography and scenic corridors
of the area. Limited earthmoving shall utilize balancing cut and fill on-site and
utilizing the moderate slopes to minimize excessive grading. Areas around the
Project is planned to provide the best possible balance between environmental
preservation and economic development.

The site is situated within the northern side of ________________, Batangas, and
5 kilometers distance from the Municipal Hall of ________________, Batangas.
POPULATION DENSITY

The property is located in Barangay ______, __________, Batangas, with an

approximate population of _____________ people.

PREDICTION OF SOCIO-ECONOMIC IMPACT

Considering that since 2019, ASF has spread to 12 regions, 46 provinces, and
493 cities and municipalities, an estimated 3 million heads of swine were lost
due to deaths from ASF and culling.3 The public has been affected as well by
dwindling pork supplies and soaring prices that reached a high of P400 per
kilogram, almost the equivalent of the minimum daily wage in Metro Manila
before the government-imposed price.4

The Philippines simply cannot rely on the importation of pork meat and swine
products. International market prices of pork meat and products are subject of
a multitude of factors which may vary from country to country.

The conversion of the property to agro-industrial use shall generate

employment opportunities, not only to residents but also to the neighboring
barangays and municipalities within the province of Batangas. It will also
increase the supply of pork products for consumption and commercial farming
in the local and surrounding communities, which will help stabilize the prices
of pork products in the market and ensure food security for every Filipino.

Truly, the proposed project has the potential of generating immeasurable

benefits, both financial and social, not only to the local population, but more
importantly, to the whole Philippine society in general. Hence, the conversion of
the subject property is justified under the present circumstances.

3
https://www.rappler.com/business/duterte-declares-state-calamity-over-african-swine-fever-may-2021/
4
https://nast.dost.gov.ph/images/pdf%20files/Publications/ScienceAdvisory/SA21_02.pdf