FS Sabawan Road

FEASIBILITY STUDY ON THE CONSTRUCTION OF SIBAWAN FMR
EXECUTIVE SUMMARY
A. Project Title : CONCRETING OF SIBAWANFMR
B. Project Location
C. Project Category : Concreting
D. Project Scale/Dimension : 3.34kilometers
E. Project Proponent
F. Implementing Unit : City Engineering Office
G. Total Number of : 40 Barangays

Barangays in the City
H. Mode of : By Contract
Implementation
I. Road Influence Area (RIA) : 968.74hectares
(to be validated using the RIA maps)
Total Land Area:

Total Agricultural Area :956.79 hectares Commented [MOU1]: Not consistent with PRDP FS FORMAT,
please follow format below.
Existing Area : 385.90 hectares
Intercropped Area : 42.085 hectares
Potential Area : 42 hectares
Barangay No. of Hectares Crop

Sibawan 105.00 Coconut
95.75 Banana-Lacatan
44.75 Rubber
13.20 Mangosteen
10.00 Banana-Cavendish
Mua-an 22.40 Coconut
19.50 Mangosteen
17.40 Banana-Lacatan
16.10 Rubber
9.80 Banana-Cavendish
Mateo 17.60 Rubber
10.30 Coconut
2.60 Banana-Lacatan
1.50 Mangosteen
Source: City Agriculture Office, Agricultural Profile, 2021.
Note on intercropping:
42.085 hectares are used for intercropping rubber and cacao.
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J. Project Beneficiaries within the RIA: 3,204 Population
641 Households
Barangay Population No. of Male Female IP Non- Farming
Households IP Households
Sibawan 1,610 322 966 644 408 1,202 220
Mua-an 1,124 225 674 450 225 899 187
Mateo 470 94 273 197 125 345 37 Commented [MOU2]: Not consistent with PSA 2021. See EFA
comments tab 6.
Total 3,204 641 1,913 1,291 758 2,446 444
Sources: Philippine Statistics Authority, 2020.
Community-Based Monitoring System, 2016.
City Agriculture Office, Agricultural Profile, 2021.
K. Total Project Cost and Total Project Cost : Php 49,761,000.00
Cost Sharing WB Loan Proceeds : Php29,856,600.00
EU : Php9,952,200.00
GoP : Php4,976,100.00
LGU Equity : Php4,976,100.00 Commented [MOU3]: Not consistent with EFA.
L. Economic Viability Economic Net Present Value (ENPV) : Php33,368,000

Indicators Economic Internal Rate of Return (EIRR): 17.8%
Benefit Cost Ratio (BCR) : 1.63
M. Conclusion and Results of the feasibility study showed that the financial
Recommendation computations have generated positive results. The project
has been found to be feasible from the marketing,
technical, economic and operational viewpoints.
Therefore it is recommended that the subproject will be
implemented since it would be beneficial for the target
communities.
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I. INTRODUCTION
A. BACKGROUND
i. Demographics
Province is strategically located in the central part of Mindanao, specifically

at the eastern part. It is one of the provinces under the Region which is composed
of 17 municipalities and 1 city, and further divided into 3 Congressional Districts,
City is the capital city of Province and currently the seat of the Provincial
Government . Based on the results of the 2020 Census of Population and Housing,
the city’s population was 160,791 which make up 3.28% of Region’s total
population. This showed an average annual increase of 2.93% from year 2015 to
2020. Of the city’s forty (40) barangays, the top 5 most populous barangays are
Poblacion (28,824), Sudapin (11,563), Singao (9,894), Lanao (9,782), and Amas
(7,579). On the other hand, the least populous barangays are Malinan (869), San
Roque (1,061), Luvimin (1,264), Indangan (1,309), and Sto. Niño (1,337).
ii. Economy
Known as one of the food baskets in Mindanao, Province is majorly an

agriculture-based industry with a total land area of 207,032 hectares that is
devoted to agricultural use. Its vast plains and rolling terrains provide suitable
areas for growing a variety of crops. Generally, its agriculture/fisheries/ forestry
industry, particularly of the high value commercial crops are considered to have
the best potentials for contributing to the province’s local economic growth as it
generates local employment (Enhanced PDPFP).
In addition to these is the booming tourism industry because of the

existing and potential natural attractions such as mountain peaks, cold and hot
springs, caves, waterfalls, lakes, rivers and many others which have attracted both
local and foreign tourists.
More specifically, City being the capital city and the center of commerce
and trade in the province also remains mainly agricultural with 76.57% or 26,037.10
hectares of its total land area that is into agricultural use. Aside from agriculture,
other industries that contribute to the city’s economy include
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livestock and poultry production, commerce, industry and trade, and tourism
sectors among others.
iii. Agriculture and Rural Development Sectors
Of the province’s total land area, 90.46% is suited for agricultural use. The
main source of living among Cotabateños is therefore dependent to agriculture
with rice, rubber, coconut, oil palm, lakatan banana, coffee and cacao as its major
commodities. With this, programs of the Provincial Government are aimed at
increasing areas planted with rubber, coconut, oil palm, banana, coffee and cacao.
Complementary to these are the establishment of processing plants in
support to these products; and linking the production areas with the processing
plants and eventually to the market through the upgrading of farm-to-market
roads which has been one of its priority concerns.
As to the development framework on the economic front,goal is to
establish an environment conducive for economic activities through a sustained
agro-industrial and tourism development. In support to social and economic
development, infrastructure is therefore considered as one of its vital
components.
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B. PROJECT IDENTIFICATION AND PRIORITIZATION PROFILE
i. Value Chain Summary
Lakatan banana chain involves and includes: input suppliers, primary

producers, and layers of intermediaries. Agents pick-up the banana and bring
these to shippers/consolidators. Farmers may also bring directly their harvest to
the consolidators depending on volume and access to transportation. From the
agents, the produce would be sold either in bulk to a shipper or sent directly to
the wholesaler/consignee in Bicol, Manila, Cebu, and Leyte. Based on key
informant interviews, it is estimated that about 50% to 60% of the production that
meet basic quality requirements are brought to Cebu and Manila through ports in
Cagayan de Oro, Agusan, Surigao, Ozamis, Iligan, and General Santos. Once the
bananas reach the consignees and wholesalers, these are then distributed to
public markets, supermarkets, and fruit stands. Some farmers also do the
shipping to consignees or do the distribution in Manila or Cebu. Shippers from
Cotabato prefer the ports of CDO, Davao and General Santos.
Figure 6. Value Chain Map of Lakatan Banana
Source: Enhanced Provincial Commodities Investment Plan of Cotabato, CY 2020-2022.
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The VCA for Lakatan states that globally, Philippines is the only producer of
Lakatan Banana. For region, its production totaled to 223,527 MT in 2015 which
comprised 27% of Mindanao’s total Lakatan production. Top producer of Lakatan
in the region in 2015 as per statistics from PSA was followed by.
Table 1. Production Indicators, 2015.

Province Volume Area Bearing Ave Yield/ Ave
(in MT) Planted Hills/ha Ha Yield/Hill
(in Ha) (in MT) (in kg)
REGION 223,527 6,786 910.82 32.94 36.16
134,700 4,030 893.30 33.42 37.42
18,754 515 769.32 36.42 47.33
63,091 1,950 1,027.03 32.35 31.50
6,982 291 625.23 23.99 38.38
Source: PSA
Remarkably, the proposed Sibawan FMR will support all segments of the
value chain considering the vitality of road accessibility not only in the delivery or
transport of farm inputs and outputs, but as well as in going to the farm areas for
the conduct of agricultural activities, up to the production, consolidation and
marketing of products. With the farm-to-market road project, minimized
agricultural losses especially for banana commodity is anticipated given the
improved road conditions.
ii. E-VSA Maps and Statistics
 Banana(Lakatan) Production
Most of the Lakatan Banana plantations in the Province of are of small-

scale and owned by smallholder farmers. Traditionally, banana is grown as a
perennial crop where the plant is allowed to produce continuous shoots from a
subterranean stem (Lakatan VCA). However, there are key factors that prevent
farmer groups and associations in the locality from engaging into consolidated
marketing or in scaling up their marketing activities. This includes lack of
improved and accessible road infrastructure for the easy transport of productsas
well as of farm inputs.
Specific to the project, Barangay Sibawan was determined as a prime

choice to construct the proposed farm-to-market road considering the poor road
conditions in the area, the number of hectares planted with banana commodity,
the number of farmers, and the noted poverty incidence within the project’s road
influence area. RIA of the proposed FMR also covers an area of 2.5 kilometers in
perpendicular, and it does not overlap with any existing road. Hence, the great
need for upgrading and construction of farm-to-market road in Barangay
Sibawan.
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The said proposed project is in lined with the province’s direction for
Lakatan banana which is geared towards bigger scale production considering that
most lakatan production in the province is by smallholder farmer. As compared to
cardava, lakatanpost harvest activities is more stringent as poor transport
facilities could degrade the quality of the harvested lakatan fruits.
Since lakatan banana is gearing towards the export market, quality is a

must for production. With this, a comprehensive production support shall be in
placed to make the Lakatan Banana Industry sustainable in the Province of
Cotabato, viz:
1. Increased availability and access to quality tissue cultured planting materials;

2. Increased availability and use of organic inputs including improved
fertilizer/input management and application;
3. Reliable year-round access of growers to non-contaminated water and
improved support in set-up of small scale irrigation facilities;
4. Improved bio-security management and ability to control and manage BBTV,
Fusarium wilt, and other biotic constraints;
5. Establishment of banana zones and organization and strengthening of
Banana Cooperatives;
6. Farm-to-market roads of good condition in Lakatan producing areas and
large-scale cardava areas;
7. Efficient transport infrastructure;
8. Access to postharvest facilities and refrigerated vans; and
9. Opening of new markets for dessert and cooking banana.
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The following table shows the overall suitability of Lakatan banana commodity and its corresponding priority in terms of municipality in
Cotabato Province. It presents the new ranking of municipalities taking into consideration the added four parameters on: a.) Number of Farmers
Producing Lakatan, b.) Lakatan Production Area, c.) Volume of Lakatan Production, and d.) Small Area Poverty Incidence.
Table 2. Expanded Vulnerability and Suitability Analysis for Municipalities in Terms of Lakatan Banana Commodity.
MUNICIPALITY Poverty Number of Production Volume of Old Composite Old New Composite New GEOCODE
Incidence Farmers Area Production Index Rank Index Rank
54.3 1,820 3,084.00 33,096.00 0.4567 17 0.70693 1 1.25E+08
27.7 1,411 1,772.75 35,455.00 0.5953 6 0.65658 2 1.25E+08
48.9 1,077 2,096.84 36,896.00 0.4613 15 0.61604 3 1.25E+08
38.3 26.5 3,125.00 662.50 0.6524 1 0.56325 4 1.25E+08
47.6 523 738.38 8,758.56 0.5638 8 0.43440 5 1.25E+08
43.0 250 442.00 7,293.00 0.6088 4 0.41302 6 1.25E+08
39.4 382 537.70 10,850.76 0.5261 12 0.39648 7 1.25E+08
58.2 127 128.00 432.60 0.5997 5 0.36678 8 1.25E+08
41.9 85 258.00 4,257.00 0.5825 7 0.36574 9 1.25E+08
39.6 309 343.00 1,000.00 0.5613 10 0.35767 10 1.25E+08
39.6 135 104.50 418.00 0.6137 3 0.35668 11 1.25E+08
57.8 0 0.00 0.00 0.6137 3 0.35651 12 1.25E+08
53.9 460 507.00 4,563.00 0.4569 16 0.35104 13 1.25E+08
45.4 198 241.25 71.33 0.5630 9 0.34711 14 1.25E+08
41.1 331 358.88 2,834.60 0.5166 13 0.34629 15 1.25E+08
38.0 0 0.00 0.00 0.6269 2 0.34610 16 1.25E+08
56.4 12 6.00 48.00 0.5509 11 0.32514 17 1.25E+08
45.4 40 45.30 747.45 0.4994 14 0.29684 18 1.25E+08
Source: Enhanced Provincial Commodities Investment Plan of Cotabato, CY 2020-2022.
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iii. Commodity Profile
 Banana (Lakatan)
Lakatan banana is the most popular dessert banana grown for the domestic
market with Mindanao regions among the largest producers. The wide range of agro-
ecological zones in Cotabato which the crop can be cultivated makes it an income
source for farmers as it is also grown as part of multiple cropping systems. In
Cotabato, Lakatan produces fruit year-round which contribute to its importance as a
source of income among small farmers.
Lakatan grows best and produce high yields in areas with well distributed rain
fall and no strong winds. Optimum growth is attained when monthly rainfall is 200-
220 mm. In cooler climate, the crop duration is extended and bunches are smaller.
When planted to elevations of more than 900 meters above sea level, ripening period
is 3 to 5 weeks more compared with those grown at lower elevations. It is said that
highland bananas such as those being grown in Bukidnon are sweeter than those
grown in the lowland.
The fruit matures at 80–90 days from shooting. The gestation period is from 12
to 15 months. It grows to a height of five to nine feet. Each bunch has 10-12 hands
with 12-20 fingers. The size of each finger ranges from 10 to 20 cm in length and 2.0 to
2.5 cm in diameter.
Lakatan has a thick peel that is green when unripe and yellow-orange when
ripe, which is associated with high Vitamin A content. Its thick peel makes it less
vulnerable to damage during handling and transport. It is believed that Lakatan
bananas have the highest beta carotene content in the banana family.
According to the Farmers’ Handbook on Introduced and Local Banana

Cultivars in the Philippines written by Biodiversity International for the Bureau of
Agricultural Research, the most widely grown Lakatan accession in the Philippines
both in smallholder and commercial farms is the Lakatan Davao. This Lakatan
accession is being distributed by commercial tissue-culture laboratories in Davao.
Lakatan banana is classified based on size and quality. Minimum requirement

irrespective of class and size according to the Philippine National Standards are the
following: (i) mature; (ii) whole (finger as the reference); (iii) firm; sound (fit for
consumption); (iv) clean, practically free of any visible foreign matter; (v) preferably
free of bruises and blemishes; (vi) preferably free of pests; (vii) preferably free of
damage caused by pests; (viii) free of abnormal external moisture, excluding
condensation; (ix) free of any foreign smell and/or taste; and (x) with flower
remnants removed. Size is determined either by length or diameter. The length is
measured based on the middle finger in the outer row from the blossom end to the
base of the pedicel where the edible flesh ends and maximum diameter of the
equatorial section of the fruit. The reference fruit for measurement of the length and
grade is: (i) for hand, the median finger on the outer row of the hand; and (ii) for
clusters, the finger next to the cut section of the hand, on the outer row of the
17 Feasibility Study on the Concreting Mua-an FMR

cluster. Tables 3 and 4 below outline the classification of banana by quality and size
based on the Philippine National Standard for Banana.
Table 3. Classification of Banana by Quality
Quality
Description Tolerance
Class
Extra − Superior quality 5% by number or weight of
Class − Must have all the typical characteristics and color of the banana not satisfying the
variety and/or commercial type requirements of the class, but
− Mature, clean, well-formed, well-trimmed and free of meeting those of Class I or
decay, split fingers, loose fingers, bruises, blemishes exceptionally, coming within the
and discoloration caused by diseases, insects, molds, tolerances of that class.
latex burn, and mechanical damage
− Very slight superficial defects are allowed, provided
these do not affect the general appearance of the
produce, the quality, the keeping quality and
presentation in the package
Class I − Good quality 10% by number or weight of

− Must have all the typical characteristics and color of the banana not satisfying the
variety and/or commercial type. requirements of the class, but
− Mature, clean, well-formed, well-trimmed and free of meeting those of Class II or,
decay, split fingers, loose fingers, bruises, blemishes exceptionally, coming within the
and discoloration caused by diseases, insects, molds, tolerances of that class.
latex burn, and mechanical damage.
− Slight defects of the fingers may be allowed provided
these do not affect the general appearance of the
produce, the quality, the keeping quality and
presentation in the package: (i) slight defects in shape
and color; and (ii) slight defects on the skin due to
rubbing and other defects such sunburns and
blemishes not exceeding 5 % of the total surface area.
Defects must not, in any case, affect the flesh of the
fruit.
Class II − Satisfy the minimum requirements 10% by number or weight of
− The following defectsmay be allowed provided the banana satisfying neither the
banana retain their essential characteristics as regards requirements of the class nor
the quality, the keeping quality and presentation in the the minimum requirements, with
package: (i) defects in shape and color; and (ii) defects the exception of
on the skin due to rubbing and other defects such as produce affected by rotting or
sunburn and blemishes not exceeding 10 % of the total any other deterioration
surface area. The defects must not, in any case, affect rendering unfit for consumption
the flesh of the fruit.
Source: Bureau of Agriculture and Fisheries Product Standards (BAFPS), PNS/BAFPS 64:2008
Table 4. Classification of Banana by Size

Size Code Length of Finger (mm) Diameter Tolerance
Large-sized Fruits
L1 >200 >40 10% by number or weight
L2 181 - 200 36 - 40 of banana
L3 161 - 180 33 – 35
L4 141 - 160 29 – 32
L5 120 - 140 25 – 28
Medium-sized Fruits
M1 >130 >36 10% by number or weight
M2 121 - 130 34 – 36 of banana

M3 111 - 120 31 – 33
M4 101 - 110 28 – 30
M5 90 - 100 25 – 27
Small-sized Fruits
S1 >110 >30 10% by weight or number
S2 91 - 110 28 – 30 of banana
S3 71 - 90 25 – 27
S4 50 - 70 22 – 24
Source: Bureau of Agriculture and Fisheries Product Standards (BAFPS), PNS/BAFPS 64:2008
The above Philippine National Standards for Banana is translated by traders

into three major classifications presented in Table 5, namely: Class A, Class B, and
Class C. These classifications integrate both size and quality as presented in Tables 3
and 4. Size though is the main point of reference but fruits should meet the minimum
requirements indicated in the PNS/BAFPS 64:2008.
Table 5. Classification of Lakatan Banana as Practiced by Industry
Class Description
Class A Extra Class and large-sized fruits
Class B Class I and medium-sized fruits
Class C Class II and small-sized fruits
Source: KII
Current practice in North Cotabato follows the classification as presented in

the table above. Most assemblers however classify Class C as “rejects” and ends up
in local fruit stalls which is sold per kilo.
As per Summary of Priority Constraints/Opportunities and Interventions cited

in the Provincial Commodities Investment Plan of Cotabato Province CY 2020-2022,
Concreting of Sibawan FMR is identified as one of the potential interventions
(infrastructure) that is deemed to help address the key gap or constraint in the value
chain development, specifically in terms of poor farm to market roads. Hence, this
project.
iv. Enterprises to be Supported by the Sub-Project
Provision of access roads in production areas as well as to areas with potential

to banana production would greatly support theindustry, thus, a greater number of
stakeholders will be benefited. To mention, it will serve to supply commodity needs
of targetbanana markets, including among others the Mua-an Farmers Multi-Purpose
Cooperative (MFMPC) which has been a recipient of PRDP’s i-REAP project entitled,
“Enhancement, Consolidation and Marketing of Fresh Lakatan Banana.”
With the above said project, the cooperative was able to receive
Php900,000.00 trading capital in year 2018; Php100,000.00 worth of plastic crates in
2019; and Php6,098,900.00 for the purchase of three (3) hauling trucks in 2020. Two
(2) of these hauling trucks are being used by the cooperative to consolidate products
from the various barangays in , Hence, at
present, the cooperative can already supply at least 10 tons of banana lakatan per
week which is being marketed to Manila and Cebu.
Other enterprises venturing in banana production which will also be

supported by the proposed sub-project is the Banana Growers Association City; and
the Liberty Fruits Company - a banana chips processing facility located at Barangay
Mua-an, City. Aside from these, all other agricultural industries will also be supported
by the proposed project.Furthermore, the tourism sector shall also be supported
with the project as it will provide improved road network connecting the various
tourism sites not only locally, but also with the neighboring Municipality of .

II. THE SUB-PROJECT
i. LOCATION
a. Geographic Boundaries
Specific on the location of the proposedSibawan farm-to-market road project,

its Road Influence Areas (RIA) would include BarangaySibawan and parts of Barangay
Mua-an and Mateo. Strategically located at the northernmost part of the city, the
barangay is bounded on the north by the Municipality of on the east by Barangay
Mua-an, on the west by Barangays Mateo and Marbel, and on the south by Barangay
Luvimin.
The road section which is proposed for concreting also connects two of the
national roads within the city’s vicinity, the Road and Ilomavis Tourist Road.

b. Relative Distance to Growth and Commercial Centers
Sibawan FMR’s relative distance to Barangay Poblacion where the city’s

Central Business District and most markets are located is 6.74 kilometers. On the
other hand, other trading centers which will also be supported by the project have a
distance from the proposedfarm-to-market road as follows:
1) Sub-project area to Mua-an MPC located at Brgy. Manongol (7.26 km)

2) Sub-project area to Liberty Fruits located at Brgy. Mua-an (1.88 km)
3) Sub-project area to Rubber Plant at Barangays Katipunan and Mateo
(15.1 km and 1.54 km respectively)
4)
5)
On the other end, the project will almost connect to Ilomavis Tourist Road
which will lead to the various tourism destinations in the locality such as the Lake
Agco, Paniki Eco-River Park, Mt. Apo Mandangan Trail and other sprouting agro-
tourism industries in the locality. Both are developing agro-tourism areas in the
region, hence the project is deemed supportive of this pursuit.
c. Topography
Barangay Sibawan is situated in a terrain classified as gently sloping to

undulating, or a slope that varies from 3% to 8%. This means that the area is suitable
for development provided that minor engineering measures will be emplaced.
For the road section which is being proposed for concreting, its elevation is
increasing going towards Barangay Mua-an or to the Southwest (SW) from 310m to
390m above sea level.
Figure 12. Topography Map of the Proposed SibawanFMR

Figure 13. Elevation Cross Section of the Proposed SibawanFMR
d. Mapping of the Subproject
To arrive with a map of the subproject, geo-tagging andtracking of thewhole

stretch of the subproject were conducted.Geo-tagged photos were taken every 50
meters interval to ensure accuracy of the project location. Through this process, all
activities on ground will be monitored and status of the progress reports submitted
will be determined.
Figure 14. Geotagged Map of the Proposed Sibawan FMR

Figure 15. Commodity Map within the RIA Commented [MOU4]: In the legend, please put the total area
in each crop.
Also, need to be seen in the map the potential area.
Kindly use color that is not close to each other.
Revise commodity map, no oil palm, cacao and corn in the efa.
What banana are you referring in the commodity map? Please
conform with EFA.
Figure 16. Commodity Map for Potential Lands for Cultivation

e. Estimation of RIA
Total Road Influence Area (RIA) of the proposed sub-project is estimated at

968.74 hectares. For the top commodities coconut, rubber, banana-lakatan,
mangosteen, and banana-cavendish, areas planted with these commodities within
the RIA are as follows: Barangay Sibawan at 268.70 hectares, and portions of
Barangays Mua-an and Mateo at 85.20 hectares and 32 hectares respectively.
Figure 17. Map of the Project’s Road Influence Area (RIA)
Figure 18. Built-up Areas within the RIA

ii. DEMOGRAPHICS
Based on the data derived from the Census of Population and Housing (CPH)
conducted by the Philippine Statistics Authority in 2020, City has a total population
of 160,791.
Table 6. Population and Number of Households per Barangay, City
Population Total Population Total Households

Barangay (Based on PSA 2020) (Based on CBMS 2016) (Based on PSA 2020)
7,579 6905 1677
1,354 1253 297
2,069 1738 359
7,095 5131 1258
3,555 3133 780
1,964 1898 466
1,591 1277 317
2,023 1757 415
4,487 4058 890
1,309 1346 323
1,804 1668 413
3,580 3122 688
4,140 3082 722
1,805 1262 324
9,782 7805 1843
2,838 2605 642
1,264 904 211
1,850 1853 442
869 894 207
5,194 3937 954
1,511
1495 360
(Embac)
2,857 2387 590
1,830 1673 409
2,673 2438 505
2,422 1965 459
5,397 2420 522
1,573 1709 422
4,928 3882 912
2,880
2148 456
3,249 2725 632

28,824 25977 6382
1,626 1590 372
1,061 1073 263
1,337 1191 286

Population Total Population Total Households
Barangay (Based on PSA 2020) (Based on CBMS 2016) (Based on PSA 2020)
1,610 1566 377
1,671 1409 346
9,894 6577 1315
11,563 9581 2271
1,860 1723 398
5,873 3158 770
TOTAL 160,791 132,315 31,275
Source: Census of Population and Housing as of May 1, 2020, Philippine Statistics Authority.
Community-Based Monitoring System Data, 2016.
iii. MAJOR ECONOMY AND LAND USE
City is considered as a commercial and trading hub of Central Mindanao. It

plays a pivotal role in the economic development of the province as well as in its
adjacent areas. As per land use, the city is primarily an agricultural area with
21,822.52hectares or 64.17% of its total land area that is devoted to agricultural use. In
fact, supporting the agriculture sector is the presence of agricultural trading centers
for the buying and selling of various agricultural products. The same way, major
economy and land use within the road influence area of the proposed road
development is also mainly agricultural.
Other sectors which also contribute to local economy include the presence of
business and commercial establishments in the city which are mostly concentrated
and evident in the Poblacion area (Central Business District). Commercial activities
such as financial institutions (banks, pawnshops and lending investors); services like
hospitals, photo studios, spa, computer trading, hardware, gasoline stations, dry
goods stores, lodging houses, food chains, malls, hotels, appliance centers and many
others are also prevalent in the city especially located along its major roads.
Among the significant investments in the city is the Mt. Apo Geothermal
Power Plant of the Philippine National Oil Company – Energy Development
Corporation (PNOC-EDC), now Energy Development Corporation (EDC) generating
104 megawatts of electricity that powers industrial plants in Mindanao. The presence
of the City Integrated Transport Station located at Alim Street, City is also a great
door in widening business opportunities in the city.
iv. ON-FARM DATA – AGRICULTURAL AREA AND CROPS PLANTED,

LIVESTOCK AND FISHERIES
Agriculture remains as the most predominant sector in the locality attributed

to its natural endowments which isfavorable to agricultural production. It ranges
from crop, livestock, poultry and forest tree production. Among the major growth
areas for agriculture and agro-industrial development in the city include Barangays

Sibawan, Mua-an and Mateo which are classified as among the agricultural areas in
ity. Major commodities in these barangays are banana (lacatan and Cavendish),
coconut, rubber, banana, and mangosteen.
v. OFF-FARM DATA – PROCESSING AND MARKETING INDUSTRY OF AGRI-

FISHERY PRODUCTS
Unlike in the Cavendish banana industry where agrarian reform beneficiaries

collectively enter into contract growing arrangement with multinationals, Lakatan
farmers generally operate as individual farms. The very small-scale Lakatan banana
producers offer their fruits just outside the homes or have some of their family
members usually the women of the household to sell them to neighbors, offices,
hospitals, and food establishments within their locality.
There are also a few cooperatives in Cotabato Province engaged in collective

marketing such as the Banana Farmers Association and the Mua-An Farmers
Producers Cooperative (MFPC). The MFPC consolidates and trades Lakatan from
growers in .
The major banana buyers at the farm level are the agents and assembler-
shippers. The agents purchase bananas in small lots and sell these to
consolidators/shippers. Shippers buy and gather many green Lakatan bananas from
farmers and agents until they reach at least 50 crates (or about 1,750 kilos) in their
respective collection centers where these may stay from one to three days.
Consolidators face the risk of postharvest losses, particularly if they do not own the
right facilities to store the bananas during the gathering period.
The shippers/consolidators deal not just with Lakatan but also with cardaba
and latundan. Consolidators deliver the bananas either via sea or land transport.
Volume is essential to cover transportation costs and for consolidators to still make a
profit. Bananas transported via sea are loaded into container vans following a pattern
of loading which approximates a tight pack and is believed to minimize vibration in
transit. In a few of the Lakatan consolidators/shippers are cooperatives.
vi. POVERTY INCIDENCE
Proportion of households with income below the poverty threshold in City

was estimated at 14,602 over the total number of households or 46.64% poverty
incidence. Poverty threshold pertains to the minimum amount needed by each
household to be able to provide for its basic needs such as food, clothing and shelter.
Based on the Community Based Monitoring System 2016 data, poverty

thresholds are gauges at 20,438 for rural barangays and 21,350 for the urban
barangays. Below is a table for the poverty incidence of the barangays within the
Road Influence Areas of the proposed farm-to-market road project.

Table 7. Poverty Incidence Data within the RIA of the Proposed Project.
Barangay No. of HH with Income Below % of Poverty

Households Poverty Threshold Threshold Commented [MOU5]: Could we add a % of poverty threshold
per barangay? Hh with income below poverty threshold/no. of
459 189 41.18% households. Please do.
246 145 58.94% But, wait, this is 2016 data, do you have an updated one? Please
update.
87 28 32.18%
Source: Community-Based Monitoring System Data, 2016
Note: Latest data on Poverty Threshold per Barangay is only available through the CBMS
2016 data.

III. THE SUB-PROJECT OBJECTIVES
The subproject generally aims to propel economic growth and development in

the target areas especially among farming communities by increasing agricultural
productivity and profitability through improved road network.
Specifically, the subproject intends to attain the following:
1. Pave 3.34 kilometers of Sibawan farm-to-market road to provide better road

access for agricultural and tourism areas.
2. Reduce passenger transportation cost by at least 15%, from Php65.00 (WOP) to

Php55.00 (WP). Commented [MOU6]: Based on validation 50 pesos is the
transportation cost from brgy to market. If u used the average for 3
barangays, please provide computation
3. Reduce transportation/hauling costs of agricultural products to include farm
inputs and outputs by at least 15%, from Php65.00/sack (WOP) to Php55.00 (WP). Commented [MOU7]: Not consistent with EFA. Please revise.
4. Reduce travel time from 5 min./kilometer to 3 min./kilometer at 60kph speed. Commented [MOU8]: Not consistent with EFA. Please revise.
5. Increase traffic count in the proposed road section from 114 in year 1 to 245 in
year 20, or by 4% per year upon completion of the subproject. Commented [MOU9]: Not consistent with EFA. Please revise.
4% increase not reflected in the computation in EFA
6. Minimize transport losses by 2-5%, specifically:

 Banana (Lakatan and Cavendish), from 5% (WOP) to 3% (WP). Commented [MOU10]: Not consistent with EFA. Please revise.
 Rubber, from 2% (WOP) to 1% (WP).

 Coconut, from 2% (WOP) to 1% (WP).
 Mangosteen, from 3% (WOP) to 1% (WP).
7. Support the city’s target of expanding 42 hectares potential production areas.
8. Create job opportunities through hiring of 30 skilled and 85 unskilled workers

during the construction period (270 calendar days inclusive of 90 unworkable
days).

IV. PROJECT FEASIBILITY INDICATORS
A. MARKET ANALYSIS/ DEMAND SUPPLY ANALYSIS
i. Supply Side
At present, the Sibawan FMR is a combination of gravel and concrete road

classification. Graveled road occupy the biggest portion of the barangay’s road
segment which measures 7.45 kilometers. There is also a concrete portion but only
accounted at 0.63 kilometers.
Figure 19. Supply Side - Existing Roads in RIA (Without Project Scenario)
C1
C2
C3
C4
C5
Whereas, *Concrete = C1+C2+C3+C4+C5 = 0.357+0.022+0.032+0.182+0.033

Concrete = 0.63 kms.
*Gravel = Total Road Length (within RIA) – Concrete
Gravel = 8.08 – 0.63
Gravel = 7.45kms
Table 8. Supply Side (Existing Roads in the Road Influence Area by Road Type and
Classification - Without Project Scenario)
Road Classification (in kms)

Road Type Gravel Earth Concrete Total
Not Not Not
Passable Passable Passable
SIBAWAN 7.45 0.63 8.08
TOTAL 7.45 0.63 8.08

ii. Current Road Network
The whole road stretch of Sibawan FMR is classified as a barangay road. It is

also bounded on both ends by secondary national roads, viz: at the west section by
the -Magpet Road and at the east by the Ilomavis Tourist Road.
iii. Demand Side
Figure 20. Demand Side - Existing Roads in RIA (With Project Scenario)
C1
C2
C3
C4
C5
Whereas, *Concrete = C1+C2+C3+C4+C5 = 0.357 + 0.022 + 0.032 + 3.340 + 0.033

Concrete =3.78 kms.
*Gravel = Total Road Length (within RIA) – Concrete
Gravel = 8.08 – 3.78
Gravel = 4.30kilometers
Table 9. Demand Side (Desired Roads in the Road Influence Area by Road Type and
Classification- With Project Scenario).
Road Classification (in kms)

Road Type Gravel Earth Concrete Total
Not Not Not
SIBAWAN 4.30 3.78 8.08
TOTAL 4.30 3.78 8.08
Once the project is implemented, concrete road within Barangay Sibawan will
total to 3.78 kilometers. If computed without the project, concrete road only makes Commented [MOU11]: The proposed is only 3.34 kms right?
Why is it 3.84 kms now? If 7.47 kms minus 4.26 kms is only 3.21
up 7.80% of the barangay’s total road length. But with the project, it will increase to kms versus the proposed is 3.34 kms. Reconcile inconsistency.

46.78%, which shall also include improved drainage (open concrete canal) and slope
protection thereby providing for the sustainability of the road development project.
iv. Desired Road Network Condition in the Project Influence Area vis-à-vis
Accessibility of the Road to Market Centers/Trading Points
The proposed road development will help improve transport efficiency of

agricultural products, lessen the transportation costs and reduce travel time from the
road influence areas to the market sites, and also will help improve the drainage
systems of the locality. The proposed subproject as a whole will bring about
economic opportunities and convenience to mobility of people within the road
influence area and the neighboring barangays as well.
v. Availability of Public Transport
Available modes of public transportation that are used by commuters in the

project area going to the market and/or other locations are motorcycle, habal-habal,
and tricycle. Common arrangement in terms of fare for passengers or hauling costs
for the transport of goods is usually charged per head or per sack of goods at an
approved fare rate in the locality. However, aside from these public transportation
modes, there are also private vehicles passing or using the road such as cargo trucks
and passenger cars/vans.
vi. Demand-Supply Analysis
The lack of adequate and improved road infrastructure is considered a limiting

factor for the socio-economic growth and development in any locality. Aside from
ease of travel, roads are also needed to support the agriculture sector, especially the
farmers who are in great need for the transportation of farming inputs, as well as
ofthefarm products or commodities going to the market centers.
At present, road condition of the Sibawan FMR is mostly graveled and is

deemed non-conducive for the transportation of agricultural products, specifically for
banana commodity as it may incur transportation losses for the said commodity
during its hauling. Hence, for these roads to be passable, constant rehabilitation of
the road section were done to support economic ventures in the area. At the end
view, the proposed concreting of Sibawan FMR would therefore address the need
for improved and accessible road network in the area, thereby supporting the
farmers and all other socio-economic sectors utilizing the Sibawan farm-to-market
road.
vii. Priority (Proposed) Road Segment out of the Demand
The road proposed for concreting is already existing and it serves as an access
road for the farmers of Barangays Sibawan, Mua-an and Mateo going to the various
trading centers in the locality, as well as to the neighboring municipalities of and .

With the project, travel time will take about 42 minutes to reach Barangay
Poblacion where most of the market centers are located. But once the road
development project is already implemented, it will be lessened t0 27 minutes, hence,
a time savings of 15 minutes.
viii. Projected Traffic Volume over the Priority Road Segment
Traffic Count Survey was conducted on December 2021 to determine the

existing and projected traffic volume within the road segment once the project is
already approved and implemented. Results showed that the normal volume of
traffic without project scenario was: motorcycle (71), tricycle (20), cars/vans (13), and
trucks (10).
On the other hand, with project scenario, the volume of traffic is expected to
increase year by year at a growth rate of 4%. By the end of the planning period, or at
20th year upon project implementation, traffic volume is projected to increase as
follows: motorcycle (150), tricycle (42), cars/vans (32), and trucks (21).
The expected increase in the volume of traffic will be attributed to the

enhanced economic activities within the road influence area due to improved rural
access road, thus subsequent increase in the volume of agricultural products and
inputs being hauled or transported. Due to the improvement, vehicles will have more
trips per day because of the ease and comfort in traveling.
B. TECHNICAL ANALYSIS
i. Design Analysis of Proposed Works
Portland Cement Concrete Pavement (PCCP) will have a total length of 3.34
kilometers, PCCP width of 5 meters, PCCP thickness of 200mm, shoulder width of 1.50
meters both sides, and formation width of 10 meters.
The project will start at Sta. 0+000 at Barangay Sibawan and will end at Sta.
3+340of the same barangay. The existing road traverses a gently sloping to
undulating terrain with a maximum grade line of (+) or (-) 3%. A total of 45 pieces
RCPC (ranging from 36 – 48 inches diameter) shall also be used for the project.
Drainage and slope protection on the other hand shall cover 1011 ln.m and 30 ln.m.
respectively.
ii. Proposed Sources and Location of Quarries, Borrow Pits and

Construction Materials
River mix filling materials will be sourced from Barangay San Roque which is
24 kilometers away from the project site. On the other hand, construction materials
will be procured from Poblacion which is a 42-minute travel to the project site.
Materials will be transported to the project site via concrete National Highway and by

an all-weather farm-to-market road. The required quantity and quality of necessary
materials can be supplied by known local sources.
iii. Items of Work and Cost (POW Summary)
The road design of the subproject is within the standard specifications of the
Department of Public Works and Highways (DPWH). Works to be done are as follows:
Table 10. Program of Works (POW) for the Proposed Sibawan FMR.
Weight

iv. Implementation Schedule of the Sub-Project
Target duration for the implementation of the farm-to-market road project is

270 calendar days (inclusive of 90 unworkable days).
C. OPERATIONAL ASPECTS
i. CPMIU Organizational Structure to Manage the Project, and their Roles and
Responsibilities
Executive Order No.061, Series of 2020 was issued on August 11, 2020 for the
reconstitution of the Philippine Rural Development Project (PRDP) – City Program
Management Implementing Unit (CPMIU) in the City of , Province of . Creation of the
PRDP-CPMIU is vital to be responsive in conforming to the requirements of the
project, and to provide oversee on the timely and efficient implementation of the
project.
Figure 21. The PRDP-CPMIU Structure.
CPMIU HEAD
SUPPORT UNITS
FOCAL SECRETARIAT *Procurement

PERSON *SES
*Finance
*Monitoring and
I-PLAN I-BUILD I-REAP Evaluation
*IEAC
UNIT UNIT UNIT
UNIT UNIT UNIT

The CPMIU is tasked to perform its duties, functions and responsibilities, as
such: (1) Assist in the social assessment of the city; (2) Manage the over-all program
implementers at the city level; (3) Provide assistance to program implementers at the
barangay level; (4) Provide implementing support to BLGUs; (5) Provide capacity
building support to BLGUs; (6) Serve as the program facilitator and coordinator at
the city level; (7) Conduct assessment of implementation, meetings and workshops
with BLGUs and POs; and (8) Prepare and submit Program/Project Reports.
Copy of the Executive Order which cites the specific functions and
responsibilities of each unit comprising the CPMIU is attached on the annexes.
ii. Plan for Management During Construction, Key Roles and Responsibilities
of Assigned Full Time Construction Site Personnel
Figure 22. Structure for the Construction
CPMIU HEAD
CPMIU
ENGINEER
RESIDENT SAFETY MATERIAL

SITE ENGINEER
ENGINEER ENGINEER ENGINEER
CLERICAL MATERIALS
SURVEY TEAM CONTROL
OFFICER
TECHNICIAN
The subproject shall be implemented by contract administration. To ensure

that the project is being implemented accordingly as per approved plans and
specifications, the CPMIU through its I-BUILD Unit composed mainly by the City
Engineering Office personnel shall be responsible in the construction supervision and
monitoring of the infrastructure projects.

iii. Sustainability Plan
a. Organizational Development Plan for the Operation and Maintenance

Group
Sustainability plan is an important component of the project as it serves as

guide for the end-users as to the operation and maintenance of the subproject.
Hence, upon completion, the project shall be turned-over to the Barangay
Government Unit of Sibawan who will be responsible for its operation and
management. The schedule of activities for its operation and maintenance is
reflected in the table below.
Table 11. Schedule of Operation and Maintenance

Activities /a Frequency MONTH
of Work 1 2 3 4 5 6 7 8 9 10 11 12
per Year
Activity 1: Inspection and quarterly 1 1 1 1
Removal of Obstruction and
Debris
Activity 2: Clean Culverts Twice a year 1 1
including Inlets and Outlets
Activity 3: Clean Side Drains Quarterly 1 1 1 1
and Excavation to Original
Size
Activity 4: Repair of Shoulder once a year 1
and Slope Erosion Shoulder
and slope
Activity 5: cut grass and Quarterly 1 1 1 1

Shrubs
Activity 6: application of Twice a year 1 1

sealant concrete joints and
cracks
Activity 7: Repair of Lined As the need
Canal and Concrete Covered arises
canal
Activity 8: Clearing of Lined Quarterly 1 1 1 1
Canal and Concrete Covered
Canal
Activity 9: Maintenance of As the need
Metal Guardrails arises

Roads Signs arises

Reflectorized traffic paint arises
a/ O&M will start 1 year after project completion and right after receiving the Certificate of Acceptance
b/ It will occur once a year; specific month is not identified as this will be the LGU's preference or as the need
arises
c/ It will occur once every 6 months; specific months are not identified as this will be the LGU's preference or
as the need arises

b. Operation and Maintenance Plan and Budget
The City Government of Kand the Barangay Government Unit of Sibawan shall
appropriate funds needed for the operation and maintenance of the project which
shall be included in its annual budget so as to ensure sustainability of the road
infrastructure project. Aside from this, the barangay shall also assist the LGU in the
monitoring of road conditions after the project is already implemented. On the
succeeding table is the Operation and Maintenance Plan and Budget for the Project.
Table 12. Operation and Maintenance Plan and Budget

Allocation of Task and Equivalent
Total Allocation per Year
Activity Cash Contribution
Quantity Type Value Provl City Brgy
Activity 1: Inspection LumpSum Materials none
and Removal of Labor 600.00 600.00
Obstruction and Debris Equipment 1,500.00 1,500.00
Total 2,100.00 1,500.00 600.00
Activity 2: Clean Culverts 70 ln.m. Materials none
including Inlets and Labor 1,500.00 1,500.00
Outlets
Equipment 3,000.00 3,000.00
Total 4,500.00 3,000.00 1,500.00
Activity 3: Clean Side LumpSum Materials none
Drains and Excavation Labor 4,500.00 4,000.00 500.00
to Original Size
Equipment 4,500.00 4,500.00
Total 9,000.00 8,500.00 500.00
Activity 4: Repair of LumpSum Materials 8,985.00 8,985.00
Shoulder and Slope Labor 4,495.00 2,500.00 1,995.00
Erosion Shoulder and
Equipment 4,495.00 4,495.00
slope
Total 17,975.00 15,980.00 1,995.00
Activity 5: cut grass and LumpSum Materials -
Shrubs Labor 1,500.00 1,500.00
Equipment 300.00 300.00
Total 1,800.00 300.00 1,500.00
Activity 6: application of LumpSum Materials 4,050.00 4,050.00
sealant concrete joints Labor 2,400.00 2,400.00 -
and cracks
Equipment none none
Total 6,450.00 6,450.00 -
Activity 7: Repair of Lump Sum Materials 1,200.00 1,200.00 -
Lined Canal and Labor 600.00 600.00
Concrete Covered canal
Equipment none none
Total 1,800.00 1,200.00 600.00
Activity 8: Clearing of LumpSum Materials none none
Lined Canal and Labor 600.00 600.00
Concrete Covered Canal
Equipment none none
Total 600.00 - 600.00
Activity 9: Maintenance LumpSum Materials 750.00 750.00
of Metal Guardrails Labor 300.00 300.00
Equipment -
Total 1,050.00 750.00 300.00
Activity 10: Maintenance LumpSum Materials 600.00 600.00
of Roads Signs Labor 300.00 300.00 -
Equipment none none

Allocation of Task and Equivalent
Total Allocation per Year
Activity Cash Contribution
Quantity Type Value Provl City Brgy
Total 900.00 900.00 -
Activity 11: Maintenance LumpSum Materials 6,000.00 6,000.00
of Reflectorized traffic Labor 3,000.00 3,000.00
paint
Equipment none none
Total 9,000.00 6,000.00 3,000.00
GRAND 55,175.00 - 44,580.00 10,595.00 Commented [MOU12]: Not consistent with EFA.
TOTAL
D. SOCIAL ANALYSIS
The proposed farm-to-market road in Barangay Sibawan is expected to

contribute significantly to the socio-economic development within its Road Influence
Areas. However, the social situation of the area needs to be considered for the
success of the planning and implementation of the said project. With this,
consultation meetings were conducted with the Barangay Government of Sibawan,
the lot owners of the affected areas, and the IP households within the barangay.
i. Sub-Project Beneficiaries
The proposed sub-project will mainly benefit the residents of Barangays

Sibawan, Mua-an and Mateo. Particularly, the project will help farming families and
communities in transporting their produce and farm inputs. Below is a table showing
the respective population of the target barangays:
Table 13. Number of households, farming households, and total population of

Barangays Sibawan, Mua-an and Mateo.
Barangay No. of Total Population No. of farming
households households
IP Non-IP Total
Sibawan 322 408 1,202 1,610 220
Mua-an 225 225 899 1,124 187
Mateo 94 125 345 470 37
It should be noted though that the benefits of this farm-to-market road is not
limited to these barangays considering that it will connect Road and the Ilomavis
Tourist Road. Once concreted, there will be a significant decrease in the travel time
from Barangays Ginatilan, Meohao, Mua-an, and Ilomavis going to the Barangays of
Mateo, Sibawan, and to the Municipality of . With this, the Sibawan FMR is set to
have a significant economic impact to City in general.

ii. Indigenous Cultural Community/Indigenous Peoples (ICC/IP)
According to the data of the City LGU, the proposed road is neither inside nor
traverses an ancestral domain. However, it was recorded that there are members of
the IP Community living in Barangays Sibawan, Mua-an and Mateo. There are 89
male and 91 female IP Community members living in the said barangays but are not
located along the road proposed for development. Recognizing the Indigenous
Cultural Community/Indigenous Peoples (ICC/IPs) in the area, the city and barangay
government of Sibawan conducted consultation meeting with the group to inform
them regarding the project and its benefits to the community.
iii. Site and Right-of-Way Acquisition
To successfully proceed with the proposal, it is pivotal to acquire the

necessary permits and ensure the road right-of-way in the area. With that, the BLGU
of Sibawan conducted consultation meetings with the 50 lot owners affected by the
proposed project. After which, all of them have signed and submitted their
respective duly notarized Deed of Donation or Waiver of Quit Claim as form of
support for the project.
iv. Damage to Standing Crops, Houses and/or Properties
Crops
Though the road proposed for concreting is already an existing road, minimal
damage is still anticipated due to the existing standing crops located within the 10-
meter width requirement of the project. As per assessment, a total of 38 standing
crops will be affected to include 30 coconut trees, 1 gemelina, and 6 mahoganies.
Most of these crops are in within the road right-of-way. Below is the distribution of
these crops per crop type.
Table 14. Identified crops to be affected by the proposed Sub-project.

Barangay Coconut Gemelina Mahogany Total
Sibawan 30 2 6 38
During the Barangay Council Meeting attended by the lot owners, they
expressed their willingness to cooperate with the requirements of the project, as
such, provision of the right-of-way to include cutting of trees without fees. Permits
for the cutting of trees will be secured by the City LGU from the appropriate
agencies.

Houses and other Properties
Field assessment showed that there will be damages to private properties of

those living within the area covered by the FMR. Structures that will be affected
include electrical posts, fence, portions of the stores, and gates.
Table 15. Summary of properties that will be affected by the proposed FMR.
Property Barangay Sibawan
Electrical Posts 6
Concrete Fence 1
Store Canopy 1
Store, Gate and Fence 1
Kalakat Store 2
Concrete Gate 1 Commented [MOU13]: These were not reflected in the SEs
cost.
Total 12
Despite these, the lot owners still expressed their support to the project. For
the affected electrical posts, the local electricity provider Cotabato Electric
Cooperative (COTELCO) will be informed and requested to act on the transfer of the
said posts. The estimated cost of the transfer per electric post is at Php50,000.00 Commented [MOU14]: 50, 000 x 7 = 350, 000 versus efa is
300,000 only. Reconcile.
which will be funded by the City LGU. Furthermore, if in case there will be water lines
that will also be affected during construction, the Metro Water District (MKWD) shall
also be requested for its transfer or relocation.
v. Physical Displacement of Persons
The proposed sub-project will not cause physical displacement of persons

living within the road influence area.
vi. Economic Displacement of Persons
Though there were portions of some stores that will be affected by the
project, there will be no economic displacement of person. Notably, possible
damage to structures is only minimal such as canopy of the stores.
vii. Grievance Redress Mechanism
Following the issuance of Executive Order No. 009, Series of 2018 (see
Annex), the Philippine Rural Development Program Grievance Redress Mechanism
(GRM) Committee was reconstituted to ensure the quality of performance of the
project in all of its stages. Serving as an oversight committee, the GRM Committee
looks at the feedback of the beneficiaries in order to facilitate the resolution of any

complains, and project-related issues and concerns. At the same time, the creation
of the GRM Committee in the City level also translates to the creation of a similar
committee in Barangay Sibawan. The barangay level GRM Committee immediately
addresses the issues and concerns that can be resolved within their level.
E. ENVIRONMENTAL ANALYSIS
i. Natural Habitat
The area traversed by the proposed FMR is not within the identified Protected
Areas in City. Additionally, no habitat of critical wildlife will be affected by the said
project. With this, the project will not cause any disturbance to critical fauna and
flora.
ii. Physical Cultural Resources
No cultural heritage or structures will be affected by the said project.

Additionally, there are no existing landmarks, monuments, and infrastructure that
are of historical significance within Barangay Sibawan.
iii. Terrain, Soil Types and Rainfall
Terrain
Barangay Sibawan is situated in a terrain classified as gently sloping to

undulating, or a slope that varies from 3% to 8%. For the road section which is being
proposed for concreting, its elevation is increasing going towards Barangay Mua-an
or to the Southwest (SW) from 310m to 390m above sea level.
Soil Type
Soil found in the road influence area of Barangay Sibawan is identified as

Kilada sandy clay loam soil.
Rainfall
The climate of the city generally falls under the Type III classification. Under
this classification, the city is characterized by the absence of a pronounced maximum
rain period and with one to three months of the dry season either during the period
of December to February or from March to May. In some instances, the city also
exhibits a climate type similar to Type 1 because of its short dry season. Data shows
that rainfall ranges from 2.71 inches during summer to 12.09 inches during July. The
average annual rainfall of the city is at 7.07 inches.

iv. Hazard/Risk Assessment
Despite significant number of hectarage of the city at risk to both flooding

and landslide, the road influenced areas are barely affected by such disasters. The
data from the Mines and Geosciences Bureau shows that out of the 968.77 hectares
of the road influence area, only 61.075 hectares are at moderate and high risk to
flood, while 50.25 hectares are at moderate and high risk to landslides. Additionally, it
should be noted that there are no incidence of flood or landslides that occurred
within the area.
Table 16. Area in hectares of moderately and highly at risk to flood and landslides
within the RIA
Hazard Moderate Risk High Risk
Flood 2.155 58.920
Landslide 21.399 28.849
v. Integrated Pest Management/ DA KASAKALIKASAN
The City Agriculture Office thru the Department of Agriculture Regional Field
Unit Xll has already undergone training on Integrated Pest Management, Farmers
Field Schools (IPM-FFS) or Kasaganaan ng Sakahan at Kalikasan (KASAKALIKASAN).
The Agricultural Technicians (AT) and the farmer beneficiaries have already
performed series of actual activities on the field. This aims further to reduce risk
pesticide-induced pest outbreak, health hazard to farmers and consumers and
environmental damage, training on pesticide use, handling and storage, raise and
stabilize farm incomes and strengthen farmer organizations and farmers managerial
capability.
Through the massive and cohesive information, series of training and

seminars conducted to the farmers of the entire municipality, our farmers adopted
the program IPM- KASAKALIKASAN, thus making tough decision makers. There is no
rampant or heavy users of chemical-pesticides when there is occurrence or pests
infestation in the locality since our farmers are technically equipped, know the
effects of chemicals to human health and disastrous to our environment and the
importance of the natural enemies which makes ecologically balance in nature. They
are capable to manage the insect pests and diseases with their knowledge acquired
and assistance through the technical staff of the City Agriculture Office.

vi. Status of Environmental Clearances
As of this writing, the City Government have already requested the

Department of Environment and Natural Resources – Environmental Management
Bureau XII (DENR-EMB XII) for the issuance of Environmental Clearance Certificate
(ECC) in support to the proposed farm-to-market road project. Along with the
request, the city has complied with the requirements for the issuance of the said
document.
Furthermore, other permits required for the project were also requested from
appropriate agencies such as the DENR and Philippine Coconut Authority (PCA) for
the Permit to Cut, and the National Commission on Indigenous Peoples (NCIP) for the
Certificate of Non-Overlap (CNC).
F. SOCIAL AND ENVIRONMENTAL IMPACTS
The sub-project will consider the social and environmental effects that it will
have on the community. To reduce the possible environmental impacts of the
project, social and environmental safeguards will be ensured. First, during the project
implementation, provision for temporary waste disposal facilities will be done to
provide proper space for the waste that will be produced; therefore limiting the litter
generated during the course of the construction. Second, to ensure the safety of the
community members especially those living near the FMR, the construction of the
project will also entail the establishment of a drainage system. This will help lower
the risk of the infrastructure to floods. Social measures will also be accounted. During
the program implementation, safety of the workers and public will be
considered.This will be done by enforcing the standard construction safety protocols
and by establishing precautionary measures including provision of signages and
pertinent markers at conspicuous places of the project site.
1) Quarry Site - The proposed quarry site is located at Barangay San Roque, City.
It is 24 kilometers away from the road project. The available quarry materials
are item 104and item 201 for embankment. The hauling of quarry materials will
be the responsibility of the contractor, especially to mitigate or repair the
disturbance/impairment of the road access during the Implementation of the
projects.
2) Batching Plants - Since the batching plant is movable and won’t require
construction of permanent structure, it is deemed not to cause any harm to
the populace. This will also be stationed in a non-populated area,
approximately less than 1 kilometer (km) from the project site.
a) Site Consideration - the batching plants will be located in area where it will
not pose hazard to the environment and to the community.

b) Water Quality - Improper disposal of wastewater from the batching plant
could harm the environment. Thus, wastewater of batching plant will not
be directly discharged into the surface water.
c) Air Quality - Dust from cement and sand aggregates are possible air
pollutants. To avoid or substantially reduce dust emissions that could pose
social and environmental impacts, contractors are advised to keep sand
and aggregates wet, to cover trucks with suitable materials in the delivery
of cement or sand aggregates and to immediately clean up any spills.
d) Noise Emission - Noise emitted from concrete batching plants must be

managed carefully, the same as other discharges from the site as noise is
also a form of pollution that if not properly handled may cause conflict
between contractors and the neighboring community. Thus to avoid noise
nuisance in the operation of batching plant, it is advised to enclose
equipment to avoid noise at the source and to avoid working during late
hours in the evening.
e) Solid Waste - Waste concrete, empty cement bags, plastic bags, cans and
others are the possible solid waste pollutants that may be generated from
the batching plant. To minimize solid waste generation, a typical
reuse/recycle approach must be observed in the site. A Material Recovery
Facility shall be established in the site for proper waste disposal and
segregation.
3) Soil Disposal Area/Dumping Site
The proposed location for the soil disposal area is located atPurok 6, Barangay
Sibawan, City. In the selection of the site, it will be ensured that the criteria and
operations guidelinesare strictly complied.

G. FINANCIAL ANALYSIS
i. Total Project Cost by Financing Source and Cost Sharing (WB LP, LGU,
Beneficiaries)
The total project cost amounts to PhP49,761,000.00, of which 60% or

PhP29,856,600.00 will be funded from the World Bank Loan Proceeds, 20% or
Php9,952,200.00 to be funded by the European Union, 10% or PhP4,976,100.00 will be
funded by the GoP through the Department of Agriculture, and the remaining 10% or
PhP4,976,100.00 is the LGU Kidapawan’s equity.
Table 17. Total Project Cost by Financing Source and Cost Sharing.
FINANCING SOURCE COST SHARING PROJECT COST
WB Loan Proceeds 60% PhP29,856,600.00
EU 20% 9,952,200.00
DA GoP 10% 4,976,100.00
LGU Equity 10% 4,976,100.00
TOTAL PROJECT COST Php 49,761,000.00 Commented [MOU15]: Not consistent with EFA.
ii. Total Project Cost Breakdown
The total direct cost of the subproject is P 37,128,319.04 as composed of

materials, labor (skilled and unskilled workers), and equipment.
Table 18. Direct Cost

DIRECT COST
Materials PhP 30,952,209.21
Labor
1. Skilled Workers 901,088.23
2. Unskilled Workers 802,832.32
Equipment 4,472,189.29
TOTAL DIRECT COST PhP 37,128,319.04

On the other hand, total indirect cost amounts to Php12,633,012.11 which
includes the following items, viz: Overhead, Contingency and Miscellaneous (12%),
Taxes (12%), and Contractor’s Profit (8%).
Table 19. Indirect Cost

INDIRECT COST
Overhead, Contingency and Miscellaneous PhP 4,355,817.59
Taxes 5,331,571.19
Contractor’s Profit 2,945,623.32
TOTAL INDIRECT COST PhP 12,633,012.11
iii. Status of LGU Equity Availability and LFC Certification
As of this writing, the Local Finance Committee already certified that the
equivalent amount for the 10% equity of the LGU, as well as the needed reserve fund
for the implementation of the project is already available. In support, the proposed
concreting of Sibawan FMR is also included in the city’s Annual Investment Program
(AIP) for CY 2022. Attached in the annexes is a copy of the above said certification. Commented [MOU16]: Show certification.
H. ECONOMIC ANALYSIS AND EVALUATION
1. Economic Benefits
With the project, it is deemed to pose economic benefits in terms of the

following: 1) Vehicle Operating Cost Savings,2) Savings in Hauling Output or Produce
Marketed, 3) Savings in Input Hauling, 4) Reduction in Post-Harvest Losses, and 5)
Savings in Travel Time of Commuters. In detail, these benefits are derived through
the processes which are also discussed below.
Vehicle Operating Cost Savings. This was calculated from the projected average
annual daily traffic data multiplied to the vehicle operating cost difference (changes
in VOC, with and without project scenarios) and the actual road length.
Savings in Hauling Output or Produce Marketed. For this benefit, we used the
difference between the cost of manual hauling and the projected transport fare
using the improved road, multiplied by the travelled road length and the amount of
produce that is to be marketed, less that portion of the produce saved for
consumption and production.
Savings in Input Hauling. Meanwhile, savings in input hauling could be derived

by identifying the inputs for each crop within the influence area and the hauling cost
savings which was already computed.

Reduction in Post-Harvest Losses. The implementation of the subproject would
result to reduction of post-harvest losses. This was calculated by multiplying the total
volume of harvest marketed for all the crops within the influence area, by the market
price of the crops and the estimated reduction in post-harvest losses.
Savings in Travel Time of Commuters. The last benefit of the subproject

implementation is the savings in the travel time of commuters. With the project,
travel time of the commuters within the area would be reduced from 35 minutes to
22 minutes after subproject implementation.
a. Production Level within the Direct Road Influence Area
Agricultural production areas which will be served by the proposed concreting

of Sibawan FMR includes coconut, rubber, banana (lakatan), banana (cavendish), and
mangosteen areas in the barangays of Sibawan, Mua-an and Mateo. It can be noted
that the annual production for these commodities are pegged at 3000kg/ha, 3000
kg/ha, 18000 kg/ha, 36000 kg/ha and 8,000 kg/ha respectively.
Table 20. Agricultural Production Areas to be served by the Proposed Concreting of

Sibawan FMR, 2021.
Barangay Crop Area Average No. of Mineral Seed Annual % of

(in Yield/ has. Turnove Fertilizer Require- Production Produc-Commented [MOU19]: If tons then this should be tons, if kgs
has.) r/ Requiremen ment/ then this should be kgs. Reconcile.
tion Sold
cropping t/ has./ yr. has./ yr. in MarketCommented [MOU18]: Should conform with efa.
/ season/ (salt)
Commented [MOU17]: Should conform with EFA.
yr.
Sibawan Coconut 105.0 750 kg/ha 4x 4 sacks - 3,000 kg/ha 100%
Rubber 44.75 250 kg/ha 12x 10 sacks - 3,000 kg/ha 100%
Banana 95.75 750 kg/ha 24x 10 sacks 1,100 hills 18,000 100%Commented [MOU20]: Two banana in the EFa, which one that
this banana represents for?
(Lakatan) kg/ha
Banana 9.0 1,500 24x 10 sacks 2,500 hills 36,000 100%
(Cavendish) kg/ha kg/ha
Mangosteen 37.0 8,000 1x 2 sacks - 8,000 kg/ha 100%
kg/ha
Mua-an Coconut 74.55 750 kg/ha 4x 4 sacks - 3,000 kg/ha 100%
Banana 58.0 750 kg/ha 24x 10 sacks 1,100 hills 18,000 100%Commented [MOU21]: Two banana in the EFa, which one that
this banana represents for?
(Lakatan) kg/ha
(Cavendish) kg/ha kg/ha
kg/ha
Mateo Coconut 85.75 750 kg/ha 4x 4 sacks - 3,000 kg/ha 100%
Banana 21.5 750 kg/ha 24x 10 sacks 1,100 hills 18,000 100%
(Lakatan) kg/ha

(Cavendis kg/ha kg/ha
h)
kg/ha
Source : City Agriculture Office, 2022.
These production areas also have shifting cultivation or intercropping such as

corn, cacao, dragon fruit, and banan-lakatan since these crops may be planted with
coconut as an additional source of income. The proposed concreting of the road is
very beneficial to the farmers because it will provide accessibility for the transport of
products to the markets with lowest fare.
b. Vehicle Operating Cost Savings
The table below depicts the existing vehicular traffic within the proposed road
segment for concreting based on the Traffic Count Survey Results highlighting the
existing mode of transport operating in the area, passenger occupancy/average load
by vehicle type, average daily trips, and observed transport fares for passenger
and/or cargo.
Table 21. Annual Average Daily Traffic within the subproject area, 2021
Barangay Existing No. of Average Average Ave. Observed
Mode of vehicle No. of Operating loading Transport
Transport in Units daily trips Days per capacity Fares for
the Area yearb Passenger/
(passenger/c Cargod
argo) c
Sibawan Motorcycle 71 4 300 3 persons P65/both

(Habal- passenger &
habal) cargo
Tricycle 20 4 300 7 persons P65/pass
Trucks 10 2 200 8 tons
Cars/ Vans 13 2 100 5 persons Private use
Source : Traffic Count Data, CPCO on December 2021.
Hence, with the completion of the road concreting project and the
subsequent improvement of the road conditions, it is deemed to lead to the increase
in number of vehicles passing through the Sibawan FMR. The table below shows the
projection for the vehicular traffic which is pegged at 4% growth rate per year. In the
table, year 1 (existing vehicular traffic) and year 20 (projected vehicular traffic) are
shown.

i. Projected Vehicular Traffic after the Project Completion
Table 22. Projected vehicular traffic after project completion

Vehicle Type Year 1 Year 20
Motorcycle (Habal-habal) 71 150

Tricycle 20 42
Trucks 10 21
Cars/Vans 13 32
Source : Projection is based on Economic Financial Analysis Results.
ii. Other Considerations in the Computation of VOC Savings
Other considerations in the computation of VOC savings include the length

and Vehicle Operating Cost difference. Road length used in the computation of VOC
savings is the total length of the proposed Sibawan FMR which is 3.34 kilometers. On
the other hand, noted VOC difference as follows:
Table 23. Percentage of Road Surface Conditions.

Road Condition Percentage of Road Length (km)
Surface Condition
Very bad paved road to good paved road 0%

Good gravel road to good paved road 43% 1.43
Fair gravel to good paved road 57% 1.91
Very bad gravel to good paved road 0%
Total 100% 3.34
c. Transport Prices within the RIA
Table 24.Transport Prices by Animal/Human Haulers within the Road Influence Area, Commented [A22]: Double Hauling. Please include in Hauling
Cost and reflect in footnotes
2022.
Barangay Type of Origin to Means of Transport Ave. Loading
Animal Destination Transporta- Distance Capacity
tion Transport Price
Sibawan Carabao From farm to Cart/Manual 300 meters 6 sacks
nearest Hauling Php15.00/sack (1 sack = 50
barangay road kgs.)
From nearest Motorized 8 kilometers Depends on the

barangay road Vehicle Php50.00/sack kind of
to Market motorized
vehicle
Mua-an Carabao From farm to Cart/Manual 300 meters 6 sacks
barangay road kgs.)
to Market motorized
vehicle

Mateo Carabao From farm to Cart/Manual 300 meters 6 sacks
barangay road kgs.)
to Market motorized
vehicle
Source : City Agriculture Office, 2022.
Note: Hauling from farm to the nearest barangay road and then going ti the market is through
cart/manual hauling and motorized vehicle (Double Hauling ).
Without the project, transportation/hauling cost of agricultural products for

all types of commodity to include farm inputs and outputs via carabao cart or manual
hauling is Php15.00/sack and for motorized vehicle at Php50.00/sack, depending on
place of origin and destination (WOP). But once the project is already implemented,
there is an expected reduction in transport costs by at least 15%, or lowered from
Php65.00 – Php55.00/sack summing both carabao cart/manual hauling and motorized
vehicle (WP).
Table 25. Output Hauling

Barangay Crop Mode of Origin to Transport Transport Transport Ave.load
transport Destination Distance Price Price (WP) ing
(WOP) capacity
Sibawan Coconut, Motorcycle/ Sibawan - 6.74 km Php42 Php32 50 kgs.

Rubber, Tricycle / Poblacion
Banana- Habal-habal
Lakatan,
Banana-
Cavendish,
Mango-
steen

Table 26. Input Hauling
Barangay Crop Mode of Origin to Transport Transport Transport Ave.
transport Destination Distance Price Price (WP) loading
(WOP) capacity Commented [A23]: Separate the Banana Hills / seedlings
Sibawan Coconut Motorcycle/ Poblacion – 6.74 km Php3.00/ Php2.00/ Depends

Tricycle / Sibawan seedling seedlng on the
Habal-habal type of
Php2.00/ Php1.00/ vehicle.
Rubber seedling seedling
Mango-
Php3.00/ Php2.00/
steen seedling seedling
Banana- Motorcycle/ Poblacion – 6.74 km Php2.00/ Php1.00/ Depends

Lakatan Tricycle / Sibawan hill hill on the
Habal-habal type of
Banana-
Cavendish vehicle.
d. Savings in Travel Time of Commuters
i. Population within the Direct Road Influence Area
In the succeeding table, population within the Road Influence Area (RIA) as
well as the percentage of economically active population is determined. Whereas,
individuals aged 15-64 are considered as part of the economically active
population. In addition, to determine the percentage of commuters, the total
population is divided by the average household size, then multiplied by 2 (average
no. of trips per day). Its result is then divided by the estimated number of the
economically active population.
Table 27. Population within the Road Influence Area (RIA), 2022.
Barangay PSA Population Number of Ave. Annual Economically % of
Population within RIA Households Population Active Commuters
(2020) Growth Population from
Rate1 (in %) Economically
(in %) Active
Commented [MOU24]: See efa for comments.
Population
Sibawan 1,610 1,610 322 2.29% 64.18% % Before presenting the table there must be a discussion. Please do.
Mua-an 2,673 1,124 94 1.56% 64.18% 63%
Mateo 2,857 470 225 5.24% 64.18% 63%
Source : PSA 2020, and EFA results.
1
Average Annual Population Growth Rate should be based on available statistics on barangay, municipality or province
level. 

Without the project, average travel time of commuters from Barangay Sibawan
going to Junction K (starting point of the project) or vice versa is 16 minutes (at an average
speed of 40kph). Hence, once the project is implemented, travel time is expected to
reduce at 10 minutes with an average speed of 60kph.
Table 28. Average Travel Time of Commuters in Barangay Sibawan, CY2022.
Barangay Travel Time Travel Time No. of Number % share Average

WOP WP trips per of of Saved Daily
(one way in (one way in Person Working Time for Wage
min.) min.) per Day Days Work Rate Commented [MOU25]: Before presenting the table there must
be a discussion. Please do.
at 40 kph at 60kph In the methodology used, what kph did you use?
Brgy.
Sibawan
to Jct.
Kidapawa 16 min. 10 min. 2 288 37.5% 315
n–
Magpet
Road
Source: Traffic Count Data, CY 2021.
e. Benefits of Newly Cultivated Agricultural Land
With the proposed road development, among its anticipated impacts would be the
development as well of the potential lands for cultivation. Detailed in Table 30 are the said
potential lands for coconut, banana, rubber and mangosteen production.
Table 29. Newly Cultivated Agricultural Area in Barangay Sibawan, 2022.
Barangay Crop Potential Farm Gate Land Development Production Cost Marketing
Land for Price Cost per Has. Per Has. Cost
Cultivation (Php/sack) (Php/ha) (Php/ha.)
(ha)
Sibawan Coconut 7 P45 P82,000 P20,500 P23,100

Banana 8 P23 P32,600 P246,000 P237,600
Lakatan
Banana 10 P50 P65,200 P492,000 P396,000
Cavendish
Rubber 8 P31 P41,620 P25,400 P26,400
Mango- 5 P30 P15,000 P35,250 P44,000
steen
Mua-an Banana 4 P23 P32,600 P246,000 P237,600
Lakatan
Source : City Agriculture Office, CY 2022.
Note: In sum, total potential land for cultivation for each crop would be: 1.) Coconut – 7
has, 2.) Banana Lakatan – 12 has, 3.) Banana Cavendish – 10 has, 4.) Rubber – 8 has, and
5.) Mangosteen – 5 has.

f. Transport Losses in Agricultural Production
Shown in Table 31 is the anticipated reduction in transport losses per crop once
the project is realized. Specifically, for 1.) coconut – 2% to 1%; 2.) Banana Lakatan – 5%
to 3%; 3.) Rubber – 2% to 1%; 4.) Mangosteen – 3% to 1%; and 5.) Banana Cavendish – 5%
to 3%.
Table 30. Reduction in Transport Losses per Crop in Barangays Sibawan, Mua-an and
Mateo, CY 2022. Commented [MOU26]: Before presenting the table there must
be a discussion. Please do.
Barangay Crop Market Price Transport Transport Losses Estimated

(Php/kg.) Losses WOP WP Reduction in
(%) (%) Transport Losses
(in %) Commented [MOU27]: Use % not cost
Sibawan Coconut P45 2% 1% 1%
Banana P23 5% 3% 2%
Lakatan
Rubber P31 2% 1% 1%
Mangosteen P30 3% 1% 2%
Cavendish P50 5% 3% 2%
Mua-an Banana P23 5% 3% 2%
Lakatan
Banana P50 5% 3% 2%
Cavendish
Cavendish P50 5% 3% 2%
Coconut P45 2% 1% 1%
Rubber P31 2% 1% 1%
Mateo Banana P23 5% 3% 2%
Lakatan
Coconut P45 2% 1% 1%
Rubber P31 2% 1% 1%
Source : City Agriculture Office, CY 2022.

2. Economic Costs
The economic costs identified in this project are those that involve the use of
real resources classified into: Capital Costs, and Operating and Maintenance (O & M)
Costs.
b. Capital Cost and O & M Cost Breakdown
Table 31. Breakdown of Investment and Operating and Maintenance Costs
Year Total Investment Cost Operating and Total Costs

Maintenance Cost /a
0 51,554,162 51,554,162
1 134,251 134,251
2 134,251 134,251
3 134,251 134,251
4 134,251 134,251
5 134,251 134,251
6 24,801 24,801
7 134,251 134,251
8 134,251 134,251
9 134,251 134,251
10 134,251 134,251
11 134,251 134,251
12 24,801 24,801
13 134,251 134,251
14 134,251 134,251
15 134,251 134,251
16 134,251 134,251
17 134,251 134,251
18 24,801 24,801
19 134,251 134,251
20 134,251 134,251
14a/ Periodic maintenance is taken every 6 years
The table above shows the breakdown of the project’s investment and annual
operating and maintenance cost. As expressed in economic terms, the total
investment is computed at Php51,554,162.00. The annual operating and maintenance
cost amounts to Php134,251.00, while periodic maintenance is taken every 6 years
which amounts to Php214,801.00.

3. Direct Jobs from Construction Commented [MOU28]: After direct job portion, there must be
SES Cost portion.
See below: interchange the previous SES cost above to this portion.
And then, after SES cost, there must be economic benefits forgone
During construction, the project will employ a total of 30 skilled workers and or disbenefits. See below:
85 unskilled workers. This will open an opportunity for local laborers in the area to
have a direct participation in the project since they are the direct beneficiaries and
earn additional income as well.
a. No. of Unskilled Laborers to be hired = 85

b. No. of Skilled Laborers to be hired = 30
4. Social and Environmental Safeguards Cost
Table 32. Safeguards-Related Costs

Particulars Financial Cost Conversion Economic
at Year 0 factors Cost b/
(current
prices)
1. Consultation activities with Community and PAPS 8,000.00 1.12 7,142.86
2. ECC application
2.1. Application fee 3,000.00
2.2 Services of IEE preparer 2,000.00 1.12 1,785.71
2.3. Notarization fees/Other operating expenses 1.12 0.00
3. NCIP Certification
3.1 Work and Financial Plan 3,000.00 1.12 2,678.57
4. ROW acquisition
4.1 Parcellary survey 1.12 0.00
4.2 Appraisal of properties affected 1.12 0.00
4.3 Notarization fees/Other operating expenses 7,650.00 1.12 6,830.36
4.4 Cost for Annotation 1.12 0.00
4.5 Compensation for land
4.6 Compensation and/or reconstruction of affected
structures
4.7 Compensation and/or replacement of affected
trees/plants a\
4.8 Cost of additional assistance or livelihood
5. Cutting of Trees
5.1 Tree cutting permit 4,500.00
6. Resettlement costs
7. Relocation/Transfer of Electric Post/s 300,000.00
8. Location and Zonal Clearances
9. Special Land Use Permit/ Forest Land Use
Agreement
9.1 Application Fee
9.2 First Annual Fee
10. Special Use Agreement in Protected Areas
10.1 One time Development Fee
11. Initial Water Quality Tests
12. NWRB Water Permit
13. Other Costs (please specify) 1.12 0.00

Total Cost 328,150.00 18,437.50
Source/ Note/ Assumptions:
a\ Amount paid by the LGU as compensation to PAPs for trees and other plants affected by ROW
acquisition and included as Year 0 cost. Said trees/plants are non-fruit bearing or non-productive, sold
for lumber, or standing crops planted by informal settlers.
b\ All fees paid to the government must not be included in the Economic Cost
5. Adjustment of Financial Values to Economic Terms
The financial costs and benefits of the project are adjusted to conform to
economic concepts. Conversion factors are applied using as reference the standard
set by NEDA.
Table 33. Computation of Economic Cost of Subproject

Financial Cost Conversion Economic
(current prices) factors Cost
Materials /a 30,952,209.21 34,666,474.32

With foreign component 18571325.53 1.2 22,285,590.63
Locally-sourced 12380883.68 12,380,883.68
Equipment /b 4,472,189.29 4,472,189.29
Labor:
Skilled /c 901,088.23 901,088.23
Unskilled /d 802,832.32 0.6 481,699.39
Subtotal Labor 1,703,920.55 1,382,787.62
Total Direct Cost 37,128,319.05 40,521,451.23
Overhead, Contingencies and Miscellaneous

(OCM) /e 4,355,817.59 4,355,817.59
Contractor's Profit /f 2,945,623.32 2,945,623.32
Total (Direct Cost+OCM+CP) 44,429,759.96 47,822,892.14
Taxes /g 5,331,571.19 0.00

Pre-engineering Activities /h 2,079,185.87 1,856,415.95
Engineering Supervision /i 2,079,185.87 1,856,415.95
Safeguards cost 428,150.00 18,437.50
Total Cost 54,347,852.88 51,554,161.54
49,761,331.15
Notes & Assumptions:
NOTE: estimated base costs mentioned below are exclusive of tax
a/ Assumption: 60% of material costs has foreign component that is subjected to shadow pricing
using a factor of 1.2; 40% is base cost of locally-sourced materials (tax is calculated under 'Taxes')
a/ Note: shadow price of foreign exchange is 20% higher than the official rate
b/ Assumption: 100% of expenses is base cost (tax is calculated under 'Taxes')
c/ Note: Skilled labor includes driver, mason, engineer and the like; 100% base cost (tax is calculated
under 'Taxes')
d/ Note: Unskilled labor includes laborer, helper and the like; not subjected to tax
d/ Assumption: Conversion factor for unskilled labor is 0.6 since its value is 60% only of the minimum
wage (source: NEDA)
e/ Assumption: OCM is 15% of total direct cost if subproject cost is PhP 5 mln below; 12% if PhP 5 mln

to PhP 50 mln; 10% if PhP 50 mln to PhP 150 mln; 8% if above PhP 150 mln
e/ Note: OCM is base indirect cost (tax is calculated under 'Taxes')
f/ Assumption: Contractor's Profit is 10% of total direct cost if project cost is PhP 5 mln below; 8%
otherwise
f/ Note: Contractor' Profit is base indirect cost (tax is calculated under 'Taxes')
g/ Taxes is 12% of total mark-up value of Total Direct Cost, OCM & Contractor's Profit; should not be
included in the economic analysis
h/ Note: Pre-engineering activities include FS and DED Preparation, and Right of Way Acquisition
Costs
h/ Assumption: Pre-engineering activities are 5% of base direct cost + 12% tax; economic cost,
however, should exclude tax
i/ Assumption: Engineering Supervision is 5% of base direct cost + 12% tax; economic cost, however,
should exclude tax
6. Economic Benefits Foregone (Dis-benefits)
Table 34. Perrenial Crops Affected

Indicator Type of Crop
Coconut
No. of trees to be cut a/ 30
% productive b/ 100%
No. of productive trees 30
Production output marketed in the form of Copra
Average production per tree per year (kgs) d/ 28.00
Farm gate price per unit (P/kg) d/ 45.00
Gross annual income per tree (P) 1,260.00
Less: Economic production cost per tree (P) e/
Annual Net Income per tree - economic (P) 1,260.00
Total Annual Net Value of Production Foregone (P) 37,800.00
Notes & Assumptions:
a/ Based from SES Form 1
b/ Includes newly planted and fruit-bearing trees/plants
c/ Specify in what form the production output is marketed
d/ Primary data to be generated thru interviews/FGD with PAPs; In lieu of primary data, secondary data
(municipal or provincial level) may be generated from source agencies such as MAO, PAO, Philippine
Statistics Authority, etc.
e/ Data shall be sourced from Table 1b. Estimated Production Cost of (Name of Perennial Crop) per
Hectare
Table 35. Estimated Production Cost of (Coconut) per Hectare a/
Coconut
Production
Financial Economic
Activity/Expense Unit e/ Unit Cost
Quantity Value Value
Item (PhP)
(PhP) (PhP) g/
A. Labor Cost b/
Harvesting-
sacking/packaging man days 10 300.00 3,000.00 1,800.00
Sub-total 3,000.00 1,800.00

B. Material
Inputs/Supplies c/

Fertilizer bag 1 1200.00 1,200.00 720.00
Sub-total 1,200.00 720.00

C. Other Costs d/
Sub-total - -
Total Production
Cost per Hectare 4,200.00 2,520.00
Average No. of
Crop Hectare 100 50.00 5,000.00
Ave. Production
Cost per Crop 42 25.2
Notes:
a. Supporting table to Table 2. Valuation of net value of production foregone due to right-of-
way acquisition (for perennial crops)
b. List specific labor activities using manual or man-animal, e.g., land preparation, planting,
fertilizer and pesticide application, weeding, harvesting, etc. Include hired and family labor.
c. Specify material inputs, e.g., seeds/planting materials, fertilizers, pesticides, herbicides,
farm tools, sacks/baskets, etc.
d. Other costs may include rental of equipment, drying fees, hauling or transport fees.
e. Please specify unit of measurement per activity, e.g., mandays, man-animal days, machine
days, kilograms, sacks, etc.
f. Provide annual production data per specific type of perennial crop/treecrops affected by
ROW acquisition. Please add columns as necessary.
g. Convert to economic values. Apply shadow wage rate factor of 0.6 to unskilled labor.
7. Results of the Economic Analysis Commented [MOU29]: Revise if necessary.
The economic costs and benefits of the project as well as its net incremental
benefits are shown in the Economic Cost-Benefit Flow (see Annexes). The results
clearly showed that the project would give economic benefits not only within the
road influence area throughout its 20-year project life, but also to the general
development of the locality.
Computed Economic Net Present Value (ENPV)of the sub-project is

Php33,368,000.00. This implies that the proposed farm-to-market road gives positive
return to the community. Therefore, the project is viable.
On the other hand, its Economic Internal Rate of Return (EIRR) showed an
impressive result of 17.8%. With these figures, it is found out that the farm-to-market
road project is desirable. The higher the economic rate of return the higher the rate
of growth a project is expected to generate.
Lastly, the Benefit-Cost Ratio (BCR) also posted high result at 1.63. This
ishigher than 1, therefore the project is advantageous. Hence, the project is desirable
and feasible for implementation.

Given these results, this would mean that from the economic point of view
that the project would provide economic benefits to the beneficiaries within the road
influence areas of Sibawan, Mua-an and Mateo. Aside from this, the city will also gain
from this project as it will also spur economic activities in the area.

8. Economic Sensitivity Results Commented [MOU30]: Revise if necessary.
Table 36. Economic Sensitivity Results

Sensitivity Delay of
Base Costs Increase Decrease of Benefits
Analysis Benefits
scena-
(20-year
rio +5 +10 +15 +20 +30 - - - - 1 2
period) -5%
% % % % % 10% 15% 20% 30% year years
16.9
17.8% 16% 15% 15% 13% 17% 16% 15% 14% 12% 16% 13%
EIRR %
30, 28, 25, 22, 17, 29, 24, 20, 16, 7, 28,
ENPV 33,368 713 058 403 747 437 045 721 397 074 426 354 16,164
(000'PhP)
1.63 1.55 1.48 1.42 1.36 1.25 1.55 1.47 1.38 1.30 1.14 1.53 1.30
BCR
9. List of the Attached Models/Detailed Table of EFA Template

CONCLUSIONS AND RECOMMENDATIONS
Based on the study, the financial computations generated positive results and
the project has been found to be feasible from marketing, technical, economic and
operational viewpoint.
It is therefore recommended that the subproject will be implemented, but

monitoring and supervision during the preparation, planning and implementation of
the subproject must be strictly observed to avoid delay of benefits which will affect
the viability of the project.

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FEASIBILITY STUDY ON THE CONSTRUCTION OF SIBAWAN FMR

A. Project Title : CONCRETING OF SIBAWANFMR

C. Project Category : Concreting

D. Project Scale/Dimension : 3.34kilometers

F. Implementing Unit : City Engineering Office

G. Total Number of : 40 Barangays

Total Land Area:

Barangay No. of Hectares Crop

L. Economic Viability Economic Net Present Value (ENPV) : Php33,368,000

Province is strategically located in the central part of Mindanao, specifically

Known as one of the food baskets in Mindanao, Province is majorly an

In addition to these is the booming tourism industry because of the

iii. Agriculture and Rural Development Sectors

i. Value Chain Summary

Lakatan banana chain involves and includes: input suppliers, primary

Figure 6. Value Chain Map of Lakatan Banana

Source: Enhanced Provincial Commodities Investment Plan of Cotabato, CY 2020-2022.

Table 1. Production Indicators, 2015.

ii. E-VSA Maps and Statistics

Most of the Lakatan Banana plantations in the Province of are of small-

Specific to the project, Barangay Sibawan was determined as a prime

Since lakatan banana is gearing towards the export market, quality is a

1. Increased availability and access to quality tissue cultured planting materials;

According to the Farmers’ Handbook on Introduced and Local Banana

Lakatan banana is classified based on size and quality. Minimum requirement

17 Feasibility Study on the Concreting Mua-an FMR

Table 3. Classification of Banana by Quality

Class I − Good quality 10% by number or weight of

Table 4. Classification of Banana by Size

18 Feasibility Study on the Concreting Mua-an FMR

The above Philippine National Standards for Banana is translated by traders

Table 5. Classification of Lakatan Banana as Practiced by Industry

Current practice in North Cotabato follows the classification as presented in

As per Summary of Priority Constraints/Opportunities and Interventions cited

iv. Enterprises to be Supported by the Sub-Project

Provision of access roads in production areas as well as to areas with potential

Other enterprises venturing in banana production which will also be

20 Feasibility Study on the Concreting Mua-an FMR

Specific on the location of the proposedSibawan farm-to-market road project,

21 Feasibility Study on the Concreting Mua-an FMR

Sibawan FMR’s relative distance to Barangay Poblacion where the city’s

1) Sub-project area to Mua-an MPC located at Brgy. Manongol (7.26 km)

Barangay Sibawan is situated in a terrain classified as gently sloping to

Figure 12. Topography Map of the Proposed SibawanFMR

22 Feasibility Study on the Concreting Mua-an FMR

d. Mapping of the Subproject

To arrive with a map of the subproject, geo-tagging andtracking of thewhole

Figure 14. Geotagged Map of the Proposed Sibawan FMR

23 Feasibility Study on the Concreting Mua-an FMR

Figure 16. Commodity Map for Potential Lands for Cultivation

24 Feasibility Study on the Concreting Mua-an FMR

Total Road Influence Area (RIA) of the proposed sub-project is estimated at

Figure 17. Map of the Project’s Road Influence Area (RIA)

Figure 18. Built-up Areas within the RIA

25 Feasibility Study on the Concreting Mua-an FMR

Table 6. Population and Number of Households per Barangay, City

Population Total Population Total Households

3,249 2725 632

26 Feasibility Study on the Concreting Mua-an FMR

iii. MAJOR ECONOMY AND LAND USE

City is considered as a commercial and trading hub of Central Mindanao. It

iv. ON-FARM DATA – AGRICULTURAL AREA AND CROPS PLANTED,

Agriculture remains as the most predominant sector in the locality attributed