COMMODITY

APPROACH

PREPARED BY:
MR. MACARIO LLIANZANA
MR. MATEO REY
MR. EDGAR RODRIGO
MS. MARY JOY E. BALINGASA
COMMODITY
WHAT IT IS?
A commodity is any homogenous good 
traded in bulk on an exchange. 
HOW IT WORKS (EXAMPLE):
Grain, precious metals, electricity, oil, beef, orange juice, and natural
gas are traditional examples of commodities, but foreign currencies,
emissions credits, bandwidth, and certain financial instruments are
also part of today's commodity markets. According to the New York
Mercantile Exchange, "A market will flourish for almost any
commodity as long as there is an active pool of buyers and sellers."
COMMODITY APPROACH emphasize production of one
specific crop or commodity generally grown for export
(such as tea oil palm or sugar) or produced for
consumption (such as milk).
FEATURES OF
COMMODITY
APPROACH 
A. The extension
content is
limited to
technical and
administrative
marketing
aspects of the
production of
the commodity.
B. Extension is
handled or
managed by an
agency or board
that monopolizes
the market and
sometimes
functions within a
compulsory
cropping system.
C. There must be
a POT for
production
storage
transport,
processing and
marketing of the
commodity.
D. well-trained
staff in every
aspect of the
technology must
be readily
available.
E. Other factors
of productions
are considers
such as labor, soil
irrigation source
of quality seeds,
etc.
F. Quality and
quantity are the
primary concerns
which will
contribute to
overall
profitability.
G. Production of
great volume is
planned and
implemented
through
organized group.
H. Strengthened
farmer
cooperatives
producers and
traders.
I. Farm inputs
must be
controlled by the
farmers.
J. Explore market
potentials before
producing in
great bulk.
K. Storage must
be well planned.
L. Continuous
technical
assistance is
necessary until
self-reliance is
achieved.
BENEFITS OF THE COMMODITY
APPROACH
*Focus research
and development
activities on major
*For food/feed
commodity sufficiency.
*For export *Answer
potential industry needs
*Maximum utilization *Credit and market
of resources support
Examples of commodities include gold, silver, wheat, rice, coffee 
beans, sugar, salt, etc. There are two types of commodity first Soft
commodities that are goods that generally are grown, while hard
commodities are extracted from mining.
SOFT HARD
COMMODITIES COMMODITIES
THAT’S
ALL!!!!
!!!
THANK YOU
PO!:-)