Bangon Mini-Farms Project �Million&Farmers&Rising�&

Philippines))))

DOMINGO I. DIAZ Member,)Board)of)Directors)Land%Bank%of%the%Philippines%

What is it? A systems approach to livelihood devt consisting of: • Training –Technology Transfer – Execution Workshops

• Showing how 1,000 sqm farms with 24 sqm pig house

• Using natural, organic and microbial technology

• With support organization, networked into supply chain

Can end HUNGER and POVERTY - 2 biggest problems in Philippines today - Establish a RESILIENCE plan and mindset - One farmer family at a time.

Bangon Mini-Farms Project: “Million Farmers Rising”

Why? • Personal Analysis of Surveys and Sense of Unease - Intractable block of 25-35% rated as Poor or Hungry - Poverty Threshold: PHP 10,000 /month (USD 220)

• 50th Anniversary of LANDBANK - Slogan: �Ang Bangkong May Damdaming Bayan� - �The Bank That Loves The Country!� - My challenge: If so, address the 2 biggest problems.

• Climate Change: Typhoons Ondoy, Pablo, Yolanda… - More and Worse Things CANNOT be �as usual� - Fighting Hunger/Poverty MUST be based on Resilience - Hence, the project name: BANGON !

Bangon Mini-Farms Project: “Million Farmers Rising”

How? Learnings from: - Bank’s many small-farm failures and - usually-successful large agri-business accounts; - Personal experience in many industries and countries Distilled and adapted to Bangon Mini-Farms:

1. NO single crop: - Average farm size in Philippines: 6,700 sqm - Continue w/ usual but allot 1,000 sqm to Bangon - Integrated product line w/ different gestation periods

2. NO single buyer: - Each sector establishes own farmers’ market. - Partners: LGU feeding needs. Supply agrmts.

Bangon Mini-Farms Project: “Million Farmers Rising”

3.  NO single or specialized use: - Items produced are part of daily food needs

4.  YES to innovation: Simple but disruptive technologies - Production system: protocols, using local materials - Tech transfer (Set of workshops up to execution):

•  2 day training adjacent to 1,000 sqm pilot farm •  3 follow-ups (execution sessions) ~6 weeks apart:

o  1st : Review field preparations, organic tools o  2nd: Test production of veggies, pigs o  3rd : Test marketing and full pig-growing cycle

•  Farm field audits. - Localized Topics: 1 sqm food garden: cities, resettlers

Bangon Mini-Farms Project: “Million Farmers Rising”

5.  YES to organization and coordination: - Pilot Farm: Sector Head / Market Anchors / Tech Svcs - Clustering of participants = Cluster Head - Functions: Market Demand Analysis: Own / Supermkts

Production Allocation, Planting Schedule Problem Solving (Weather Mitigation)

6.  YES to supply chain and direct access to markets. - Enable farmers to sell at retail or wholesale price.

7.  YES to proper financing of all links in the chain.

AIM: To successfully market everyday food items at competitive price, healthier quality, lower production cost.

- Competitive advantage for small farmers now and with 2015 ASEAN integration.

Bangon Mini-Farms Project: “Million Farmers Rising”

Bangon Mini-Farms Project: “Million Farmers Rising”

1,000 sq.m. model mini-farm

Vegetables

Nitrogen Fixers

Greenhouse

Free-Range Chicken

Natural Piggery

Propagation Area

Fish Pond

Herb & Kitchen Garden

Farmer’s Cob House

Fruit Strip

Agro/Fruit Trees (wind breakers)

Meditation Sanctuary

Fruit Strip

Agro/Fruit Trees (wind breakers)

Bangon Mini-Farms Project: “Million Farmers Rising”

Usual Scale-Up: mini-farm (1,000 sqm) to commercial or community SME production (1 hectare) Bangon Style: Bring in more farmer-partners x1,000 sqm ea.

Bigger Poultry, Piggery, Aquaculture and

Vegetable Production

…with an Eco-Park

Bangon Mini-Farms Project: “Million Farmers Rising”

From a Mini-Farm...

To a Cluster of Farms...

Bangon Mini-Farms Project: “Million Farmers Rising”

To an Eco-Village

LANDBANK

SUPPLY TRAINING

MARKET MARKET MARKET

MARKET MARKET

Food Supply Chain

Bangon Food Supply Chain INPUT PRODUCTION OUTPUT Option A: -Workshops Option A:

- Bank Financing -Protocols - Farmers Mkts Others: -Field Audits Others:

- Grants-in-Kind - Supply Agmts - Feeding Prog.

N.B. Option A are factors within the control of the Bank and the Supply Chain to put the program in effect. Others are enhancers, thru partnerships, to raise probability of success.

Bangon Mini-Farms Project: “Million Farmers Rising”

Financial Projections: Can be as high as Php16,200* (US$360) monthly income for farmer on pigs and vegetables alone. (*subject to validation of assumptions in each locality.)

Bangon Mini-Farms Project: “Million Farmers Rising” PIGS

SalesNatural-Pig-(5-heads-x-90-kg-x-P100/kg) 45,000.00PHP-----Vegetables

Pechay-(600-kg-x-2-cycles-x-P35/kg) 42,000.00PHP-----Talong-(600-kg-x-2-cycles-x-P32.50/kg) 39,000.00PHP-----Gross%Sales 126,000.00PHP%%%

Less:-Operating-ExpensesProduction-Cost

Piglet-(5-heads-@-P3,000) 15,000.00PHP-----Seeds 1,000.00PHP-------Feeds-(20-bags-@-P1,350) 27,000.00PHP-----Organic-Input-Supplies 2,500.00PHP-------Depreciation-(Fixed-Assets-P28,500-/-3-yrs-or-9-cycles-@-4months) 3,170.00PHP-------

Sub4Total%Production%Cost 48,670.00PHP%%%%%

Plus:- Insurance-Premium-(4%-on-Pig-Pen-P15k-+-Piglets-P12.5k-+-vegetables) 2,400.00PHP-------Hauling-Cost-(450-kg-pigs-+-1,200-kg-@-P1-per-kg) 1,650.00PHP-------

Total%Operating%Expenses 52,720.00PHP%%%%%

Gross%Income 73,280.00PHP%%%%%

Less:- Interest-Expense-(6%-p.a.-on-P65k-loan,-over-6-months-tenor) 1,950.00PHP-------

NET%INCOME 71,330.00PHP%%%%%

Less: Rice-Supply-(3-sacks-purchased-@-P1,900) 5,700.00PHP-------Land-Preparation 3,375.00PHP-------

Plus: Income-from-sale-of-manure-fertilizer-(15-x-50kg-bags-@-P100) 1,500.00PHP-------Food-Savings-from-use-of-diet-crop-(P250/month-over-4-months) 1,000.00PHP-------

(6,575.00)PHP------

NET%INCOME%per%cycle:%Farmer-as-Landowner/Producer/Wholesaler 64,755.00PHP%%%%%

ROI%after%Interest%Expense%and%Miscellaneous%Items 74.32%ROI%before%Interest%Expense%and%Miscellaneous%Items 84.11%

Monthly%Income%for%Farmer*%(Net%Income%/%4%months) 16,188.75PHP%%%%%

PARTICULARS

Bangon Mini-Farms Project: “Million Farmers Rising”

1.  Capoocan (Jan 9-11)

Bangon Mini-Farms Project: “Million Farmers Rising”

1.  Capoocan (Jan 9-11) 2.  Tacloban (Feb 26-27)

Bangon Mini-Farms Project: “Million Farmers Rising”

1.  Capoocan (Jan 9-11) 2.  Tacloban (Feb 26-27) 3.  Palo (Mar 26-27) 4.  Marabut (May 6-7) (deferred) 5.  Salcedo (May 8-9) (deferred) 6.  Tabango (May 21-22)

Now, 6 months later: 4 of 6 sectors under way. 2 deferred. -1 completed: 63 associations, 22 municipalities, 426 farmer-partners -3 in process: potentially, another 470 farmer-partners -3 requests pending: potentially 2,000 farmer- or teacher-partners.

Bangon Mini-Farms Project: “Million Farmers Rising”

LEYTE and SAMAR: 1.  Capoocan 2.  Tacloban City 3.  Palo 4.  Marabut-Lauan 5.  Salcedo-McArthur 6.  Tabango-Palompon OTHER SITES: 7.  Asturias, Cebu 8.  Cateel, Davao Or. 9.  Bacolod 10.  Pampanga 11.  Tarlac 12.  Naga, CamSur

The Invitation to Workshop Participants:

•  We’re not telling you to do this.

•  But showing you - HOW to do it. - ALL inputs and outputs, and linking them. - WHAT CAN BECOME.

•  You can then decide for yourself and your family.

Bangon Mini-Farms Project: “Million Farmers Rising”

The Invitation to Partners: •  Provide inputs for 2 cycles, or access to markets. •  Transform Lives and Remote Communities.

Bangon Mini-Farms Project: “Million Farmers Rising”

Bangon Mini-Farms Project: “Million Farmers Rising”

Typhoon Yolanda (Haiyan) November 8, 2013

Bangon�s 1st response January 9, 2014

Bangon Mini-Farms Project: “Million Farmers Rising”

Bangon Mini-Farms Project: “Million Farmers Rising”

Bangon Alpha-Sector Workshop: Capoocan, Leyte Jan. 9-11, 2014

Bangon Bravo-Sector Workshop:

Tacloban City, Leyte Feb. 26-27, 2014

Bangon Alpha-Sector 1st Follow-Up: Capoocan, Leyte Feb. 28, 2014

Bangon Mini-Farms Project: “Million Farmers Rising”

Bangon Alpha Sector Workshop: Capoocan, Leyte Jan. 9-11, 2014

Bangon Alpha Sector 1st Follow-Up:

Capoocan, Leyte Feb. 28, 2014

Bangon Mini-Farms Project: “Million Farmers Rising”

Bangon Charlie Sector Workshop: Palo, Leyte March 26-27, 2014

Bangon Bravo Sector 1st Follow-Up:

Tacloban City, Leyte April 10, 2014

Bangon Mini-Farms Project: “Million Farmers Rising”

Bangon Alpha Sector: 2nd Follow-Up Session Capoocan, Leyte April 11, 2014

Bangon Alpha Sector: Ormoc Cluster

Farm Audit Ormoc, Leyte April 12, 2014

Bangon Mini-Farms Project: “Million Farmers Rising”

Bangon Alpha Sector: Kananga Cluster Farm Audit Kananga, Leyte April 12, 2014

Bangon Mini-Farms Project: “Million Farmers Rising”

Bangon Resilience Measures vs Climate, Hunger, Poverty -  Multi-crop with different gestation periods

- Food for own family ALWAYS available. -  Cash flow restarted within 30-45 days.

-  Organic, microbial farming techniques -  Concoct from local materials: cheaper, eco-friendly. Local reliance.

-  Practices: -  Farm orientation vis elements: Earth, Water, Wind and Sun. -  Wind breaks. Carbonized rice hull. Row covers. Drip Irrigation. -  Increase seed propagation by 20% during rainy season.

-  Multi-buyers, Multi-Markets: Always able to sell. -  Support Organization linked into Integrated Supply Chain -  Financing and Insurance (PCIC-farmers / AGFP-lenders)

Resilience = “Bamboo Strategy”. Bend but not broken. If uprooted, bangon and carry on.

Bangon Mini-Farms Project: “Million Farmers Rising” Waging War on Hunger

and Poverty via Resilience -Multi-crop, multi-market -Not just Training but Tech Transfer & Execution -Organic, microbial farming -Supply Chain Systems with Support Organizations

From Inputs to Production to Markets.

Bangon: Ending Hunger and Poverty, One Farmer-Family at a time!

…�Million Farmers Rising�