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Bringing community-

based enterprises to the


mainstream market

Upland Marketing Foundation, Inc.


(UMFI)
UMFI History-Timelines
 1989 – 1992 Upland Marketing Program of Upland NGO
Assistance Committee/Philippine Business for Social Progress
 Land Tenure, Agro-forestry, Marketing
 Program Mandate – address the marketing concern of upland
communities
 1992-1994
 Training, Information Dissemination, Linkaging  DID
NOT WORK
 1995-1998
 Trading and Brokering  Limited Success
 1999-2001
 Marketing Arm – Sales Distributor  Accessed Mainstream
Markets
 2002 onwards
 Value Chain Management  Growth and Expansion
UMFI
 Vision
Community-Based Enterprises as mechanisms for local
economic development in marginalized communities through
the generation of income and employment opportunities that are
anchored on the processing / value addition and marketing of
local raw materials into high value and marketable products to
local and mainstream markets

 Mission
 Provider of affordable access to appropriate technology,
financial resources, and growing markets to community based
enterprises
 Provider of High Quality – Healthy products to the
consumers
 Advocate of Fair Trade in the mainstream markets
UMFI’s Current Operations
 Established partnerships
with 110 communities
nationwide 30
25.7
 Distribute 8 CBE products 25
to 300 retail outlets
20 17
nationwide (SM, Ever,
Shopwise Supermarkets, 15 10.8 10
Robinson’s, 7-11, Mini- 10
5.6
stops) 5 1.8
 6 yrs of Sustained Growth 0
2001 2002 2003 2004 2005 2006
 Total Sales over 6 year =
PhP 60.1Million = $1.3M
UMFI Development Model

Vehicle for Local Economic Development


Community-Based Enterprises
From Poverty to Sustainable
Economic Development

FINANCIAL
TECHNOLOGY RESOURCES MARKETS
Appropriate Defined
Timely
Efficient Stable
Edge Adequate Growth
Stability
Enterprise Development Framework
Technology Market –Industry
Product Development Information Intelligence
Business/Management Systems
Trends
Consumer Preferences
Financial Resources Competition/ Prices
Equipment/Facilities Upgrade
Service Providers
Working Capital
Suppliers/ Sources
Link-up Core Outsource
Beneficiaries
Business
CBEs
Partners UMFI Market
Fair Price Quality
Finished Products Products
Better Y
Stable 15-25%
Well Packaged
Competitive
MARKETABLE
Barriers of Entry
 Price is high, uncompetitive
1. Lack of  Lack of knowledge on how to open
access to the channels to the market
market  Product positioning
 Licenses and permits-expansion
 No to limited skills of the production
workers
 Absence of production and quality
2. Inappropriate control systems
technology  No or lack of available processing
equipments, facilities and water systems
 Limited sources of packaging materials
and supplies
 Seasonality of raw materials
3. Limited  Limited working capital
financial  No to limited financial
resources resources for facilities and
equipment upgrades
UMFI’s Evolving Strategies
Enterprise Development  Value Chain Management

Customer
Research, Studies
Input Sales and Service /
Assessments, Production Distribution
Sourcing Marketing Market
Analysis
Feedback

Market Technology Quality Control Open Channels Sell and Collect Feedback
Community Raw Materials Standards Logistic Support Channel Follow through
Maintenance
Industry Production Inputs Costs/Pricing Deliver/Mdse
Advertise/ Promote
Skills/Systems/Structure

 Addressing the bottlenecks along the chain


 Identify and build the Core Business
 Link up and/or Outsource to create Business is partnership
UMFIs Innovations: Lessons Learned

1. Constant Monitoring and Assessment of the


environment
2. Hiring competent people
3. Transparency with partner communities
4. Benefits of organizing
5. Learning organizations
Primary Clients: CBEs in Sustainable Development
Sustainable Forest/Resource Management
-Non Timber Forest Products
Sustainable Agriculture
- Use of appropriate Farming Technology
- Organic Farming
- Non Destructive/ Environment Friendly
Sectors in Partnership
- Indigenous Communities
- Agrarian Reform Communities
- Coastal Communities
- Micro-Small Enterprises
Project Sites
Baguio
Isabela
Nueva Vizcaya
Nueva Ecija
Pangasinan
Mindoro
Camarines Sur
Sorsogon
Antique
Palawan
Cebu
Samar
Zamboanga
Surigao del Norte
Bukidnon
Davao del Sur
South Cotabato
UMFI Products
Healthy Rice-organic rice
Before After
Healthy Rice New Label
Newly launched in-house brand
Access to the Market

Healthy rice at the selling area of the supermarket

Sta. Lucia East Mall

Cherry Foodarama
UMFIs Facilities

Food Laboratory
Warehouse

Repacking Area
Access to Technology

Skills
Training of
CBEs

Access to processing tools and


equipment upgrade