INDUSTRIAL

CITY- SABLAYAN,
BRIEF
INCREASE PROVINCE WEALTH THROUGH INCREASED
LAND PRODUCTIVITY, MULTIPLE INDUSTRIAL CROPPING,
AGROFORESTRY SYSTEM, NUTTRITION FARMING,
INFRASTRUCTURE, and INDUSTRIALIZTION FOR PRODUCT
EXPORTS
AND
INCREASED ADAPATION AND RESILIENCE OF FARMERS
AND GOVERNMENT TO POSITIVE CLIMATE CHANGE
BY

GLOBAL ECONOMIC ENVIRONMENT (GEEE)

CONSULTANTS INC.
1.0 BACKGROUND

Land Productivity in Occ, Mindoro Province is affected by several factors; a)

downward prices of agricultural commodities, b) increased production inputs
limiting harvest yields, c) flooding of significant areas during rainy season, d) lack of
irrigation during dry season, e) small-scale individual farming system, f) absence of
farming standards, g) lacks modern farm technology, and h) lack of crop rotation
system, I) continued cultivation of low value agricultural crop. Farmers and local
government are always impacted by climate changes hindering the economic and
environmental progress of farmers and LGU. After several decades citizens and
governance of Occ. Mindoro is significantly affected by lack of preparation for
adaptation and resilience to climate change. There is a need for new and fresh
strategies to prepare farmers and LGU of Occ. Mindoro to this worsening,
economic and environmental impacts felt throughout the world.
GEEE CONSULTANTS INC. composed of Engineers, Foresters, Agriculturist, Plant
nutritionist, Landscape Engineers, Environmental Specialist, Educators,
Industrialist, and Drone Specialist, is the sole consultant group that proposes
Holistic Solution to Farmers and LGU problems in the Philippines. At the same time
GEEE is a consultant group that can prepare strategic plans to increase the
environmental and economic progress of the province. GEEE has also the connection
and knowhow sourcing investment funding for large-scale development.
The First Step is for the Provincial Government to Accredit GEEE Consultants
Inc. as Province’s consultant group and therefore provide initial advance funding
support Pesos 500,000.00 for the program preparation. This will trigger the
preparation of a Business Plan for resource development through agroforestry and
Nutrition Farming system combination. Financial analysis of the proposed resource
build up project shall determine the funding needs of the project as loan from
Government Financial Instructions, JICA Grants/loans, Commercial Bank Loans,
Green Climate Fund grants/loans, and government departments whichever is
available. The project Cost is estimated at Php 100,000.00 per hectare inclusive
of infrastructures. This project will initially cost Pesos 1 Billion or the basis for
the loan.
Second, a MOA that GEEE Consulting Inc. and Provincial Government Jointly meet
with funders of the resource development project. Presentation and explanation
about the business plan is jointly undertaken by GEEE and PG. Resource
Development Fund is granted to the Provincial Government or the Business Arm of
the provincial Government. GEEE Consulting Services Fee of 15% of loan/grant
proceeds of PG/Business Arm, is paid after obtaining the funds for development and
deducting advances already made to GEEE. All consultants in the project are paid by
GEEE from the 15% share of total project loans/grants.
Third, Invitation to Industries Builders/investors jointly undertaken be GEEE and
PG constitute Phase II of Industrial City Project. The investors shall be invited to visit
the Resource Development progress with the aim of defining the Industries that will
process raw materials produced during the RD Phase, Including upland resource as
well as fisheries development resource. Industries target date of operation shall start
on the 1st and 2nd year for cash crops, 3rd year in the case of fisheries development,
and 5th year in the case of integrated wood industries at the same time with other
agriculture crops. The investors shall include their staff housing and other social
amenities for the workforce migration into the Industrial City.

1.0 Proposed Introduction of Project Solutions

1.1 Introduce Agroforestry and Plant Nutrition Technology

The usual farming system is proposed to be converted into large-

scale combination of agriculture and forestry system (Agroforestry)
to pave way to large-scale modernization and mechanization of
farming. High value crop (commercial trees in lines) is inserted in
existing rice and corn farms. The lines are 20 meters apart and 1
meter between trees along the row.

Farmers and landowners is organized into a Cooperative in order

that the farms can be consolidated into large-scale farming.
Machines are used in land preparation, planting, maintenance, and
harvesting to accomplish large area over time.

Nutrition farming is introduced in land preparation and nutrition

support of agricultural crops in order to increase productivity
based on nutritional needs of plants. In addition to basal
application of fertilizers and nutrients, Aerial spray of organic
nutrients, and organic pesticides weekly through the leaves of
 plants ensures double usual yield of agriculture crops, including
perennials. Farmers are utilized to plant perennials and
commercial trees, while young farmer’s siblings
Operate machines and drones rather than going to urban places for
employment.
Yield of rice is increased from 4.1 tons per hectare (average yields in the
country) to more than 10 tons per hectare. Image No. 1 show how rice
look like at more than 10 tons per hectare.

Image No.1

Other agriculture cash crops as well as perennials benefits from

weekly spray of nutrients

1.2 Increased Utilization of whole plants

Farmers do not realize that nutrients applied in the soil are absorbed
by stems, leaves, and fruit (rice, corn kernels, beans, etc.). The wastage
after harvest is presently ignored as part of the harvest. Stems and
leaves of corn, stables of rice, stems and leaves of legumes, are all left
in the field to rot. These materials can be part of the harvest as feeds/
organic fertilizer. Baling machines can be introduced in large scale
farms or consolidated farms.

Baler Machine
1.3 Introduce Large-Scale Approach

Present farm production tenet aims for individual small scale

farm to increase productivity with financing instruments and
technological back up from DA. However in reality, Individual
farmer has his own farming protocol sometimes similar to his
neighbor or often a personal secret. Results of small farming
system approach varies in terms of the quantity and quality of
produce due to the lack of technical know-how of famers. Quality
of agricultural produce is sacrificed with varying individual
farmers input and often lack of finance support.

It is easier to market large quantity of high quality produce rather

than varying quantity and quality of produce. The aim of large
scale farming is to produce increased output of export quality
farm products.

1.4 Introduce Holistic Farming Mechanization

Farmers in the province are getting old and there are very few
young siblings to continue the usual farming system because it is
laborious. Complete mechanization can change this trend. Young
farmers must be encouraged to become entrepreneurs rather
than continuing the old farming system.

However mechanization requires large areas to optimize

mechanization and standardized farm inputs to produce
sustained increased productivity and high quality of produce. The
concept of farm area consolidation through cooperatives enables
paradigm shift to commercial agriculture production taking into
consideration quantity and high quality of produce for export and
local markets.

Youngsters are challenged to participate in such challenging

commercial farming entrepreneurship which can be started in the
Isabela State University and consequently the modernization of
Agriculture course in the province.

1.5 Introduce High value crops inserted in lines.

Low value agriculture crop cultivated in Occ. Mindoro
Province has. Commercial fast growing trees are high value
crops that can be inserted in lines to increase value of
agriculture harvest. Line planting system of trees does not
replace agricultural farming but serves as complementary
crops to agriculture. This serves as crop insurance for
present day farmers and future farm entrepreneurs.

Commercial trees has the longest production chain and creates

the most number of primary industries producing the cheapest
source of basic human needs in shelter. Certain indigenous
species has the potential for complementary agroforestry that
aims to increase yield benefits in terms of the value of harvest.
Present farmers and future farm entrepreneurs in the province of
Occ. Mindoro can eventually be released from the bonds of
poverty by harvesting additional high value crops and increasing
present yields of agriculture crops.
 Eucalyptus deglupta tree

1.6 Introduce Second Crops for dry season farming

In many instances, a second crop for dry season farming is

limited.
After harvest, the land is left idle till the wet season. As more
mountains are deforested and denuded, rivers eventually dry up
too during lengthy dry season and flash floods occur during rainy
season. This has been the impact of climate change to the
government and the farmers. The only solution to this problem is
to plant trees!
 Introduction of second crop increases production from the land.
Picture of cassava for high yielding second crop is possible as
source raw material for bioethanol industry.

Other secondary crops such as soya beans. Mongo, other lentils

and vegetables, including sweet corn and baby corn not only
increases land utilization, yields, employment, and wealth, but
can also create industrial factories that will produce exportable
products. Province’s economy is benefitted.

1.7 Introduce large-scale plantation approach

Individual small-scale farming has several disadvantages:

 Farmers unable to maximize income from farming.
 Does not benefit from government assistance,
 Limited individual technology usage,
 Farmers become victims of 5-6 financing schemes,
 Farmers remain poor and does not have retirement
benefits
 Farmers become victims of traders and usually sell harvest
for the lowest price,
 Limited contribution to employment opportunities,
 Usually children of farmers abandon their parents to look
for non-farming employment opportunities in Urban
Centers.
 Forming farmer’s cooperative consolidates farms into large scale
production units and able to create industries in the province.
Export oriented industries accelerates wealth realization.

2.0 INDUSTRIAL CROPS FOR DRY SEASON (for canning)

2.1 Soybeans for second crop

2.2 Sweet Potato for second crop
2.3 Sweet Corn
2.4 Cassava for second crop
2.5 Mongo
2.6 Peanuts
2.7 Vegetables

3.0 INDUSTRIAL CITIES PROPOSAL

3.1Wind Power Generator (25 x 2MW) 50MW

Calintaan, Occ. Mindoro

3.2 Soy Bean Factory (3 tons/day) 8,000 ha.

3.3 Canning Factory (beans, carrot, sweet Corn, bamboo shoot,

Jack Fruit, peas, Jalapenos, Pimiento, etc.)
3.4 Bio-Ethanol Distillery (250,000 liters/day) Raw
Materials=Cassava

Cassava second crop to corn needs 40,000 hectares after corn

harvest

3.5 Organic fertilizer factory

Cassava sludge from ethanol distillery mixed with charcoal rice

hull, probiotics, corn stems powdered, rice stems, and lime are
processed and made into organic fertilizers are returned back to
farms.

3.6 Integrated wood industry processing 1,500,000 cubic meters

from 10,000 ha. per year of Corn and rice farms at year 5 and
4,000,000 cubic meters starting on year 10 can support the
following:
3.6.1 Plywood Plant (80,000 panels/year)
3.6.2 Medium Density Board Plant
3.6.3 Sawmill
3.6.4 Pulp Mill
 3.6.5 Wood Seasoning
3.6.6 Furniture Factory
3.6.7 Pre-Fab Factory
3.6.8 Pallet Factory
3.6.9 Integrated wood processing complex (200 ha includes
housing for employees.)

MDF Factory

Pellet Factory (1ha.) to replace imported gas for household fuel

4.6 Blast freezer and cold storage

4.7 Pallet factory (1ha)

4.8 Starch Factory (3 Ha.)

4.9 Cottage Industries

5 ISABELA EXPORTS in
the future
Bio-Ethanol,
Cassava Dried Chips
 Frozen Veges
Frozen Banana
Fresh Banana
Canned fruits, sweet corn and veges
Plywood, Medium Density Fiberboards, Seasoned Lumber
Eucalyptus Pulp
Canned Fish, Tuna, mackerel, sardines
Cottage Industries Products
Community food production projects

6 Other Products
Agroforestry Tourism
Wind Power Tourism
Forest Nature Tourism
Industry Tourism
Beaches Tourism
Fish Cages tourism
Mountain Adventures

7 Other Services
Rehab Centers
Home for the Aged Schemes
Retirement Village
Childcare centers
Hotels and hotel services

8.0 10-Year for revitalized rice and corn farming

YEAR Area of AREA ACCUM. No. Trees Tree
Demo. Develope AREA (Ha.) Planted Volume
(Ha.) d Insertion Harvest
(Ha.) M3
1 500 500 250,000
2 500 10,000 10,500 5,000,000
3 500 10,000 20,500 5,000,000
4 500 10,000 30,500 5,000,000
5 500 10,000 40,500 5,000,000 150,000
6 500 10,000 50,500 5,000,000 3000000
7 500 10,000 60,500 5,000,000 3000000
8 500 10,000 70,500 5,000,000 3000000
9 500 10,000 80,500 5,000,000 3000000
10 500 10,000 90,500 5,000,000 3,200,000
Onward 500 10,000 100,500 5,000,000 10,200,000
Province-wide plan
 Other agricultural crops planned with tree insertion will add to the rice and
corn program and can be planned based on the model area in Sablayan, Occ.
Mindoro.

9.0 IMPLEMENTATION
Full implementation will start when mayors of each participating towns
approves implementation of the project in their respective towns.
Implementation may exceed the plan and will need supplementary plans
appropriate for the soils and matching with agricultural crops. For example
Sablayan can have its own wind power project to run a 250,000 liters per day
bio ethanol plant with starch and chip dryer as well as organic fertilizer base
from sludge from the ethanol distillery. Such an area can also have its own
port to export produce from the western part of the Mindoro provinces.

10. Economic impact of the project

The planned implementation of nutrition farming and tree line insertion is planned
to gain the following based on 5,000 ha/crop. Cooperatives consolidation of area for
each crop (rice and corn) per year distributed by municipality accumulating for 10
years.

Year Rice gains* Corn Tree harvest Rice & Corn Total Estimate
Tons Gains Value in USD USD Values) Values rice,
Tons corn, trees (P)
1 2000 2500 5,36,675 27,907,100
2 40000 50000 10,737,500 558,350,000
3 80000 100000 21,475,000 1,116,700,000
4 120000 150000 27,948,750 1,453,333,500
5 160000 200000 33,286,250 1,730,885,000
6 200000 250000 10,440,000. 53,687,500 3,332,550,000
00

7 240000 300000 216,180,000 64,425,000 23,851,400,000

.00

8 280000 350000 216,180,000 75,162,500 151,498,000,000

.00
9 320000 400000 216,180,000 85,900,000 157,082,000,000
.00
10 360000 450000 216,180,000 96,637,500 162,665,000,000
.00
11 360000 450000 216,180,000 107,375,000 168,249,000,000
.00
12+ 360000 450000 547,776,000 107,375,000 340,679,000,000
Prices: Rice = P11.00/Kg, Corn= P12.00/Kg, Small timber =P2000/m3 , Large
Logs = P3,000/M3 * Proposed Impact of tree harvest to Occ. Mindoro rice and
corn farms.
 * Gains means increase yield compared to basic harvest of 4.1 tons per ha.

11. Conclusion
It should be noticed that one cropping of rice and corn per
year is not sufficient to repay loans. There must be second
cropping of higher value crop in order that revenue increases
sufficient to pay loans after the second year of operation.
Investment on trees shows considerable increase in the value
of harvest but has a gestation of 5 years before revenue is
realized. It can be concluded that the project using second
cropping, agroforestry and Nutrition Farming c.ombination
ensures creation of industrial city in Sablayan, Occ. Mindoro.
The Industrial City is the main market of agricultural,
fisheries, and forestry products (raw materials). The multiplier
effect of the Industrial City can be estimated with a full blown
feasibility study as part of the initial loan of Pesos 1 Billion.

Added value from processing increases wealth of farmers as

well as the Provincial Government of Isabela as stakeholders in
the proposed ICC plan.

Cooperatives and Provincial government shall own shares in

the industries proposed funded separately by investors.