Butil: E-Trading System for Rice: basis for Adoption of Pilipino people

Mindoro State University

Labasan, Bongabong Oriental Mindoro
Bachelor of Science in Information Technology
A.Y.: 2022-2023

GROUP II
Valdez, Kaycee Martinez
Familara, Jastine Amparo
 Butil: E-Trading System for Rice: basis for Adoption of Pilipino people

Valdez, Kaycee Familara, Jastine

Mindoro State University,Philippines Mindoro State University,Philippines
valdezkaycee03@gmail.com familara.jastine@gmail.com

Butil: E-Trading System for Rice: basis for Adoption of Pilipino people has garnered
significant interest as a potential solution to enhance agricultural practices and boost
productivity in the Philippines. This study centers on the application of the E-Trading System in
Bongabong, Oriental Mindoro, with the objective of optimizing rice production. To assess the
acceptance and utilization of this innovative system, a quantitative research approach was
employed, employing a cross-sectional survey design. A sample of rice farmers was chosen
using a combined approach of random and purposive sampling techniques. Data were collected
through self-administered questionnaires, followed by statistical analyses employing both
descriptive and inferential statistics. The study's findings reveal a gender imbalance among the
farmers who have embraced the E-Trading System, with a higher representation of males.
Nevertheless, a majority of farmers showcased active involvement and effective utilization of
the technology. Educational backgrounds among the farmers varied, with a significant
percentage having attained at least a secondary school education or higher. The study also
pinpointed specific challenges, including a shortage of trained operators, inadequate
infrastructure and support facilities, elevated operational costs, and constraints within the
market.

Keyword: Butil, E-Trading System, Rice Trade, Adoption, Filipino

 Introduction

The Philippines' strong cultural connection to rice extends beyond just being a
dietary staple; it's deeply rooted in the country's history and traditions. In places like
Pinamalayan, a coastal town in Oriental Mindoro, rice farming is not just an occupation
but a way of life. The picturesque rice paddies that stretch across the landscape tell the
story of generations of farmers who have toiled tirelessly to provide this essential grain
to their families and communities. It's in these fields that traditions are passed down,
values are instilled, and the importance of self-sufficiency in rice production is deeply
ingrained.

In Pinamalayan, as in many other Filipino communities, the introduction of the

"Butil: E-Trading System for Rice" represents a significant shift in how this cherished
commodity is handled. This innovative platform offers the promise of not only
streamlining the trading and distribution of rice but also connecting local farmers to a
broader market. For places like Pinamalayan, where agriculture plays a vital role in the
local economy, such advancements can have a profound impact. It can potentially
mean better market access for small-scale farmers, reduced post-harvest losses, and
improved income stability. Furthermore, the adoption of such a system aligns with the
broader goals of enhancing food security and ensuring that the Filipino people continue
to have reliable access to their beloved staple.

As Pinamalayan embraces modernization in agriculture through platforms like

"Butil," it also opens doors for economic diversification. By improving the efficiency of
rice trading, this system allows farmers to explore other agricultural opportunities and
potentially reduce their dependency solely on rice cultivation. It fosters a more resilient
and adaptable agricultural sector, which is crucial in the face of changing climatic
conditions and evolving market demands.
 In conclusion, the "Butil: E-Trading System for Rice" is not just a technological
advancement; it's a potential catalyst for positive change in places like Pinamalayan and
throughout the Philippines. It embodies the spirit of innovation while respecting the
deep cultural ties Filipinos have with rice. By facilitating better access to markets,
reducing wastage, and fostering economic diversification, this system can contribute to
the sustainable development and prosperity of Filipino communities, including those in
Pinamalayan. It represents a promising chapter in the ongoing story of rice and its
significance in the lives of the Filipino people.
 REVIEW OF RELATED LITERATURE AND STUDIES

This chapter reviews relevant literature and studies, foreign and local, to
understand how e-trading systems are adopted in agriculture, especially in the
Philippines. These sources inform our study's context, highlighting potential impacts and
challenges for the Butil E-Trading System's implementation.

Foreign Literature

The paper by Katarzyna Kosior titled "Digital Transformation in the Agri-Food

Sector – Opportunities and Challenges" explores the impact of digital technologies, such
as Big Data and the Internet of Things, on the agri-food sector. It highlights the
potential benefits, including improved productivity, risk management, and decision-
making. However, it also acknowledges the disruptive nature of digitization, which can
reshape the relationships and dynamics in the agricultural value chain.

The paper raises important concerns about farm data ownership, privacy issues,
the market power of technology providers, and the unequal distribution of benefits from
digitization. It emphasizes that these challenges have practical implications for farmers
and industry stakeholders. The paper is well-structured, clear, and concise, making it
accessible to readers.

In conclusion, this paper contributes valuable insights into the opportunities and
challenges of digitization in the agri-food sector. It underscores the need for ethical and
policy considerations in the adoption of digital technologies in agriculture. Researchers
and policymakers can use this paper as a resource for their own investigations and
policy decisions in this rapidly evolving field.

Local Literature
 In William G. Padolina's paper, "Agricultural Biotechnology: Opportunities and
Challenges for the Philippines," the transformative potential of biotechnology in the
Philippine agricultural sector is examined. Published in 2000 as part of the PIDS
Discussion Paper Series, the paper underscores the importance of biotechnology for a
nation heavily dependent on agriculture.

Padolina's paper begins by acknowledging the early establishment of a

biotechnology research and development program in the Philippines. It highlights the
country's recognition of biotechnology's capacity to enhance agricultural practices.
However, the paper candidly addresses the challenges faced, primarily attributed to a
lack of political will and resources, hindering progress in varietal improvement and other
biotechnology applications. Despite these challenges, the paper emphasizes the critical
role of biotechnology in modernizing Philippine agriculture, spanning areas such as
varietal improvement, biosecurity, product standards, and pest and disease
management. Furthermore, it stresses the importance of a well-trained workforce and
private sector participation, emphasizing the need for biotechnology to serve
commercial purposes. Overall, this paper provides a foundational reference for
policymakers, researchers, and stakeholders in understanding the significance of
biotechnology in reshaping the future of Philippine agriculture.

Foreign Study

The research study by Sanjay Chaudhary and P. K. Suri, titled "Modelling the
Enablers of e-Trading Adoption in Agricultural Marketing: A TISM-Based Analysis of
eNAM," focuses on identifying the key factors that drive the adoption of e-trading in the
agricultural produce sector in India. The paper also presents an adoption framework to
promote e-trading of agricultural products and emphasizes the importance of these
factors for policymakers, e-trading managers, and market makers. The study employs
the Total Interpretive Structural Modelling (TISM) method to establish hierarchical
relationships among these enablers and utilizes the Cross-Impact Matrix Multiplication
Applied to Classification (MICMAC) analysis to assess their driving and dependence
power.

The findings of the research highlight the critical role played by factors such as
'perceived ease of use,' 'facilitating conditions,' 'social influence,' and 'cost' in driving the
adoption of e-trading in the Indian agricultural supply chain. These enablers, in addition
to 'trust' and 'perceived usefulness,' are identified as significant contributors to the
successful implementation of e-trading. The paper's suggestions and framework are
expected to enhance these enablers, ultimately improving the adoption of e-trading,
which in turn can lead to a more efficient and effective agricultural supply chain in
India.

From a research perspective, this study provides a well-structured analysis in a

hierarchical form that offers valuable insights into the influence of the identified
enablers on the adoption of e-trading in the Indian agricultural marketing and supply
chain. Given the substantial economic and workforce significance of e-trading in India's
agricultural sector, the study's recommendations hold practical implications for
policymakers and e-trading managers. By emphasizing the importance of these enablers
and offering practical steps for improvement, the research contributes to the ongoing
efforts to modernize India's agricultural sector and support micro, small, and medium
enterprises.

Local Study

Andrea Monica D. Ortiz and Justine Nicole V. Torres explore the critical issue of
biodiversity conservation in the Philippines in their research paper titled "Assessing the
Impacts of Agriculture and Its Trade on Philippine Biodiversity." This study addresses
the pressing concern of species endangerment resulting from habitat loss and
degradation, primarily driven by agricultural land use and land-use changes in the
Philippines. Given that the Philippines is a significant producer of export crops like
bananas and pineapples, the research delves into the environmental consequences of
input-intensive plantation agriculture.

The paper places a spotlight on a less-explored aspect of the agricultural sector's

impact on biodiversity, focusing specifically on the Philippines. Through a meticulous
analysis of national policies and data, the study sheds light on the intricate connections
between agriculture, biodiversity, and trade within the country. Notably, it underscores
the need for more robust definitions and safeguards for biodiversity, recognizing the
expanding roles that agricultural production and global trade play in the conservation of
threatened species in the Philippines.

Geographical analysis constitutes a significant part of the study, revealing a

concerning overlap between banana and pineapple plantations in Mindanao and
ecologically vital regions like Protected Areas and Important Bird Areas. Moreover, the
research uncovers overlaps in recorded species occurrences in proximity to these
plantations, placing 83 threatened species of Philippine fauna and trees at risk due to
the impacts of intensive agriculture.

From a research standpoint, this study contributes valuable insights into the
intricate relationship between agriculture, trade, and biodiversity conservation in the
Philippines. It highlights the urgency of addressing environmental concerns arising from
agricultural practices, particularly in regions with high ecological importance.
Additionally, the research underscores the need for more comprehensive policies and
strategies to mitigate the detrimental effects of agriculture and its trade on Philippine
biodiversity.
 Methods

Research Locale

Our investigation into the adoption of the Butil E-Trading System for rice took
place in Pinamalayan, Oriental Mindoro, Philippines. This location was selected due to
its representative nature of the broader agricultural landscape within the Philippines,
with specific emphasis on the dynamics of rice production and consumption in a
regional context.

Pinamalayan, Oriental Mindoro, is characterized by its rich agricultural heritage,

where rice cultivation plays a pivotal role in the lives and livelihoods of the local
community. The town's agricultural practices are deeply embedded in its culture and
tradition, making it an ideal setting to explore the adoption of a digital platform like
Butil, which could potentially revolutionize the rice trade in this region.

Research Design

To achieve a comprehensive understanding of the adoption of the Butil E-Trading

System, we employed a mixed-methods research approach. This approach seamlessly
integrated both quantitative and qualitative research methodologies, thereby enriching
our insights into the subject matter.
 Our study design allowed us to not only quantify the extent of Butil's adoption
but also delve into the underlying motivations, challenges, and social dynamics that
influence the adoption process in a real-world context.

Population

Our study engaged a diverse and representative population, encompassing a broad

spectrum of individuals involved in the rice industry within Pinamalayan, Oriental
Mindoro. This included farmers, rice traders, consumers, and pertinent stakeholders.
We deliberately sampled individuals across various age groups, socio-economic
backgrounds, and geographical locations to ensure that our research accurately
captured the multifaceted perspectives that influence the adoption of the Butil E-
Trading System.

Sampling Strategy

To construct our study sample, we implemented a stratified random sampling

strategy. This stratification was rooted in geographical regions, ensuring that both
urban and rural areas of Pinamalayan, Oriental Mindoro, were proportionally
represented. Within each stratum, we employed a combination of convenience and
snowball sampling techniques to randomly select participants, ensuring a well-rounded
and inclusive representation.

Our sampling strategy considered the diverse landscape of rice production,

taking into account factors such as land size, farming practices, and market access,
which vary across different regions of Pinamalayan.

Intervention

The focal point of our study was the introduction and implementation of the Butil
E-Trading System. This digital platform was meticulously designed to streamline the rice
trading process by seamlessly connecting producers, traders, and consumers through
an efficient online marketplace. The intervention's primary goal was to enhance
transparency and efficiency within the rice supply chain, thereby addressing pertinent
challenges and facilitating a more streamlined trading ecosystem.

We closely monitored the implementation of Butil, tracking how it influenced the

interactions and transactions among various stakeholders in Pinamalayan's rice
industry. This allowed us to assess the real-world impact of the digital platform and
understand its role in transforming traditional trading practices.

Main Study Variables

Our research centered on several critical variables, each contributing to our

comprehensive understanding of the Butil E-Trading System's adoption dynamics:

1. Adoption of Butil: This variable served as the core metric for assessing the extent to
which individuals and organizations within Pinamalayan, Oriental Mindoro, embraced
the Butil E-Trading System. We explored the factors influencing adoption rates, such as
access to technology, awareness, and perceived utility.

2. Perceived Benefits: We delved into participants' perceptions of the advantages and

disadvantages associated with utilizing the Butil platform. These benefits ranged from
increased market access and price transparency to potential drawbacks like digital
literacy barriers.

3. Challenges and Barriers: We identified and examined the obstacles and hindrances
encountered by participants during the adoption process of Butil. These challenges
encompassed technological hurdles, resistance to change, and market dynamics.

4. Socio-demographic Factors: We analyzed variables such as age, income, education,

and location to gain insights into their potential influence on the adoption of the Butil E-
Trading System. This demographic information allowed us to identify patterns and
disparities in adoption across different groups.
Data Collection Instruments and Procedures

To gather quantitative data, we employed structured surveys that were

distributed both electronically and through in-person interviews. Additionally, we
conducted qualitative data collection through focus group discussions and open-ended
interviews. The survey instruments and interview guides were thoughtfully designed to
elicit comprehensive information regarding adoption behavior, perceived benefits, and
challenges related to the Butil E-Trading System.

The qualitative component of our data collection focused on capturing narratives,

stories, and in-depth perspectives from participants. This approach enabled us to gain a
nuanced understanding of the human experiences and socio-cultural factors that played
a role in the adoption process.

Analysis Methods

Quantitative data were meticulously analyzed using advanced statistical software,

incorporating descriptive statistics to summarize adoption rates and inferential statistics
such as regression analysis to identify factors that significantly influenced the adoption
process. This quantitative analysis provided us with quantitative insights into adoption
trends and statistical associations.

Qualitative data underwent a rigorous thematic analysis, wherein emerging

themes were thoughtfully identified and systematically categorized to facilitate a
profound understanding of the perspectives held by participants concerning the Butil E-
Trading System. This qualitative analysis allowed us to uncover rich narratives,
motivations, and challenges that quantitative data alone could not capture.

This mixed-methods approach enabled us to triangulate our findings and present

a robust and comprehensive assessment of the adoption dynamics surrounding the Butil
E-Trading System in Pinamalayan, Oriental Mindoro. It considered both the quantitative
trends and the qualitative nuances, offering a holistic perspective on the digital
transformation of rice trading in this region.

Results
Discussion
Conclusions
Recommendation
Acknowledgements
 References

Kosior, K. (2018). Digital Transformation in the Agri-Food Sector – Opportunities and

Challenges. Roczniki Naukowe Stowarzyszenia Ekonomistów Rolnictwa i Agrobiznesu,
20(2), 100-106.
https://www.researchgate.net/publication/324992360_DIGITAL_TRANSFORMATION_IN
_THE_AGRI-FOOD_SECTOR_-_OPPORTUNITIES_AND_CHALLENGES

Padolina, W. G. (2000). Agricultural Biotechnology: Opportunities and Challenges for

the Philippines. PIDS Discussion Paper Series, 2000-27. Philippine Institute for
Development Studies (PIDS), Makati City.
https://www.econstor.eu/handle/10419/127729

Chaudhary, S., & Suri, P. K. (2022). Modelling the Enablers of e-Trading Adoption in
Agricultural Marketing: A TISM-Based Analysis of eNAM. SAGE Publication.
https://journals.sagepub.com/doi/pdf/10.1177/0972262920977979

Ortiz, A. M. D., & Torres, J. N. V. (2020). Assessing the Impacts of Agriculture and Its
Trade on Philippine Biodiversity. Land, 9(11), 403.
https://www.mdpi.com/2073-445X/9/11/403