LARRY U.

SULTAN
Comp. Head, I-REAP RPCO 8
WHAT IS PRDP?

 PRDP is a six-year program (2015-2021) designed to

establish the government platform for a modern,
climate-smart and market-oriented agri-fishery sector.

 Externally, it will focus on expanding market access

and improving competitiveness.

 Internally, it will introduce reforms in operating the DA

bureaucracy.
 OUTCOME
OUTCOME
Low rural incomes Rural Incomes
increased

Increase productivity,
Low productivity, prod’n
prod’n & value of
& value of outputs
outputs
Binding Constraints

High production costs Reduce costs

Improve market

PRDP
Market
inaccessibility access
Limited agri-based Diversify livelihood &
livelihood options enterprise options

• Inadequate agri-related infra • Strategic agriculture

and facilities
• Insufficient technology
development
• Weak training, extension and
information dissemination
infrastructure
• Research & development and
training and extension
• Knowledge and Information
and Dissemination
TOWARDS INCLUSIVE GROWTH THRU
BROAD-BASED RURAL AGRO-INDUSTRIAL
DEVELOPMENT
COMMERCIAL SMALLHOLDERS – FULL MARKET
3 INTEGRATION
• Create efficient markets and value chains
• Address over-regulation and other distortions in
markets, reduce transaction costs
• Support regulatory and agribusiness reform, PPPs

2 SMALLHOLDERS IN TRANSITION – FARMS TO MARKET

LINKS
• Diversification into high-value activities
• Linkages to value chains
• Rural non-farm enterprises for income boost
• Risk management to withstand shocks

1 SUBSISTENCE FARMERS AND MARGINAL FISHERS – `

FOOD SECURITY AND MARKETABLE SURPLUS
• Increase productivity, reducing vulnerability
• Improving services
• Diversify livelihood support
PHIL. RURAL DEVELOPMENT PROGRAM

 Approach: Value Chain Analysis; Focused on

Climate Resiliency and Adaptation

 Tools
- Value Chain Analysis; Vulnerability and
Suitability Assessment; Resource and Social
Assessment

 EntryPoint for Value Chain interventions at

the Local Level: Province/City/Municipality
Convergence
with Other
DBM DILG NAPC
Government NCI

Initiatives
Synchronized delivery of Promote bottom up
programs and services to the approach to planning and
rural communities budgeting more
Harmonization of priority areas to participatory through
eliminate duplication and involvement of grassroots
maximize complementation of organizations and
activities communities

Enterprise Development
Technical support in the
design of FMR/bridges and
Secure copies of Value
coordination to
Chain Analysis studies
complement with the
and seek Technical
national road network plan
DPWH Assistance on enterprise
DA PRDP development

Support to Conditional Cash

Access to research activities Transfer
and transfer of developed (CCT) Program
technologies related to - Support to target
agriculture products and beneficiaries, e.g. poor farm
processes families and graduating or
leveling up from CCT program
of DSWD

DOST
 PRDP Program Components

I - PLAN Investment in AFMP Planning at

the Local and National Levels

I - BUILD Intensified Building-Up of

Infrastructure & Development

Investment in Rural Enterprises

I - REAP and Agriculture & Fisheries
Productivity

I - Support Implementation Support to

PRDP
 I-REAP OBJECTIVES
GENERAL OBJECTIVE: To strengthen and develop viable agri-fishery
based enterprises through efficient value chains of key agricultural
and fishery products in targeted program areas.

SPECIFIC OBJECTIVES:

• To increase productivity and marketability of agriculture and fishery

products through increased access to information and support
services;

• To increase farm and fishery household incomes through

engagement in value-adding activities; and

• To improve the protection and conservation of the natural resource

base of identified enterprises through alternative livelihoods and
support facilities.
 I-REAP SUB-COMPONENTS

• Sub-Components:
1.Rural Agri-fishery Enterprise and
Productivity Enhancement

2.Technology and Information for

Enterprise and Market Development
 I-REAP Possible Proponent Group

1. Existing producer groups with members producing

commodities which are included in the priority value chains
and have potential to increase their marketable surplus

2. Farmers and fishery groups identified in the commodity value

chain which have potential to produce marketable surplus
and demonstrate willingness to voluntarily adopt clustering
of growers and forge contract/marketing agreements with the
private sector;

3. In Yolanda (Typhoon Haiyan) and earthquake affected areas,

possible proponents for Year 1 subprojects may or may not
be duly registered to any government registration agency (i.e.
SEC, CDA and DOLE).
 REQUIREMENTS FOR PROPONENT GROUP
Requirements
 Legal personality of cooperatives, NGO,
producers groups, private sector and
other stakeholders in the value chain
 Financial stability
 Organizational Capability
 Equity requirement of 20% (incremental
enterprise cost) either in cash and/or in
kind (land, labor, capital, equipment, etc)
 Certification from the Accountant that the 
previous cash advance granted to the PG
has been liquidated and liquidation
documents are post audited and properly
taken up in the books.
Enabling instruments
 SEC, CDA, DTI or DOLE registration
papers
 Certificate of Good Standing
 2 years audited financial records
 Results of evaluation of financial and
organizational capability of selected
PG
 Accomplishment reports of projects
undertaken in the last 3 years on agri-
fishery and similar projects
 Cash- bank certificate
 In-kind - certificate of ownership and
valuation based on book value
Certification from the PLGU
Accountant
 ROLE OF THE PROPONENT GROUP (PG)
 Ensure compliance of the eligibility requirements for
PG participation as provided in the I-REAP Operations
Manual;
 Ensure smooth implementation of the subproject
according to the approved business plan and
detailed implementation plan and or program of works
and in adherence to social and environmental
standards;
 Enable the PLGU and other entities to examine goods,
works and services for the subproject, the operation
thereof and any relevant records and documents;
 Undertake Operations and Maintenance of the
facilities and other property relevant to the subproject;
 Maintain financial records to properly disburse and
liquidate subproject funds and records keeping;
 Participate in subproject activities to include
capability-building interventions;
 For the actual cost exceeding the subproject cost as
per approved subproject proposal, the PO shall fully
assume the lacking amount. However, if the actual
cost is lower, the excess amount can be
reprogrammed for similar project provided it shall not
require additional funds from the municipality; and
 Submit required reports. These reports shall be
made accessible to PO members and Monitoring and
Evaluation groups.
The Lead Proponent will be determined
according to the following criteria:

 Able to provide the required equity of 20%

of the total enterprise cost
 Acceptable to all cluster members;
 Broad network within the commodity
sector;
 Access to technical and financial
resources; and
 Proven track record in managing an
organization and an enterprise.
For SLP and Start-Up Projects, PG will
be prioritized based on the following
criteria:
 At least 15 or more farmer/fisherfolk
currently producing the commodity(5 pts);
 Open to investments by enterprises
operating within the priority commodity VC
identified in the PCIP (5 pts);
 Readiness to work in vertical cluster (5 pts);
and
 Performance based on previous or existing
contracts with other funding instn’s (5 pts)
For upgrading & Expansion, PG will be
prioritized based on the following
criteria:
 Engages the most number of
producers(5pts);
 Readiness to work in vertical cluster(5pts);
 Open to investments and provide equity (in
cash or in kind) by enterprises operating
within priority commodity value chains
identified in the PCIP(5pts); and
 Performance based on previous or existing
contracts with other funding instn’s.(5pts).
 o. Score
Criteria Indicator Ranking Guide
Readiness to  Stakeholders
1
HIGH (5 POINTS)
work in vertical participation at MEDIUM (3-4 POINTS)
cluster – various phases of LOW (1-2 POINTS)
5 POINTS the marketing
chain
 Presence of
organized
producer’s group
that supplies raw
materials
 Value of
2
Open to HIGH (5 POINTS)
investment investment/ MEDIUM (3-4 POINTS)
and provide equity offered LOW (1-2 POINTS)
equity (in cash
or in kind) –
5 POINTS
 o. Score
Criteria Indicator Ranking Guide
 No. of
3
Engages the HIGH (5 POINTS)
most number participating MEDIUM (3-4 POINTS)
of producers – farmers or LOW (1-2 POINTS)
5 POINTS producers
Performance  Performance in
4
HIGH (5 POINTS)
on previous or previous or MEDIUM (3-4 POINTS)
existing existing contracts LOW (1-2 POINTS)
contracts with with government
government –
5 POINTS
NOTE:
NOTE: Applies
only to PG **For those PG without previous or
existing contract with government,
with previous rating for criteria 1 to 3 should be
existing pro-rated to reach 20 points (e.g.,
contract with criteria 1 = 7 points, criteria 2 = 6
points, criteria 3 = 7 points).
government
The PLGU/CLGU/MLGU will only be allowed
to be a proponent of an enterprise under ALL
of the following conditions:

 Absence of private investment in the proposed

enterprise in a province due to peace and order
situation or it is situated in remote areas;
 Lack of capable producer group to undertake the
proposed enterprise due to its nature i.e. highly
integrated along the value chain that would affect
the most number of farmers and fishers in the
area; and
 Willingness of the PLGU to invest on specific
enterprises.