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Objective of the Project

The project aims to increase income and access to food by establishing small scale appropriate and sustainable agro-processing business. The project shall provide funds for processing raw agricultural and fishery products to diversify market and increase value added products. It is designed to help increase the range of options available to the organization by assisting in building up their assets base. Promotional strategies are concerned with widening the horizons of members and helping them develop different perspectives and means for the longer term continuity of the organization. The project has a total amount of Php 18.572M to be implemented this year.

General Guidelines

For the first year of implementation, priority shall be given to one (1) commodity per LGU. The DIDP-PMO will validate the commodity and organization qualified for the Agro-Processing Promotion Project according to the following criteria:

Criteria for Commodity Selection

Criteria for the Organization Selection

Criteria for Livelihood Projects

Project Funds

The APPP has a total allocation of P18.566 Million which was included under the CY 2006 Budget of the DIDP IFSP. This amount was transferred by DA RFU XI to DIDP PMO, which in turn transferred the amount to the 9 implementing LGUs in two tranches upon their compliance with the requirements prescribed by DIDP PMO. The share of the 4 provincial LGUs and Davao City is P2.932 Million each while the allocation for the 4 component city LGUs is P 977,000.00.


Under this project, 14 cooperatives and 1 processors´ association were provided with funds for processing raw agricultural, dairy, meat and fishery products. The funds went into the construction and rehabilitation of the 9 processing plants, installation or procurement of 56 processing equipment and as additional capital for their agro-processing activities. Total amount of credit extended to this cooperatives/association is approximately P 17.155 Million.

A total of 52 products were developed which are derived mainly from the products of the region such as mango, pineapple, banana, coconut, sugarcane and durian. There were also dairy products from buffalo milk, processed meat such as tocino, pork barbecue and pork chicharon; processed vegetables; fishery products such as gourmet sardines; and poultry products such as pickled chicken egg and pickled quail egg. Majority of these products are sold commercially at major supermarkets and "pasalubong centers" in the region.

Others have already penetrated the markets in Luzon and Visayas. Davao Orient Fruits under the Food Processors’ Association of Davao already exports their products to the US and the Tagum City Council of Women for their B’yaneng products to Singapore.

The implementing LGUs also conducted a total of 34 trainings on Capacity Enhancement, Technology Adaptation, Product Development, Technical Capacity, Entrepreneurial Skills and Management Training. The trainings are participated by 6 cooperatives with 677 participants.


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