Supply analysis of rambutan in the Philippines / by Rushell P. Cartago.

Thesis (Bachelor of Science in Business Management Major in Marketing) Cavite State University.

Includes bibliographical references.

College of Economics, Management, and Development Studies (CEMDS)

CARTAGO, RUSHELL PASCUAL. "Supply Analysis of Rambutan in the Philippines, B.S. Thesis, Bachelor of Science in Business Management, Major in Marketing, Cavite State University, Indang, Cavite. April 1998. Adviser. Dr. Alice T. Valerio.
A study was conducted primarily to analyze the supply of rambutan in the Philippines. Specifically, it aimed to: (1) describe and present the status of rambutan industry; (2) ascertain the different factors affecting the supply of rambutan; and (3) determine the degree of responsiveness of supply with the change in its price and price of competing crop. Secondary data were gathered and used in the study to analyze the supply of rambutan in the Philippines.
The data on farm prices of the commodities, farm wage rate, annual frequency of tropical cyclones, volume of production and area planted to rambutan were obtained from the Bureau of Agricultural Statistics (BAS). Prices of fertilizer was secured from Fertilizer and Pesticide Authority (FPA), on the other hand, other needed and valuable information were obtained from the BAS and Department of Agriculture (DA) libraries, Philippine Council for Agriculture, Forestry and Natural Resources Research and Development (PCARRD) and University of the Philippines Los Banos (UPLB), College, Laguna. Multiple Regression was used to analyze the data.
The period of analysis covered the year 1980 to 1995. With the use of full model regression method, the analysis showed that price of fertilizer and annual frequency of tropical cyclones have significant relationship with the rambutan supply. Using the stepwise regression method, price of fertilizer, annual frequency of tropical cyclones, areas planted to rambutan, and government policy were found significantly related to the rambutan supply. Thus, results showed that the regression line has a good fit with R² value of 0.71 which means that 71 percent of the total variation in the rambutan supply can be explained by the explanatory variables included in the model while 29 percent can be explained by other variables not considered in the model. The F value of 2.799 was found significant at ten percent level (P<0.10).
The price elasticity of supply has a value of -0.13 which means that for every 100 percent change in price of rambutan, there was a corresponding change in its supply by 13 percent. The cross-price elasticity has a value of 0.14 which means that there will be a 14 percent change in the quantity of fruit that the producers are willing to supply in the market given a 100 percent change in the price of Lanzones. For the area response function, results showed that all identified independent variables were found not significant at five percent level.
The regression line has a good fit with a computed R² value of.5782. The computed F value was found not significant at (P>0.05) five percent level. Price of rambutan, supply, government policy and annual frequency of tropical cyclones were found significant at five percent level while other variables were not significantly related to area planted to rambutan using stepwise regression method analysis. The computed R² value in this method was higher compared to the full model regression method and the computed F-value was still significant at five percent level (P<0.05). frequency of tropical cyclones, areas planted to rambutan, and government policy were found significantly related to the rambutan supply. Thus, results showed that the regression line has a good fit with R² value of 0.71 which means that 71 percent of the total variation in the rambutan supply can be explained by the explanatory variables included in the model while 29 percent can be explained by other variables not considered in the model. The F value of 2.799 was found significant at ten percent level (P<0.10).
The price elasticity of supply has a value of -0.13 which means that for every 100 percent change in price of rambutan, there was a corresponding change in its supply by 13 percent. The cross-price elasticity has a value of 0.14 which means that there will be a 14 percent change in the quantity of fruit that the producers are willing to supply in the market given a 100 percent change in the price of Lanzones. For the area response function, results showed that all identified independent variables were found not significant at five percent level. The regression line has a good fit with a computed R² value of.5782.
The computed F value was found not significant at (P>0.05) five percent level. Price of rambutan, supply, government policy and annual frequency of tropical cyclones were found significant at five percent level while other variables were not significantly related to area planted to rambutan using stepwise regression method analysis.
The computed R² value in this method was higher compared to the full model regression method and the computed F-value was still significant at five percent level (P<0.05). To enable the rambutan industry in the country to achieve optimum growth and development, the government must extend their support that will further promote and benefit the rambutan industry. Other forms of assistance, especially financial, may be of great help in uplifting the said industry.

Submitted to the University Library 04/29/1998 T-1800