Socio-economic conditions and marketing practices of coffee middlemen in Cavite / by Gina de las Alas Romilla.

Thesis (BS in Agriculture Major in Agricultural Economics) Don Severino Agricultural College.

Includes bibliographical references.

College of Agriculture, Food, Environment and Natural Resources (CAFENR)

ROMILLA, GINA A., Don Severino Agricultural College, Indang, Cavite, April, 1986. "Socio-Economic Condition and Marketing Practices of Coffee Middlemen in Cavite." Adviser: Miss Lina C. Abogadie.

This study was conducted in five coffee producing areas of Cavite, namely: Alfonso, Amadeo, Indang, Mendez and Silang. The samples were picked through purposive sampling. A total of 75 respondents was interviewed for this purpose. The study aimed primarily to: 1) determine the social condition of coffee middlemen as revealed by their age, educational attainment, types of dwelling, number of dependents, home facilities/appliances, recreational activities, vehicles owned and membership in organization; 2) to determine the economic condition of coffee middlemen with regards to business experience, income from coffee business and other sources of income; 3) determine the marketing practices/services performed by various coffee intermediaries; 4) ascertain the in- come levels and their relationship with age, educational attainment, business experience and operating capital of coffee middlemen; and 5) identify the problem encounter- ed by the middlemen in operating the business. The age of the respondents ranged from 26 to 77 years. The group with the highest frequency had ages ranging from 39 to 51. The level of education was categorized into low, for those who finished grade six; medium, for those who finished high school; and high, for those who finished college education. The most fre- The mean number quietly reported education was medium. of dependents of the coffee middlemen was six. of dwelling with the highest frequency of mention permanent. Most of the respondents owned TV/Betamax, washing machine, refrigerator, components, piano and electric gas range. The most frequently mentioned reading material was the newspaper. The most common vehicle owned by the respondents was the passenger jeepney. organizations with the highest number of members were Samahang Nayon and Credit Cooperative. The respondents are fond of listening to the radio, watching television, playing ball games, and going to the movies. Majority of the coffee middlemen obtained capital through bank loans, credit from relatives and financiers. Majority of the respondents had been in the business for less than 17 years. The mean operating capital of the respondents was 87,006.77. Most of the respondents devoted 31 percent of their time for business buying. The mean annual income from coffee business was 273,022.17. There were five types of middlemen identified in the study. They were agent middlemen, wholesaler, miller-wholesaler, assembler-wholesaler and financier to coffee were type was wholesaler. Eight marketing practices were identified in this study: packing, hauling and delivery, storing, transporting, selling, financing, risk bearing and marketing in- formation. In the analysis of the relationship of income levels and age, educational attainment, business experience and operating capital, it was found that age and education- al attainment had nothing to do with income derived from coffee business while business experience and operating capital were significantly related to the income levels. The problems encountered by the respondents were price fluctuation, competition among buyers, financial constraint, lack of standard unit of measurement problems with farmers. Based on the result of the study, the following conclusion and recommendations were drawn: the majority of the buyers who owned big capital and had been in the business for a longer number of years earned more profit. It is, therefore recommended that lending institutions should extend more help for the financial needs of the buyers; and the government should provide more information to the buyers regarding the current marketing trends. The coffee middlemen and specifically those financiers tended to have more capital for business the prices of coffee were dictated by some other big and buyers in the area. Consequently, it is proposed that cooperation among the coffee buyers should establish themselves in order to increase their purchasing power and to avoid competition. Price fluctuation as well as variations in measurement used were common problems of coffee middle- men. This study, therefore, suggests that the price of the coffee should be established in order to have uniformity of prices in the market and among buyers throughout the country. buyers in the area. Consequently, it is proposed that cooperation among the coffee buyers should establish themselves in order to increase their purchasing power and to avoid competition. Price fluctuation as well as variations in measurement used were common problems of coffee middle- men. This study therefore, suggests that the price of the coffee should be established in order to have uniformity of prices in the market and among buyers throughout the country.