Marketing of sweet pepper in Leon, Iloilo

Abstract

This study describes the marketing system of sweet pepper in Leon, Iloilo. The marketing operations of sweet pepper farmers and middlemen were surveyed. A total of fifty two (52) respondents, were interviewed, forty (40) of which are farmers and twelve (12) are middlemen . The data were based on the recent harvest of the farmers and the last transaction activity of the middlemen. The respondents are from Brgy. Buga and Brgy. Mocol, the top sweet pepper producing barangays in Leon, Iloilo.

The farmers received an average P 28.69 per kg of sweet pepper sold. The marketing costs incurred amounted to P 14.19 per kg, which include the pre-sale costs, expenses on tickets, permits, ”arcabala"/bills, depreciation costs on investments and other miscellaneous expenses. The net farm price received by farmers was P 15.50 per kg. The most common problems cited by the farmers in sweet pepper marketing include pests and diseases and the perishability of the product brought about by delayed market. It was recommended that for farmers to increase their production, they need to have irrigation facilities and enough financial capital so that they will not resort to borrowing . Farmers are concern more on the financial aspect of sweet pepper production.

The middlemen on the other hand, received a gross margin of P 8.39 per kg. On the average, their marketing costs amounted to P4.34 per kg. The marketing margin they received was P 4.05 per kg.

Findings show that the middlemen need to procure sweet pepper in bulk to cover the high marketing costs incurred. Their primary concern is in maintaining the quality of sweet pepper to avoid losses.